Actuarial Outpost
 
Go Back   Actuarial Outpost > Actuarial Discussion Forum > Pension - Social Security
FlashChat Actuarial Discussion Preliminary Exams CAS/SOA Exams Cyberchat Around the World Suggestions


Upload your resume securely at https://www.dwsimpson.com
to be contacted when new jobs meet your skills and objectives.


Reply
 
Thread Tools Search this Thread Display Modes
  #471  
Old 05-31-2016, 05:29 PM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

ILLINOIS
CRIMINAL PENSIONER

http://www.dailyherald.com/article/2...ews/160539947/

Quote:
Hastert to lose thousands more in pension benefits

Former U.S. Speaker Dennis Hastert's pension from his days as a state lawmaker will drop sharply following his federal sentencing last month, according to a letter sent from a state pension official.

And the longest-serving Republican speaker now owes the state $1,687.15, according to a May 27 letter sent by General Assembly Retirement System Secretary Timothy Blair.

Hastert lost his Illinois teacher pension the day he was sentenced to 15 months for violating federal banking laws in an effort to cover up past sexual misconduct while he was a high school wrestling coach.

Under Illinois law, Hastert's time as a teacher helped boost the size of the pension he earned as a lawmaker. Since his teacher pension was taken away, the size of his legislative pension benefit "has been recalculated independently to reflect the forfeiture," the letter reads.

Now, instead of taking in $2,335 per month for a more than $28,000 annual pension, Hastert will get monthly payments of about $802 for an annual benefit of about $9,620, according to Blair's letter.

And Hastert owes $1,687.15 to the state for April and May payments that should have been smaller, the letter reads.

__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #472  
Old 06-01-2016, 07:22 AM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

CALPERS
CALIFORNIA
BRIBERY

http://www.sacbee.com/news/business/...e80982407.html

Quote:
Former CalPERS chief sentenced to prison in bribery scandal

Fred Buenrostro admitted taking more than $250,000 in cash and other bribes

Bribes paid for his wedding, divorce

Man accused of bribing Buenrostro shot himself to death at gun range


He arrived in plain jail clothes, shackles around his ankles, the humbled former leader of America’s largest public pension fund ready to accept his punishment for taking bribes.

He left with a prison term of 4 1/2 years.

Fred Buenrostro, the former chief executive of CalPERS, was sentenced Tuesday by a federal judge who called his actions “a spectacular breach of trust.”

Buenrostro, 66, pleaded guilty to a conspiracy charge nearly two years ago, admitting he took more than $250,000 in cash and other bribes from his friend and former CalPERS board member Alfred Villalobos. Prosecutors said Villalobos, who killed himself last year, was attempting to steer pension fund investments to the private equity firms he represented.

Court records show Buenrostro let Villalobos pay for his wedding in 2006 – and then accepted $200,000 in cash a year later to pay the fees from his divorce. Villalobos also took Buenrostro and a CalPERS board member, the late Charles Valdes, on a global junket, all expenses paid. Another $50,000 came later.

Buenrostro’s sentencing, following numerous postponements, appears to effectively wrap up a scandal that has dogged CalPERS for nearly seven years. “We feel like this is the end of a chapter that was painful for us (but) it is passed,” said Buenrostro’s successor, Anne Stausboll, in a phone interview. “CalPERS has emerged a stronger organization.”

Escorted into the courtroom by federal marshals, Buenrostro wore a two-piece blue jail outfit, the result of his recent imprisonment on unrelated battery charges. He hardly looked like the longtime state employee who ran the California Public Employees’ Retirement System for six years and often testified at the Capitol or pension board meetings in a dark suit, crisp white shirt and tie.

.....
Buenrostro, who ran CalPERS from 2002 to 2008, admitted accepting $200,000 in cash in three installments from Villalobos during 2007. The payments were made, in paper bags and a shoebox, at the Hyatt hotel across from the Capitol. Villalobos also gave Buenrostro a $25,000-a-month job at his Nevada investment firm after he left CalPERS, a job for which he “did little work,” according to a presentence report filed by prosecutors.

