Malloy Calls For Pension Plan Catch-up Payments
By SUSAN HAIGH, Associated Press
HARTFORD, Conn. (AP) _ Gov. Dannel P. Malloy has unveiled a plan that will speed up state payments to Connecticut’s underfunded state employee pension system, a move he says will ultimately make it fully funded by 2032.
The state’s pension fund is currently funded at less than 48 percent, ranking it among the worst in the nation.
The Democratic governor’s proposal released Monday calls for the state to contribute about $125 million more annually.
Malloy said he’ll reveal next month how he expects to cover that first extra payment. That’s when he gives the General Assembly his proposed changes to the state’s two-year budget.
Malloy said he doesn’t intend to raise taxes to cover the payment.
Malloy contends his proposal will ultimately save the state $5.8 billion between now and 2032.
(Copyright 2012 by The Associated Press. All Rights Reserved.)