Posted on 09/17/2017 9:19:08 PM PDT by george76
California pension worries most often focus on CalPERS and CalSTRS, the state’s two multi-employer behemoths. But the state has many other underfunded plans, and these city and county systems pose significant challenges for governments that contribute to them.
The City of Los Angeles faces the largest municipal pension funding gap, measured in absolute dollar terms. According to the city’s 2016 Comprehensive Annual Financial Report, Los Angeles’ Net Pension Liability totaled $8.2 billion. Curiously, this number does not appear on the city’s government-wide balance sheet (called a Statement of Net Position). Instead, the $8.2 billion is reported as part of LA’s long-term liabilities, resting in the footnotes of the city CAFR at pages 133 and 141.
But the city’s pension debt is actually even worse than this reported $8.2 billion. Drilling down further into the CAFR, we find that the pension liability data is
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The actuarial reports as of June 30, 2016 show that the combined pension debt from the public safety pension plan, the city employee pension plan, and the utilities employee pension plan have grown to almost $10.3 billion,
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Also, the City of Los Angeles does a relatively good job of funding its retiree health insurance programs – known in accounting-speak as “Other Postemployment Benefits” or OPEB.
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As Los Angeles looks forward to hosting the 2028 Olympics, city leaders will be looking for opportunities to improve local infrastructure. But with such a high pension burden, LA could instead by facing a state of service insolvency – in which it collects enough taxes to pay employees and meet bond obligations, but do little else. A better option for LA is to follow the example of San Diego, and take measures to reduce its crushing pension burden.
(Excerpt) Read more at citywatchla.com ...
But..... we still have massive industrial out put so your argument is just hot air
Yet, a year after Jerry Brown was elected the left was praisinig him solving all of California’s economic problems.
After Calexit they will be able to print their own money. Problem solved.
You can bet your sweet A$$ the USA will experience hyperinflation wiping out every generations security they worked for just A$ in the 1970$, 1990$, 2002($), etc.
There are over 1 Million Illegal Aliens in Los Angeles, currently 40% of the population in Los Angeles works under the table and off the books. Why don’t they just enforce the current Laws or maybe ask thier beloved and highly coveted illegal alien population to Pay Thier Fair Share.??
One just cannot beat the Democrats for running a state. Look no further than California, they are a shining example of good old fashioned socialism and greed. Success as ever a Democrat has done
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