Teacher retirement oversight in budget bill
Mid-year cuts could trigger CalSTRS losses
Collective bargaining usually involves some give and take. Even in times of extreme financial pain, labor can find something to grasp, like… well, saving their jobs. Finding the good may be more challenging for teachers if California’s projected revenues aren’t met and the state imposes midyear budget cuts on schools.
Currently, districts can’t fall below 175 days of school in an academic year or they lose some state funding.
What AB 114, the state budget bill, means for the teacher retirement system. (click on image to enlarge)
When lawmakers passed California’s new budget bill, AB 114, they created a one-time suspension of that limit of up to seven days if projected revenues fall $2 billion short and the state needs to make mid-year cuts to education. Of course, the teachers’ union must agree to this reduction.
What the legislature failed to do in AB 114 is approve a concurrent fix to another section of the Education
