CalSTRS Statement on Assembly Public Employees, Retirement and Social Security Committee Hearing
First hearing addressing the CalSTRS long-term funding needs
WEST SACRAMENTO, Calif. – California State Teachers’ Retirement System (CalSTRS) Chief Executive Officer Jack Ehnes and Deputy Chief Executive Officer Ed Derman testified before the Assembly Public Employees, Retirement and Social Security Committee hearing, “Addressing the CalSTRS Long-Term Funding Needs: An Update of the SCR 105 Report.” The February 19 hearing marks the first in a series to assist legislative development of a funding policy to resolve the $71 billion CalSTRS funding shortfall.
Last year, CalSTRS submitted a to the Legislature on the status of the Defined Benefit Program pursuant to Senate Concurrent Resolution 105. Since then, reactions to the report from various stakeholders have resulted in constructive recognition of the need to sustain the program’s long-term viability. Written testimony and supporting information is provided in the links below.
The California State Teachers’ Retirement System, with a portfolio valued at $176.2 billion as of January 31, 2014, is the largest educator-only pension fund in the world. CalSTRS administers a hybrid retirement system, consisting of traditional defined benefit, cash balance and voluntary defined contribution plans. CalSTRS also provides disability and survivor benefits. CalSTRS serves California’s 868,000 public school educators and their families from the state’s 1,600 school districts, county offices of education and community college districts.