INTERIM. Governor Vetoes Pension Cuts. 6 Key Pieces of Informed Intel.

WHO: Governor Mark Dayton (D-MN)

VETOED PENSION CUTS THAT WOULD:

• cut cost of living adjustments
• for retirees in Minnesota’s teacher retirement system & state employee retirement system

THE TEACHER COST OF LIVING CUT: Total cost of living adjustment would have been 1%, down from 2%

STATE EMPLOYEE COST OF LIVING CUT: Total cost of living adjustment would have been 1.75%, down from 2%

OTHER PENSION REFORMS VETOED IN THE BILL:

• cut the teachers plan’s long-term assumed rate of return to 8% from 8.75%

THE REASON FOR THE VETO: Give and take. If you ask retirees to give up something, the other side, the employer, side has to also take responsibility to lessen the pension liabilities, and the bill did not do that.

Business Insurance | Governor vetoes bill to cut pension cost of living increases