Tag: Johnny Kampis

Advisory committee says North Carolina should put more toward pensions

Mary Pat Campbell

Link: https://www.montgomeryherald.com/news/article_ac128a46-7b94-11eb-b480-230aa039ee18.html

Excerpt:

North Carolina’s Debt Affordability Advisory Committee says the state should set aside $100 million a year to help the state pension systems remain solvent.

A draft released Wednesday, Feb. 24, of the committee’s 2021 debt affordability study also calls for North Carolina to maintain its 4% borrowing cap.

The committee said more money is needed to support post-employment benefits, including pensions and health care. Officials said the state’s pension systems show a $12.1 billion shortfall, while the State Health Plan is underfunded by $27.7 billion.

The committee said the state should put $100 million annually into the Unfunded Liability Solvency Reserve through fiscal 2025 to help lower that number.

Author(s): Johnny Kampis

Publication Date: 3 March 2021

Publication Site: Montgomery Herald

Critics Decry GASB Standards That Allow Governments to Hide Debt

Mary Pat Campbell

Link: https://townhall.com/columnists/johnnykampis/2021/02/05/critics-decry-gasb-standards-that-allow-governments-to-hide-debt-n2584229

Excerpt:

The Chicago-based Truth in Accounting (TIA), a financial watchdog, is fighting the efforts of the Government Accounting Standards Board (GASB) to enshrine a system of accounting into place the group says allows governments to paint a misleading picture of taxpayer debt.

GASB’s “Project 3-20: Recognition of Financial Statement Elements,” has seen its share of blowback from concerned parties. The concept would allow governments to continue their standard of cash-based accounting, which allows bureaucrats to prepare financial reports that show expenses only when the money is paid, not when the debt is incurred. TIA argues that this allows governments to show a rosier picture of taxpayer debt than what’s reality, helping government officials to kick the can down the road.

Author(s): Johnny Kampis

Publication Date: 5 February 2021

Publication Site: Townhall