Tag Archives: pension system

My parents don’t often let me drink soda, but I like to think of myself as a Coca-Cola guy. Pepsi just doesn’t quite do it for me. And don’t even get me started on the off-brand colas. Big K Cola? Yuck! I have to admit, though, that I haven’t yet tasted this PERA COLA thing I’ve heard so much about. Maybe that’s for the best; judging by some of the reactions I’ve seen to yesterday’s Colorado Supreme Court ruling on the issue, I’m thinking I’d probably find it a bit too heavy. I wrapped up last week’s policy adventures by writing about Colorado’s Public Employees Retirement Association (PERA), which provides pensions for many Colorado’s public school teachers (roughly  and a large number of other public employees in the state. In that post, I briefly mentioned a 2010 bill that aimed at partially correcting one of PERA’s biggest problems: Unfunded liabilities. While that bill was a small—perhaps inadequately small—step in the right direction for Colorado, it required some tough changes to be made. Among those changes was a reduction in annual cost-of-living (COLA) adjustments for those covered by PERA’s pensions—including the more than 100,000 retirees who are already receiving benefits. More […]

Yesterday morning some of my Education Policy Center friends were down at the State Capitol (now, like me, they can hardly get out of their driveways… snow day!). They joined Dr. Michael Mannino, author of the Independence Institute report Deferred Retirement Compensation for Career K-12 Employees: Understanding the Need for Reform (PDF), for his informational presentation to the joint House and Senate Education Committee. New Ed News Colorado reporter Nancy Mitchell provided some colorful coverage of yesterday’s unusually well-attended proceedings (hey, I don’t even want to get out of bed at 7:30 AM): Rep. Michael Merrifield, D-Manitou Springs, drew applause from a standing-room only crowd when he closely questioned Michael Mannino, a University of Colorado professor who helped write the report. “Is it possible that your phrases like drastic tax increases and meltdowns could be fear-mongering on your part … in support of your political agenda?” Merrifield asked, an apparent reference to the report’s sponsor, the Independence Institute, which bills itself as a “free market” think tank based in Golden. “Could it be that you’re making an assumption to support your personal views that teachers shouldn’t have a defined benefit plan?” Merrifield asked at another point. “I want people to […]

The big story in the news is about President-elect Obama’s giant “stimulus” plan – better known as a giant spending spree that hangs even more debt on the shoulders of me and other kids growing up around America. That part is bad enough. But three leading education reformers – Michael Petrilli, Checker Finn, and Frederick Hess – see other serious problems that it will create for trying to improve our schools and help students learn. In the column they wrote for National Review yesterday, the authors challenge the suggestion that tons of federal government money “invested” in education will yield more positive results down the road: In concept, of course, well-delivered education eventually yields higher economic output and fewer social ills. But there’s scant evidence that an extra dollar invested in today’s schools delivers an extra dollar in value — and ample evidence that this kind of bail-out will spare school administrators from making hard-but-overdue choices about how to make their enterprise more efficient and effective.