LexisNexis® Legal Newsroom
Special Requirements for Applicable Defined Benefit Plans

The Pension Protection Act of 2006 ("PPA") provided extensive new rules to deal with many issues that have proved problematic for cash balance and pension equity plans. Among those new rules were special requirements for "applicable defined benefit plans." The new rules for applicable...

Pension and Postretirement Benefit Accounting

Pension and postretirement benefits represent a significant cost to employers. The Financial Accounting Standards Board has specified that postretirement benefits are a form of deferred compensation. FASB concluded that the obligation to provide postretirement benefits is incurred as the employee renders...

Government Accounting: Pensions and Other Postemployment Benefits*

Employee pensions and other postemployment benefits (OPEB), such as healthcare, life insurance, disability, and long-term care benefits, are significant elements of cost for state and local governments. Moreover, a confluence of forces -- unfavorable demographics (e.g., an aging public workforce), stock...

State Net Capitol Journal – August 4, 2014; States Backing IRA-Style Plans For Workers Without Retirement Accounts

Budget & Taxes STATES BACKING IRA-STYLE PLANS FOR WORKERS WITHOUT RETIREMENT ACCOUNTS: Inspired by his Aunt Francisca — who spent much of her 74-plus years cleaning houses for people whose retirements were well-provided for but who had only Social Security to count on herself — California...

State Net Capitol Journal – April 20, 2015; States Getting Worse At Revenue Forecasting

Budget & Taxes States Getting Worse At Revenue Forecasting States have gotten worse at forecasting revenues over the past three decades, according to a new report from the Pew Charitable Trusts and the Rockefeller Institute of Government at the State University of New York. Between 1987 and...

State Net Capitol Journal – May 18, 2015; Pension Reforms Struck Down In States

Budget & Taxes Pension Reforms Struck Down In States Twice in two weeks courts have rejected state pension reform laws. On April 30, Oregon’s Supreme Court ruled that the reductions the state made to cost-of-living adjustments in 2013 were unconstitutional. And last week Illinois’...

State Net Capitol Journal – June 8, 2015; New Rules Could Swell States' Unfunded Liabilities

Budget & Taxes New Rules Could Swell States' Unfunded Liabilities According to a report last year from bond-rating company Standard & Poor’s, states have $529.8 billion in unfunded liabilities for health care and other benefits separate from pensions. But that figure could go...

State Net Capitol Journal – August 24, 2015; Breakthrough on North Carolina Budget

Budget & Taxes Breakthrough on NC Budget North Carolina Gov. Pat McCrory (R) and legislative leaders have finally agreed to spend $21.74 billion this fiscal year. The state has been operating without a budget - running on continuing resolutions instead - since the new fiscal year began on July...

State Net Capitol Journal – February 22, 2016; Oil Price Collapse Pressures State Budgets

Budget & Taxes Oil Price Collapse Pressures State Budgets The collapse of oil prices is taking a toll on energy-producing states. As job losses mount in the nation’s oil patch, depressed oil and commodity prices are having a ripple effect on state budgets. As many as a dozen states...