Instead of polishing brass on the Titanic, with two-tier retiree health care, or other PEPRA tinkering, give serious thought to abolishing public employee retiree health care altogether, the Legislative Analysts Offices says.
Who not? Any serious analysis should consider that alternative. Public employee retiree health care and pensions are destroying cities.
Calpersions has the story.
“Before California builds a funding model to pay for this benefit (retiree health care) for decades to come, the Legislature should consider whether this benefit should continue to be a part of the state employee compensation package for new hires,” said the analyst’s report prepared by Nick Schroeder and reviewed by Marianne O’Malley.’
For “Before California builds a funding model to pay for this benefit for decades to come” read: “Before California hocks itself and sucks services out of all municipalities in virtual perpetuity.”
“If prospective employees do not value this benefit as much as it costs, the state and the new employee might be better off if the state offered future employees an alternative form of compensation.”
Read the Calpensions story. Surely there is a a way to fairly compensate public employees without sacrificing everything else a city government is suppose to do.