Other Government Areas Publications

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Hearing Handout

Addressing CalSTRS' Long-Term Funding Needs

March 20, 2013 - Last year, the Legislature asked CalSTRS to submit a report detailing at least three options for addressing the unfunded liabilities of the pension system's Defined Benefit (DB) Program, which are now estimated by system actuaries to total about $70 billion. This handout for the Legislature's Public Employment and Retirement Committees (1) describes the risks of waiting to address CalSTRS' unfunded liabilities, (2) compares CalSTRS' unfunded liabilities to California's other long-term liabilities, (3) and examines possible sources for additional funding. We recommend that the Legislature adopt a plan that aims to fully fund CalSTRS' unfunded liabilities in about 30 years. A companion video further explains our findings and recommendations.

Report

After Furloughs: State Workers' Leave Balances

March 14, 2013 - Over the past five budget years, furloughs reduced state employee compensation costs by about $5 billion in exchange for giving state employees additional time off. This report examines whether state employees took this additional time off—or whether, after accounting for changes in use of vacation and other time, they worked about as many days as they did before. We find that (1) state workers used most of their furlough days, but decreased their use of vacation and annual leave days, and (2) state leave liabilities and payments to separating employees are now at historic levels.

Hearing Handout

Overview of EDD and ALRB Programs

March 12, 2013 - Presented to Assembly Budget Subcommittee No. 4 on State Administration

Post

MOU Fiscal analysis: Bargaining Units 12, 16, 18, and 19

April 20, 2012 - We reviewed the proposed Memorandum of Understanding for Bargaining Units 12 (Craft and Maintenance), 16 (Physicians, Dentists, and Podiatrists), 18 (Psychiatric Technicians), and 19 (Health and Social Services/Professionals). If adopted, the MOUs would result in modest increases in state costs for employee compensation.

Hearing Handout

Examining Statewide Pension Benefit Policy for Elected Officials

April 13, 2012 - Presented to Joint Conference Committee on Public Employee Pensions, Hon. Warren T. furutani, Chair, and Hon. Gloria negrete McLeod, Chair

Report

Public Pension and Retiree Health Benefits: An Initial Response to the Governor's Proposal

November 8, 2011 - The Governor’s 12-point pension and retiree health plan would result in bold changes for California’s public employee retirement programs. His proposals would shift more of the financial risk for pensions—now borne largely by public employers—to employees and retirees and would, in so doing, substantially ameliorate a key area of long-term financial risk for California governments. Despite the proposal’s strengths, it leaves many questions unanswered, such as how his hybrid plan and retirement age proposals would work and how the state should cope with large unfunded liabilities already affecting the California State Teachers’ Retirement System, the University of California Retirement Plan, and the health benefit program for state and California State University retirees. The Governor’s proposal to increase many current public employees’ pension contributions also raises significant legal and practical issues.

Report

California's Unemployment Insurance Program: Gaining Insight Through Comparison to Other States

October 13, 2011 - Since 2008, the cost of providing unemployment insurance (UI) benefits in many states has exceeded available resources. As a result, by 2010 the UI funds in 32 states were insolvent, forcing those states to obtain loans from the federal government to continue payment of UI benefits. In this report, we conduct a comparative analysis of the UI programs in all 50 states and Washington D.C. to provide context for the Legislature in considering potential solutions to California's UI insolvency. Our analysis finds that California’s UI program pays comparatively lower weekly benefits, but pays these weekly benefits for a longer duration and to a relatively larger caseload. As a result, California has comparatively higher total program costs. To the extent the Legislature desires, California’s comparatively high cost structure could be mitigated by changing its UI eligibility and benefits duration policies. However, regardless of UI policies, California’s UI program is likely to have a higher UI cost structure than the average U.S. state as a result of its comparatively worse labor market.

Other

Summary of State Collective Bargaining Agreements

August 31, 2011 - This webcast and accompanying handout summarize the major provisions of the collective bargaining agreements that the Legislature ratified in 2010-11. During the first 12 months of these agreements, most employees receive lower total compensation and the state experiences net employee compensation savings. In future years, employees will receive higher total compensation and the state will experience increased costs. UPDATE 9/1/11 -- Handout updated to include reference to a 2009 state law eliminating two state holidays.

