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Wednesday April 11, 2007
Elsewhere on the Web: Smart OPEB Coverage
I continue to be pleasantly surprised by the generally in-depth, and non-inflammatory coverage the general-circulation press has been bringing to the issue of municipal retiree health-care liabilities (commonly known by their accounting acronym, OPEBs, or Other Post-Employment Benefits). The Marin Independent-Journal is the latest addition to this list, with a thoughtful piece that illustrates the problem (one sewer agency is facing a 200% jump in OPEB outlays by 2020), and a detailed analysis of the tradeoffs that municipal employees and employers made in assembling the current system.
The solutions to the problem (which may include bonds) are not simple, but cool-headed education like that provided in the article seems like a good first step towards solid policy decisions.
The State of Maine is also looking at its long-term liabilities, in this case seeking to dedicate new funding sources for highway construction as gas-tax revenues stagnate.
Posted by bondbuyer [The Morning Read-Around] ( April 11, 2007 12:01 PM ) Permalink | Comments[0]