The Arizona Legislature continues to be stalemated. At this point, Governor Brewer has begun vetoing any legislation she receives, until the Legislature passes her Medicaid plan. This is mostly positive for us, since generally the less they do the better. That being said, the Governor is now also vetoing legislation that is positive, and we would not want one of our legislative priorities caught in that trap. We will keep everyone updated on this situation.
This summer work begins on two important topics: PSPRS and 38-1101. For those that don’t know, our rights as Police Officers, Probation Officers, Corrections Officers, and the grievance process come from ARS 38-1101. In terms of format and structure, this chapter is a mess. A few Legislators in Phoenix have talked about beginning the process to rewrite, and re-format the chapter.
Of course, this presents an opportunity for us to add things to the statute. It also presents an opportunity for the Legislature to delete things that are important to us. We will continue to monitor this situation and update you as soon as anything happens.
PSPRS (and CORP, and EORP) continue to be a frequent topic. At the core of the issue is the “funded” level of the system. PSPRS administrators believe that an 80 percent funded level is healthy. With the decline in the economy, the lack of hiring, and shrinking payroll, the PSPRS funded ratio continues to lag far behind the 80 percent watermark.
A possible solution to this situation is a temporary dedicated funding source (at the State level) to achieve the 80 percent funded level. The funding source would automatically sunset once 80 percent is reached. This is something our Association would support as it would take some of the burden off of the employers and employees in the system.
For all of you travelling over the summer, stay safe!