Patrick Anderson: Study Should Give Taxpayers Pause

In response to MISD’s release of an AEG study regarding Michigan’s MPSERS pension debt, Patrick Anderson stated:

“This important report should give any taxpayer pause,” noted Patrick L. Anderson, Principal and CEO of Anderson Economic Group, “adding nearly $10 billion to taxpayer debt would be a serious blow to our state’s economy, and immediately overwhelm any short-term ‘savings’ that might be spent on roads.”

“Furthermore, issuing risky ‘Pension Obligation Bonds’ would tarnish the state’s credit rating, force local taxpayers to pay higher borrowing costs, and could balloon the total taxpayer costs of the current unfunded liability to over $100 billion…. Even if these proposals didn’t cost taxpayers billions of dollars more, we should still avoid them because they maneuver around the very provisions of our Constitution designed to protect us from bankrupting ourselves and impoverishing our retirees.”

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Stories at Detroit News, City Pulse, MI-SERA