OCT 2013 Weissert presentation to FSU Business School

Florida’s Municipal Pensions (and OPEBs): Research from the LeRoy Collins Institute Carol S. Weissert Director of Institute Professor of Political Science Florida State University October 9, 2013

LeRoy Collins Institute The mission of the LeRoy Collins Institute is to perpetuate the leadership of Governor LeRoy Collins by developing and promoting bold, visionary public policy that will empower and uplift Floridians for generations to come.

Pension Reports • Trouble Ahead: Florida Local Governments and Retirement Benefits 2/11 • Report Card: Florida Municipal pension Plans 11/11 • Years in the Making: Florida’s Underfunded Municipal Pensions 9/12 • Looking at Florida’s Municipal Pensions 2/13 • Doing It Right: Recognizing Best Practices in Florida’s Municipal Pensions 8/13

OPEB(s) • Beyond Pensions: Florida Local Governments and Retiree Health Benefits 12/13

Scope of Problem • Many, but by all means not all, municipal pensions in Florida are underfunded • Recent trends are toward more underfunding • Health benefits are the below-the-radar issue

Average annual retirement contributions for cities is 5.5 percent of their total expenditures

Typical municipal pension plan in Florida is 70 percent funded

One-third of municipal plans had failing grades • Looked at funding levels—assets/liabilities • Grades based on % funded;