He also accepted a $50,000 bribe from Villalobos to buy his silence when investigators began looking into their relationship in 2010. In the presentence report, Lucey said Buenrostro demanded the money from Villalobos to help pay for his legal fees stemming from the mounting investigations.

Earlier this year, Buenrostro settled a civil lawsuit filed by the state of California by agreeing to pay back the $250,000 in five yearly installments. Breyer also imposed a $250,000 fine Tuesday, but only as a backup in case Buenrostro doesn’t fulfill his obligation to pay the state settlement. “He’s not paying twice,” the judge said.


Read more here: http://www.sacbee.com/news/business/...#storylink=cpy
__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #473  
Old 06-01-2016, 09:51 AM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

This story.... well.... it's different

WHEATON, ILLINOIS
DISABILITY PENSION
COURT CASE


http://www.chicagotribune.com/news/l...531-story.html

Quote:
Cop fired for watching porn testifies in unique pension battle

After 23 years rushing to tragedies, Thomas Sommerfield said the graphic scenes he witnessed as a Wheaton police officer often play like a "running slideshow" in his head, exacting an emotional toll that is difficult to escape.

"It's just very depressing and something I can't get out from under," he said during a recent police pension board hearing.

His testimony marked the first public comments Sommerfield, 47, has offered since he applied for disability pension pay more than two years ago. The application came days before his Jan. 22, 2014, termination for watching porn on the mobile computer in his squad car.

His request has sparked hotly contested proceedings before Wheaton's police pension board. While claims related to post-traumatic stress aren't unique in law enforcement, the timing in Sommerfield's case raised red flags for some city leaders, who are fighting his claim.

At issue for the pension board is whether Sommerfield has a psychological disability and whether it is related to his duty as a patrol officer and evidence technician.

If so, he is eligible to receive 65 percent of his last salary of more than $87,000 without being subject to pay income taxes. That shakes out to about $57,000 a year and would be retroactive to the time he filed his claim, as well as health insurance for as long as he is deemed disabled. A nonduty disability pension pays out 50 percent without insurance coverage and is taxed.

If the board rejects his claim, he still is eligible to get his regular pension in three years at age 50.

......
The pension board allowed the city, which is fighting the disability claim, to participate in the proceedings despite Sommerfield's objection. At this month's hearing, city attorney James Knippen questioned whether Sommerfield has PTSD and, if the board decides he does, Knippen argued it is not related to his duties as an officer.

The board has requested reports from various doctors, psychologists and counselors. It meets again in mid-August, when Sommerfield's testimony continues with Knippen's cross-examination.

"The hearings are going to take awhile," board attorney Rick ****** said. "The board hasn't heard all the evidence. They're certainly keeping an open mind."

If he had been fired before the application, Sommerfield would not be eligible for disability pension pay. His attorney, Thomas Duda, said the disability arose out of treatment and was not created as a "mechanism for sidestepping his termination." Duda declined to specify Sommerfield's exact medical diagnosis, arguing it's a private matter.

__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #474  
Old 06-01-2016, 09:53 AM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

INVESTMENT RETURN
ALTERNATIVE ASSETS
ASSET ALLOCATION

http://www.wsj.com/articles/pension-...urn-1464713013

Quote:
Pension Funds Pile on Risk Just to Get a Reasonable Return
An investor used to get a 7.5% return by holding safe bonds. To earn that now, research finds, takes a more volatile mix

What it means to be a successful investor in 2016 can be summed up in four words: bigger gambles, lower returns.

Thanks to rock-bottom interest rates in the U.S., negative rates in other parts of the world, and lackluster growth, investors are becoming increasingly creative—and embracing increasing risk—to bolster their performances.

To even come close these days to what is considered a reasonably strong return of 7.5%, pension funds and other large endowments are reaching ever further into riskier investments: adding big dollops of global stocks, real estate and private-equity investments to the once-standard investment of high-grade bonds. Two decades ago, it was possible to make that kind of return just by buying and holding investment-grade bonds, according to new research.


