Tag: state and local government
The brief’s key findings are: Both public pensions and municipal bonds are in the headlines. An important question is how pensions affect municipal bond rates. Our analysis of 37,500 bond issues found that pensions raise rates by a modest 3-7 basis points. However, if pension costs rise as a share of state budgets, this impact…
The brief’s key findings are: Currently, state and local pension contributions equal 3.8 percent of total budgets. To get back on a path to full funding, sponsors will need to contribute: 5.0 percent of budgets if liabilities are discounted by 8 percent; or 9.1 percent of budgets if liabilities are discounted at 5 percent. But…
