Wednesday, October 11, 2017

PERA reforms explained: What’s at stake in Colorado’s $32 billion pension problem

Seven years after state lawmakers approved sweeping austerity measures to put the state pension fund on a path to financial stability, the retirement system’s funding levels have deteriorated to the point that the Colorado Public Employees’ Retirement Association is headed back to the state Capitol for another round of difficult reforms.The stakes are significant.

PERA provides and manages retirement benefits to 566,000 current and former public employees — just over one in every 10 Coloradans. If nothing is done, one bad economic event could be enough to plunge the pension system into insolvency — meaning it would eventually run out of money to pay its retirees, who receive pensions in lieu of Social Security. READ MORE HERE...