[speedgibson] Speed Gibson: Breakin' all the Rules

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Posted by Speed Gibson:
Breakin' all the Rules
http://speedgibson.powerblogs.com/posts/1241403266.shtml


   Guess what? The Teachers Retirement Association (TRA) pension plan
   doing about as well as most of our retirement portfolios. Do they suck
   it up like we have? Not if they can get a bailout from the Legislature
   as [1]Education Minnesota has requested.
   How much? Oh, a little over $ 200 million. But hey, we pay nothing
   until 2011! Of course, by then the number could be $ 400 million. Did
   we mention that we're lowering the retirement age, but not to worry.
   The employee contributions are being increased to handle that. It
   seems to me that they should make the fund solvent first with those
   increased contributions, and according to the Minneapolis Star Tribune
   article, the Minnesota Taxpayers Association (the other one!) seems to
   agree.
   In this new world of Obama where contracts and existing laws are no
   longer honored, let's compromise. It is long past time to get these
   public pensions into the 21^st century, converting them from defined
   benefit to defined contribution. We'll give you the money if and only
   if, when and only when you make this transition. In other words, this
   will be the last bailout.
   Like I said, forget whatever laws are on the books. The One has shown
   the way with Chrysler, that the last shall be first, that the end
   justifies the means. Just do it.
   Seriously, we have two years to get this done, and it does address the
   "fairness" that both the national Democratic Party and the DFL keep
   bringing up. If we have to watch our funds drop, so should the
   teachers and anyone else in obsolete pension plans.

References

   1. http://www.startribune.com/politics/state/44202187.html