Six former LA safety officers collected pension payouts of over $1,000,000 apiece last year

Newly released public pension data from TransparentCalifornia.com shows a $1,462,770 pension payout going to former Los Angeles deputy police chief Earl Paysinger last year — with $1,338,232 coming from a one-time DROP payout and the remaining $124,538 representing Paysinger’s ongoing, annual pension amount.

The deferred retirement option plan (DROP) allows an employee to draw a salary and pension simultaneously for up to 5 years, with each year’s pension being deposited into an interest-bearing account. Upon actual retirement, the accumulated balance can be withdrawn either as a lump-sum payment or rolled over into an annuity.

The DROP program helped six members of the Los Angeles Fire and Police Pensions (LAFPP) system collect payouts of over $1,000,000 last year. After Paysinger, the next five highest payouts went to:

  1. Former assistant fire chief Emile Mack: $1,457,638.
  2. Former deputy fire chief Mario Rueda: $1,226,360.
  3. Former assistant fire chief Mark Stormes: $1,083,887.
  4. Former police commander Michael Williams: $1,079,058.
  5. Former deputy police chief Kirk Albanese: $1,006,872.

Los Angeles County

Despite lacking the DROP program, pension payouts at the Los Angeles County Employees’ Retirement Assocation (LACERA) were still quite large, with former Harbor-UCLA Medical Center chief physician Charles Mehringer’s $403,375 annual pension topping the list.

The next 3 highest LACERA pension payouts went to:

  1. Retired sheriff Leroy Baca: $334,978.
  2. Retired UCLA medical center chief physician Robert Morin: $326,278.
  3. Retired sheriff Larry Waldie: $325,554.

The third pension system serving Los Angeles is the Los Angeles City Employees’ Retirement System (LACERS), which serves non-safety Los Angeles city employees. Transparent California research director Robert Fellner noted that despite paying out comparatively smaller benefits than either LACERA or LAFPP, LACERS was in significantly worse financial shape than its peers.

“With an unfunded liability of more than 250 percent of covered payroll, LACERS will likely have to raise costs again, further burdening a city that already spends 20 percent of operating revenue on pensions.”

In dollar terms, the unfunded liability for LAFPP, LACERA and LACERS was $1.15 million, $9.5 million and $5 million, respectively.

The top three Los Angeles City Employees’ Retirement System (LACERS) payouts went to:

  1. Retired personnel department general manager Margaret Whelan: $237,451.
  2. Retired harbor department general manager Bruce Seaton: $236,530.
  3. Retired harbor department port pilot Michael Owens: $234,159.

To view the entire dataset in a searchable and downloadable format, visit TransparentCalifornia.com.

To schedule an interview with Transparent California, please contact Robert Fellner at 559-462-0122 or Robert@TransparentCalifornia.com.

Transparent California is California’s largest and most comprehensive database of public sector compensation and is a project of the Nevada Policy Research Institute, a nonpartisan, free-market think tank. Learn more at TransparentCalifornia.com.

Top LA County Pension Passes $400,000 Mark

The top pension payout at the Los Angeles County Employees’ Retirement Association (LACERA) has eclipsed $400,000 for the first time ever, according to just released public pension data.

Today, Transparent California released 2016 pension payout data for the city and county of Los Angeles, as well as the San Diego City Employees’ Retirement System (SDCERS).

Former Harbor-UCLA Medical Center chief physician Charles Mehringer’s $403,375 pension was the first time the $400,000 threshold was broken at LACERA. The next 3 highest LACERA pension payouts went to:

  • Retired sheriff Leroy Baca: $334,978.
  • Retired UCLA medical center chief physician Robert Morin: $326,278.
  • Retired sheriff Larry Waldie: $325,554.

The top three Los Angeles City Employees’ Retirement System (LACERS) payouts went to:

  1. Retired personnel department general manager Margaret Whelan: $237,451.
  2. Retired harbor department general manager Bruce Seaton: $236,530.
  3. Retired harbor department port pilot Michael Owens: $234,159.

San Diego

Former fire battalion chief Benjamin Castro’s $885,848 payout topped the SDCERS list — $816,760 of which came from the controversial deferred retirement option plan (DROP). DROP allows an employee to draw a salary and pension simultaneously for up to 5 years, with each year’s pension being deposited into an interest-bearing account. Upon actual retirement, the accumulated balance can be withdrawn either as a lump-sum payment or rolled over into an annuity.

