Will Public Unions Force California Into Receivership? #502
July 12, 2010One Comment
Orange County, CASupervisor John Moorlach is the only elected official on the Board of Supervisors who has a financial background. As a former CPA he has been very vocal about the influence of the public safety unions that use their political powers to elect politicians with their hefty membership dues to gain retroactive pension benefits that are about to force the County into a second bankruptcy.
State Receivership Commission?
In this short video news blog Moorlach describes how the public employee unions are threatening the entire state and the only way out would be to place the state into a receivership commission. He hopes that Governor Schwarzenegger will appoint a Receivership Board that will take the check book away from the state legislators who cannot balance the books. And he suggests the same should be done in the federal government.
Retroactive Raise in Benefits Challenged In Court
In the mean time the County is suing to roll back the retroactive pension benefits given to the public safety unions buy the Supervisors. Moorlach predicts that dire circumstances if something is not done. And suggests that elected officials are the problem when they accept campaign contributions from the public employee unions.
Segment #1: OC Supervisor John Moorlach discusses the retroactive pension benefit increases for Sheriff’s Deputies created an overnight massive debt for Orange County who had gone bankrupt in 1994 and now is in peril again. He cites that CALPERS the State Employee Pension agency is comprised of 2/3rds public employee union representatives. Instead of investing in bonds and equities, they opted for higher benefits by supporting the retroactive raise to 3 percent at age 50 retirement age. The County has filed a lawsuit that Superior Court Judge wanted rid of, so an Appeal was filed and it is expected that the State Supreme Court will eventually address.
Segment #2 : RETROACTIVE BENEFITS FOR PUBLIC EMPLOYEES? Orange County VOTERS APPROVED MEASURE “J” requiring voter approval for increases to public employee benefits. Supervisor John Moorlach tells Full Disclosure Network that because public employee unions have huge campaign war chests from union dues, the Democrat Party has become the “labor party” that is running the legislature in Sacramento. Cities like Maywood are no longer hiring, but turning to contract employees and many small cities are looking to merge to share expenses. All this caused by the pensions and benefit crisis.
Segment #3 : PUBLIC EMPLOYEE UNION CONCESSIONS Orange County Supervisor John Moorlach tells Full Disclosure Network the economic crisis is providing an opportunity….that being “it is time to confront the public employee unions to roll back the pensions” . He says union leadership seems earnestly willing to protect jobs with concessions to avoid bankruptcy.