Alan Bernstein

To Whom It May Concern,

I was part of the A/B cohort that retired in 2015 as part of the RI Pension overhaul. I am writing to describe the cost of this overhaul on our cohort. My group was approaching or at retirement age as this came into affect and it seems that our group was anticipated to have the harshest effect of this plan, as there was little time for us to change our retirement savings plans to account for the reduction of our pensions. Younger teachers had the opportunities to increase their retirement plans in anticipation of the needed funds for their retirement. In June of 2015 I would have retired with 57% of my pension, after 27 years as a member of the RI Pension System. Instead, under the new plan, at retirement I was reduced to 49%, with no time to revamp my retirement plan. This was the gross percentage and after allowing for my wife to receive half of my retirement after my death we are left with a net of $24,000 per year which is very close to the poverty line. We are also not eligible for Social Security as our system did not pay into it. Also add the several years without COLA before finally receiving some small increments, and this pushed my family close to the poverty line.

This was in no small part due to the economic downfall of 2008 which initially affected the state's investments and caused the pension crisis. Since then the market has recovered robustly and I wonder why there has been no correction to account for this for our cohort's loss in the pension system.

This seems to me to be a poor way for the state to repay the many years of service that we provide to our students and communities. I would think it would have been much more equitable to grandfather in these teachers that were within 10 years of retirement so that they may be able to anticipate the change by increasing retirement fund payments and making other plans to reduce future costs (paying off mortgages, college funds, etc. My cohort seems to have been intentionally left out in the cold. From what I understand our pension system is in far better shape at this time and I wonder why this is allowed to continue. I am asking if this part of the pension reform discussion can be a stronger part of the conversation with the state regarding a reform of this unfair system so that my cohort can live our later years with some sense of dignity.

Respectfully Submited,

Alan Bernstein

Newport Public Schools (retired)

Submitted via online webform