The next three highest SDCERS payouts went to:

  • Retired assistant police chief Mark Jones: $797,408.
  • Retired police captain Dawn Summers: $747,843.
  • Retired fire battalion chief Daniel Saner: $727,696.

To view the entire dataset in a searchable and downloadable format, visit TransparentCalifornia.com.

Transparent California is California’s largest and most comprehensive database of public sector compensation and is a project of the Nevada Policy Research Institute, a nonpartisan, free-market think tank. Learn more at TransparentCalifornia.com.

DWP supervisor, once again, boosts salary to nearly $400,000 with a $216,000 OT payout

Today, Transparent California released 2015 public employee compensation data — complete with names, pay, and benefits — for over 100,000 special districts workers statewide.

The data reveals that Los Angeles Department of Water and Power (DWP) Electric Distribution Mechanic Supervisor Joseph Strafford’s $216,741 overtime payout — which boosted his total earnings to $394,549 — was the highest of any special district worker surveyed. This is the 2nd year in a row Stafford has held this distinction, with a $225,000 OT payout topping the 2014 special district list last year.

The next three highest OT payouts amongst special district workers all went to DWP employees:

  1. Steam plant operator Jorge Castillo’s $201,175 OT payout helped boost his $76,000 salary to $293,530.
  2. Steam plant operator Rudy Rivera’s $183,077 OT payout helped boost his $75,000 salary to $276,374.
  3. Steam plant operator Steven Pike’s $176,432 OT payout helped boost his $72,000 salary to $269,796.

In total, the DWP spent $174 million in overtime in 2015 — a nearly 15 percent increase from the previous year.

Transparent California research director Robert Fellner noted that the DWP has a history of overtime abuse, such as a contract provision that pays employees for work performed by outside contractors.

“The DWP serves as a powerful reminder of the folly in blindly assuming that every penny in OT spending is justified.

“Last year’s $174 million in OT spending was nearly double the 2006 amount, which was when the ‘DWP overtime scam’ was first reported. With provisions that demand DWP workers get paid for the work other people do, at ratepayer expense, it’s no wonder so many are frustrated with the power of political unions in California.”

Fellner also noted that, even excluding OT pay, the average DWP employee already makes more than twice what their private-sector counterpart does.

The DWP did not provide benefits data on an individual employee level and, as such, are unrepresented amongst the top special districts with the highest average employee compensation packages.

LA Metro chief collects over half a million

LA Metro chief Richard Thorpe’s $514,980 compensation package was the highest of any special district worker in Los Angeles County.

The next four highest-compensated Los Angeles County special district workers were:

  1. Metropolitan Water District of Southern California general manager Jeffrey Kightlinger: $501,932
  2. Southern California Association of Governments executive director Hasan Ikhrata: $501,932
  3. Los Angeles County Sanitation District GM Grace Hyde: $431,447
  4. DWP electrical service manager Michael Mundo earned $424,866 just in wages, which excludes benefits.

The three Los Angeles County special districts with the highest average compensation packages for full-time, year-round employees were:

  1. Water Replenishment District of Southern California (WRD): $176,212
  2. West Basin Municipal Water District: $158,781
  3. Metropolitan Water District of Southern California: $157,817

Compensation is defined as total wages plus the employer cost of retirement and health benefits. Full-time, year-round employees are defined as those receiving a salary equal or greater to 90 percent of the “annual salary minimum” reported.

To explore the data further, please visit TransparentCalifornia.com

To schedule an interview with Transparent California, please contact Robert Fellner at 559-462-0122 or Robert@TransparentCalifornia.com.

Transparent California is California’s largest and most comprehensive database of public sector compensation and is a project of the Nevada Policy Research Institute, a nonpartisan, free-market think tank. Learn more at TransparentCalifornia.com.

Retired Bell Police Chief’s $288,000 pension tops CalPERS list of Los Angeles-area city retirees

Today, TransparentCalifornia.com released previously-unseen 2015 pension payout data from the California Public Employees’ Retirement System (CalPERS).

The over 625,000 records — obtained via a public records request — reveal that former Bell Police Chief Randy Adams $288,378 payout was the largest received by any CalPERS retiree from a Los Angeles city last year.

Former Los Angeles workers were also represented in the top 3 regular pensions paid to all CalPERS members statewide, excluding those who received a one-time settlement payout.

