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Kentucky House Approves New Teacher Pension Plan For Future Hires

Josh James
/
WUKY

Future teacher hires who start after January 1, 2022 would be placed into a new pension tier under a bill making its way through the General Assembly.

Credit Josh James / WUKY
/
WUKY

House Bill 258 cruised to passage in both committee and the Kentucky House Thursday, reigniting a long-running debate that's led to large-scale protests in Frankfort in recent years.

The measure creates a new hybrid plan within the Kentucky Teachers Retirement System combining elements of defined benefit and defined contribution plans. While the proposal calls for new teachers to contribute more toward retirement, it hasn't yet prompted the kind of backlash seen during previous attempts at reform.

Supporters argue the bill stops the bleeding in an underfunded system, but opponents worry the measure will hurt teacher recruitment efforts in the state.

Sponsor Rep. Ed Massey says actuarial estimates show the plan would save the state $3.5 billion over the next three decades.

Copyright 2021 WUKY

Josh James fell in love with college radio at Western Kentucky University's student station, New Rock 92 (now known as Revolution 91.7). After working as a DJ and Program Director, he knew he wanted to come home to Lexington and try his hand in public radio.