Skip to comments.U.S. judge rules against Calpers on San Bernardino
Posted on 12/23/2012 8:23:29 AM PST by Be Careful
(Reuters) - A U.S. bankruptcy judge ruled on Friday against an attempt by the California Public Employees Retirement System to bypass the bankruptcy court and collect overdue pension payments from the bankrupt city of San Bernardino.
The decision, while only one step in a highly complex legal proceeding, was a blow to Calpers' argument that pension payments and California law should take precedence in a bankruptcy.
(Excerpt) Read more at reuters.com ...
This issue of public pensions and health care consuming all of a city's resources is going to explode in the next 5 years. Somehow the servants have taken title to the estate.
No reason why government “paycheck” recipients shouldn’t suffer like those of us among the great unwashed are suffering.That is,unless they think they’re *better* than us!
Well there is a practical reason. They control the people who contol the guns.
I don’t quite understand comments on this article. After all - the judge found that Calpers wasn’t above the rest of us. They have to get in line to get their money just like everyone else! This is a small victory!
So far any pension reform in CA cities has amounted to nothing. The problem cannot be solved by putting future employees on 401k’s. They need to immediately convert all future pension earnings into 401k’s.
Now, with the RATS in firm control of CA..that will never happen. IL is worse.
The RATS have to figure out how to federalize this problem..otherwise business and people will leave these states. So the Exit Tax is not out of the question..or a universal tax..
And if the City Council of San Bernardino truly cared for the Citizens in their City, they would immediately file a Brief before the Judge in Bankruptcy Court, outlining and detailing and confessing tp CRIMINAL FRAUD with regards to EVERY PUBLIC EMPLOYEE contract. This would Stop CALPERS Permanently.
Message that CalPERS is sending to not just Californians:
Public employees are not your friends. They are your masters. You are their slaves.
These labor contracts were never between the citizens and the unions. They have always been between politicians who get campaign money and support from unions, and then those same unions.
To enter into a contract requires informed consent. In this case the unions and the collusion of the politicians to give the unions what ever they asked for. The taxpaying public were never part of those negotiations.
The politicians were suppose to represent the citizens, they have not done so or we would not be where we are today.
The generous public employee pensions are unsustainable.
The politicians and perhaps even the courts are going to try and shift the burden to the public. And they may even find a legal way to do it. However I predict that the end results will not be what they want or expect.
We are fast approaching the end game of politicians and public employee unions can systematically rob the public treasury. It is not going to be pretty.
Oh, I have to also credit the media for this condition. I don’t think I have ever seen or read an article in the local media questioning the relationship between big labor and big politicians.
California is in this position because for all practical purposes it is a one party state, and that party is the Democrats, and the Democrats are owned by the unions.
“That is, unless they think theyre *better* than us!”
I’ve got news for you, they do! If you doubt me, just go to the DMV or the Post Office.
“The RATS have to figure out how to federalize this problem..otherwise business and people will leave these states. So the Exit Tax is not out of the question..or a universal tax..”
if the dems re-gain the house in 2014, then this will be the next, swift step to be taken
“The rule of law is whatever gives us what we want.”
I don’t think so . Govoner Quinn raised a trial balloon that the feds should guarantee Il pensions. Even the libs in Washington don’t want mess.
Rahm caved to the teachers here in Chicago because it didn’t matter . No matter what concessions he got it’s too late. It’s going to BK court . Might as well get the kids back in the classrooms cuz these contracts aren’t worth the paper there written on.
I believe it was 09 or 10 when Tom Sullivan stated on air that Ca had just reached the point were the public employees outnumbered the private ones.
The reason dems control is because they buy votes, with taxpayer's monies.
This is a problem in every state in cities big and small.
Even FDR knew better than to allow government employee unions;I think Kennedy opened the floodgates .It has only taken the unions one century to destroy American prosperity.
” You can’t get blood from a turnip”
You can’t renegotiate a pension already earned. It is part of the compensation contract for work already done. You can just affect agreements for future work.
They will continue to buy votes up until the day they can not squeeze one last penny from those that produce. Fortunately they can not print money. Unfortunately they can borrow.
Hope this is upheld. If not, then ultimately the vastly under-funded pension crisis can take primacy over everybody else (as our national debt bubble deflates through non-performance of loans/bonds). The governmental pension system is such a farce; actuaries continue to pretend that those funds can earn 7% per year into perpetuity, when in reality they’ve earned next to nothing for the past decade or more, overall... Politicians will continue to play financial musical chairs until they drop...