Curtis Loftis: Pension Under-Funding
is Biggest Tax in State History
By Thomas C. Hanson (HansonCommunications.org)
South Carolina Treasurer Curtis Loftis spoke to the Greenville County Republican Women’s Club July 28 on unclaimed money and state’s underperforming pension system, which he has sought to repair.
Loftis said that when he took office in 2011, the SC Treasurer’s Office had not had a full GAAP (Generally Accepted Acounting Principles) audit in 27 years. “There’s not a businessman in the world who could get by with that,” Loftis said. Now, with the audit, and other procedures he as has implemented, he said “the protection level of your money is tremendously better than it used to be.”
The Treasurer’s Office has $525 million in unclaimed funds that it seeks to return to individuals and businesses. Here is the link to check if you have funds that can be returned to you. https://webprod.cio.sc.gov/SCSTOWeb/mainFrame.do
SC Treasurer Curtis Loftis on unclaimed money and state’s under-performing pension system from Thomas Hanson on Vimeo.
Loftis said that the state’s pension system is a mess, and explained that seventy percent of South Carolina’s retirement money is sent off-shore, where they have different laws and accounting rules. Loftis started repairing this system, and said that he gets good press outside of South Carolina, but within the state, “media tends to go with the establishment, and the establishment says everything is fine.” However, five years later, an independent legislative audit council has agreed that because of poor investment decisions by the investment commission, the pension system has under-performed $7.1 billion.
They have implemented measures to repair the system. Fees that were $465 million a year have been dropped to $300 million, and Loftis expects them to go lower. They have fired managers and renegotiated contracts.