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The Battle to Stop Privatizing Retirement in California and Save Our Defined Benefit Plans
 The President of the California Professional Firefighters (CPF) thanked NCPERS' members, officers and staff for their support in the battle to stop the privatization of California's public employees. However, Lou Paulson said, despite recent successes, "It's not over, and it's not going to be a problem just for California."
Paulson reviewed the proposed changes introduced by Governor Arnold Schwarzenegger. He recently withdrew his proposal, which lost support among most Californians once they learned it would dismantle the death and disability benefits that public employees now receive.
The Schwarzenegger proposal would create a two-tiered system, with new employees limited to a defined contribution plan that would offer fewer benefits and significantly less financial security than the current plan.
In response, public pension organizations, created a new coalition: California Families Against Privatizing Retirement. The coalition grew quickly from a dozen to more than 65 organizations. NCPERS was a charter member of this group. They began producing materials to inform members of the state legislature, the media and voters about the governor's proposal. The coalition's materials highlight the fact that it would eliminate death and disability pension benefits for fire fighters and police officers and leave their survivors without benefits. "We showed them that his proposal is unfair, mean-spirited and unnecessary," Paulson said.
Members of the coalition include those organizations representing fire chiefs and police chiefs, groups that have not always been politically supportive of public employee organizations.
Next year, Paulson predicted, Schwarzenegger will submit a revised proposal, leaving death and disability benefits intact, but still pushing for a defined contribution plan for many public employees. When that happens, Paulson said, "We will need your help to stop this proposal." If the governors succeeds in California, he suggested, similar proposals in other states are inevitable.
As President of the California Professional Firefighters, Lou Paulson represents more 30,000 fire fighters in more than 150 local affiliates. He is also chair of the California Fire Foundation and co-chair of the California Fire Fighter Joint Apprenticeship Committee. An active fire captain with 28 years in the fire service, Paulson is also treasurer for the Alliance for a Better California, a broad based political action committee working to defeat political attacks on working Californians.
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