Stuff in the ‘Pension and Benefit Crisis’ Category
NJEA Claims Sunlight’s Pension Report Has “Many Inaccuracies.” Our Response: Name One.
Posted OnDecember 15, 2020 byThe NJEA responded to an NJTV piece (go to minute 19:00) on Sunlight’s recent report on teachers’ pensions by claiming it had “many inaccuracies.” Sunlight asks the NJEA to name one. The NJEA will not be able to because Sunlight’s report is factual, with all data and assertions sourced and footnoted. The NJEA also claims…Read More
NJEA Leadership Ignore the Facts and Actively Mislead Teachers about their Pensions
Posted OnDecember 9, 2020 byAs reported in POLITICO, Sunlight just released its second report on teachers’ pensions: “Ugly Truths and Hard Facts about New Jersey’s Pension Crisis, Part II: NJEA Leadership Has Secure, Gold-Plated Pensions, While Teachers’ Pensions are Inferior and at Risk.” The title says it all: the NJEA leadership can sleep well at night knowing that their…Read More
Forbes Magazine: NJ Is the Most Indebted State. Yet Gov. Murphy Will Borrow $4.5 Billion More.
Posted OnDecember 1, 2020 byEveryone knows the old saying: “If you find yourself in a deep hole, stop digging.” But in his haste to please his public sector union pals, Gov. Murphy keeps digging the hole deeper. In the end, it is NJ citizens who will pay the price. Forbes Magazine recently updated just how deep NJ’s debt hole…Read More
Just as Night Follows Day, Gov. Murphy Borrows $4.5 Billion and S&P Downgrades NJ to BBB+
Posted OnNovember 9, 2020 byBond-rating agency S&P Global downgraded NJ’s debt rating from A- to BBB+, making NJ one of only two states (along with broke IL) to have a BBB-rating, which is only one notch above “junk” ratings. When bond ratings go down, bond borrowing costs go up, so this is bad news for NJ. S&P cited NJ’s…Read More
Senate Pension Reform Bill Makes Some Necessary Changes but Needs More
Posted OnOctober 14, 2020 byTony Howley of Americans for Prosperity NJ penned an op-ed in the Star-Ledger supporting Senate President Sweeney’s S-861 bill based on his Path to Progress pension reform recommendations. These are sensible and necessary reforms that protect existing pensions but try to put NJ on a more sustainable path. The path we are currently on is not sustainable….Read More
Pew Charitable Trust Pension Update: NJ Is Dead Last Among the States
Posted OnOctober 8, 2020 byThis isn’t new news but it’s also not good news. Pew Charitable Trusts updated its pension study to include 2018 data, and NJ comes in dead last among the 50 states. NJ only has 38 cents set aside for each dollar it owes. That means that 62 cents of every dollar owed is an unfunded…Read More
Gov. Murphy: “Labor is at the table in New Jersey unlike any other state in America, and that will always continue to be the case.”
Posted OnOctober 6, 2020 byWell, there you have it from an excellent report by NJ101.5: a perfect, one-sentence description of NJ’s political status quo, delivered by our state’s top elected officer. Gov. Murphy was elected with the strenuous support of the public sector unions – a.k.a, our most powerful special interests – and continues to work hand-in-hand with them…Read More
COVID Hits NJ Pensions: Investments Earn 1.2%, Teachers’ Pension Funding Likely Down to 25%
Posted OnOctober 1, 2020 byThe Star-Ledger reported that NJ’s pension investments earned 1.2% for the fiscal year ended June 30, 2020. This is far below the 7.5% assumed return and given that NJ pensions are cash-flow negative, it is highly likely that assets had to be used to pay out pension benefits. It is also highly likely that as…Read More
NJ Debt Worst in America (Again), but Gov. Murphy Is Borrowing $4.5 billion More
Posted OnSeptember 23, 2020 byTruth in Accounting came out with its “Financial State of the States 2020,” an annual report on how much debt-per-taxpayer each state owes. New Jersey once again ranked DEAD LAST in the nation for the SEVENTH STRAIGHT YEAR. Each NJ taxpayer owes a jaw-dropping $57,900 – which is $5,900 more than broke Illinois, the state…Read More
NJ to Borrow $4.5 billion to Make $4.7 billion Pension Payment: NJ Taxpayers on the Hook
Posted OnSeptember 22, 2020 byAccording to the Star-Ledger, New Jersey’s FY2021 budget will borrow $4.5 billion in bonds. That’s more than 10% of the entire budget. Where is NJ going to get the money to plug the budget gap next year? I guess we should hope that economy does really well – despite the additional taxes on millionaires, corporations…Read More