Thursday, September 9, 2010

SBCERS Pension fund math exposing corruption and abuse by Santa Barbara County Elected Officials? Bell Ca. North

Well folks it has been a couple of weeks and there is a ton on my mind. We have Judge Brian Hill putting off trials so he could do the Hendry’s Beach preliminary hearing. Imagine a Judge putting off the Lyons murder trial so he can keep himself in the press, pure moron. We have another case where the defendant hired or changed her attorney and the reward she received from a Santa Barbara Superior Court Judge for practicing her Constitutional rites was an unjust additional two year prison sentence. We have a very bias review of Gator Roll in the Santa Barbara Independent by writer Chris Meagher. He wrote a piece with out reviewing the case files. You see if he had he would have noticed case’s that included Ruben Mize and co-defendants with out any documentation in the Superior Court Files. In some case’s people were went to prison without there Superior Court file containing a police report, a probable cause sheet filled out, a felony commitment criminal minute or and this is most important. A pre-sentencing probation report, but that is not why I am here today. By the way 2500 presentencing reports a year at the cost to the defendant upwards of 1000.00 that is quite a bit of income for probation. Yet only 600 adults on probation, B.S. the numbers do not add up. It has been my observation 5 to 1 receives probation over prison here in our local courts,somebody needs to review the math. Oh I almost forgot in the Gator Roll review the writer states that in the year 2009 ‘Gang” charges are down., I wonder why Josh Lynn missed all that during his losing campaign for Santa Barbara District Attorney? Surely he was not trying to miss lead the public in his bias actions against our Latino, Hispanic or Mexican youth. Any way you break it down you always leave out the term American Youth.

Well as you can see there is a ton on my mind but I ma here today to explain why both past and present Santa Barbara elected officials such as the Board of Supervisors and County Controller Robert Gies must be criminally charged for fraud and misuse of public funds. Very quickly here in 1989 the County of Santa Barbara reported that SBCERS pension fund had a future obligation of 290 Million dollars with a value at that time of only 225 Million dollars thus only 77% funded. I was able to retrieve these figures from the Municipals bond market on Wall street. It turns out when there is a bond offer the City or County which makes the offer must give a current view of there Finances and future obligations. Now on this same bond document there was another choice I could have used. In there reporting investment returns they also had 345 Million future obligations and a 305 Million dollar value. I chose to use the lower of the 2 values for my example. Now all I had to do was the following.

1- start at 225 Million and come forward with the investment return factor.

2- Before multiplying by the return of a given year I also add the contributions

3- Example 1989 I had 222 Million plus 14 million in new contributions from employees and employers. So I went 225+14 = 239 million dollars x investment return factor of 10.5 =

4- I did this for every year and came current and my findings are located at both my word-press blog and at @

My results are startling and it boggles the mind to think our current Santa Barbara Board of Supervisors would have us believe there is a current unfunded future liability of 1 billion dollars. When in fact when you bring my totals to 2009/2010 multiply by 10.5 return on investments you get a fully funded pension fund of 3 BILLION Dollars, WOW where did the math go wrong. What does it say when you look at the 2009 SBCERS pension fund audit and in that audit it contains this. That over a given period the Santa Barbara County Tax Payer is charged for 350 Million dollars in amortized pension fund payments to the unfunded future liability. How ever if you follow those amortized payments you find that the Board of supervisors really only makes payments of only 200 Million dollars and do you know why? You see they charge the amortized payment at an interest rate of 8’16% yet there is no need for such a calculation and do you know why? Because the fund automatically will pull up or down the amortization payment based on the future funds performance. So there would be no need for an intereat rate to be used ever

Well my computer is broken so I am at the library. I must wrap this up for today but please remember that the SBCERS pension fund has claimed a hard number lose for the last two years and there for is not entitled to use my math to increase there losses after the fact. I will have to write a much better posting describing the amortization payment issue but another 150 million in fraud uncover by “Magic” no by common sense.

225 million fund value followed by 850 Million in new contributions for 20 years. Multiply this by a average return on investments for that 20 year period of 7.6 (yes I have also seen 6.7) and there is no possible way we have an unfunded pension plan.

No comments: