Nevada County Tea Party Patriots
Newsletter
 
October 13, 2009
In this issue
Public Employees Pension Plan Crisis
Greetings!
 
 
We feel that this is a good time to express our thoughts on your Nevada County Tea Party Patriots.  You will notice that we use the term "your" or "you" in these messages.  That's because it is your Tea Party.  It would not exist with out you. Everything we have accomplished since the first Tea Party in Sacramento on February 27, 2009 is due to your efforts. There were only 150 people there including about 10 from Nevada County.
 
Since then we have had a rally in Sacramento on April 15th with 10,000 gathering at the Capitol, a Tea Party on June 6 at the Nevada County Fairgrounds,  we participated in a 4th of July parade in Grass Valley, and a Constitution Day parade in Nevada City.  The NCTPP had several hundred of us attend the Sacramento Tea Party on August 28, which drew over 15 thousand concerned citizens and gave us national attention. These events were important and fun.  They brought attention to your party and let the community know that we are a strong and visible force in your community. 
 
Your participation in the Tom McClintock town hall meeting was another important event that brought attention to our cause. You volunteered to work at our both at the Nevada County Fair, which created a lot of interest and doubled the size of our membership, which now stands at over 1,200 members.
 
The Board of Directors thanks you for your help and continued support.
 
So, now let's talk about what the term "member" means.  All political parties' numbers are generated off the voting roles, not people asking to become members.  Every member of the Nevada County Tea Party Patriots has asked to become a member.  That's a big difference.  That makes us the largest organization in Nevada County by far.  It also makes us a powerful voice in the community, one that cannot be ignored.
 
On October 27th, we will be making an important presentation to the Board of Supervisors regarding the county's under-funded employee pension fund. It's over $80 million dollars in the red.  As it comes due, it will be the residents of our community that will have to pay the bill.  It's a complex problem that can be partially solved at the local level but also needs the state to be involved.  Our presentation to the Board will clarify this, and that's why it's important that you be there. (See article by Michael McDaniels below.)  It takes place at 10am at the Rood Center in Nevada City and we ask that you wear your TPP t-shirt or something red.  It is very important that we show up in large numbers.
 
As you are probably aware, there are just a few of us that have taken us this far.  We have reached the point where, to accomplish the many projects we envision, we have formed an 11 member Board of Directors. These individuals have been working hard for many months to get us where we are today. We have done this with very little financial support but with a lot of sweat from a lot of good people who care about their country.
 
But, if you want your TPP to grow and be more effective, you need to get involved because it will not happen without you. You are needed like never before.  So, you need to ask yourself, "Do I want to help my organization?" 
 
If you do, then now is the time!
 
Join a committee of your choice, devote as much time as you want, and ask your friends and neighbors to join, make phone calls, and send letters or emails.  If you have a project that you would like to do for the NCTPP, let us know and we will help you.  It could be a Tea Party at your home with friends and neighbors.  Even forwarding our emails to people on your email list, wherever they live, is important. Just step up to the plate and become an active member. There will always be someone to step up and help you.
 
If everyone waits for someone else to do it, it won't get done.
 
Remember what the Tea Party Patriots' goals are:  Limited Government, Fiscal Responsibility, and Free Markets, respect for the Constitution and the Bill of Rights, and a government that answers to the people.  This is why you joined, isn't it?
 
We have allowed our government to get where it is today.  Now is the right time to make a difference.  Our representatives are listening.  It's up to all of us to make sure that they keep hearing our voices loud and clear.
 
To get involved, just send me an email.
 
Respectfully,
Stan Meckler, President
Nevada County Tea Party Patriots
 
 
Solutions to Public Employee Pension Plan Crisis
by Michael McDaniel
 
Now is the time to focus on solutions to our public employee pension plan crisis. As The Union has highlighted in months past, our local government agencies are burdened with insane amounts of debt associated with our public employee pension programs. Years of mismanagement by our local and state elected officials, overpowering employee unions, mismanagement by CalPERS, and poor investment markets have left us to battle this emergency.
 
With inaction the debt will continue to balloon.  It is estimated that The County of Nevada's Miscellaneous Employee pension plan [which does not include public safety employees] is under funded by $87,866,218. To put this amount into perspective, the total expected operating budget for NevadaCounty for 2009/2010 totals approximately $185,000,000 and total tax revenues are expected to be shy of $43,000,000 in 2009/2010. I estimate that the pension plan promises total $248,063,046, while the actual amount available to fulfill such promises is approximately $160,196,828. Which means the pension fund for NevadaCounty "Miscellaneous Employees" is only 64.6% funded (or 35.4% under funded -- the goal is to be 100% funded).
 
On our current course, our debt will only continue to grow. We owe it to our current and past public employees to fix this problem in a manner which also respects us taxpayers. We should not look to bankruptcy or hyperinflation as remedies for this mess. Without action, this predicament will play out in one of two ways (if not a combination of the two): taxes will soar and/or public employee pension benefits will fall short of the promised benefit. Again, without action, taxes will dramatically increase and/or public employee benefits will be "renegotiated" (read lowered). This is our best case destiny if no action is taken. Current employees, supervisors and taxpayers are on the same team. This "sinking ship" does not allow the luxury of finger pointing or name calling we are all in the same boat. Now is the time to isolate and solve this crisis: together.
 
Some possible solutions include:  Updating retirement packages for new hires to a 401k style program.  Increase the probation periods before new  employees become eligible.  Raising retirement age for new hires. Using a lower assumed rate of return (currently a net after expense of 7.75% annually is assumed -- have you averaged such a return the last few years?) · Offer hybrid pension plans that combine elements of both defined benefit and defined contribution plans. · Not filling "open" positions · Privatizing typical agency tasks · Decreasing the cost of living adjustment to existing plans. Most of the aforementioned solutions require action by our State and Federal lawmakers. Current California state laws and regulations prevent local elected officials from taking action. It is imperative that our state legislators provide changes to current rules and regulations before our local government agencies can make serious attempts at solving this crisis. I urge you to contact your state legislators and local elected officials and request that they lead this fight.

I hope to write follow-up letters to update you on the progress we are making in this fight. This
catastrophe is staring us ALL in the face (Note: the City of Grass Valley has the same dragon to slay). We need material changes, now, to solve this crisis.
 
Michael McDaniel is a 6th generation Nevada
County native and Executive Director of Sierra
Environmental Studies Foundation (SESF).
 
 
 
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Contact Information:
Stan or Elaine Meckler 
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