Issue Position: Hastings on Pension Reform

Issue Position

* OVERVIEW:

There is nothing more unfair than working your whole life with the expectation of a pension benefit, then to be told the people in charge either stole it or mismanaged it to the point where it is insolvent. This has happened continuously with Congress raiding the pension funds, expanding benefits
The bottom line is that government officials over a period of time lacked political fortitude and competence to pay the employers fair share and manage the funds correctly. The problem that exists now only has two solutions: do employees want to lose it all or do they want to lose some of it.

* MY VIEW ON SENATE BILL 512

I support Senate Bill 512 giving state workers three options going forward: 1.) paying more into the system to maintain their scheduled benefits 2.) Paying the same for a smaller defined benefit or 3.) moving to a 401(k) --style defined contribution plan.

* PENSION PLAN REFORM

We need to protect the unions (i.e. teachers, firefighters, police, etc.) by providing them a place at the table when negotiating and discussing any matters regarding pension reform. Legislators are not investment bankers, nor should they be managing or determining over the future of people's lives
Rather than choosing "riskier" funds that give a higher rate of return in the Teachers Retirement System (TRS), we need to reinvest back into it. The TRS has been raided time and time again by the state legislature and is comparable to a modern day "Ponzi Scheme".

Pension Shortfalls: Pension funds are on target to go bankrupt because the state overpromised what it could deliver, then began shorting the funds on going back as far as 10 years ago.

Currently, there is no way to fund the pensions without the cooperation of the retirees with some or all of the following options:

Increasing retirement age.

Increasing co-payments for health benefits or mandating managed care programs.

Decreasing benefit payouts.

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