Recently, it was announced that our illustrious representatives in Oregon agreed to “downgrade” the arbitrary return on earnings from 8 percent to 7.75 percent. What a joke! This is like taking someone who is $1,000-per-month overspending on their budget and saying we will fix this by cutting out potato chips every month. We citizens are being so misled; it is sad. Nowhere in the article do we see what PERS has really achieved as an annual rate of return. I know that several states have never seen close to 8 percent, for the last 20 years! So this unfunded liability just keeps on building.
There is no political will to build integrity into our nation’s programs. Detroit is a shining example. We need to demand that our state politicians address the PERS issue and all others that utilize “flaky” accounting.