Private Sector Employees to Be Removed From Public Pension System Under Phillips-Hill Legislation
10/6/2015
HARRISBURG – The House State Government Committee today advanced legislation authored by state Rep. Kristin Phillips-Hill (R-York Township) that would prevent future employees of the Pennsylvania School Boards Association (PSBA) from enrolling in the Public School Employees Retirement System (PSERS). The bill may now be taken up by the full House.

“PSBA is a private sector non-profit group that has been viewed as an extension of the school districts they serve,” Phillips-Hill said. “In other words, they have employees participating in our state’s public pension system even though they are not public sector employees. PSBA and school districts throughout the state support my legislation, and I hope we can work with a similar bill in the Senate (Senate Bill 408) to get this to Gov. Tom Wolf’s desk.”

House Bill 1084 would change the definition of the phrase “government entity” which currently requires PSBA employees to enroll in PSERS. Phillips-Hill says her bill is common sense reform.

“The latest statistics show the cost to taxpayers who must pay for these benefits to be in the millions of dollars. Individuals, who in some cases are also registered lobbyists, should not contribute to that debt” added Philips-Hill. “Their membership in PSERS is an additional burden that school districts and hard-working Pennsylvanians should not have to bear.

“PSBA wants to set an example and move from a defined benefit plan to a defined contribution plan. Enacting House Bill 1084 would simply be granting them their wish while also demonstrating fiscal responsibility,” concluded Phillips-Hill.

Only PSBA employees hired after the bill is signed into law would be ineligible to join PSERS.

Questions about this or any legislative issue should be directed to Phillips-Hill’s district office at (717) 428-9889 or 1-877-207-2272.

Representative Kristin Phillips-Hill
93rd Legislative District
Pennsylvania House of Representatives
Media Contact: Scott Little
717.260.6137
slittle@pahousegop.com
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