According to a recent report from the nonprofit Truth In Accounting, a lot of public employees in states and cities controlled by Democratics may well be in for a rude awakening come retirement:
Of the 237 cities studied, 29 received an "F" grade, reflecting a funding ratio of less than 35 percent. Those plans cover many thousands of workers who cannot possibly be paid their full promised pensions, absent a huge tax increase (which would also come out of their pockets as workers).
Based on the size of its unfunded pension liabilities, Chicago is in the worst shape, with more than $62 billion worth of unfunded pension promises. Chicago has less than 33 cents set aside for every dollar promised.
The Chicago Municipal Employees plan is estimated to run out of assets in seven years, since it is only 20.3 percent funded. The police fund (funded at 25.4 percent) and the firefighter's fund (funded at 21.7 percent) will not be far behind. The Public School Teachers' Pension and Retirement Fund is in slightly better shape with 51.6 percent funding.
New York City is in second worst shape in terms of total dollars needed, with an unfunded pension liability of more than $61 billion, but at least it is 71 percent funded.
At another extreme, Portland, Ore., has set aside less than 1 percent of what it needs to pay its $2.9 billion of pension promises.
And at the state level in Oregon, the Public Employee Retirement System (PERS) is over $22 billion in the hole, and counting. That's what several decades of voting only Democratics into orifice gets you. At this rate, it may become necessary for Oregon public employees to contribute money into their own retirement accounts. That shouldn't be a problem; they'll just "negotiate" pay increases to offset the "burden".