Top 3 CalPERS payouts statewide

  1. Michael Johnson, former Solano County administrator: $388,408
  2. Stephen Maguin, former Los Angeles County Sanitation District GM: $340,811
  3. Joaquin Fuster, former UCLA professor: $338,412

Retirement costs at LA-cities highest statewide

El Monte’s retirement costs for safety officers are now at 62 percent of pay, the highest rate statewide, with a 38 percent contribution rate for non-safety workers, the 4th highest statewide.

The highest contribution rate for non-safety workers was also found in Los Angeles County, with Santa Fe Springs now sending 47 cents per dollar of pay to CalPERS.

Inglewood experienced the largest year over year increase in retirement costs, with their safety and non-safety rate increasing 20 and 24 percent, respectively.

As taxpayer costs continue to climb it is more important than ever that the public has complete, accurate information as to how their money is being spent, according to Transparent California’s research director Robert Fellner.

“Defined benefit plans like CalPERS are inherently opaque, which limits the public’s ability to accurately assess its generosity and cost. Transparent California provides complete information so that taxpayers can have a better sense of how their money is being spent.”

Los Angeles cities with the highest pensions

The Los Angeles cities with at least 20 full-career retirees that had the highest average full-career pensions for safety retirees were:

  1. El Segundo: $131,973, which was the second highest statewide
  2. El Monte: $129,215, which was the third highest statewide
  3. Pasadena: $126,877, which was the sixth highest statewide

The Los Angeles cities with at least 20 full-career retirees that had the highest average full-career pensions for non-safety retirees were:

  1. Santa Fe Springs: $99,993, which was the third highest statewide
  2. Hawthorne: $92,376, which was the eighth highest statewide
  3. Downey: $88,708, which was eleventh highest statewide

To view the entire dataset in a searchable and downloadable format, visit TransparentCalifornia.com.

A full-career is defined as at least 30 years of service.

To schedule an interview with Transparent California, please contact Robert Fellner at 559-462-0122 or Robert@TransparentCalifornia.com.

Transparent California is California’s largest and most comprehensive database of public sector compensation and is a project of the Nevada Policy Research Institute, a nonpartisan, free-market think tank. Learn more at TransparentCalifornia.com.

Los Angeles firefighter boosts $87,000 salary to over $400,000 via ‘dangerous’ levels of OT, other pay 

Soaring overtime pay allowed Los Angeles firefighter Donn Thompson to pocket $404,308 last year — more than quadruple his base salary, according to just-released data.

Today, Transparent California released previously-unseen 2015 public employee compensation data — complete with names, pay, and benefits — for 379 cities and 42 counties statewide on TransparentCalifornia.com, the state’s largest public sector compensation database.

The data reveals sky-high overtime (OT) payouts at the City of Los Angeles, which were up over 18 percent from the previous year. In fact, the top 20 largest OT payouts of the more than 245,000 employees surveyed statewide all went to Los Angeles workers.

The top 3 OT payouts statewide went to:

  1. Los Angeles fire captain James Vlach, whose $311,316 OT payout was 158% more than his $120,829 salary.
  2. Los Angeles firefighter III Donn Thompson, whose $286,733 OT payout was 229% more than his $87,158 salary.
  3. Los Angeles fire captain Charles Ferrari, whose $273,496 OT payout was 126% more than his $120,829 salary.

Such a large concentration of overtime pay within a select few employees is dangerous, particularly for fire fighters, according to Transparent California’s research director Robert Fellner.

“These overtime payments indicate an average work-week in excess of 100 hours a week, for years on end. This is a recipe for disaster given the life-or-death situations fire fighters routinely encounter.”

Fellner pointed to the historical data on Transparent California that revealed all three of this year’s top OT earners had received outsized OT payments for at least the past three years, as shown in the chart below:

Overtime pay as % of base salary for 3 Los Angeles firefighters, 2013-2015

County-wide

A survey of 60 Los Angeles County cities, excluding the city of Los Angeles, revealed that the average full-time city worker received $131,600 in total compensation last year.

