To Parse the Imparseable Dream

Well… way up on the Ambien scale is the latest actuarial report on the City of Pittsburgh pension system.
Here is the much anticipated: Special Study on the Pennsylvania Municipal Retirement System’s Integration of Administrative Services. Such a boring piece of ephemera you would think. Never has so much rested on what so few can make sense of.   I will get around to adding it to  my policy documents page and also the iPension page for posterity’s sake if you ever need to find it in the future.

You really need to wade through a lot to get to the points that are buried in all of that. What are the crib notes?   I distill the whole thing down to two factoids.   One is that there is a scenario in there,  the likely scenario I think, that there will be a point in just a few years that the city’s minimum municipal obligation will rise from $38 million annually presently, to $127 million in 2017 and even rising to $159 million annually in 2030.

As incomprehensible as those numbers are, it gets worse.  There is a scenario, again the most likely scenario I think, that says this:

….the Systems will be in a high risk period for the potential of running out of money because of funding relief and delay in MMO application. (see bottom of page 15 per the page numbering, or page 19 per the PDF numbering)

What?  Huh?   Who said that?

Remember, it is irresponsible to cry fire in a crowded room.

and apologies to Mitch Leigh… and I suppose Jim Nabors.

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