The disparity between well-funded public pension systems and those that are fiscally strained has never been greater.
For example, South Dakota, Tennessee, and Wisconsin had, on average, 97 percent of the assets needed to fully fund their pension liabilities in 2007 and remained at 95 percent funded or higher in 2017. Conversely, the three states with the lowest funded ratios—Illinois, Kentucky, and New Jersey—saw a drop from 69 percent funded, on average, in 2007, to 36 percent funded in 2017.
Does it really matter what the returns ( + or -) are for any pension fund when in reality the taxpayer is perpetually on the hook for them? How do you ever get fully funded when the account is drained dry from Tier 1 retirees before 2006 who could spike to the sky without penalties now 6% again/pension management fees regardless of returns/end of career salary hikes and promotions/misappropriated pension money “Diverted” to some political pet project or where ever and so on. Even if any fund is 100% funded are taxpayers off the hook? Never! How many of our… Read more »
A largely unasked question is becoming glaring: Is Illinois doing all it should to use artificial intelligence to make government cost less and work better? So far, the evidence says no.
Does it really matter what the returns ( + or -) are for any pension fund when in reality the taxpayer is perpetually on the hook for them? How do you ever get fully funded when the account is drained dry from Tier 1 retirees before 2006 who could spike to the sky without penalties now 6% again/pension management fees regardless of returns/end of career salary hikes and promotions/misappropriated pension money “Diverted” to some political pet project or where ever and so on. Even if any fund is 100% funded are taxpayers off the hook? Never! How many of our… Read more »