Tag: pension funds

Retired Metro Nashville employees’ benefits are in jeopardy, one PAC says, even as Mayor Megan Barry’s supporters have no trouble raising funds from the business community to try to persuade voters to pay $9 billion for a transit system. NoTax4Tracks says in a press release that Metro Nashville has a health insurance funding shortfall for retirees to the tune of nearly $3 billion. “The good news is you are probably going to get whatever is in your pension. That part of the retirement plan is fairly well funded. The bad news is that health insurance coverage you were promised …. maybe not so much.” Health insurance, a part of “other post employment benefits (OPEB), are funded at 0 percent, the press release says, citing an October 2017 letter from Metro’s director of finance, Talia Lomax-O’dneal. The shortfall is nothing new. A Jan. 26, 2015 story from the Tennessean says the issue dates to 2002. Many of the retirement benefits are paid from the city’s budget and costs grew from 13 percent of the total property tax revenue to 25 percent in 2015. The story cites a report from The Pew Charitable Trusts that says the health care plan faces a long-term shortfall…