Thursday, July 6, 2017

Police Pensions Are Headed for Disaster!

Written by Joe Scudder

And if police pensions are headed for disaster, they will probably take the rest of the country with them.   Police pensions are underfunded but voters defend police pensions. That doesn’t make police pensions safe.   Those same voters will vote down the draconian taxes required to fully fund the police pensions. It just means that nothing will be done about pensions until it is too late to do anything about it.  Conservatives reading about underfunded police pensions know that it will lead nowhere good. What happens if the Federal Government “bails out” the police pension by federalizing the police—the goal of many progressives?

The Wall Street Journal reports, “Ill-funded Police Pensions Put Cities in a Bind. ......To Read More....

My Take - The solution is to turn those public pensions into private retirement plans and be done with them. From that point on they will be responsible for their own retirement planning and the employer's only responsibility will be to negotiate how much they will contribute. The day is coming when all companies and all governments will be forced to stop being in the retirement business,

There are five retirement public employee plans in Ohio.  Six years ago when Kasich took over from Strickland those plans were 66 billion  dollars underfunded.  After six years I know that has been reduced to 11 billion at one point but we come back to the same problem.  How it's determined how much money is required to be in the plan to fund it. However, if all these plans are privitized then that won't matter.  

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