DeFoor Announces 3% of Municipal Pension Plans Are Funded below 70% 

Auditor General Timothy L. DeFoor urged municipalities to make the required contributions to their pension plans after a new report showed that 22% of municipal pension plans were in some state of distress.  Of those plans that are distressed, 272 were considered minimal distress, which means that the pension plan is funded at 70 to 89%; 40 were considered moderately distressed, with the pension plan funded at 50 to 69%, and only four were considered severely distressed, with the plan funded at less than 50%. However, in his comments, DeFoor noted that this is an improvement from the 37% of municipal pension plans that were distressed in a previous report despite stock market losses and higher inflation. Click here for the press release.