NJ OPEB Update – 2020

Link: https://burypensions.wordpress.com/2022/04/26/nj-opeb-update-2020/

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There are three separate reports for statelocal government, and local education which throw a lot of distracting numbers at you but, when added up, show that after an amazing 1/3rd reduction in the total OPEB Liability (from $110 billion as of 6/30/16 to under $74 billion as of 6/30/19) the state actuaries sharply reversed course.

Author(s): John Bury

Publication Date: 26 Apr 2022

Publication Site: Burypensions

Will the OPEB Ostriches Ever Run Out of Excuses?

Link:https://www.governing.com/finance/will-the-opeb-ostriches-ever-run-out-of-excuses

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As one stalwart finance officer once told me, “Our pension funds basically sucked up all the new revenue we’d been hoping to set aside to properly fund OPEB.” Those and other priorities for spending each incremental revenue dollar continued to crowd out the opportunity to institute consistent actuarial funding for OPEB benefits; the path of least resistance for policymakers who lack foresight and a sense of fiscal responsibility has been to keep kicking the can.

So it is that between 2015 and 2019, the state and local sector had clearly sorted itself into three classes of employers: (1) those who had trimmed or modified their OPEB commitments and liabilities to sustainable levels, (2) those who had begun actuarial funding of an OPEB trust fund, and (3) those doing nothing and leaving the problem to their successors and future taxpayers.

Author(s): Girard Miller

Publication Date: 18 Jan 2022

Publication Site: Governing

Financial State of the States 2021

Link:https://www.truthinaccounting.org/news/detail/financial-state-of-the-states-2021

Full PDF: https://www.truthinaccounting.org/library/doclib/FSOS-Booklet-2021.pdf

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Unfunded retirement liabilities
are the largest contributing factor
to the $1.5 trillion in state-level
debt. One of the ways states make
their budgets look balanced is
by shortchanging public pension
and OPEB funds. This practice
has resulted in a $926.3 billion
shortfall in pension funds and a
$638.7 billion shortfall in OPEB
funds

Author(s): Truth in Accounting

Publication Date: September 2021

Publication Site: Truth in Accounting