VCTA Endorses County Committee for Pension Fairness
Committee Files Initiative for Sustainable Retirement System
VCTA Endorses Committee for Pension Fairness
FOR IMMEDIATE RELEASE:
Newsletter of the Ventura County Taxpayers Association
Today, representatives of the Committee for Pension Fairness filed a sweeping retirement system reform ballot measure for the November 2014 election known as the “Sustainable Retirement System Initiative”.
This measure, the first of its kind for a California County, will create a sustainable Defined Contribution retirement system for all new employees including safety personnel (Sheriffs and Fire). The measure will eventually bring an end to a system with a billion dollar unfunded liability which for too long has been an unfair burden to the taxpayers that must support it.
Since 2004, pension costs to the County have increased 260%. This is 4 times the rate of inflation. By 2018, pension costs are projected to increase another $50 million above the $162 million cost in 2013. County Public Safety Pensions are 22% higher than peer counties. For too long, the practice of “spiking” has allowed many county pensioners to make more in retirement than their base pay when working. The more the County is forced to contribute to this antiquated pension system the less it has to spend on services for the public. The new system will eventually reduce County pension expense over $100 million a year and restore fairness to the taxpayers which must bear the burden to pay for it while struggling to fund their own retirement.
This initiative creates a sustainable system that is transparent, fair and predictable and stable in its cost while providing retirement savings for employees comparable to the private sector. The measure guarantees a contribution to the employee for their retirement with no “matching” obligation and creates a fund for the employee that is vested from day one and fully portable .
It is time for a change. The piecemeal improvements implemented at the State level and by the Board of Supervisors have not stemmed the out of control growth of pension costs or the unfunded liability. Taxpayers are tired of waiting and they do not want to pass $1 Billion of debt on to their children and grandchildren. The Sustainable Retirement System Initiative is the right answer at the right time.
Learn more HERE.
Ventura County Taxpayers Association | PO Box 3878 | Ventura | CA | 93006