39°FFog/MistFull Forecast

Report: 5 state pension funds owed $100.5B

Published: Wednesday, Jan. 8, 2014 2:00 p.m. CST

SPRINGFIELD (AP) — A state report shows the amount of money taxpayers owe five state pension plans hit $100.5 billion on June 30. But that's $3 billion less when not using a counting method adopted five years ago that made the pension picture brighter.

Auditor General William Holland released a report Wednesday that estimates the total retirement-fund debt based on a process called "smoothing" — considering gains and losses during the past five years.

Without smoothing and instead considering current market value of assets, the total unfunded liability is $97 billion.

Democratic state Rep. Elaine Nekritz of Northbrook is a House pension leader. She notes smoothing brightens the picture in down times but encourages lawmakers not to abandon it in good times.

Lawmakers adopted a plan in December to reduce the pension debt.

Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

National video

Reader Poll

Do you support protesters who have marched against the 2014 Chicago police killing of a black teenager who was shot 16 times by a white officer?
Yes, I support the protesters
No, I don't
Not sure
No opinion