An initiative to restrict public employee pension benefits has entered circulation. From the press release from Secretary of State Debra Bowen:
MODIFIES PUBLIC EMPLOYEE PENSION BENEFITS. ELIMINATES AUTHORITY TO SET PUBLIC EMPLOYEE RETIREMENT BENEFITS BY CONTRACT OR COLLECTIVE BARGAINING. INITIATIVE CONSTITUTIONAL AMENDMENT.
Sets retirement age at 62 for persons who are or will be public employees. Limits pensions to 60 percent of employee’s highest average base wage for three consecutive years. Requires employees match public agency pension contribution. Mandates public employees work fulltime for five consecutive years to receive pension. Provides public agency full discretion to modify pensions, and prevents pension changes through contract or collective bargaining. Retains current pension benefits for legislators and public employees retiring before initiative is effective. Summary of estimate by Legislative Analyst and Director of Finance of fiscal impact on state and local government: Major reductions in state and local defined benefit pension contributions — potentially totaling billions of dollars per year (as measured in today’s dollars) — over the long run. These reductions would be offset to an unknown extent by increases in other compensation costs for some public employees, depending on labor market conditions and future decisions made by governmental entities. (11-0007.)
The Secretary of State’s tracking number for this measure is 1484 and the Attorney General’s tracking number is 11-0007.
The proponent for this measure, Roger Niello, must collect signatures of 807,615 registered voters – the number equal to eight percent of the total votes cast for governor in the 2010 gubernatorial election – in order to qualify it for the ballot. The proponent has 150 days to circulate petitions for this measure, meaning the signatures must be collected by October 20, 2011.
The initiative proponent can be reached at (916) 442-7757.