Pension agreement reached, special session likely

With leaders from the state House and Senate reaching an agreement on pension reform legislation, it now appears likely the whole of both those bodies will reconvene in Frankfort for a five-day special session to consider the legislation.

"My staff and I will be working with the House and Senate leadership to finalize the details of a draft bill. Assuming that these final details are ironed out I will issue a call for a special session of the General Assembly on June 23, 2008, to quickly pass that legislation," said Governor Steve Beshear (D-Lexington) in a statement released today.

Polwatchers reported yesterday that leaders of the Democratically-controlled House and the Republican-controllled Senate agreed on provisions requiring the state government to fully-fund its employees' pensions through 2025. The tentative agreement also would bar retired state employees from drawing a pension from new state jobs obtained after retirement.

"I think we had a good negotiation," state Senate President David Williams (R-Burkesville) told Polwatchers. "We recognize this is the beginning of what we want to do...We do believe collectively that this bill is worth having a five-day special session over because the impact it will have overall."

The draft agreement also was approved by the Kentucky Education Association, an early skeptic with regard to a special session.

"I am particularly pleased with the cooperation that has been demonstrated thus far, not only by House and Senate leadership, but by the various stakeholder groups that are affected by this very important and essential legislation," said Beshear in his statement.