In the excitement of our website launch, coalition member Reuben Franco put pen to paper in The Orange County Register to offer his thoughts on how underfunded pensions, like those in California, have an effect on a state’s economy.
Franco’s role as CEO of the Orange County Hispanic Chamber of Commerce brings insight, backed by years of experience, to a codependent relationship that may not be immediately evident. By looking at California’s struggling budget, Franco points out that if the budget necessities are not met, including funding pensions, then the government’s only answer is to allocate the funds from elsewhere – creating an avalanche of budgetary pitfalls.
According to Franco, in order to avoid a crisis for a state’s budget and, consequently, pensions, states need to make smart investments that are both high-yielding and low-risk, while simultaneously not allowing issues, like “divestment,” politicize pensions.
Read the full opinion editorial here.