HARRISBURG, Pa. (AP) – Gov. Tom Wolf’s office says the Democrat supports legislation advancing in the Pennsylvania state Senate to overhaul retirement benefits for future state government and public school employees.
Wolf’s office said Sunday night he supports the bill’s goals of continuing to pay down the pension debt on the current schedule, reduce pension fund investment fees and shift investment risk away from taxpayers. A Senate vote is expected Monday.
The bill passed a first committee vote Sunday night on a near-party line basis, just hours after the legislation became public.
The bill would shrink the traditional pension benefit for future hires in Pennsylvania’s two big debt-saddled pension systems, and add a 401(k)-style benefit.
Actuaries say it wouldn’t reduce near-term pension obligations for the state and school districts, and long-term savings are minimal.
Future state troopers and corrections officers are exempt, and current lawmakers and public employees can choose to join a new plan. Retirees are unaffected.