The Latest: Panel OKs bills aimed at unfunded retiree plans - InfoNews

Current Conditions

Mostly Cloudy
-2.1°C

The Latest: Panel OKs bills aimed at unfunded retiree plans

December 05, 2017 - 2:22 PM

LANSING, Mich. - The Latest on the Michigan Legislature's consideration of municipal employee retirement bills (all times local):

5:20 p.m.

Bills that would force local governments to boost their funding of employee retirement plans over time are advancing in Michigan's Legislature.

Republican-controlled Senate and House committees approved the legislation on party-line votes Tuesday. Their future is uncertain in the full Legislature.

Gov. Rick Snyder supports the bills as a way to address billions of dollars in unfunded pension and health care liabilities. He briefed GOP lawmakers behind closed doors Tuesday.

Police, firefighters and groups representing municipalities oppose the legislation due to concerns over potential state intervention and benefit cuts. Conservatives say many communities are getting a handle on underfunded systems, and the drastic step of appointing an emergency financial team would occur in few municipalities.

___

2:15 p.m.

Bills that would force local governments to boost their funding of employee retirement plans over time are advancing in Michigan's Legislature.

A Republican-controlled Senate committee approved the legislation on 4-1 party-line votes Tuesday. A House panel may vote later in the day.

Gov. Rick Snyder, who supports the bills as a way to address billions of dollars in unfunded pension and health care liabilities, briefed GOP lawmakers behind closed doors.

Police, firefighters and groups representing municipalities oppose the legislation due to concerns over potential state intervention and benefit cuts, and the status of the bills is in doubt in the final weeks of the year.

___

5:50 a.m.

Michigan's Legislature is beginning hearings on legislation that would force local governments to boost funding for employee retirement plans or face the possibility of a state intervention.

The bills are being debated Tuesday in House and Senate committees controlled by Republicans. Legislative leaders hope to enact the measures this month to shore up underfunded municipal systems, but opposition is building from police and firefighters worried about cuts to benefits.

The legislation would require local pension and retiree health care plans to report financial information to the state. They would have to meet gradually higher minimum funding thresholds over time.

If corrective actions weren't taken, the state could appoint a three-person team to act as an emergency manager.

The leaders of Oakland and Macomb counties came out against the bills Monday.

News from © The Associated Press, 2017
The Associated Press

  • Popular kamloops News
  • Comments
View Site in: Desktop | Mobile