Former San Jose Mayor Chuck Reed and current Atlanta Mayor Kasim Reed have more in common than their last names. Both have the same broad pension story. But last week, Atlanta had a very different ending.
Protesters picketed the recent appearance of pension-change advocates Chuck Reed and Carl DeMaio at the Reason summit. (Photo: Ed Mendel, Calpensions) Calpensions: One of the two initiatives filed by a pension reform group last week would cap state and local government spending on retirement benefits for most new hires at 11 percent of pay, much like a Utah pension reform five years ago.
Some thought an appeal of a court ruling blocking a key part of a San Jose pension reform could lead to a high court review of the “California rule,” an issue in an initiative ballot summary issued last week by Attorney General Kamala Harris. But dropping an appeal of the Superior Court ruling is part of a settlement of union suits against the voter-approved pension reform that could soon be implemented by court action
A classroom teachers helps a young student with Latin. (Photo: Goodluz, via Shutterstock)The retirement security of California’s retired, current, and future teachers and the stability of the state’s pension fund for educators would be put at risk if a ballot measure addressing those issues is approved by California voters next November, according to an internal analysis by CalSTRS that I requested as chairman of the Assembly’s Committee on Public Employees, Retirement, and Social Security.
School workers at a labor rally in Bakersfield. (Photo: Richard Thornton, Shutterstock)A union coalition contends that a proposed initiative is being falsely portrayed as only a potential cut in pensions for new employees, when in fact it could cut or eliminate pensions earned by current employees for work done in the future. One of the initiative authors, former San Jose Mayor Chuck Reed, disagrees with the union reading of the proposal. But it’s a key pension reform issue that could lead to another disputed initiative title and summary.
The leaders of two local pension reforms, former San Jose Mayor Chuck Reed and former San Diego Councilman Carl DeMaio, are working with a coalition on a statewide initiative to help local governments make cost-cutting pension reforms. During a break at the Reason Foundation’s third annual Pension Summit in Sacramento last week, the two men said they are “on the same page” and working with a coalition on the details of a proposed initiative for the November 2016 state ballot.
A freeway approach to the San Jose city limit. (Photo: Visions of America)Calpensions: An appeal of a San Jose pension reform ruling that could cause the state Supreme Court to revisit “vested rights” may be halted by a settlement with unions, if candidates aligned with the policies of Mayor Chuck Reed are defeated next month. Labor unions opposed to the pension reform are backing a candidate for mayor to replace Reed and three candidates for open city council seats, more than enough to shift the power balance.
Calpensions: Backers of a Ventura County pension reform initiative, which was removed from the November ballot recently by a judge last week, are not appealing the ruling. But they may meet with other reformers after the elections this fall to discuss a statewide pension reform initiative.
OPINION: Public employees have shown they are willing to do their part to help balance government budgets. We may not have liked the pension system overhaul Governor Brown signed in 2012, but once it became law our union leaders helped to implement the changes, which will amount to a reduction of more than $77 billion to public workers’ retirement and health care benefits.
The reason, Reed says, is that the Attorney General used the word “eliminate” in describing his proposal to end the vested benefit rights of public employees. “This is the only recourse we have to correct something that is inaccurate and misleading,” said Reed of the Attorney General’s description of his measure. But Reed has a problem: He and his allies used the same word he’s criticizing the Attorney General for using – “eliminate” – when detailing his ballot measure.