Skip to main content

Posts

Showing posts from January, 2017

Eight-Year Funding Plan a Disaster; Twenty-Year Plan Will Fix It?

In eight years, with a 4-3 majority of the TVARS Board voting to reduce benefits in 2009 and again in 2016, TVA's pension funded ratio declined from 77% to 55%. TVA has now embarked upon a twenty-year funding plan which was approved by a 4-3 majority of the TVARS Board in 2016 along with the most recent benefit reductions. Loyalton, CA reduced their retirees' pensions by 60%. They are 40% funded. See the Fox Business video  here . Note that Loyalton pulled out of CalPERS and has quit meeting its funding obligations to CalPERS. That is what led to the cuts.