TRENTON, N.J. (AP) - Legislation passed by lawmakers this week would let New Jersey police and firefighters control their $26 billion pension fund instead of the state.
The legislation passed in the Democrat-controlled state Assembly on Thursday and now goes to Republican Gov. Chris Christie’s desk to consider.
An independent panel overseeing investments and benefits would manage the pension fund.
The board of trustees would be able to change member pension contributions, as well as the formula for determining payouts and retirement age. They could also increase or reduce benefits.
Actuarial reports indicate the Police and Firemen’s Retirement System is $11 billion short of what it needs to pay for promised benefits.
Members of the governor’s pension and health benefits commission and his former treasurer have said the bill puts taxpayers at risk.
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