SACRAMENTO (AP) — California’s unfunded debt for teacher pensions has grown by nearly $11 billion after officials lowered its outlook for investment earnings.

The California State Teachers Retirement System reported Thursday that it is facing a $107 billion gap between the cost of pensions promised to teachers and the money currently set aside to pay for them.

READ MORE: No Rain In Forecast; Dry January Returns San Francisco To Parched Conditions

As of June 30, 2017, the pension system was 62.6 percent funded, down from 63.7 percent a year earlier. It had $209 billion in assets.

ALSO READ: Giant California Teacher Pension System Targets Gun Sellers

READ MORE: One Dead In Crash, Fire Involving Big-Rig On Eastbound Richmond-San Rafael Bridge

CalSTRS officials say the increase in the unfunded obligation is due primarily to a decision last year to lower the assumed investment return by half a percent to 7 percent per year.

Assuming smaller earnings from investments means teachers, school districts and the state will have to make up the difference.

MORE NEWS: COVID: Marin County Begins Easing Rules As Omicron Surge Likely Peaking

© Copyright 2018 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.