(Sep 3) Schools pension fund to Pa. districts: State budget impasse doesn’t mean a break on local obligations

By Charles Thompson
The Patriot-News

Pennsylvania’s Public School Employees Retirement System has notified its constituent school districts that, budget impasse or not, it expects on-time payment of the local share of employee pension contributions.

That bill, one of the largest single outlays in many districts’ budgets, is due Sept. 23.

Last month the Pennsylvania School Boards Association had suggested school administrators might be able to delay their retirement system payments as long as all state funds to schools were stopped up.

PSBA’s guidance stated in part: “In a situation our laws simply were not written to address, and in which timely compliance with all of those laws can become impossible as a practical matter, local public school systems are forced to be creative and resourceful in finding ways to prioritize their essential governmental functions with respect to the education of children.

“In short, when the commonwealth stops paying its bills, it is inevitable that school districts might have to put off paying some of theirs.”

PSERS, which administers retirement benefits for teachers and other school employees across the state, disagreed in no uncertain terms in a memo to school officials.

Full story: Schools pension fund to Pa. districts: State budget impasse doesn’t mean a break on local obligations, by Charles Thompson, The Patriot-News, 09/03/15

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