Yes, Prop. 30 would fund pensions

Oct. 27, 2012

By John Seiler

If Proposition 30 passes, the $6 billion it would soak from taxpayers would just go straight to public-employee pensions. The facts are provided in a op-ed in the Orange County Register by Phil Yarbrough and Don Wagner:

“Prop. 30 was written specifically not to guarantee funding for schools. The official title and summary of Prop. 30 says the money it raises can be used for ‘paying for other spending commitments.'”

So what would those “other spending commitments” be?

“Californians need to know what is really in the budgets that the governor and the Democratic legislators have approved. This year’s budget is already $15.7 billion out of balance. Pensions and other retirement programs for state employees will cost $6.4 billion this year and they will increase to $7.6 billion by 2016, and they will keep increasing thereafter, forever until California is bankrupt.

“The roughly $6 billion that Prop. 30 will take from California families next year will be gobbled up by our out-of-balance budget. The governor and Democrats in the Legislature then will cut education funding anyway.”

In sum, the $6 billion from Prop. 30 would go to pay $6.4 billion in state pension payments.

Everything else is a deception.