Budget Amendment ID: FY2018-S3-1028-R1

Redraft TRP 1028

MBTA Pension Fund Sustainability Commission

Messrs. Tarr, Fattman, Ross, Humason and deMacedo moved that the proposed new text be amended by inserting after section 100 the following section:-

"SECTION 100A. There shall be an MBTA pension fund sustainability commission to examine the current state of the fund and to identify, research and recommend actions to increase the strength and sustainability of the assets and mechanisms necessary to ensure the payment and support of pension obligations of current and future employees of the Massachusetts Bay Transit Authority.

The commission shall be composed of the house and senate chairs of the joint committee on transportation, or their designee, the ranking minority members of the joint committee on transportation, or their designee, the secretary of administration and finance or a designee, the secretary of transportation or a designee, the general manager of the Massachusetts Bay Transportation Authority or a designee,  1 person to be appointed by the Massachusetts AFL-CIO, 1 person to be appointed by Local 589 of the Amalgamated Transit Union, 1 person to be appointed by Local 264 of the International Association of Machinists and Aerospace Workers, 1 person to be appointed by the attorney general who shall be an attorney with experience in pension fund issues and labor law, the executive director of the Pension Reserves Investment Management Board, 1 person to be appointed by the governor who shall have state public sector legal experience, 1 person to be appointed by the state treasurer who shall have experience in investment and asset management and 1 person to be appointed by the state auditor who shall represent the interests of the public.

In performing its duties, the commission may consult with experts in pension fund management and operations and investments and shall receive testimony in oral and written form; provided, however, that such testimony shall be made available to the public in a clear and conspicuous manner.

The commission shall consider all reasonable mechanisms to achieve the goal of sustainability of pension funding for the authority’s employees.

The commission shall submit an initial report describing the commission’s progress not later than January 15, 2018 and a final report detailing its findings and recommendations, if any, including drafts of legislation necessary to carry out those recommendations not later than December 31, 2018 by filing the same with the clerks of the senate and house of representatives and with the chairs of the joint committee on transportation, the chairs of the senate and house committees on ways and means and the secretary of administration and finance.”