The state Senate unanimously advanced legislation Wednesday to fix South Carolina’s struggling pension fund. SC Radio Network’s Matt Long breaks down the somewhat complicated legislation that may be the most important bill to pass the General Assembly this year.
–Under the bill, state workers would pay slightly more than their current 8.66 percent contribution into the system but would have the amount capped at that level in the future.
— Government agencies on the other hand would see their contribution rates go from 11.66 percent to 18.56 percent by fiscal year 2023.
— The Senate version notably included a provision that would eventually phase out the pension system in favor of a “defined contribution” plan for new employees.