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Feature Details History of Public Pension Benefit Boost in 2000
Headline: The Pension Gap
Publication: Los Angeles Times, CALmatters, & Capital Public Radio
Article Date: Sep 18, 2016
This article explains the history of Senate Bill 400 which significantly enhanced state public employee pension benefits in 2000. Even though he has a decidedly negative slant toward labor (“the kind of retirement security normally reserved for the wealthy”), the reporter does a pretty good job of tracking the issues and players involved over the ensuing years.
Article Commentary by Chris Heiserman, RESDC Editorial Committee Chair
The 1999 legislation enhancing retirement benefits for state workers is looked on by public pension critics as the original “sin” against taxpayers. In their view it lead to benefit increases throughout California local governments that are unfunded and unsustainable. The problem is instead of looking for ways to pay for those benefits already promised and working with labor groups to make pension plans more viable going forward, they want to scrap Defined Benefit retirements altogether in favor of 401(k) accounts that are the darlings of the private sector but provide woefully inadequate income streams to retirees.
Health Insurers Pulling Back from Affordable Care Act
Headline: Aetna Joins Other Major Insurers In Pulling Back from Obamacare
Publication: NPR
Article Date: Aug 17, 2016
Many health insurance providers are pulling back from offering plans through the Affordable Care Act exchanges, citing financial losses as the reason. Aetna is the latest to join the trend, announcing that in 2017 they will only sell individual insurance policies in 4 states, down from 15 this year. It’s speculated that these pullbacks are a response to the Justice Department blocking mergers that would reduce competition, such as those between Aetna and Humana, and Anthem and Cigna. Some residents in rural areas will see significantly fewer individual plan options in 2017. Group and employer-sponsored plans remain unaffected. Read article…
Where Presidential Candidates Stand On Retirement Security
Headline: Where Clinton and Trump Stand on Retirement Security
Publication: Next Avenue
Article Date: Aug 19, 2016
Both Clinton and Trump have pledged to protect Social Security and Medicare, but in recent weeks, Trump’s advisers have hinted at a move toward cuts. Read article…
UT Watchdog Wrong on Retiree Benefits
Headline: No more Pensioners’ bonus money – County runs out of funds for checks retirees received for nine years (print title)
Publication: The San Diego Union-Tribune
Article Date: Sep 2, 2016
Article Author: Lauryn Schroeder
Article Commentary by Chris Heiserman, RESDC Editorial Committee Chair
This Watchdog Report is wrong on the facts in several instances:
1. There were no extra checks – the benefit was included in retirees’ monthly disbursement.
2. Characterizing this benefit as a “bonus” is misleading – the fund was created when Tier A employees lost retiree health care benefits afforded longer term workers.
3. There are 8,600 Tier A retirees but not all of them were eligible for the benefit – only those with more than 10 years County service.
4. Many Tier A employees were hired before 2002 and opted into the Tier A category for higher pension benefits.
Read article…
New Survey Ranks 2016’s Best & Worst Cities to Retire
Headline: 2016’s Best & Worst Cities to Retire
Publication: Wallet Hub
Article Date: Aug 15, 2016
According to an extensive new ranking by WalletHub.com, Orlando is the best U.S. city to retire to. Rounding out the top of the list are two more Floridian cities, Tampa and Miami, along with Scottsdale, Arizona and Sioux Falls, North Dakota. Read article…