States owe nearly a trillion dollars in liabilities on top of unfunded pensions, report shows

The American Legislative Exchange Council released its report Thursday on "Other Post-Employment Benefit (OPEB) Liabilities," which total about $959 billion

• Without real policy reforms, defined benefit OPEB plans will place a severe burden on taxpayers and other state spending priorities.
• By offering a range of defined contribution options for new employees, states can keep the promises made to both public employees and taxpayers."
• The debt obligation is about $3,000 for every U.S. resident, leaving taxpayers footing the bill.

Biden is saving private union pensions by making ordinary Americans pay for them

• 6% of private sector workers are unionized, but many of them are not part of a union.
  1. “Without real policy reforms, defined benefit OPEB plans will place a severe burden on taxpayers and other state spending priorities,” ALEC Chief Economist and Executive Vice President of Policy Jonathan Williams said.
  2. “Well governed states such as Nebraska and South Dakota have switched to defined contribution plans to reduce the burdens on taxpayers to zero,” ALEC Center for State Fiscal Reform Research Manager Tom Savidge said.
  3. Nebraska, South Dakota, Kansas, Utah, Montana, and Idaho rank as the five best states for OPEB plans, according to the report.

   

 

https://justthenews.com/nation/states/center-square/states-owe-nearly-trillion-dollars-liabilities-top-unfunded-pensions