SACRAMENTO, Calif. - Gov. Jerry Brown has promised to start paying off California's massive liabilities, but the largest single unfunded debt will not see any additional pay-down in the coming fiscal year.
The unfunded liability for teachers' pensions stands at more than $80 billion.
The gap grows by $22 million a day, yet Brown has no plans to start closing it in the coming fiscal year. Instead, the governor says he will meet with the key players over the next year to create a plan for long-term solvency.
The proposal, which he discussed Thursday as he released his annual budget blueprint, is likely to include higher contributions from teachers whose future pension checks might otherwise be in jeopardy.
Brown acknowledges that trying to find a solution is "going to be daunting."