Major changes are being considered at the state’s pension fund, ones that could impact its fiscal outlook and relations with the Legislature — even as lawmakers voted to add $1 billion to its coffers. The KPERS Board of Trustees is weighing a controversial decision to reduce the estimated profit generated by the pension fund’s investments, a metric dubbed the assumed rate of return. Kansas currently projects its investments will bring in 7.75% each year. Officials voted to reduce the assumed rate of return in 2016, dropping it from 8% previously. But even with that move, Kansas has the highest assumed rate of return in the country, according to data compiled by the National Association of State Retirement Administrators.
Source: Salina Journal
