By Kevin “Coach” Collins
The fortunes of California are sinking fast.
We need not imagine what our lives would be like if the Democrats take top to bottom control of our lives ever again. The unmitigated disaster that is California shows us what America’s future would be if Democrats and their union masters ever regain control of our government.
When disgraced and recalled California Democrat Governor Gray Davis quietly signed SB 400 a bill funding the California Public Employees’ Retirement System in 1999, he set in motion a nightmare for taxpayers and sugarplums dancing in the empty heads of the state’s unionized workers.
Bill SB 400 gave California’s public employees billions of dollars in RETROACTIVE pension increases resulting in LIFETIME pensions of up to 90% of yearly salary starting for workers as young as 50 years old! More than this, the California Democrats and their union masters insisted (presumably with a straight face) “no increase over current employer contributions is needed for these benefit improvements” and that
Calpers [California Public Employees Retirement System] would “remain fully funded.”
Imbedded in this SB 400 is the fact that any shortfall of CALPERS funding would be made up by the taxpayers of the State of California, but of course that would NEVER be necessary because the fund would grow along with the Dow Jones! Right?
You don’t know whether to laugh or cry
The generosity in SB 400 relies on a certain set of fiscal assumptions that extend ten years into the future. Incredibly the assumptions in this bill rested on growth in the basic Dow Jones average so strong and so uninterrupted that by 2009 it would be at 25, 000 and believe it or not at 28,000,000 by 2099. Remember these numbers come from the same people that cry at the thought of privatization of Social Security because people will “put their money in the stock market and loose it all.”
Enter Jerry Brown
Apparently no one has told California’s current Governor Jerry Brown about California’s obligations under SB 400. He has just bet $4 billion he does not have that the stock market will climb and he can steal the money of the state’s few producers with capital gains taxes.
A Los Angeles based financial consultant summed up Brown’s gamble this way “[His] revenue projections were silly before. It was always unrealistic, and now it’s just that much less realistic.” In other words there is nothing but disaster ahead for the Democrat/union controlled state of California. Since California is essential to Obama’s re-election it is a certainty that a foundering California will be passing the hat in Washington. As a hopelessly Blue bastion it is hard to see any bailout for the Golden State.
To contact your Congressional Representative use this link: http://www.contactingthecongress.org/
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This day in history August 10
1776: Word of the Declaration of Independence reaches King George III in London.
In this world you may have knowledge or you may have repose, but you may not have both. What have you done today to deserve to live in America?
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