In 1995, a portfolio made up wholly of bonds would return 7.5% a year with a likelihood that returns could vary by about 6%, according to research by Callan Associates Inc., which advises large investors. To make a 7.5% return in 2015, Callan found, investors needed to spread money across risky assets, shrinking bonds to just 12% of the portfolio. Private equity and stocks needed to take up some three-quarters of the entire investment pool. But with the added risk, returns could vary by more than 17%.

Nominal returns were used for the projections, but substituting in assumptions about real returns, adjusted for inflation, would have produced similar findings, said Jay Kloepfer, Callan’s head of capital markets research.

The amplified bets carry potential pitfalls and heftier management fees. Global stocks and private equity represent among the riskiest bets investors can make today, Mr. Kloepfer said.

......
The risk dilemma for investors has real-life consequences. Retirement plans, including Calpers and the New York State Common Retirement Fund, are lowering what they predict they can earn on their investments, a move that means workers and cities likely face higher contributions and taxes. For insurers, lower bond returns mean life-insurance policyholders pay more for coverage.

It wasn’t always this complex. Two decades ago big investors had their money sitting primarily in U.S. stocks and bonds. Inflation was 4% and yields on investment-grade bonds roared upward at double that rate.

__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #475  
Old 06-01-2016, 10:12 AM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

Quote:
Originally Posted by campbell View Post
CHICAGO, ILLINOIS

I went digging through the Illinois Dept of Insurance biennial reports and came up with the following:

http://stump.marypat.org/article/465...f-new-projects





underlying numbers here:
https://docs.google.com/spreadsheets...Xaklpe0H8/edit
I made more graphs (same spreadsheet) -- this time for all of Illinois



__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #476  
Old 06-01-2016, 10:14 AM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

http://www.forbes.com/sites/chuckdev.../#508ed3342f86

Quote:
Puerto Rico, Illinois And California: Public Pension Dominoes

The U.S. Commonwealth Puerto Rico is making a lot of news these days, but for the wrong reasons—it’s economy, overburdened by government, can’t generate enough income to cover payments on its $70 billion debt. Measured on a per capita basis, each of the island’s 3.5 million residents owe $20,000, a debt they can avoid by simply moving. Compared to its economy, Puerto Rico’s debt-to-GDP ratio is about 68%.

Congress recently moved to rescue Puerto Rico from its debt crisis. Ironically, this is the same U.S. Congress that has presided over the accumulation of a $19.3 trillion U.S. federal government debt for a U.S. debt-to-GDP ratio of 106%. Throw in the unfunded liabilities for Social Security, Social Security Disability Insurance, Medicare and other obligations, and the debt balloons to about $127 trillion, give or take.

Paying debt service is easier when you can print money and run deficits at will. Local and state governments, in contrast to the federal government, are obligated to balance their books. It’s this level of government where a looming debt crisis is gathering, the likes of which make Puerto Rico seem a minor prelude.

Illinois offers a textbook case of the coming pension fund meltdown with its years-long slow motion fiscal train wreck where on Monday, the Illinois House overrode Gov. Bruce Rauner’s veto of the Chicago police and fire pension bill at the urging of Chicago Mayor Rahm Emanuel. With the Senate’s override vote earlier, the bill becomes law. Without the bill, Mayor Emanuel warned of a “Rauner Tax”—a $300 million property tax hike made necessary by the fiscally-strapped city being unable to borrow $843 million from its pension fund at 7.75% to meet current obligations.

Gov. Rauner said the veto override would put “… an additional $18.6 billion on the backs of taxpayers” warning about “…governments (that) fail to promptly fund pension obligations” and kick the can down the road instead of enacting reforms to “grow our economy, create jobs and enable us live up to the promises we’ve made to police and firefighters.”

.....
Unfortunately, Illinois is far from alone in this fiscal quagmire. Top honors for unfunded public pension debt belongs to The Last Frontier State, Alaska, with per capita pension debt, assuming market rate returns, of $38,251, according to the Stanford Institute for Economic Policy Research at Stanford University. Illinois comes in at second, with $28,880 in unfunded pension liabilities per person. Connecticut, California, Massachusetts and New Jersey round out the top six, each having more debt per capita owed to just their pension systems than Puerto Rico owes on its bond debt.
.......
In good times, lawmakers at the state and local level are more than happy to give raises to government employees along with generous benefit increases. The future costs for higher retirement benefits are assumed to be covered by the booming stock market investments held by pension funds.

