3268806794_8f205cc571_z

Mismatched Incentives: Are Trustees to Blame for Pension Underfunding?

Public pension boards are tasked with supervising the investment of the funds raised from the contributions from state employers and employees. But the way the pension boards are staffed discourages a focus on the long term health of public pension plans. Manhattan Institute Fellow Daniel DiSalvo elaborates on the Pension Board Problem in this excerpt ...
3268806794_8f205cc571_z

Michigan Installs New Board to Oversee $70 Billion Public Retirement Fund

A newly-created State of Michigan Investment Board will now exercise supervisory functions over the state’s $70 billion investment fund. The Board will hold open meetings four times a year to make investment decisions, evaluate the fund’s performance ,and set funding goals. Here is part of the AP report in Crain’s Detroit Business: State Treasurer ...
gavel

Illinois judge halts reforms until constitutionality determined

When Illinois lawmakers passed their landmark pension reform law in December, they marked their calendars for June 1, 2014. That’s the date the law was supposed to go into effect, but lawmakers, unions and most citizens knew better—a myriad of legal challenges would surely push back the implementation of the reforms and pave the law’s path to ...
768464688_ce0313e2ac_z

Report: Kentucky reforms benefit most workers—but hurt some, too

It’s early yet, but a new analysis of Kentucky’s recent pension overhaul says that the reforms are working—at least for some. The study, released by the Urban Institute today, shows that the state’s reform measures will result in more benefits for most workers, although the most experienced workers in Kentucky’s system are not likely to benefit ...

Resolving the Public Pension “Crisis”

ABSTRACT: The public pension pigeons are coming home to roost. The high profile bankruptcy filing by the City of Detroit, Michigan, has brought to the fore the relationship between pension underfunding and the financial difficulties faced by an increasing number of municipalities and states in the United States.
6870653693_d674a72efe_z

Judge: Challenges to Rhode Island pension overhaul will move forward

Rhode Island’s 2011 pension overhaul—considered to be the most sweeping pension reform law in the country—has had its fair share of legal challenges. A number of public sector unions and retiree groups currently have suits pending against the law, and their arguments, as with similar cases in other state, center on provisions in the state constitution ...

Curbing the Incentive for Pension Padding: Correcting the Employer Contribution Mismatch

ABSTRACT: An often overlooked issue in the debate over New York‘s runaway pension costs is the practice of pension―padding or spiking, whereby a public employee works overtime during his final years of employment, inflating his total compensation during his peak earning years and, more significantly, distorting his pension calculation.

Public Pension Reform in California

ABSTRACT: The Public Employee Pension Reform Act became effective in 2013. It will take many years before it has a meaningful impact on pension plan underfunding due to the so-called California Rule under which public employees are guaranteed the pension benefits in force on the date of hire.

Optimal Taxes and Pensions with Myopic Agents

ABSTRACT: So far the economic literature has concentrated on analyzing the income tax and pension scheme in isolation. The present paper asks how both transfer schemes should be optimally designed in a society where individuals differ in productivity and rationality.
13623341633_f6d01d1604_z

Oklahoma moves forward with bill aiming to eliminate traditional pensions for state workers

Oklahoma’s landscape is dotted with abandoned frontier forts, Civil War battle sites and other relics of history. Now you might be able to add another relic to that list: state sponsored defined-benefit pension plans, which could soon become a remnant of the past in Oklahoma. The state’s House of Representatives passed a bill today that would shift ...
Privacy Policy | © 2019 Pension360 and © 2014 Policy Data Institute | Site Admin · Entries RSS ·