State Rep. Glen Grell (R-Cumberland) announced a comprehensive new plan for pension reform that he describes as a balanced approach in addressing future employees, current members and past underfunding of the state and school employee retirement systems (SERS and PSERS, respectively). His legislation, which will soon be introduced in the House of Representatives under two bills, differs from the defined contribution plan offered by Gov. Corbett and does not affect current retirees.
PSBA welcomes the new proposal and believes it worthy of further consideration as discussions on pension reform are renewed this fall. The plan would bring an infusion of new state dollars that are needed, a component that has not been incorporated into other pension reform plans offered to date. In keeping with PSBA’s legislative platform, the association urges the General Assembly to adopt school employee pension reform with the dual purpose of reducing projected employer contribution rate increases and reducing projected costs to school districts and taxpayers, while maintaining an appropriate pension benefit for school employees.
PSBA is a nonprofit statewide association of public school boards, pledged to the highest ideals of local lay leadership for the public schools of the commonwealth. Founded in 1895, PSBA was the first school boards association established in the United States.