Just when you thought the news couldn't get any worse, the PERS Board managed to come up with yet another way to punish us monkies. You remember that 2% COLA that the PERB so graciously reinstated last August? You remember how they then reinstated all the COLAs back to our date of retirement or 7/1/03, whichever was later, but turned around and reduced our benefit to one based on 11.33% crediting for 1999? You keepin' up so far? Of course, this latter action is the subject of litigation that has officially passed the two year mark without a formal ruling (that would be Arken and Robinson). You may have also read, in my previous post, that PERB is planning to reduce the 8% guarantee for 2009 to 7.97% to pay for legal expenses PERS incurred when they lost in the Supreme Court. Well, guess what? The other shoe dropped today. Retirees will get to shoulder their share of the Strunk legal expenses too. That will be achieved by temporarily (2008) reducing the 2% COLA we would be getting in August to something less than 2%. I don't remember the exact amount, but it will be small. Of course, this all misses the crucial point, which is that when you sue PERS you end up suing yourself. You get to pay for the legal fees whether you win or lose. If retirees/actives lose, PERS collects from the PERS Coalition and/or retiree groups. If PERS loses, it collects from retirees and/or actives. I've officially named this game - "punish the monkey" for it doesn't matter what the outcome, it is a lose-lose proposition. We're the monkeys and PERS just smacks us around no matter what. This is just another example of how PERS acts in the best interests of those whose money is entrusted to them by force.
P.S. I was not at the PERB meeting today. I'm collecting information from a variety of sources and will try to post a more comprehensive report when my sources report back. But this report came in quickly and it seemed important enough to ruin everyone's 3-day weekend.