Retired CA teachers fight to protect benefits

Retired teachers in California acknowledge the need to address a multi-billion-dollar shortfall in their pension system, but they are asking CalSTRS trustees to avoid the most draconian measure for closing it: benefit cuts.

Sell billions of dollars in pension obligation bonds. Slowly raise retirement contributions. Increase the number of years required to amortize the pension obligation.
But don't cut retirement benefits.

That's the message more than a dozen retired schoolteachers and administrators delivered Wednesday to trustees of the California State Teachers' Retirement System as the 12-member board began the task of crafting a strategy to bridge a long-term funding gap of $24.2 billion.

Union representatives for educators and teachers also urged CalSTRS leaders to guard against harsh solutions that could erode benefits for the fund's 776,000 members and future teachers.

"We would not support benefit cuts and go back to a time where the benefits were not adequate," said David Walrath of the California Retired Teachers Association.

"This is one of the world's best retirement systems. It has taken us a long time to get there. I would hate to see it destroyed in a matter of months," said retired teacher Don Maxwell.

CalSTRS, unlike the California Public Employees' Retirement System (CalPERS), cannot raise employee contributions or enact benefit cuts without enabling legislation.