We’ve spent years (originally typed months but did a quick search to see that it’s certainly been years) focusing on the corruption at Kentucky Retirement Systems. Corruption that has cost the Commonwealth hundreds of millions of dollars.
Most of the current underfunding of the pension system can be attributed to sleazy budget deals between governors and legislators. Governors and legislators fighting to plug budget holes by deliberately underfunding the system to the tune of $300 million to $800 million per year.
Now, Ryan Alessi is pointing out what some in the mainstream are afraid to discuss. The beginning of Kentucky’s $30-$40 billion pension liability has been tracked back to 2002 with a specific deal cut by Jim Ramsey, who was Paul Patton’s budget director at the time:
Ramsey set the precedent, House Democrats bought into it, Republican Senators fell for it. Patton, then Ernie Fletcher, then Steve Beshear… they continued the shortchanging and added to the disaster. It’s all resulted in a flustercuck. Kentucky now has the worst-funded state pension system in the entire country.