Year: 2011

PropZero blog, KNBC LA, Joe Mathews, 1/6/11 University of California President Mark Yudof this week rejected a demand for a boost in pension from some of the university’s systems highest paid employees. That was the right move, but it didn’t go far enough. The request came from executives who said it was unfair their pensions would be calculated only on their first $245,000 in income. They make more. Such a request — at a time of state budget cutbacks, cuts in university offerings and big tuition hikes — was so out of line that it deserved not just rejection, but…

In an earlier post, the press release from UCOP rejecting the lifting of the pension cap for high-paid execs was reproduced. So now the story is in, where else?, the press: UC’s top leaders reject bigger pensions for top earners: Thirty-six highly paid employees have threatened to sue if benefits were not based on full salaries. The UC president and the regents board chairman support the $245,000 limit. (excerpt) Larry Gordon, LA Times, Jan. 5, 2011 The University of California system’s two top leaders on Tuesday rejected a politically controversial demand by some of the university’s most highly paid employees…

The following news release was issued today by UCOP:UC Newsroom Statement on executive pension benefits http://www.universityofcalifornia.edu/news/article/24746 Date: 2011-01-04Contact: University of California Office of the PresidentPhone: (510) 987-9200 In light of recent media reports about a letter by 36 University of California executives regarding pension benefits, Board of Regents Chairman Russell Gould and University President Mark Yudof today (Jan. 4, 2011) issued the following statement: Ten years ago the University of California sought a determination from the IRS that a proposed new method for calculating pension benefits complied with federal tax rules. The new method would have resulted in higher pension…

KPCC’s Patt Morrison interviewed Nanette Asimov of the San Francisco Chronicle who broke the story on the demand by high-paid UC executives for lifting the cap on their pensions. One tidbit that comes out is that – so far at least – no one has located a Regents vote in 1999 that said the pension cap would go up if the IRS approved. (The IRS did approve several years later.) Apparently, a committee of the Regents endorsed the idea back then, but if there was no vote of the full body, it is difficult to see how a legal commitment…