PERS paid $95.6 million to investment managers during fiscal year 2017.
A new study of the Mississippi Public Employee Retirement System shows the state will not reach its minimum goal of being 80 percent funded by 2042. In fact, as of June 2017, the PERS funding ratio was sitting at 61.1 percent. And that’s an increase over 2016, when the funding ratio was just 60 percent.
The report released Tuesday by the Joint Legislative Committee on Performance Evaluation and Expenditure Review (PEER Committee) is titled 2017 Update on Financial Soundness of the Public Employees’ Retirement System. A PDF of the entire report can be found online here: http://www.peer.ms.gov/Reports/reports/rpt619.pdf
According to the PEER Report, the latest projects show the Public Employee Retirement System’s funding ratio is more likely to be around 70.1 percent by 2042. To fix this, the PEER Committee offers several suggestions including:
The PERS Board could request additional employer contributions.
The PERS Board could make adjustments to the funding policy.
The PERS Board could maintain the current employer contribution rate and funding policy.
Ask the Legislature to make adjustments to the plan.
Ask the Legislature to change the plan for new members.