The five Los Angeles County cities with the highest average compensation package for full-time, year round employees were:

  1. Redondo Beach: $155,852
  2. Manhattan Beach: $155,850
  3. Santa Monica: $152,050
  4. Beverly Hills: $150,648
  5. Downey: $150,129

The three highest-compensated city employees in Los Angeles County were:

  1. Los Angeles Harbor chief port pilot II Bent Christiansen: $510,805, retirement benefits not included.
  2. Los Angeles Harbor port pilot II John Betz: $494,216, retirement benefits not included.
  3. Los Angeles Harbor chief port pilot II Michael Rubino: $488,562, retirement benefits not included.

The importance of reporting total compensation

In the public sector, salary often represents only a fraction of an employee’s total compensation package, according to Fellner.

“While taxpayers may assume salary represents nearly all of an employee’s compensation package, some public employees collect compensation packages worth more than triple their base salary.”

As an example, Fellner pointed to three employees at the cities of Torrance, Long Beach and Santa Monica, all of whom collected compensation packages worth more than triple their salaries, as shown in the chart below:

Breakdown of compensation received by 3 Los Angeles-area city workers, 2015

The cities of Redondo Beach, Torrance and Downey ranked highest out of the 60 Los Angeles County cities surveyed, with total compensation coming in at 92, 87 and 83.5 percent more than total salary paid. The average Los Angeles city’s total compensation was 53.5 percent more than total salary.

Compensation is defined as total wages plus the employer cost of retirement and health benefits. Full-time, year-round employees are defined as those receiving a salary equal or greater to 90 percent of the “annual salary minimum” reported.

To view the entire dataset in a searchable and downloadable format, visit TransparentCalifornia.com.

Four Los Angeles retirees collected $1 million-plus pension payouts last year

Four Los Angeles police and fire retirees collected over $1 million apiece in pension payouts last year, according to just-released 2015 pension data from TransparentCalifornia.com.

Retired assistant fire chief Timothy Manning’s $1,181,309 pension and benefits package was the highest of any retiree surveyed — with $996,161 coming from the controversial deferred retirement option plan (DROP).

DROP allows an employee to draw a salary and pension simultaneously for up to 5 years, with each year’s pension being deposited into an interest-bearing account. Upon actual retirement, the accumulated balance can be withdrawn either as a lump-sum payment or rolled over into an annuity.

The next three highest-compensated Los Angeles Fire and Police Pension (LAFPP) retirees were:

  1. Retired police commander Stephen Jacobs, who collected $1,115,747
  2. Retired deputy police chief Mark Perez, who collected $1,105,441
  3. Retired deputy police chief Terry Hara, who collected $1,043,667

The average full-career city worker is a pension millionaire

Regular city employees belong to a separate retirement plan —the Los Angeles City Employees Retirement System (LACERS) — which does not offer DROP and did not provide the cost of health benefits on an individual basis. The average full-career pension for all LACERS retirees was $63,025, which jumped to $75,624 when looking at only those who retired in the past year.

These individuals are now “pension millionaires,” according to Transparent California’s research director Robert Fellner.

“Fidelity Investments currently charges over $1.75 million for an annuity large enough to provide the same level of retirement income at LACERS’ average retirement age of 60.”

The top three LACERS’ pension payouts went to:

  1. Retired personnel department general manager Margaret Whelan, who collected $235,333
  2. Retired harbor department general manager Bruce Seaton, who collected $234,420
  3. Retired harbor department port pilot Michael Owens, who collected $232,413

Fellner noted that the number of Los Angeles retirees who received pension and benefits packages of at least $100,000 increased nearly 22 percent since 2013.

“As the number of $100,000-plus pension payouts soared, so has the cost to taxpayers, which just hit a record-high 46 percent of payroll for safety officers and 26 percent for regular city workers.

“Including the DWP pension plan, Los Angeles spent over $1.5 billion on pension and retiree health costs alone in 2014, which represented nearly 12 percent of total expenditures.

“Studies have shown that growing retirement costs result in reduced city services, higher taxes or both.”

Leroy Baca’s $342,000 payout 3rd highest amongst County retirees

Transparent California also released 2015 pension data from the Los Angeles County Employees’ Retirement Association, which does not offer DROP, but still had dozens of annual payouts of more than $250,000.

The top three pension and benefits packages received by Los Angeles county retirees went to:

  1. Retired Harbor General chief physician Charles Mehringer, who collected $419,666
  2. Retired Harbor General chief physician Robert Morin, who collected $344,080
  3. Retired sheriff Leroy Baca, who collected $342,849

The number of County retirees who collected at least $100,000 increased 19 percent since 2013.

