Thursday, December 19, 2013

Texas considers options to avoid pension shortfall

Now, this is how it's done.  Problems aren't expected until 2052, but the TX legislature will take on the problem NOW.
When it meets again in 2015, the Legislature could consider several options to improve the fund's health: a one-time payment of $4.5 billion; an increase in the rate of payroll contributions shared by employers and workers; a cut in benefits to future hires; or a separation of law enforcement employees allowed to retire earlier, according to officials.

"It's not going to be easy, and it's not going to be quick," said Ann Bishop, executive director of the Employees Retirement System. "It didn't happen overnight, and it's not going to be fixed overnight. It does take some discipline."
Now, Houston needs to confront its problems of too much debt.  I talked about this a while back, I'm sure.

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