Seven senators will take a look at possible reforms and if the proposed cost of living adjustment for retired public employees is feasible. Oklahoma Senate President Pro Tempore Greg Treat made the appointments to the work group on Monday.
Treat specifically wants the group to see if the House bill giving retirees a four percent cost of living adjustment is affordable. The total price tag to the pension funds is estimated at $850 million.
Treat also wants suggestions on how to further protect the funds while building their financial stability.
“When Republicans took over in 2010, many of the state pension systems were in poor financial shape after years of mismanagement by previous leaders at the Capitol. Not only did that threaten the retirement of future state employees, it negatively affected the state’s bond rating and made it more expensive for schools, local governments, and the state to borrow money for important capital projects,” said Treat. “Republican leaders made considerable progress in reforming pensions, most notably requiring COLAs to be fully funded. Senate Republicans understand public employees, who have served the state admirably, want a COLA; however, it’s important we take prudent fiscal action to ensure we don’t threaten the progress made in making our pension systems more stable. The working group will help us gain a fuller picture of current pension legislation and other potential issues that need to be addressed moving forward.”
The working group has until April 4 to come up with its findings.
The members of the group are:
Senator Jason Smalley
Senator Marty Quinn
Senator Gary Stanislawski
Senator Lonnie Paxton
Senator Dewayne Pemberton
Senator Tom Dugger
Senator John Michael Montgomery
