LOOKING SIDEWAYS
Presidents message January 1, 2008
I look forward to writing these messages, because I expect to impart information that is new, important and interesting. Then looking backwards at problems, solutions I wonder if you have already heard about the matter. I will do an end of year message-anyhow.
We started 2007 with our first entirely CRCEA bill. AB552. The bill is still in committee due to the formation of OPEB and subsequent order putting all bills concerned with health care on hold. However, it taught us much about drafting legislation and running a bill. Kudos to Amy Brown lobbyist, Art Goulet Legislative Chair, and his hard working committee. The San Bernardino conference followed on April16. We had our best attendance to date. Huell Howser, TV celebrity led off followed by an all star cast of Doctors, Lawyers and Financiers imparting wisdom and hope to members. The conference was rated the best ever. Dorothy Lueking and her committee earned a 10.
The OPEB Commission met in late April, which is after ski season so I attended several meetings. I challenged Keith Richman over his bill to eliminate defined benefit retirement plans and he assured me its passage would not adversely affect current retirees. I questioned John Moorlach on his stand on pensions and he replied, "Bill I do not want to call you someday and tell you there is no pension check, because we are bankrupt". Sobering statement from a CPA, but beyond my understanding with an 8 billion dollar fund in place. More OPEB meetings followed and health care problems grew in Sonoma, Marin, Sacramento, Tulare, Fresno etc. I told the Commission it would be easier to name the counties that did not have problems. Then Orange County separated the actives from retirees to save on premiums and conform to GASB. Retirees premiums shot through the roof and REAOC filed suit in Federal Court to stop the action. Notices and Motions are flying back and forth, as counsels challenge windmills to see who can take the high ground. We should have some direction by spring.
CRCEA joined RPEA and NCPERS at nominal cost to determine if the association would be beneficial. We received strong verbal support from both groups. Progress reports are submitted and evaluated monthly. Our final planning for the San Joaquin conference was in progress. This conference required additional meetings since this was SJ's first conference. Marcel Leduc, President and host chairs Sandra Wild and Pat Lynch put the Port of Stockton on our travel checklist. Robert Hill presented the LACERA Health and Wellness for Retirees, which is a program all retirement systems should consider adopting. During the conference, we were feted with many delicacies at affiliate Patrick McTighe corporate headquarters in Stockton.
Year 2008 will test retiree's mettle. We are growing in numbers and must develop our clout. I recommended a legal team to speak for member associations in need. Skip Murphy suggested adding a negotiating team. Delegates agreed to both in principal. ExComm will continue to evaluate these plans and propose recommendations. At this point it seems local associations should handle legal problems and CRCEA deal with legislative issues. Local associations must consider establishing legal funds. If you need assistance, planning or soliciting contributions send me an Email and I will see that you receive a response. CRCEA is tracking legal firms that are handling retiree's cases.
There may be hope on the horizon. The OPEB Report is due out this year. Amy's current PRJ features an important seminar on the committees report. The seminar is February 6 in Lakewood. Try and attend. Art Goulet will attend. I will be in Egypt.
Happy New Year, I will be in touch before the Kern conference April 14.
Bill Kirkwood
President
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