The state House recently advanced three bills that aim to reform the state’s pension system.
A Public Pension Management and Asset Investment Review Commission’s report made recommendations to improve the system, save taxpayers money, and protect investments. The bills are the result of that recommendation.
House Bill 1961 would require the State Employees’ Retirement System (SERS) to prepare an annual report on its investment-performance data for the fiscal year.
House Bill 1962 would require the actuaries for SERS and the Public School Employees’ Retirement System (PSERS) to perform an annual stress test that includes a sensitivity analysis, a scenario analysis, and a simulation analysis.
House Bill 1963 would codify the Legislature’s funding of statewide pension systems in each budget. It would remove language from the SERS and PSERS’ code to clarify that contribution collars are no longer in effect.
“This package of bills fully funds the statewide pension systems, which is one of our most costly government services, and ensures that taxpayers will be protected from future tax hikes and other extreme measures,” State Government Chairman Rep. Garth Everett (R-Lycoming/Union) said. “Our budget will be strained this year due to the governor’s excessive shutdown mandates, and we must take all necessary precautions to get us on a better path.”
The bills move to the Senate for consideration.