League of Women Voters of California Education Fund
	Stanislaus County, CA November 8, 2011 Election
	Measure Q Advisory Vote City of Modesto Advisory Vote Only Pass: 13,369 / 57.78% Yes votes ...... 9,767 / 42.22% No votes See Also: Index of all Measures

Arguments For Measure Q

Arguments Against Measure Q

Should the City of Modesto: Seek to move employees from a defined benefit plan to a defined contribution (401k style) plan for retirement benefits? Yes or No. It is clear that Modesto cannot afford to continue down the path of defined benefit plans. Doing so has crippled the city's ability to budget long term. Moving to a 401(k)-style plan that is more in line what private-sector employees are experiencing allows the city to better predict its future pension costs. If we do not make this change, then the City of Modesto will have to turn to increased taxes or reduce services to fund the costs of public pensions. Moving to a 401(k)-style pension plan will provide Modesto with a steady level of costs while still maintaining a top retirement plan for our valued city employees. Modesto will be greatly served by this proposal because it will be the best way to solve Modesto's long-term structural deficit and avoid a massive unfunded liability. Please join with business groups, taxpayer advocates, and residents of Modesto from all avenues of life in supporting this advisory measure to fundamentally solve the issue of out-of-control public pension costs. /s/ Brad Hawn, Vice Mayor City of Modesto /s/ Cecil Russell, President and CEO, Modesto Chamber of Commerce /s/ Dave Thomas, President, Stanislaus Taxpayers Association /s/ Janice E. Keating, Former Modesto City Councilmember Rebuttal to Arguments For What Proponents of Measure Q Aren't Telling You: 1. It can't be done. The City of Modesto cannot shift to a 401K program without state or court approval. 2. It will cost more money. Even if the state or the courts approved such a shift, Modesto taxpayers would have to pay hundreds of millions of dollars to cover benefits. 3. Who will pay for the Social Security shortfall? Private sector employees receive Social Security, but Modesto city employees cannot take part in the Social Security program. Measure Q supporters want Modesto city employees to be treated like private sector employees. Modesto taxpayers would have to pay Social Security for city employees if Measure Q is implemented. 4. Measure Q is nothing more than political grandstanding. It will save no money and undermines the real changes the city and its employees have taken to improve its pension system. This is a misleading measure designed for political purposes and should be rejected by the voters. Don't let politicians tell you otherwise. Brad Hawn and the City of Modesto refused to hold committee hearings and conduct a financial review of this measure. They want the true cost to taxpayers hidden. Beware of politicians who say "trust us" instead of giving facts and figures. /s/ Adam Christianson /s/ Susan Azevedo, Businesswoman /s/ Tim Tietjen, President, Modesto City Firefighters Association /s/ Diana L. May, Crime Victim Advocate /s/ Will O'Bryant, Former Councilman

Measure Q is a Sham! It is not legally possible for the city of Modesto to implement it as its proponents state. Measure Q ignores fact that city employees do not receive social security. It fails to mention that city taxpayers would have to pay millions of dollars to make such a switch occur, at the same time contributing to the new defined contribution system. The city council should do the math. Do not let them backdoor major policy changes without identifying the costs. We've been through that before (remember Village One). The City and its employees have already agreed to eliminate pension abuses. Measure Q suggests that some council members may want to change their minds on this issue. Vote No so they can't use this sham election as an excuse! /s/ Laurie A. Smith, President, Modesto Confidential Management Association /s/ Antonio Arguelles, President, Modesto Police Officer's Association Rebuttal to Arguments Against Under the defined benefit pension system, California faces an unfunded liability of up to $500 billion according to a Stanford University study. Defined benefit pensions are out dated and unsustainable. Measure Q is a balanced approach that provides Modesto's public employees with a defined contribution and allows the city to predict its future pension responsibilities. Most private businesses use a defined contribution/401(k)-style retirement plan and now local governments are making the switch too. Measure Q is a commonsense plan that will help give the public a seat at the table in negotiations. Public employee unions are attacking Measure Q because they want to continue the system where some of their members can retire at 50- years-old and receive more in retirement than while working. Vote YES on Measure Q. Join with business groups, taxpayer advocates and residents of Modesto from all avenues of life in supporting a fiscally responsible Modesto. /s/ Leslie M. Kazas, Insurance Agent /s/ Sarah Pena, Insurance Agent /s/ Robert Rosenbaum, DDS /s/ Gary L. Renard, Retired /s/ Michael D. Huffman, Real Estate Agent