pensions

State Senate Passes Pension Reform Recommendations

Rae Hodge — Thu, 07 Feb 2013 23:20:54 +0000

The Kentucky state Senate passed a bill Thursday that would reform the majority of the state's pension system, 33-5.

Senate Bill 2 reflects the recommendations of the legislative task force assigned to study possible solutions to the problem over the summer.

Pension Bill Passes Senate Committee, House Still Has Hang-ups

Kenny Colston — Wed, 06 Feb 2013 20:13:26 +0000

FRANKFORT — An effort to reform Kentucky's underfunded pension systems passed in its first hearing Wednesday from a state Senate committee meeting.

Senate Bill 2 stems from the recommendations of a legislative task force that met over the summer to try and solve the pension problems.

It includes a suspension of cost of living adjustments and creates a new hybrid plan that acts like a 401K with a promised rate of return.

In Wake of Financial Downgrade, Kentucky Business Leaders Call for Quick Pension Reform

Kenny Colston — Fri, 01 Feb 2013 17:02:25 +0000

Another change in Kentucky’s financial outlook has the state’s business leaders calling on the General Assembly for immediate pension reforms.

Standard and Poor’s has changed Kentucky’s outlook to negative, citing the state's large unfunded pension obligations as the main reason.

Kentucky Legislative Leaders: Pensions Will Be Top Issue in 2013

Kenny Colston — Tue, 25 Dec 2012 12:00:00 +0000

Figuring out how to finance a plan to shore up Kentucky public employees' pensions will be the General Assembly's greatest task in 2013, two legislative leaders said.

A legislative task force has suggested several ways to brace state employee pensions, but passing legislation and paying for it will be difficult. Lawmakers' proposals include relying on existing economic growth and raising taxes on Kentuckians with higher earnings.

House Speaker Greg Stumbo said he hasn't settled on a solution.

Beshear Blends Old and New Legislative Priorities in 2013

Kenny Colston — Sun, 23 Dec 2012 16:00:00 +0000

Gov. Steve Beshear is blending a mix of old and new when it comes to his legislative priorities in 2013.

With the 2013 session’s first days only weeks away, Beshear is ready to push some old initiatives while helping lawmakers solve pressing issues like pensions.

Beshear says he will once again try to find enough votes to pass expanded gambling legislation in 2013. And he wants to pass the so-called dropout bill as well.

Stumbo: Make High Earning Pensioners Pay More to Help Fund System

Kenny Colston — Fri, 23 Nov 2012 13:00:00 +0000

State employees with higher pensions should pay more to help the underfunded systems recover, Kentucky House Speaker Greg Stumbo said in a recent interview.

One thing Stumbo doesn't want to see is lawmakers floating bonds to help pay for the state’s underfunded pensions.

And that echoes what Republicans want; they're ruling out such a possibility.

Handful of GOP House Candidates Ask David Williams To Not Use Pension Loophole

Kenny Colston — Thu, 18 Oct 2012 20:40:28 +0000

A group of GOP House candidates are encouraging one Republican leader to take a bold stance on a pension issue.

Republicans Chris Hightower, Jason Crockett, Lynn Bechler, Bryan Lutz and Matt Lockett are all in competitive races for the state House this election cycle.

The candidates want Senate President David Williams to retire, rather than resign, if he is selected and accepts a judgeship in his home county.

By retiring, Williams would not be able to use a criticized loophole that would fatten his pension. Instead, he could double dip into a second, smaller pension.

Whistleblower Disputes Retirement Officials on Placement Agent Claim

Kenny Colston — Fri, 14 Sep 2012 19:15:35 +0000

A whistleblower and former member of the Kentucky Retirement System’s board of trustees is disputing claims that the pension plan hasn’t used placement agents recently.

Chris Tobe is an investment expert who served on the system’s board for four years. He’s also the main witness in a Securities and Exchange Commissions investigation into KRS and its previous uses of placement agents.

Retirement Official Says Pensions Systems Haven't Used Controversial Placement Agents Recently

Kenny Colston — Thu, 13 Sep 2012 17:50:24 +0000

After being heavily criticized for their use, Kentucky’s major pension program says it hasn't used a placement agent for three years.

Placement agents are investing middle men that direct pension funds to investment opportunities. Kentucky has not had a good track record with placement agents, who have been accused of mismanaging millions for the pension funds according to a 2011 audit.

Republican Legislative Challengers Announce Plans to Change Lawmakers' Pensions

Kenny Colston — Wed, 12 Sep 2012 15:10:33 +0000

After years of lawmakers attempting to find solutions to the state’s underfunded pension problems, a group of Republican legislative candidates are hoping to institute a plan of their own.

At a news conference today at the Capitol, the majority of Republican challengers in House and Senate races endorsed a plan to put new lawmakers into a 401k style pension system.

The challengers say if elected their plan would be the first bill they jointly introduce. And they would include themselves in the new 401k plan.