Section 1402 - Legislative findings and intent(a) Findings.--The General Assembly finds and declares as follows: (1) The State Employees' Retirement System costs taxpayers hundreds of millions of dollars annually.(2) A Pennsylvania Economy League study found the Public School Employees' Retirement System has enormous unfunded liability and the same study indicated that the high cost of Commonwealth retirement systems results partially from the General Assembly's failure to develop and enforce a policy governing retirement of public employees and its failure to examine proposed pension changes for long-range costs.(3) The Department of Community Affairs had investigated local government pension funds pursuant to the act of December 6, 1972 (P.L. 1383, No. 293), entitled "An act requiring municipal pension systems to have an actuarial investigation of the fund made by an actuary who shall report his findings to the Department of Community Affairs," and has found considerable serious and growing unfunded liabilities in local government pension funds.(4) The General Assembly has passed legislation creating three independent Statewide pension systems pursuant to:(i) Act of February 1, 1974 (P.L. 34, No. 15), known as the "Pennsylvania Municipal Retirement Law." (ii) 71 Pa.C.S. Part XXV, known as the "State Employees' Retirement Code." (iii) 24 Pa.C.S. Part IV, known as the "Public School Employees' Retirement Code." All of which shall serve as the foundation for further study and implementation of actuarially sound public employee pension and retirement systems.
(5) Various states have established commissions to continuously monitor and recommend reforms for public employee retirement systems.(6) Public employee retirement policy is of vital concern to both the executive and legislative branches of State government.(b) Intent.--It is the intent of the General Assembly in establishing the Public Employee Retirement Commission to provide an ongoing mechanism to monitor public employee retirement plans and to assure their actuarial viability by review of proposed changes and reforms in the plans and to review relevant statutes.1981, July 9, P.L. 208, No. 66, § 2, imd. effective. Amended 1991, Dec. 20, P.L. 393, No. 42, § 1, imd. effective.