Entries in Public Pensions (16)
Concord, NH – The State Senate today defeated a union-backed proposal that would have rolled back recent retirement reform efforts and left local taxpayers on the hook for more than $80 million in new public-sector retirement benefits over the next four years alone. The bill was defeated on a party-line vote, 12-11.
“This legislation would have shifted significant new costs on to our communities and taxpayers at a time they can least afford it,” said Sen. John Reagan, R-Deerfield, a member of the Senate Executive Departments and Administration Committee. “We value the hard work and dedication of our state’s public employees, and believe it is important to maintain a viable pension program to support them in retirement. This bill would have severely undermined those efforts by putting further strain on our already underfunded retirement system at a tremendous cost to taxpayers.”
As introduced, Senate Bill 364 would have reversed necessary reforms made in 2011 designed to address the New Hampshire Retirement System’s (NHRS) $5.3 billion unfunded liability. The legislation sought to reduce the retirement age for some employees and establish a new cash benefit for others on top of existing retirement benefits. Both benefit increases would have been funded solely by taxpayers.
“It was less than three years ago that Senate Republicans won the hard-fought reforms needed to protect taxpayers and the solvency of the NHRS,” said Senate Majority Leader Jeb Bradley, R-Wolfeboro. “Those reforms put us on a path to a financially sound pension program, and they are working. Proposing tens of millions of dollars of new benefits at a time when the state and municipal governments are coming out of a recession is imprudent and ill-advised, and I applaud my Senate colleagues for voting down this piece of legislation today.
July 22, 2013, Fairfax, VA—Americans for Limited Government President Nathan Mehrens today issued the following statement responding to the bankruptcy of Detroit, Mich.:
"Detroit's bankruptcy should serve as a wakeup call for all Americans. The motor city's failure is conclusive evidence that our nation cannot continue to take for granted that we will remain the wealthiest nation in the world. The Obama Administration plus many state and local governments continue to assume that they can engage in a full-fledged assault on our nation's job and real energy producers using both the tax code and environmental regulations, meanwhile creating an almost $3 trillion unfunded pension liability. It is nothing more than a pathway to disaster.
"Hopefully, Detroit's example will cause Americans to reject the pervasive attitude in the Obama Administration and at the state and local level that the free enterprise goose that has laid the American golden egg cannot be killed no matter how many lead weights are put around its neck."
Americans for Limited Government is a non-partisan, nationwide network committed to advancing free market reforms, private property rights and core American liberties. For more information on ALG please visit our website at www.GetLiberty.org.
Weekly Update from the
Josiah Bartlett Center
Keeping you up to date on our latest research
on the issues impacting New Hampshire
Two weeks ago, the state board of education denied every charter school application before them citing a financial problem that didn’t exist. Further their action circumvented legislation and calls into question whether they should be permitted to continue in their role as the state authorizingagency for charter schools. Their bad actions can be fixed and they should do so immediately as a gesture of good faith to both the legislature itself and the charter school community in New Hampshire... Click here to keep reading
While municipally-owned golf courses in Concord and Manchester are leaning on taxpayers to cover for losses, the publicly-owned Pease Golf Course continues to turn a profit. Click here to keep reading
Debates and Charter Schools
Grant Bosse and Paul Westcott break down the latest debate between Ovide Lamontagne and Maggie Hassan, covering Medicare, Medicaid, and charter schools, in this NH Watchdog on WGIR Podcast. Click here to listen.
The New Hampshire Retirement System announced Friday that the pension fund posted a 0.9% gain for Fiscal Year 2012. Preliminary estimates had projected a 0.7% gain, but upon the final calculation for the fund’s real estate and alternative assets, the rate of return was revised upward. Click here to keep reading.
GOV'T PENSIONS - IVAN OSORIO
Openmarket.org: State Pension Bailout Threat
The state pension underfunding crisis has grown so severe that it has prompted most U.S. states to cut benefits, according to calculations by The Wall Street Journal and Boston College’s Center for Retirement Research. However, cuts to date have only put a $100 billion dent in a nationwide funding gap of $900 billion. Clearly, states need to do more to lower their pension liabilities.
Government employee unions are bound to oppose further proposals to curb benefits or increase employee contributions toward their pensions. For lawmakers in some states, this will make reform a harder sell.
CEI is a non-profit, non-partisan public policy group dedicated to the principles of free enterprise and limited government. For more information about CEI, please visit our website, cei.org, and blogs, Globalwarming.org and OpenMarket.org. Follow CEI on Twitter! Twitter.com/ceidotorg.