SENATE JOINT MEMORIAL 70

46th legislature - STATE OF NEW MEXICO - second session, 2004

INTRODUCED BY

Sue Wilson Beffort

A JOINT MEMORIAL

REQUESTING THE NEW MEXICO LEGISLATIVE COUNCIL TO DIRECT THE APPROPRIATE INTERIM COMMITTEE TO EXAMINE THE ACTUARIAL SOUNDNESS OF THE STATE RETIREMENT SYSTEMS.

     WHEREAS, under the constitution of New Mexico, public employees have a vested property right in their retirement plans; and

     WHEREAS, with the downturn in the economy and the stock markets, the actuarial liability of the public employee retirement systems may be close to the actuarially accepted limits; and

     WHEREAS, the legislature, the governor and current and prospective retirees need to know the extent of any actuarial liabilities so that contribution rates or benefits can be adjusted to keep the public employee retirement systems actuarially sound;

     NOW, THEREFORE, BE IT RESOLVED BY THE LEGISLATURE OF THE STATE OF NEW MEXICO that the New Mexico legislative council be requested to direct the appropriate interim committee to study the issues surrounding the actuarial soundness of the public employee retirement systems; and

     BE IT FURTHER RESOLVED that, if the study finds that a retirement program cannot be maintained at the current benefit levels and contribution rates, the committee ask the governing body of the affected retirement program to propose a plan that will ensure that the system remains actuarially sound; and

     BE IT FURTHER RESOLVED that copies of this memorial be transmitted to the co-chairs of the New Mexico legislative council, the retirement board of the public employees retirement association and the educational retirement board.

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