Discussion in 'Central States Pension Fund Discussion' started by Kennesaw Kid, Nov 18, 2017.
I'm confused by this bill. Pension funds, which are critically short of cash to begin with, are supposed to take loans from a new agency which sells bonds, on the open market, to raise cash for the loans. Then the funds are supposed to set aside money, which they didn't have before, in safe paper like annuities, in order to maintain the current pension payments. If the funds couldn't afford to set money aside before, now they will be able to pay back what they didn't have before plus interest and the Fund's hole just keeps getting deeper and deeper requiring more loans and more interest.
What am I missing here?
Companies that were allowed to go bankrupt and not pay pension liability was what is/was killing CSPF. Bankruptcy judges put paying pension liability at the bottom of the list when it came to paying off outstanding debt when liquidation of the companies happened.
You not taking into account more are receiving than putting into the pension at this point......Expect that ratio to level off at some point in the future
Add in that, until those bonds are funded, the money is a bailout from the taxpayers. And $25 billion from PGBC which the Fund already says it'll never pay back.
I doubt this leaves the Senate Finance Committee. Besides only having Democrat Sponsors, besides the Government being broke- the Sponsor, Sen Brown, got into a shouting match with Committee Chairman Hatch an hour later over taxes. Don't expect anything Brown wants to move anytime soon...
Oran Hatch has taken sides with Teamsters in the past. You may recall that Henry Cisneros who was Clinton's HUD secretary wanted to "borrow" from union pensions to fund low income housing so the poor could live in them & pay back the loan later when they had jobs. Hatch was one that spoke out against this attempt to raid our funds.. We all know what would have happened to our pension funds it that had happened. Also years later there was an attempt by senators to seize control of the Teamsters & appoint an oversight committee to run the operations of the union. Hatch spoke out against government control of any labor organization. Hatch is considered to be a staunch conservative but he saw through these attacks on labor & helped stop it. He is considering retirement. I hope whoever takes his senate seat will be as much a friend of working people as he has been.
In that exchange with Senator Brown Hatch said he came from a lower/middle class working family & he understood very well what struggles working people have to make ends meet & still pay more than their share of taxes. Hatch said he was tired of the "Crap" being put out about Republicans not caring about the working class Americans. Brown should show more respect for the Chairman of whatever committee he is working with. His smirks toward Senator Hatch appeared to be quite childish to me. I don't think Senator Hatch would let this incident keep him from supporting a just cause. He is a bigger man than that.