The 2017-18 Budget: Governor’s CalPERS Borrowing Proposal

May 16, 2017 - Introduction The state has large unfunded liabilities associated with retirement benefits earned by state employees. A recent decision by the California Public Employees' Retirement System (CalPERS) board will require the state to contribute more money each year to pay down pension liabilities.
https://lao.ca.gov/Publications/Report/3673

Savings Plus Program: An Optional Retirement Benefit for State Employees

Mar 14, 2017 - In addition, these employees have no rights to the money they contributed to the retiree health trust fund over the course of their state career —potentially tens of thousands of dollars —or any of the earnings gained on these contributions.
https://lao.ca.gov/Publications/Report/3616

MOU Fiscal Analysis: Bargaining Unit 6 (Corrections)

Sep 7, 2023 - As such, the normal cost for the benefit earned by employees is the best estimate of the value of the employer-provided benefits earned today by employees and therefore the best way to compare pension benefits across employers.
https://lao.ca.gov/Publications/Report/4800

MOU Fiscal Analysis: Bargaining Unit 12 (Craft and Maintenance)

Jun 27, 2025 - Maintaining regular and full payments to prefund the benefit is the best option to meet the policy goal of fully funding the benefit. Budget Three-Party Budget Deal Assumes Savings from State Employee Compensation.
https://lao.ca.gov/Publications/Report/5060

MOU Fiscal Analysis: Bargaining Units 1, 3, 4, 11, 12, 13, 14, 15, 17, 18, 19, 20, and 21

Jan 10, 2017 - Because the state ’s retiree health benefit is the same for an employee earning $30,000 as it is for an employee earning $100,000, the amount of money needed to prefund the benefit represents a larger share of a lower-income worker ’s salary.
https://lao.ca.gov/Publications/Report/3520

MOU Fiscal Analysis: Bargaining Unit 8 (Firefighters)

Jan 23, 2017 - Payroll is affected by (1) the number of people employed by the state and (2) the amount of money these employees earn. CalPERS assumes that payroll will grow each year by 3  percent. When payroll grows faster than 3  percent, the state ’s pension unfunded liabilities grow, resulting in higher annual costs for the state to pay off a larger unfunded liability.
https://lao.ca.gov/Publications/Report/3534

MOU Fiscal Analysis: Bargaining Unit 16 (Physicians)

Mar 14, 2017 - More information about this and other bargaining units and proposed agreements is available at our website . The administration has posted this agreement and summaries of the agreement and the administration’s fiscal estimates on its website.
https://lao.ca.gov/Publications/Report/3617

MOU Fiscal Analysis: Bargaining Unit 18 (Psychiatric Technicians)

Jan 9, 2020 - The normal cost is the amount of money that actuaries determine —based on assumptions about future investment returns and the number of years people will live in retirement —must be set aside to pay for the benefit that employees earn today but will not receive until they retire.
https://lao.ca.gov/Publications/Report/4134

The 2025-26 Budget: Concession Bargaining

May 19, 2025 - The first is payment towards the “normal cost, ” which is the amount of money that actuaries determine (based on actuarial assumptions like expected investment returns on assets) must be contributed to prefund the benefit earned by employees today.
https://lao.ca.gov/Publications/Report/5047

COVID-19: Unemployment Insurance for Workers Impacted by COVID-19

Mar 23, 2020 - In March  2020, H.R. 6201 made available about $120  million in additional UI administration money for California. This funding was made available to California in two parts. Half was available within 60 days to states following certain best practices in administering UI benefits.
https://lao.ca.gov/Publications/Report/4208