San Jose, CA (December 20, 2021) |
You won’t find many — if any — credit union board directors who double as board administrators of their state’s pension fund. Jose Luis Pacheco, a nearly four-year board member of $1 billion-asset Santa Clara County FCU, is that leader.
CU Weekly — the flagship weekly e-publication from the California and Nevada Credit Union Leagues — was honored to interview Pacheco about his dual responsibilities. Although it feels like his fiduciary duties have soared nearly overnight, the volunteer says he reveres his latest public calling with a sense of duty. In early October he won a four-year term on the California Public Employees Retirement System (CalPERS) Board of Administration.
As a trustee of the largest pension fund in North America with $500 billion under management, Pacheco will work with 12 fellow board administrators and a staff of financial consultants to guide risk levels, investments, and steer the fund’s general direction. He will be sworn into the seat on Jan. 16.
It’s a notable commitment commuting a few hours back and forth to Sacramento each month and advocating for a huge state employee pension fund that is not in the worst of financial health, yet technically is still “underfunded” by actuarial-accounting standards. A confluence of older-worker labor market trends, investment decisions, and retirement policies have made their impact on many state pensions over the years. Pension boards have been weighing difficult decisions, such as having younger workers contribute higher amounts and diversifying funds into slightly riskier, non-traditional investments.
These fiduciary obligations and hard judgment calls are on top of his other credit union duties (sitting on the information technology/security committee), as well as his computer developer day job for San Jose-Evergreen Community College District in San Jose, CA. Pacheco also serves on the California Credit Union League Board of Directors Volunteer Leadership Committee, which meets a few times each year to discuss credit union advocacy issues, strategize on increasing volunteer engagement, and educate federal and state legislators on the purpose and philosophy of credit unions.
“At both CalPERS and the credit union, I serve our members,” Pacheco said. “At CalPERS, we serve current and future employees so they can eventually retire or live out their retirement today. At the credit union, we serve our community where members live, work, or go to school — and many of them also happen to be part of the CalPERS family. Both volunteer positions come from my heart. They are personal callings.”
Pacheco will balance two important yet similar roles on his new journey: safeguarding and growing the financial livelihood and wellbeing of individuals, workers and households. He will serve on the CalPERS board from January 2022 – January 2026. You can view his question-and-answer interview for context, insights, and more information.
Jose Luis Pacheco, Board Member of Santa Clara County FCU and Board Member-Elect of the California Public Employees Retirement System (CalPERS) Board of Administration — to be sworn in on Jan. 16, 2022