This is such an important article. It’s great that Gov. Brown is anxious for the State Supreme Court to hear the CalFire v CalPERS case as soon as possible. The comment by the front-runner for governor, Gavin Newsom, however, declaring in advance that - no matter what the decision is - he would continue to “honor” the California Rule, is nothing short of alarming.
Newsom offers no explanation of how this would be done, but – if the State Supreme Court finds for CalPERS – his efforts to thwart that decision would cause years of litigation and could ultimately set us on a course of total insolvency.
The current inability to reduce pension benefits for current employees and retirees - unless additional compensation is provided to offset those reductions - is what got us into this mess in the first place.
Most politicians recognize this fact, but some are so beholden to public unions for campaign financing that they refuse to acknowledge the fiscal threat caused by the so-called California Rule.
It is blatantly a choice between personal ambition and concern for the taxpayers of California.
So, as we wait for the State Supreme Court’s decision in this critical case, we are also left wondering if a positive decision will provide a solution for the future or be challenged by a new governor.