Get free daily email updates

Syndicate this site - RSS

Recent Posts

Blogger Menu

Click here to blog

worldwide drugstorepremarin with worldwide shipping valtrex canadaand Im buy in online pharmacy and bactrim generic and clomid new zealand no rx.viagra australia without prescription. And you can order propecia best of medications arimidex

FlashReport Weblog on California Politics

- Or -
Search blog archive

Edward Ring

Watsonville, California – Another Tax That’s Really Just For Pensions

The city of Watsonville lies nestled among some of the most verdant farmland on earth. Just a few miles inland from the Pacific Ocean, the moderate, moist air nurtures endless fields ofstrawberries, apples, fresh flowers, cauliflower, broccoli and artichoke. Fragrant forests of redwood carpet the Santa Cruz Mountains to the north; some of the most abundant and diverse marine life in the world spawn in the Pajaro estuary to the immediate south. Watsonville is surrounded by agricultural abundance and scenic beauty. But like many other agricultural towns in California, Watsonville’s economy has struggled. The average household income in Watsonville is $47,442 per year, well below the California average of $58,328, and the city’s17.8% unemployment rateis nearly twice the state’s average.

None of this stopped Watsonville’s civic leaders from putting onto the June 2014 ballot aPublic Safety Sales Tax, Measure G, which in an election with 30% turnout, squeaked through with just over the… Read More

Edward Ring

Governor Brown – The Bailout King

“What a salesman,” he said, mockingly. “I guess that’s what you learned … selling that stock that went south.” – California Governor Brown, to challenger Kashkari, during televised debate Sept. 4th, 2014 (ref.SF Gate)

If anyone wants to know what the theme of Governor Brown’s attacks on GOP candidate Neel Kashkari is going to be over the coming weeks preceding the November 4th, election, his remarks in their debate last week would probably provide accurate clues. At least a half-dozen times, Governor Brown smeared Kashkari with accusations of being beholden to his banker friends on Wall Street. You know, those guys who shorted the investments of millions of small investors and turned America into a debtors prison? The sharks at Goldman Sachs? The banker bullies who took taxpayer funded bailouts and then collected billions in personal bonus checks? It will play well.

But Governor Brown is the king of taxpayer bailouts. Because pension funds, the biggest players on Wall Street, are getting bailed… Read More

Edward Ring

Reinventing America’s Unions for the 21st Century

Critics have suggested that leaders of the labor movement suffer from economic illiteracy that has made them the architects of their own demise. The unwillingness of unions to make concessions in the face of global competition starting in the 1960′s was a major factor in Americans losing millions of union jobs. In the present day, unions push for minimum wage hikes well beyond what inflation might justify (about $9.00 to $10.00 per hour), with “fight for fifteen” campaigns which, if successful, will carry the unintended consequences of higher unemployment and accelerated small-business failures. Today only about 7% of America’s private sector workers belong to unions.

One can also make the case that unions are becoming irrelevant because much of what they fought for is now enshrined in law. Labor laws protect workers from wrongful termination. OSHA standards ensure workplace safety. Social Security, Medicare, Medicaid, and a host of other social welfare programs all provide a safety net for the aged, disabled and unemployed. The Affordable Care Act, fraught with flaws that will hopefully either get repealed or replaced, at least guarantees anyone can purchase… Read More

Edward Ring

The Looming Bipartisan Backlash Against Unionized Government

Whenever discussing politically viable policy proposals to improve the quality of life in California, the imperative is to come up with ideas that strongly appeal to moderate centrists, since that is how most Californians would describe themselves. And there are two compelling issues that offer that appeal: making California’s system of K-12 education the best in the world, and restoring financial sustainability to California’s state and local governments.

While these two objectives have broad conceptual appeal, there is a clear choice between two very different sets of policies that claim to accomplish them. The first choice, promoted by public sector unions, is to spend more money. And to do that, their solution is to raise taxes, especially on corporations and wealthy individuals. The problem with that option, of course, is that California already has the highest taxes and most inhospitable business climate in the U.S.

