K-12 Tax & Spending Climate: California's Teacher Pension Fund May Cut Investment Return Forecast

Dave Kasler

The CalSTRS board will consider cutting its investment forecast by a half a percentage point Friday, a move that could put more pressure on the Legislature to raise contributions to the teachers' pension fund by hundreds of millions of dollars.

The board, which blinked on the question in June, is scheduled to vote Friday on a staff recommendation to lower the forecast to 7.5 percent.

The less money CalSTRS expects to earn on its investments, the more it needs from the state, school districts and teachers to recover from huge losses of 2008.

Posted by Jim Zellmer at November 2, 2010 1:01 AM
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