Average 2015 full-career pension and benefits package for Los Angeles-area retirees

LApensions

Transparent California is still working on obtaining pension payout data from the DWP, where costs have risen to astronomical heights, Fellner said.

“The 53 percent of payroll required to fund the DWP’s pension plan is, by far, the most expensive non-safety pension plan I’ve ever seen.”

To view the entire dataset in a searchable and downloadable format, visit TransparentCalifornia.com.

A full-career is defined as at least 25 years of service for police and fire retirees, and 30 years for regular retirees.

To schedule an interview with Transparent California, please contact Robert Fellner at 559-462-0122 or Robert@TransparentCalifornia.com.

Transparent California is California’s largest and most comprehensive database of public sector compensation and is a project of the Nevada Policy Research Institute, a nonpartisan, free-market think tank. Learn more at TransparentCalifornia.com.

DWP security guard triples $64,000 salary to $197,000 with OT, other pay

Today, Transparent California released 2014 public employee compensation data — complete with names, pay, and benefits — for 38 of Los Angeles County’s largest special districts, representing 95 percent of all Los Angeles County special district workers.

The data reveals that Los Angeles Department of Water and Power (DWP) security officer David Laser more than tripled his $63,944 salary with over $100,000 in overtime pay (OT) and an additional $32,686 in other pay, for total wages of $197,042.

The three highest OT payouts amongst LA county special district workers all went to DWP employees:

  1. DWP electric distribution mechanic supervisor Joseph Strafford: $225,459
  2. DWP steam plant maintenance supervisor Thomas Conner: $143,202
  3. DWP electric distribution mechanic supervisor Daniel Haerle: $140,648

Strafford’s $225,459 OT payout was the 5th highest out of the 2.35 million 2014 salary records currently on TransparentCalifornia.com.

The DWP did not provide benefits data on an individual employee level and, as such, are unrepresented amongst the top special districts with the highest average employee compensation packages.

LA County special districts

The three Los Angeles County special districts with the highest average compensation packages for full-time, year-round employees were:

  1. Water Replenishment District of Southern California (WRD): $172,949
  2. Metropolitan Water District of Southern California: $168,135
  3. West Basin Municipal Water District: $162,845

Click here to view this information for all 38 Los Angeles County special districts surveyed.

WRD’s highest average compensation package was, in large part, due to an average benefits cost of $60,958 per full-time employee — the highest of any district surveyed.

The three highest-compensated Los Angeles County special district workers were:

  1. Metropolitan Water District of Southern California general manager Jeffrey Kightlinger: $520,422
  2. Southern California Association of Governments executive director Hasan Ikhrata: $515,893
  3. Los Angeles County Metropolitan Transportation Authority chief executive Richard Thorpe: $485,990

DWP

In addition to Laser, DWP steam plant assistant Clayton Louie more than tripled his $59,255 salary to $178,685, with an additional $106,700 in OT and nearly $13,000 in other pay.

In total, nearly 1,200 DWP employees increased their salary by at least 50 percent with OT and other pay.

The average full-time, year-round DWP worker received $118,115 in wages.

While the DWP did not provide benefits data on an employee level, aggregate data obtained from actuarial reports suggests an average cost of nearly $50,000 per employee for retirement benefits. Additionally, the DWP spent an average $18,125 per employee on health benefits, according to the city controller’s office.

Medical and retirement benefits that cost 5 and 15 times more, respectively, than what the median private employer pays demonstrates why the public needs to receive complete compensation data, says Transparent California’s research director Robert Fellner.

“Largely shrouded from public view, the cost of government workers’ benefits has ballooned to unsustainable heights, crippling local agencies and burdening taxpayers.

The average full-time DWP employee, for example, is costing ratepayers an amount much closer to $185,000 than the $118,000 the pay-only data suggests.”

To view the entire dataset in a searchable and downloadable format, visit TransparentCalifornia.com

Compensation is defined as total wages plus the employer cost of retirement and health benefits. Full-time, year-round employees are defined as those receiving a salary equal or greater than the “annual salary minimum” reported.

To schedule an interview with Transparent California, please contact Robert Fellner at 559-462-0122 or Robert@TransparentCalifornia.com.

Transparent California is California’s largest and most comprehensive database of public sector compensation and is a project of the Nevada Policy Research Institute, a nonpartisan, free-market think tank. Learn more at TransparentCalifornia.com.