The Funding Status of Locally Administered Pension Plans

The brief’s key findings are:

• Contrary to conventional wisdom, local plans are at least as well funded as state plans.
• Funding ratio: 85 percent for local plans vs. 84 percent for state plans.
• Making required contributions: 69 percent for local plans vs. 54 percent for state plans.

• Despite this relatively positive outlook, some jurisdictions face serious shortfalls and a deteriorating economy may produce a gloomier picture going forward.