LITTLE ROCK, Ark. — Two weeks ago the State Board of Finance wanted to look at the numbers given to them, and Tuesday they still take no action on the Teacher Insurance plan.
The main issue is how to fund a $70M shortfall in the plan for the upcoming fiscal year.
Different rate increases and benefit changes still leave the plan short even after a proposed $35M injection from the restricted reserves.
Board member Keith Konecny proposed the legislature needs to do something about this with any surplus funds the state has year to year to help keep the plan from seeing these huge deficits down the road.
“That $35 million is a joke. It needs to be around 130, 120 million dollars put in, and each year the money is put in is a direct consequence at the end of the calendar year it will tell you how much money needs to be put in. So it’s not a dollar amount that you’re voting on as a Legislature it’s set up in a law that keeps it funded,” Konecny said.
The board did not take any direct action on the matter in this meeting, and they are scheduled to meet again on June 29.