SANTA FE, N.M. (AP) — Managers of New Mexico's two major public pension funds say a recent surge in investment earnings will not be enough to address an accumulation of unfunded financial obligations to retirees.
New Mexico Educational Retirement Board Executive Director Jan Goodwin told a panel of lawmakers on Thursday that changes to pension benefits and contributions are under consideration to address $7.4 billion in unfunded liabilities.
She said reforms may be proposed ahead of the 2019 legislative session to ensure that enough money is available to pay public school and college employees as they retire.
Double-digit annual investment returns have boosted assets at the state's two public pension funds to record levels and shortened the timeline somewhat for addressing billions of dollars in unfunded obligations to current and future retirees.