PITTSBURGH POST-GAZETTE: …Gov. Tom Wolf wants to shore up the funds by significantly reducing the $662 million in investment management fees that the state’s two pension funds pay each year, by contributing $80 million of profits from modernizing state liquor stores and by issuing a $3 billion pension bond to reduce the $35 billion deficit of the Pennsylvania Public School Employees’ Retirement System.
While some Republican lawmakers agree the investment management fees are too high and have considered bonds as part of the solution, their main push is to put pension benefits off limits to new hires.They want to shift new employees into a 401(k)-style defined contribution retirement plan, where workers — not the state — would be responsible for investing for their retirement.
Like many other states, Pennsylvania has not been keeping up with its required annual contributions to the pension funds, which is one reason for the deficit… (more)
