I worked as CFO for a PEU in CA and that is how they operate. Schools and special districts sell pension bonds besides raising taxes but taxpayers always end up paying for gov’t pensions one way or the other. Most of them factor in a rate of return over seven percent and when they don’t realize it taxpayers have to make up the difference.
The solution is to give individuals more power over their pensions, not the union bosses and corrupt politicians.
“I worked as CFO for a PEU...”
Wow, I certainly hope that was more fun than it sounds like.