RSI: Open for Business
By Chuck Reed
It’s official. The Retirement Security Initiative has formally launched. After months of gathering together the best of the best pension reformers to sit on RSI’s Board of Directors, legally structuring the 501c4 and carefully formulating RSI’s mission and principles, we are open for business.
We created RSI to help local and state governments avoid insolvency due to skyrocketing pension costs. The experts at RSI have a wealth of experience in public retirement planning and have been involved in nearly every major reform during the last five years. Personally, having successfully spearheaded major pension reform in San Jose during my tenure as Mayor, I experienced firsthand the many challenges elected officials face trying to reign in out of control pension debt. But it can be done.
On the national level, the U.S. has at least $1.7 trillion in unfunded public pension liabilities, which means that many municipalities and states are individually carrying millions to billions of dollars in pension debt. Trying to meet these pension obligations, policymakers often increase taxes or pull funds from important public services like education, public safety and transportation to make up the difference.
Growing pension costs also are threatening the solvency of public employee retirement plans, putting at risk the hard-earned savings of many workers. All employees deserve safe and secure futures and retirement plans should place them on a path to a secure retirement.
RSI believes it is imperative that state and local governments act now to ensure their retirement plans are sustainable, fiscally sound and responsibly managed. Working together, we can fix the pension crisis now to help prevent tax hikes and service cuts in the future, while ensuring that public employees are able to keep every penny they’ve earned.
To read more about RSI’s mission and principles, click here.
Chuck Reed, former Mayor of San Jose, is a principal at the Retirement Security Initiative.