They're all wimps back there
Here's a funny story from the Midwest and East Coast -- some academics fretting that local government pension funds don't have enough put aside to pay benefits. And so the pension funds will run out of money in a few years!
Heck, in Portland, we have a police and fire pension system with an unfunded liability of well over $2 billion, and nothing put aside to pay benefits. Not a penny. Ya gotta have vision, people. Go by streetcar!
| Posted at 8:45 AM | Permalink |
|
Comments (6)
I'm not really worried. It looks as though they will find enough savings in the Sellwood bridge plan to cover light rail and any future pension issues.
Posted by Gibby | October 13, 2010 9:01 AM
With any luck, McCreepy will still be in office when the music stops and he'll have nobody to blame but himself, Katz, and Goldy.
Posted by Mister Tee | October 13, 2010 10:22 AM
I don't know, I am curious what it will take to get to tipping point on these pensions. You know they are all way behind on ability to pay once a few more retirees start collecting. Then again, I guess that's why govt has its own accounting system instead of GAAP.
However, there is always the wild card of just printing more money since those pub employee unions are a lotta votes.
Posted by Steve | October 13, 2010 11:57 AM
Nah, they're already working in DC on "taking over" all private 401k and IRA retirement funds. That'll help cover the failing public/non public union pensions.
Posted by JS | October 13, 2010 1:59 PM
Just for fun, imagine for a moment that the $2 billion were sitting in a money market fund. What would Our Very AfterSchool Special Mayor do to get his hands on those funds?
Maybe it's better to fund retirement benefits out of future taxes.
Posted by Kai Jones | October 13, 2010 2:38 PM
Well, since the PBGC is soon to collapse under the weight of the load heaped upon them by our bailed-out automakers, there is but one possible trajectory for state and local pensions. And it's not pretty. Federal taxpayers, prepare to take it in the shorts.
Posted by MJ | October 15, 2010 11:42 AM