pa legislative black caucus letter to gov corbett on public pensions

8/12/2019 PA Legislative Black Caucus letter to Gov Corbett on Public Pensions

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December 17, 2013

The Honorable Tom Corbett, Governor225 Main Capitol BuildingHarrisburg, PA 17101

Re: Protecting Public Pensions for Pennsylvania Employees

Dear Governor Corbett:

As you are keenly aware, the subject of pension reform has been at the forefront of political debate for

many years, particularly within the last two legislative sessions. And while we can all agree that theunfunded liability of our states public-pension systems is a serious problem that needs to be addressed,what is often lost in the conversation about public-pension reform are the faces behind the proposedcuts, including their concomitant economic and social repercussions. The current litany of policyrecommendations that have been proposed by members of our General Assembly does not bode well fortaxpayers, particularly as it relates to our nurses, teachers, and firefighters. Rather than undertaking theimportant task of protecting pension security during a period of economic instability within ourCommonwealth, it seems as if your administration subscribes to legislative initiatives that wouldeffectively increase the probability of retirement insecurity and would cause poverty rates to spikeamong Pennsylvanians.

To further underscore our position, according to a 2012 report issued by the National Institute onRetirement Security (NIRS), poverty rates among older households lacking pension income wereapproximately six times greater than those receiving pension benefits. As such, any efforts that wouldeither directly or indirectly result in a reduction or elimination of pension income would increase thenumber of older Americans classified as poor or near poor in Pennsylvania.


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Older households with lifetime pension incomes are far less likely to experience food, shelter, and healthcare hardship, as well as tend to be less reliant upon public assistance. Therefore, the corollary of your

proposed hybrid pension plans, which seek to slash the pension benefits of Pennsylvanias publicemployees, would result in more employees falling into poverty and relying upon public assistance

programs, such as Medicaid and the Supplemental Nutrition Assistance Program (SNAP) two programs of which conservatives purport are bloated and expanded beyond the scope of sustainability.

And while the aforementioned method of reform would obviously have an adverse effect upon elderlyhouseholds in a general sense, it would be even more pronounced among ethnic-minority families, whomany studies have shown, have lower incomes and savings than the average U.S. family. Furtheremphasizing this point is the fact that the median African-American family aged 70 and older has a networth of $36,900, which is significantly lower than the net worth of the median U.S. household.Therefore, retired African-Americans are more apt than their counterparts to rely heavily upon income

from pension plans and earnings than other retirees.

Lastly, for the many Pennsylvanians who have dutifully served our Commonwealth for 20, 30, and insome cases 40 years, they should be afforded the peace of mind of knowing that their employer willuphold their contractual promise to provide them with the retirement benefits that they have both earnedand deserve. The principle of fairness needs to be the cornerstone of any initiative proposing to reform

public-pensions. Pennsylvania s public employees have more than demonstrated their willingness toembrace fairness and compromise, as evidenced by their numerous and substantive benefit concessions

pursuant to Act 120 of 2010. Now is the time to acknowledge and reward their collective spirit ofcompromise, not dismiss it and make attempts to exploit it.

In closing, while it is likely that there will never be a perfect solution to this critically important issue,we as public officials are expected to put forth the most practical and optimum proposal before ourcitizenry. Pennsylvanians demand and deserve nothing less. Moving forward, please know that ourmembership is willing to lend its assistance in any way practicable concerning the development of a planto both equitably and constitutionally address the subject of public-pension reform in Pennsylvania.Should you wish to discuss this matter at further length with me, please feel free to contact my office at(717) 772-6955. Thank you for your consideration of this correspondence.

Sincerely,

Hon. Vanessa Lowery Brown, Chairwoman Hon. LeAnna Washington, Vice-ChairPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 190 th Legislative District State Senator, Senate District 4


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Hon. J.P. Miranda, Treasurer Hon. Stephen KinseyPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 197 th Legislative District State Representative, 201 st Legislative District

Hon. Vincent Hughes Hon. Anthony H. WilliamsPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Senator, Senate District 7 State Senator, Senate District 8

Hon. Shirley Kitchen Hon. Jake Wheatley, Jr.Pennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Senator, Senate District 3 State Representative, 19 th Legislative District

Hon. Edward Gainey Hon. Thaddeus KirklandPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 24th Legislative District State Representative, 159 th Legislative District

Hon. James Clay Hon. Jordan HarrisPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 179 th Legislative District State Representative, 186 th Legislative District

Hon. Ronald G. Waters Hon. Michelle BrownleePennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 191 st Legislative District State Representative, 195 th Legislative District

Hon. Rosita Youngblood Hon. Cherelle ParkerPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 198 th Legislative District State Representative, 200 th Legislative District

Hon. Dwight Evans Hon. James R. Roebuck, Jr.Pennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 203 rd Legislative District State Representative, 188 th Legislative District


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Hon. Margo Davidson Hon. W. Curtis ThomasPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 164 th Legislative District State Representative, 181 st Legislative District

Hon. Angel Cruz Hon. Louise Williams BishopPennsylvania Legislative Black Caucus Pennsylvania Legislative Black CaucusState Representative, 180 th Legislative District State Representative, 192 nd Legislative District

Hon. Patty KimPennsylvania Legislative Black CaucusState Representative, 103 rd Legislative District

pa legislative black caucus letter to gov corbett on public pensions

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