Denver Post: PERA bill has a major flaw
Author: The Denver Post Editorial Board - March 10, 2018 - Updated: March 10, 2018
The long-awaited bipartisan proposal to fix Colorado’s pension system is a solid first salvo in the politically fraught fight ahead to secure the future retirements of around 566,000 people.
There’s much to like in Senate Bill 200. It raises the retirement age for future hires to 65, imposes a longer time period for the calculation of the average salary that determines retirement benefits, increases employee contributions from 8 percent to 11 percent and cuts retiree cost-of-living adjustments from a guaranteed 2 percent to 1.25 percent.
The Denver Post’s Brian Eason reports the plan would eliminate the projected $32 billion to $50 billion shortfall in around 26 or 27 years, instead of the standard 30 years.
Republican Sens. Jack Tate and Kevin Priola and Democratic Reps. K.C. Becker and Dan Pabon deserve much credit for drafting a feasible bill with enough time for public consideration.
But there’s a major flaw.
Read more at denverpost.com.