This happened in California in 1999 after government union-backed candidates won both the governor’s mansion as well as the state treasurer’s race and then pushed through a massive increase to pension benefits on the financial strength of what turned out to be the ephemeral froth of the ’90s tech boom. After the promises were made and the market returned to more reasonable valuations, the state’s public pension contribution obligations jumped five-fold from $611 million in 2001 to $3.5 billion in 2010. California’s unfunded pension liability totals $25,325 per capita, the fourth-highest in the nation, when assuming a market rate of return.



__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #477  
Old 06-02-2016, 02:11 PM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

Quote:
Originally Posted by campbell View Post
CRIMINAL RETIREES

great news, everybody -- he gets to keep some of his pension

http://www.sacbee.com/news/business/...e81214397.html

Quote:
Former CalPERS chief executive Fred Buenrostro has surrendered his freedom and agreed to cough up the ill-gotten gains from his bribery scheme.

The one thing Buenrostro won’t forfeit is his CalPERS pension – not most of it, anyway.

Buenrostro, 66, will continue collecting his state retirement benefits while he serves the 4 1/2 -year prison sentence he received Tuesday. He’ll have to have the checks sent to a bank account, as federal regulations prohibit him from actually receiving the money while serving time.

Under state law, Buenrostro is entitled to his pension. But his $201,600 in annual retirement pay has been greatly reduced by his criminal behavior.

Buenrostro has had his retirement benefits slashed since September 2014, shortly after he pleaded guilty to a conspiracy charge, a CalPERS spokeswoman said Wednesday. The reduction was prompted by the “felony forfeiture” provision in the state public employee retirement law, CalPERS spokeswoman Rosanna Westmoreland said.

Westmoreland said Buenrostro didn’t fight CalPERS’ forfeiture determination.

$201,600 Fred Buenrostro’s original annual pension when he left CalPERS
Buenrostro was earning $238,992 a year in salary when he left CalPERS in 2008. His pension was set at $16,800 a month, based on approximately three decades of service as a state worker. After admitting that he accepted more than $250,000 in bribes, Buenrostro was stripped of more than 2 1/2 years of service time of his tenure at the California Public Employees’ Retirement System, approximately the time frame when he was committing a felony by accepting bribes.

With that, Buenrostro’s gross monthly payout was cut to $11,769, according to Westmoreland.
__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #478  
Old 06-02-2016, 02:15 PM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

NEW JERSEY
PRESIDENTIAL POLITICS

http://nj1015.com/bernie-sanders-wif...nsion-debacle/

Quote:
The wife of Democratic presidential candidate Bernie Sanders says New Jersey’s underfunded public pensions system is one more reason why Democratic voters should choose her husband over former Secretary of State Hillary Clinton in the June 7 primary.
Jane Sanders spoke Wednesday morning with New Jersey 101.5 host Bill Spadea. Sanders and Clinton are in the midst of a fierce primary fight nationally. But in the Garden State, Democratic voters favor Clinton, with 54 percent of likely primary voters telling Quinnipiac University poll last month that they’d choose Clinton and just 40 percent choosing Sanders.


But the Vermont U.S. senator’s wife says it wouldn’t be fair to call the nomination for Clinton if she wins the New Jersey primary.

.....
“The whole pension debacle there is something Bernie has spoken out strongly about,” she said.
Spadea said Jane Sanders sounded “just like a Republican” talking about the pension issue, but Sanders’ solution didn’t included the usual GOP proposals to curtail public pension benefits.
“Since the 1990s, the state hasn’t made full pension payments and that is despite the fact that many of the workers — the teachers, the government workers, the firefighters, the policemen — are all paying into it on a regular basis.”
Republican Gov. Chris Christie has increased payments to the pension system but last year the state’s unfunded pension liabilities grew to $43.8 billion. The state’s budget for next year, meanwhile, is a billion dollars in the hole.
Sanders’ wife slammed the $728 million in investment fees that the pension fund managers collected last year.
“They could have made that amount of money into the payment pensions,” she said. “Hedge funds managers making this kind of money off the backs of the people that are working for a living, providing public services doesn’t seem too smart.”


