City of Chico needs to amend employee contracts to count employee benefits toward their income, make them pay their own “Cadillac Tax”

2 Mar


When I first heard about the “Cadillac Insurance Tax” I had to giggle – a tax on those over-generous health benefits packages we give our public employees – then I found out – they don’t pay it, WE PAY IT.

Something I haven’t got around to bitching about is the health benefits packages enjoyed by public workers. I’ve said plenty about the Pension Time Bomb – well, there’s a health benefits time bomb too, at least as big as the pension bomb. Workers are getting three and four times the benefits enjoyed by most tax payers – look at the controller’s website:

Top of the list, Dorian Kittrell, County Behavioral Health Director – $48,000 in benefits. I don’t know the split there between pension and health insurance, but I know he pays less than 10 percent of the premium out of his almost $300,000 in salary.  The taxpayers pick up maybe 30 percent more, and then the rest rides on the stock market.  That is what creates the “liability” in these funds – our gracious elected officials have promised these crazy salaries, pensions, and health care packages to our elite public management, but they are paying less than 50 percent of  the cost up front.

At the city of Chico

public safety “workers” take away outrageous packages – at the top of the list, a $74,229 benefits package for  one fire chief who makes more than $200,000/year in salary. 

These are the “Cadillac” plans Obama is after, to pay for his failed Obamacare, and the county of Butte and the city of Chico will be on the hook to pay 40 percent of the value of those packages. 

Why the employer? Because we give our public workers a contract stipulation that says their benefits will not be counted as part of their income. That leaves the public entity on the hook, and that means, WE PAY IT.

Here’s a good link to find information about this tax, which is set to go into effect by 2020, if not 2018.

As for our local situation, the contracts are on the table right now, write to your mayor and tell him we want the benefits counted as income. Tell him we are not willing to foot the bill for these people’s outrageous lifestyle demands. 

That’s Mayor Mark Sorensen,

6 Responses to “City of Chico needs to amend employee contracts to count employee benefits toward their income, make them pay their own “Cadillac Tax””

  1. bob March 2, 2016 at 12:19 pm #

    Geez, these public servants make more in benefits alone than the average household in Chico makes! Outrageous! Why the hell aren’t people mad as hell and how could they possibly vote for any tax increases???

    I will write the local politicians but they no longer respond to the facts I tell them or even acknowledge receipt of what I send them.

    Obamacare is a mess and will only get worse. For instance the constantly increasing penalties, increasing rates and companies pulling out of the exchanges. The whole thing should be scrapped.

    • Juanita Sumner March 2, 2016 at 12:52 pm #

      “I will write the local politicians but they no longer respond to the facts I tell them or even acknowledge receipt of what I send them.”

      thanks Bob, I know it’s frustrating. At first they’re all, “thanks so much for caring!” When I was after Gruendl and Schwab, Sorensen actually spoke to me, you know, like a human. He used to send me little news leads, cryptic messages like, “you should check into Scott Gruendl’s expense account…” but no reason why. Now that I’m poking around in his skivvies, he’s all, “that’s enough Juanita!”

      I think you should also write a letter(s) to the paper(s). I got frustrated with that route, but my friends like to see my letters, gives them a cheap thrill. And I know it annoys the hell out of the flakcatchers and shills Downtown and in O-ville.

      Yes, we must remember the county of Butte, they’re headed for the same water fall as the city of Chico.

      • bob March 5, 2016 at 11:35 am #

        I write letters but Dogtree and Little never publish them. They don’t even respond.

        A friend of mine always says those in the media are just puppets for the powers that be and that the powers that be are hell bent on destroying what’s left of the middle class. They want indebted tax serfs, not a middle class. He also says voting is for suckers and those who vote just legitimize an illegitimate system.

        I don’t agree with all that he says but I do believe some of it. I don’t think Dogtree and Little want to destroy what’s left of the middle class, but I do think they are useful idiots for those who do.

        And as far as voting, I think he is right about the candidates. Nearly every politician is a puppet for some special interest and therefore illegitimate, and I think that applies to all our local politicians. But I think it is worth voting against tax increases, bond measures and anything that increases debt, spending or taxes.

      • Juanita Sumner March 6, 2016 at 2:14 pm #

        I think he’s right – it’s always good to have an enormous underclass, scratching and biting to please the overlords.

        Yeah, we have to keep voting, keep writing letters, stay annoying…

      • bob March 6, 2016 at 1:47 pm #

        The other day I went by that fire station up by five mile. I didn’t even realize it was a fire station. From a distance, I thought it was a mansion.

        I guess if we’re going to house fire fighters and their equipment in mansion looking fire houses and make millionaires out of them (when you factor in their salaries, benefits and pensions) then they’ve got to have cadillac health plans. So open up your purse, Juanita. 🙂

      • Juanita Sumner March 6, 2016 at 2:14 pm #

        You know, I’ll open it just long enough for them to get a finger in, and then, SNAP!

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