I am pleased to report that the Commonwealth budget proposed by Governor Wolf includes full actuarial funding to PSERS for the third consecutive year. Paying full actuarial funding is a vital step that will not only pay for current benefits being earned but also begin to address and pay down the already accumulated pension debt. While a challenging pension funding environment remains for school employers and the Commonwealth due to legacy debt issues, all of the sources of funding are in place to bring PSERS back to fully funded status over time. As reported in December, on a market value basis, PSERS’ unfunded liability declined in FY 2017 as PSERS’ total net position grew faster than its total pension liability. As a result, the funded ratio on a market value basis also improved.
Glen R. Grell
PSERS Executive Director