NM Public Pensions: Solvency Task Force Digging

Bill Richardson

From Capitol Report New Mexico - On the heels of a study conducted by two Chicago-area economists that places New Mexico among 31 states predicted to run out of state pension fund money within the next 16 years, the state legislature’s Retirement Systems Solvency Task Force met Friday (Sept. 10) at the Roundhouse. Members listened to two officials from Buck Consultants, who gave the task force a general overview of the fiscal health of the Public Employees Retirement Association (PERA) and Educational Retirement Board (ERB) funds. The consultants told members that “benefit and funding policy changes are needed” but backed away from determining how urgent and deep the changes need to be. When asked point-blank by one member of the task force, “What level of crisis are we in?” principal and consulting actuary David Slishinsky replied, “You have to ask yourself, what do you mean by solvency?” The Buck report painted a mixed picture: on one hand, the actuaries didn’t seem overly alarmed by the relative health of the two state funds but on the other, they pointed to tables that projected larger unfunded liabilities that they expect to grow over the next decade. Read more here:

NM Public Pensions: Solvency Task Force Digging