Fresno County's Pension System Needs Improvement

Fresno County is irresponsible in delaying payments to the County's pension plan.

According to The Fresno Bee, The Fresno County Retirement Board will delay some retirement costs for County employees from last year's stock market losses, but will pay an additional $20 million as a result. The decision allows the County to avoid paying an estimated $158 million for the pension plan next year, about 25% more than this year's $127 million contribution.

County officials claim that the delay in payments will enable the County to possibly recoup losses in the stock market, not place additional strains on the County's general fund, save additional employee layoffs, and not reduce services. This misguided short-term thinking is kicking the proverbial deficit can further down the road.

The flaw in this financial decision as well as other County budget decisions is the outmoded County governance system. The county administrator, as well as the Retirement Board, are appointed by and serve at the pleasure of the Board of Supervisors. It's the five supervisors, without any real checks and balances, that make the important decisions. And their decisions are often influenced by the employee groups that heavily contribute to their elections.

The County governance system is quite different from the City of Fresno's where the mayor develops the budget, the council modifies or changes the budget, and the mayor can then veto those changes. Ultimately, the council can override the mayor with a super majority vote.

Citizens should be very sceptical of decisions made by the County's Retirement Board and the Board of Supervisors. Political concerns too often are uppermost in the decision-making process. What is needed is substantial change to the County's governance process, particularly the need for a citizen commission to consider recommending the county-wide election of a county executive to serve as a check on the Board of Supervisors.

Coming Soon. . .

1. The serious implications of being a high school drop out.
2. Medical marijuana?
3. The James J. Craycroft home: A story of neglect.

Comments are welcome. Click on "Comments" below or e-mail me at abriancalhoun@gmail.com.