The alternative to throwing more money at California’s troubled system of K-12 education and financially precarious cities and counties is to enact fundamental reforms. And these reforms, despite the fact that each of them arouses… Read More

Edward Ring

How Labor Money Undermines the Financial Literacy of California’s Legislators

“In an era when we aren’t going to have tax increases, figure out how to be more efficient spending the money we’ve got, and the Republicans can help you do that if they’ll get off the philosophical cant about stuff and help you make things more efficient. They actually culturally know more and occupationally know more about efficiencies than Democrats typically do.” – California Treasurer Bill Lockyer, Democrat,addressing the state legislaturein 2010.

What was Lockyer thinking? As one of the most plain spoken and financially astute politicians California’s got, and as someone who has been around the capitol for decades, he certainly knows a thing or two about Republicans and Democrats. Did Lockyer make a fair generalization? And if so, what are the causes, and what are the consequences?

“They actually culturally know more and occupationally know more about efficiencies than Democrats typically do.”

To explore the basis for Lockyer’s assertion, the biographies of California’s state… Read More

Edward Ring

Los Angeles Police Average Total Compensation $157,151 Per Year

Turns out the Los Angeles Fire and Police Pension system return rate was 17.3 percent for 2013-2014, and other public pension funds reported similar double-digit returns and five-year returns exceeding their assumed rates. –LAPPL Board of Directors on 08/07/2014, in their post “Misuse of statistics behind erroneous LA police officer salary claims.”

The above quote was made in response to last week’s article “How Much Do Los Angeles Police Officers Make?” that analyzed total compensation for LAPD officers. The substance of their overall response was to challenge two assumptions made in that editorial, (1) that the annual rate-of-return projection of 7.75% used by the LAFPP (Los Angeles Fire & Police Pensions system) is too optimistic, and (2) that the employer’s “unfunded contribution” – that annual sum paid to LAFPP by the City of Los Angeles towards reducing the plan’s unfunded liability – mustbe considered part of an… Read More

Edward Ring

How Much Do Los Angeles Police Officers Make?

There’s a deep seated frustration and anger among the rank and file due to their low pay. Det. Tyler Izen – President, Los Angeles Police Protective League,July 28, 2014, KTLA Channel 5

Low pay, of course, is relative. It’s very difficult to objectively determine what a police officer should be paid. There aren’t jobs in the private sector that are easily compared to police work. As a result, police officers typically compare how much they are making in their city to how much other cities are paying their police officers. The problem is no city wants to pay the lowest rates, which creates endless rounds of wage and benefit increases. But a city as big as Los Angeles doesn’t have the option of matching what a much wealthier, much smaller city may pay. Too many billions are involved.

Despite the difficulty in determining what may be a fair rate of pay and benefits for police officers, this very sensitive debate has to be waged. Because without debate, there can be no limit – how do you… Read More

Edward Ring

The Case for Adjustable Defined Benefits

Notwithstanding the fact that “adjustable defined benefits” might constitute an oxymoron, as a concept it represents the only way that defined benefit plans can be sustained. Rather than throwing new employees into individual 401K plans, while they effectively subsidize legacy defined benefits for veteran employees and retirees, why not adjust defined benefits down to a financially sustainable level and let everyone participate?

Let’s set aside for a moment the debate over whether or not defined benefit plans are just fine the way they are, and can survive with merely incremental refinements – eliminating spiking, raising contributions a bit, bumping the retirement age a few years. Those solutions buy time, but unless the investment market roars for another 30 years, they will not solve the problem. And in the context of equitable policy, that debate is moot, because if these plans are just fine, than nobody should object to reforms that will make benefits adjustable if and when they are no longer fine.

Three good examples of how adjustable defined benefits can be implemented are the proposed “… Read More

Page 18 of 28« First...10...1617181920...Last »