$170 trillion, 417 billion, 574 million, 336 thousand and 200.
Posted on 07/10/2022 9:24:26 AM PDT by E. Pluribus Unum
Unfunded state debt for things like retired public employees health care coverage continues to balloon to an unsustainable level, according to a new report.
The American Legislative Exchange Council released its report Thursday on “Other Post-Employment Benefit (OPEB) Liabilities,” which total about $959 billion.
The Center Square recently reported on the huge debt levels for state pensions, which have grown to more than $8 trillion in unfunded liabilities. Thursday’s ALEC report details the other state employment obligations that are not included in pensions that public employees can receive after they retire. This can include things like life insurance, health insurance and more.
“Without real policy reforms, defined benefit OPEB plans will place a severe burden on taxpayers and other state spending priorities,” ALEC Chief Economist and Executive Vice President of Policy Jonathan Williams said. “By offering a range of defined contribution options for new employees, states can keep the promises made to both public employees and taxpayers.”
The OPEB debt obligation is about $3,000 for every U.S. resident, according to ALEC, leaving taxpayers footing the bill.”
Nebraska, South Dakota, Kansas, Utah, Montana, and Idaho rank as the five best states for OPEB plans, according to the report. Nebraska and South Dakota have no unfunded liabilities while Kansas has $138,373, a small sum compared to other states.
California, Texas, New York, New Jersey and Illinois rank as the five worst states. California alone has about $125 billion in OPEB obligations.
(Excerpt) Read more at justthenews.com ...
The big push to federalize state debt is coming.
It’s why blue states don’t care how much debt they pile up.
Can this be stopped?
Whenever some lefty starts going on about corporate greed, point out that government greed is far more voracious.
Headline should read “Blue States...”
Wait, I head newsome bragging about California’s endless surpluses...
Corrupt democrat hellhole states... what a surprise.. /s
It can only be stopped by making the Unions that negotiated these contracts responsible for the debt
IF they have to increase union dues to pay that then tough luck.
If the unions can’t pay the bills declare them insolvent and all current contracts null and void.
I live in Oklahoma, a poor state by any measure. However, our State pension fund is fully funded. Our benefits are not very generous, but they are secure. (I’m surprised it wasn’t listed as one of the top states, but perhaps the ones listed are even better.)
I’m not interested in bailing out California, New York, or Illinois (Chicago!).
Oddly enough, off all the states, no one would have thought that Alabama’s pension plan is totally funded, but it is.
Nor should you, but can it be stopped if Democrats and traitorous Republicans in the House and Senate decide to do this?
I doubt it. Rinos and Blue State allies will pass it.
California did have a huge budget surplus, somewhere in the 65–70-billion-dollar mark, due mainly to Federal Funds and the economy opening back up after Covid.
The problem is California doesn’t use the surpluses to prop up their state pension systems, they blow on things like free medical care for illegals, bullet trains to nowhere, etc...
I did not expect to see Texas on the underfunded list.
That’s why Newsom promised to provide full medical benefits for illegal aliens. He knows DC will bail California out.
I moved to Alabama from Georgia in summer 2020.
Georgia switched to a 401k type of pension plan for all new state employees some 25 years ago. I don’t know how it is now.
Government is ten million times more greedy than any other organization on the planet. It is a completely insatiable, ravenous beast that will devour everything. Our genius Founders struggled mightily to figure out how the people could constrain it and they succeeded for a couple hundred years which is an amazing achievement. But, it seems in the end, there’s no way to contain the beast.
who woulda guessed these drunken states would get a bailout. what a joke.
$170 trillion, 417 billion, 574 million, 336 thousand and 200.
It’s not as if the inflated bailout dollars will be worth much.
I’d bet that most of the Texas debt comes from Houston.
“The OPEB debt obligation is about $3,000 for every U.S. resident, according to ALEC, leaving taxpayers footing the bill.”
Good luck collecting. This Turnip is tapped out!
Yet ANOTHER reason to be debt free and live under whatever your state’s threshold is for filing income taxes.
Plan accordingly, FRiends.
P.S. Wisconsin’s State Pension Funds (Police, Firemen, Teachers, Public Workers, Unionistas, etc.) are fully funded. Have been since the ‘70’s, amazingly!
https://www.maciverinstitute.com/2019/07/how-wisconsin-fully-funded-its-retirement-system/
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