Are Georgia’s OPEB Liabilities a Problem?
By Allen Buckley
The media often reports about the funding problems of state and local pension plans, such as the plans maintained by Illinois, California and New Jersey. Georgia’s pension plans have also received significant press as well, although most of it has been positive. Regularly overlooked are liabilities relating to post-retirement medical obligations.
In a February 28, 2006 press release titled “Georgia Named One of Top Five Best States for Pension Funds,” Governor Sonny Perdue boasted: “I am proud of Georgia’s high pension fund ratio.” The article stated the State’s pension funding ratio was 101 percent, trailing only Florida and North Carolina.
Like most pension plans, Georgia’s plans…