The Pueblo Chieftain: PERA pension peril
Author: The Pueblo Chieftain Editorial Board - December 15, 2017 - Updated: December 15, 2017
State treasurer Walker Stapleton is on the right track, prodding the Colorado Public Employees’ Retirement Association to restore the state and local government pension fund to financial soundness.
Stapleton plans to run for governor next year and we don’t know if his proposed PERA fix — freezing pension benefits and cost-of-living increases — is the best approach. It does have the merit of forcing the PERA board of trustees to coming to grips with the problem, which is serious. PERA’s projected revenues fall $32 billion short of meeting the pension benefits due to 566,000 current and retired members over the next 30 years.
Usually at odds with Stapleton, the PERA board of trustees grudgingly recommended a two-year freeze in cost-of-living increases and a modest reduction in benefits for the time being.