SACRAMENTO (KCBS) – Assembly Speaker John Perez is taking on the task of getting more money into the California State Teachers Retirement System.
On Wednesday, Perez said his plan to fully fund the system, a liability he estimates at $71 billion, would include increased contributions from the state, school districts and individual teachers.
Perez and Assemblyman Rob Bonta, a fellow Democrat from Alameda, have called for hearings in February to address the issue.
CalSTRS estimates $4.5 billion per year in contributions is needed to prevent the pension fund from drying up by 2046.
During his State of the State speech, Governor Jerry Brown did not include any additional funding for the liability in his recent budget proposal, but called the problem “daunting.”
A hearing is scheduled for February 17.
You can hear Phil Matier’s comments Monday through Friday at 7:50am and 5:50pm on KCBS All News 740AM and 106.9FM.