Other

Public Employee Pensions: An Interview With LAO's Jason Sisney

August 8, 2011 - LAO State Finance Director Jason Sisney appears on the news interview program The Maddy Report, where he is questioned about public employee pensions. His interview is contained in the first two segments of this five segment program.

View on YouTube.

Report

Managing California’s Insolvency: The Impact of Federal Proposals on Unemployment Insurance

July 7, 2011 - Beginning in 2008, the Unemployment Insurance (UI) funds of many states, including California’s, were under stress and soon became insolvent. Many states sought loans from the federal government. As of June 2011, California’s outstanding federal loan totaled over $10 billion. Three federal proposals have recently been introduced to address the insolvency issue. All three would improve the solvency of California’s UI fund and two would likely eliminate California’s UI fund deficit by 2016. Regardless of whether Congress acts, we recommend that the Legislature ensure implementation of a long–term solvency plan by 2014. If federal reforms are enacted, it is likely that no additional action by the Legislature will be necessary. However, if no federal reforms are enacted, it will be critically important for the Legislature to adopt its own long–term solvency plan. We recommend that the Legislature consider an approach which includes both increased employer contributions and decreased benefits for UI claimants.

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MOU Fiscal Analysis: Bargaining Units 6 and 13

April 8, 2011 - We reviewed the proposed Memorandum of Understanding (MOU) for Bargaining Unit 6 (Correctional Peace Officers) and Unit 13 (Stationary Engineers). If adopted, the MOUs would result in increased state costs in the current year, savings in 2011-12, and costs thereafter. Overall, the MOUs would reduce state Bargaining Unit 6 and 13 employee compensation costs in 2011-12 by about 3.6 percent.

Post

MOU Fiscal Analysis Bargaining Units 9 and 10

April 1, 2011 - We reviewed the proposed Memorandum of Understanding (MOU) for Bargaining Unit 9 (Professional Engineers in California Government) and Unit 10 (California Association of Professional Scientists). If adopted, the MOUs would result in increased state costs in the current year, savings in 2011-12 and 2012-13, and net cost thereafter. Overall, the MOUs would reduce state Bargaining Unit 9 and 10 employee compensation costs in 2011-12 by about 6 percent.

Post

MOU Fiscal Analysis Bargaining Unit 7 (Protective Services and Public Safety)

March 25, 2011 - We reviewed the proposed Memorandum of Understanding (MOU) for Bargaining Unit 7 (California Statewide Law Enforcement Association). If adopted, the MOU would result in increased state costs in the current year, savings in 2011-12, and net cost thereafter. Overall, the MOU would reduce state Bargaining Unit 7 employee compensation costs in 2011-12 by 2.8 percent.

Post

MOU Fiscal Analysis: Bargaining Unit 2 (Attorneys, Administrative Law Judges, and Hearing Officers)

March 16, 2011 - We reviewed the proposed Memorandum of Understanding (MOU) for Bargaining Unit 2 (California Attorneys, Administrative Law Judges, and Hearing Officers in State Employment [CASE]). If adopted, the MOU would result in increased state costs in the current year, savings in 2011-12, and net cost thereafter. Overall, the MOU would reduce state Bargaining Unit 2 employee compensation costs in 2011-12 by 3.5 percent.

Presentation

Public Retirement Benefits: Options for the Future

February 10, 2011 - Public Retirement Benefits: Options for the Future

Other Government Areas Staff

Chas Alamo
(916) 319-8357
Employment, Labor Law, and Property Taxes
 
Ann Hollingshead
(916) 319-8305
State Budget and Federal Funding
 
Lourdes Morales
(916) 319-8320
Local Government
 
Jessica Peters
(916) 319-8363
Emergency Services and Business Regulation
 
Nick Schroeder
(916) 319-8314
Public Employment, CalPERS, and Elections
 
Brian Weatherford
(916) 319-8337
Corporation Tax and Insurance
 
Angela Short
(916) 319-8309
Teachers' Retirement Policy/ Child Welfare/ Community Care Licensing
 
Justin Garosi
(916) 319-8359
Personal Income Tax
 
Seth Kerstein
(916) 319-8365
Sales and Excise Taxes and Demographics