Friday, June 6, 2008

New Hampshire Legislature reaches agreement on retirement bill

The New Hampshire Concord Monitor reports house lawmakers and senators yesterday settled differences on a wide-ranging bill to overhaul the shaky New Hampshire Retirement System.

The New Hampshire Retirement System is $2.7 billion short on its long-term obligations, and with a funded ratio of 63 percent, it is among the worst-off public pension systems in the nation.

The final bill is expected to stem projected surges in town and city retirement costs, from more than 50 percent to less than 15 percent. It pares future increases in a health subsidy many retirees receive, freezing it for four years and then adding a 4 percent annual increase after that.

The bill leaves the size and membership of the retirement system board alone, with eight seats designated for employees, but adds new requirements that all future trustees must have experience in "finance or business management."

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