This morning on EKU’s campus, Representative and Majority Floor Leader Johnathon Shell of the 71st House District spoke on pension issues at the Richmond Chamber of Commerce’s Business and Breakfast meeting.
Shell outlined how the pension woes got to the point that they are in the Commonwealth, which are now totaling over 2.4 billion in the red by some estimates. He reiterated that this outstanding deficit began many years ago when an entirely different group of people were in control in Frankfort. Shell continued that there have been multiple bills passed in recent years in hopes to rectify the mounting issue, but more needs to be done.
He also dispelled some myths for those that are concerned about losing their benefits when the necessary cuts will be made, which seem to be hovering around the 30% mark statewide. He explained that the most recent report, which came out in August, came too late after the General Assembly, so nothing was passed regarding pension reform when the legislature met in early 2017 for the short session.
Moving forward, Shell apologized for not having any hard and fast answers at the moment, but assured those in attendance, including many from the city and county who would be affected by such cuts, that solutions were coming.
He quoted the next five to ten days as being allotted for caucus to meet with pension experts from the LRC to look at the numbers. Shell admitted that the problem is so vast and so complicated that the pension experts are detrimental in the process, as the scope goes beyond what most lawmakers could ever comprehend.
Soon, more details will be announced to the public once the reform proposal is firmed up in Frankfort.
