Tobash: Pennsylvania needs public pension reform now
09/17/2014 06:58PM ● Published by Lev
Rep. Mike Tobash (R-Schuylkill/Berks) continues to lead the charge for meaningful public pension reform in Pennsylvania. This week, Tobash announced the availability of www.PANeedsPensionReform.com, a new website that outlines Pennsylvania’s current pension crisis. The site also includes details about the hybrid pension plan solution Tobash has developed.
“The public pension crisis that exists in Pennsylvania is huge, but the answer to fixing it is right in front of us,” Tobash stated. “Now is the time to implement sustainable reform. The Commonwealth is currently facing a $50 billion public pension debt, and that number will only continue to grow until reform is enacted. Pennsylvania needs public pension reform, and we need it now.”
Included on the website is a video featuring Tobash, titled, “We Need Pension Reform Now.” The video outlines the current public pension crisis and its $50 billion debt; explains how the state acquired this unsustainable debt; details five major problems Pennsylvanians will likely face if no action is taken; describes the solution the hybrid plan approach offers; and dispels a few common myths about his hybrid plan solution.
“One way or another, this is an issue that affects every Pennsylvanian,” Tobash said. “The No. 1 reason school property taxes are increased is to meet the school districts’ pension obligations; they are under a tremendous amount of stress due to our pension debt – which is only getting worse.”
School district salaries and public pension costs for all Pennsylvania school districts, from years 2008-09 to 2012-13, are available on PANeedsPensionReform.com.
Since June, Tobash has visited several areas outside the 125th District to speak with residents from other areas of the state about the public pension crisis and his hybrid plan solution.
The hybrid plan solution stipulates that new employees entering the public pension systems will be enrolled in a hybrid pension plan, which is a combination of 401(k)-type and traditional plan. In doing so, this plan is estimated to save between $11 billion and $15 billion over a 30-year period. Current employees and retirees would see no changes in their benefits under this plan.
An overview of the hybrid plan solution is also available at PANeedsPensionReform.com. A timeline, which outlines the progression of the state’s public pension crisis and explains how the problem has grown over time, is also provided online.
Visit PANeedsPensionReform.com for more information about Tobash’s hybrid plan solution, the first step in addressing Pennsylvania’s public pension crisis and stopping the bleeding from within the current systems.