Public Employees Retirement Association (PERA)
Justin is proud to have State Treasurer Walker Stapleton supporting and advising his campaign. Walker has taken a lead on diffusing this ticking time-bomb for taxpayers.
Colorado’s government employee pension program is in trouble. Estimates state that PERA is somewhere between a $21 billion and $41 billion unfunded liability. To put this in perspective: our entire state budget is $20 billion. Self-interested individuals have been overseeing PERA, and have been doling out unsustainable benefits, including early retirement at a significant portion of the retirees salary. In November of 2011, PERA was still counting on an 8% return, and this is completely unrealistic.
Three Short-term Fixes For PERA:
- Change the make-up of the PERA Board from PERA enrollees to actual financial professionals that don’t have a self-interest.
- Change the benefits, and raise the retirement age for PERA (again).
- Switch from a defined benefits plan (You are guaranteed X amount of dollars when you retire at age X), to a defined contribution plan (you contribute part of your salary, and the market will dictate what you get when you retire).