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State Panel Says Galveston Pension Underfunded For 17 Years

The board found that the plan was nearly fully funded in 2000 but now is only 42 percent funded

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A state pension review panel says Galveston has been underfunding the city’s police pension for the past 17 years.

A Texas Pension Review Board report released last week also says the Galveston fund is facing “significant financial stress” and that current police officers are contributing more to the plan than they will ultimately receive.

The Galveston County Daily News reports the fund is facing $29 million in unfunded liabilities.

The board says the fund is plagued by inadequate contributions, poor investment returns, increased payments to beneficiaries and uneven ratio of those paying into the plan versus those receiving from it.

Deputy City Manager Dan Buckley disputes that the city owes any money toward the fund.

The board found that the plan was nearly fully funded in 2000 but now is only 42 percent funded.

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Information from: The Galveston County Daily News, http://www.galvnews.com

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