Failed Legislature Kicks The Can On Teachers Pensions

Jerry Brown's May revise announced a plan to rescue the CalSTERS (now a $70 billion unfunded liability to the State) by having Local School Districts pay as much as 10% of their budget to the fund each year; an amount that would wipe out most of the new funding under Brown's new Local Control funding formula.

Lawmakers decide to kick the can by making the increase in 2014-2015 a bit smaller  from 8.25% to 8.88% rather than Brown's proposed 9.25%. But they loaded the back end by increasing Districts 2021 contribution from Brown's proposed 15.9% to 17.75%.

Under the new funding formula CUSD will receive $6,773 in per pupil funding now with that amount projected to increase to just above $8,000  in 2021- an amount that will not sustain the new STRS contribution and provide a basic education for our students.

http://blogs.sacbee.com/capitolalertlatest/2014/05/legislature-scales-back-browns-teacher-pension-re...