Friday, May 21, 2010

Health Care For Poor SubordinateTo Government Employee Pensions

I read two articles in the Los Angeles Times that demonstrates an interesting juxtaposition of where the real power lies in this country.  LA County's Department of Health Services is facing an over $200 million deficit this year and almost $600 million next year.  An ER nurse said the wait time before being seen at LA County-USC Medical Center is up to 35 hours

By contrast, the California Public Employees' Retirement System is facing a $700 million deficit in pension funding because of the bear market of the last two years.  CalPERS' portfolio value dropped by 24% last year, or $55 billion.  This year the state has already put in $3.3 billion into the pension portfolio.  That is more money than what they spend for the University of California system.  But unlike the sick and poor, CalPERS can force the state to give it the money to cover their deficit.  Thus the retired government worker will not lose his life long retirement pension. 

You tell me where our priorities are.  Our taxes keep going up but the money is being used for government pension obligations?  This is madness.  Is it any wonder the Tea Party is gaining such momentum?

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