Read More: Bernie Sanders' wife says New Jersey's public pension system is a 'debacle' (WATCH) | http://nj1015.com/bernie-sanders-wif...ckback=tsmclip
__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #479  
Old 06-02-2016, 05:49 PM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

MASSACHUSETTS
CORRUPT OFFICIAL

http://boston.cbslocal.com/2016/06/0...pension-funds/

Quote:
I-Team: Retirement Board Demands Convicted Police Chief Repay $882K In Pension Funds

WINTHROP (CBS) – In an unprecedented case, the Winthrop Retirement Board is demanding a convicted police chief repay $882,051.85 in pension payouts he received over a 20-year period.

The development comes after the board voted unanimously to strip the taxpayer-funded benefit of Angelo LaMonica in April.

The town’s former police chief abruptly stepped down amid a federal probe in 1995. Prosecutors accused LaMonica of taking bribes to ignore illegal gambling activity.

However, his actual conviction was filing false tax returns. At the time, the retirement board determined it could not revoke LaMonica’s retirement benefit because that crime was not directly related to his role as police chief.

According to Massachusetts law, public officials only lose their pensions if convictions are directly connected to their jobs.

Two decades later, the retirement board revisited the issue after an I-Team inquiry. Board members determined the income LaMonica did not report on his taxes was bribe money, drawing a connecting to his job as police chief.


__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
  #480  
Old 06-02-2016, 05:50 PM
campbell's Avatar
campbell campbell is offline
Mary Pat Campbell
SOA AAA
 
Join Date: Nov 2003
Location: NY
Studying for duolingo and coursera
Favorite beer: Murphy's Irish Stout
Posts: 93,994
Blog Entries: 6
Default

IMRF
ILLINOIS

http://www.nwherald.com/2016/06/01/i...-desk/awiierx/

Quote:
Illinois bill to end IMRF pensions for future county board members headed to governor's desk

McHenry County Board starting process to remove itself voluntarily


A bill that would end pensions for future county board members and require those now in the system to prove their working hours is headed to Gov. Bruce Rauner’s desk.

And a resolution to end the McHenry County Board’s participation in the Illinois Municipal Retirement Fund altogether will work its way through the board starting Thursday.

Senate Bill 2701, which cleared the House and Senate in the final hours of the spring legislative session Tuesday, would disqualify future candidates elected to county boards from participating in IMRF. Existing board members already enrolled – the Illinois Constitution forbids altering their benefits – will have to fill out time sheets to prove that they are working the minimum hours required, either 600 or 1,000 hours a year, to qualify.

The bill as originally filed by state Sen. Pam Althoff, R-McHenry, created the time sheet requirement in response to an ongoing IMRF investigation of the McHenry County Board’s work hours instigated by state Rep. Jack Franks, D-Marengo. But Franks, who is running for County Board chairman, amended the law to end pensions altogether for members elected after the bill becomes law.

“Public dollars need to be spent on critical services, schools and infrastructure improvements, not on generous pensions for part-time board members,” Franks said. “We need to protect local taxpayers and the integrity of the IMRF, which is the best-run public pension fund in the state, from having their money siphoned off by elected officials who are gaming the system.”


__________________
It's STUMP - meep on public finance, pensions, mortality, and more

LinkedIn Profile
Reply With Quote
Reply

Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off


All times are GMT -4. The time now is 07:39 AM.


Powered by vBulletin®
Copyright ©2000 - 2020, Jelsoft Enterprises Ltd.
*PLEASE NOTE: Posts are not checked for accuracy, and do not
represent the views of the Actuarial Outpost or its sponsors.
Page generated in 0.82633 seconds with 10 queries