The rate of return is in for the Ventura County Public Employees pension fund for the fiscal year ending June 30th, and it is very disappointing. A return of 1.3 % was posted, according to an article in the 7-19 VC Star.
The head of the Retirement Board was quoted as saying that the low return would cost the county around $5 million this year, and confirmed that the unfunded liability for the pensions was around $1 billion.
If you live in Ventura County, what is your share of this obligation? The US Census site estimated the county population of 831,771 in 2011, with 75% of that number for folks 18 years and older, or 623,828. Someone can check my computing, but I think it is $1,060./per person over 18, that we owe the county, to fund pensions so far. And, what happens to this figure in the future, if the return stays so low, and the number of recipients keep growing (due to increased longevity)?
The hard truth is, that this obligation refers to only the Ventura County Pensions. It does not refer to taxpayer obligations for city pensions, if you live in a city, and California state employees and teacher pensions! And, by the way, how is your own pension doing, if you are not a public employee?
*Amount figured without a calculator…could someone please double check computations..
Previous post on pensions: www.conejopost.com/archives/10741
Dances in Rain // Jul 27, 2012 at 7:46 PM
JFK, Addressing Congress on spending, “A million here, a million there – next thing you know , you’re talking about some serious money.” In retrospect, I wish I had gone into public service and had both feet in the trough!!! – instead of going into the uncertain world of private business. And the pensions are frosting on the cake.
Where was my crystal ball when I needed it?
Bob Harris // Aug 4, 2012 at 3:36 PM
I would be interested in what the managers of the Ventura County pension fund are paid and how much they are paying the fund managers.
There are SEVERAL mutual funds at Vanguard (and other funds) that have returned greater than 5%-7% average for long periods. Just one example is the Vanguard Long-Term Tax Exempt Fund that has averaged a 6.23%. return over its 35 year existence. As they say past performance is no guarantee for the future. Still…. 35 years is not all bad.