Please kill this bill because it will accelerate the death of the Retirement Fund. There was no actuarial study to determine the viability of such legislation before the Senate passed Senate Bill 17-29. Any legislation that addresses benefits for its members must first have actuarial study before it is considered. This is one of the many reasons that the Retirement Fund is in financial crisis today. Over the years, the Legislature passed about 20 laws that either increased the pension benefits or increased operating expenses to the Retirement Fund. Should Legislative Initiative 16-13 be approved by the voters this November, this type of legislation or any other legislation could not be entertained because it increases the unfunded liabilities of the Retirement Fund.
By transferring the payroll responsibilities of active government employees who are members of the Definited Benefit Plan to retire earlier than expected is definitely not a sound financial decision for the Retirement Fund. We would like to see the Retirement Fund continue its existence for the benefit of the retirees and active members. Do not continue to shorten its lifespan by passing Senate Bill 17-29.
Your understanding is appreciated.
JUAN M. SABLAN
Chairman
Commonwealth Retirement
Association
