Colorado PERA Submits Letter to Joint Budget Committee Regarding Legislative Proposals

Colorado PERA Chief Executive Officer/Executive Director Andrew Roth submitted a letter to the Legislature’s Joint Budget Committee requesting support for two legislative proposals that aim to strengthen PERA’s financial position without requiring any new funding.

The proposals include allowing PERA to allocate the State’s annual $225 million direct distribution to PERA’s Defined Benefit Plan trust funds in a way that will reduce the likelihood of benefit adjustments under the Automatic Adjustment Provision in future years, and reallocating a portion of employers’ health care trust fund contributions to the Defined Benefit Plan trust funds.

“These proposals are designed to strengthen PERA’s long‐term sustainability without requiring any new funding, and to reduce the likelihood of triggering the Automatic Adjustment Provision (AAP) that increases contributions for both members and employers and lowers benefits for retirees when PERA’s funding falls below the level necessary to meet the full funding goals established in SB 18-200,” Roth said.

Read the full letter (PDF).