June 18th, 2012 by WCBC Radio
In a year where creative budgeting is almost a necessity, the Allegany County Commissioners had hoped to find some savings by opting out of the state retirement system and move new hires into a defined contribution plan. The proposal was presented as a possible budget savings measure to the commissioners last month by Finance Director Jason Bennett. At the time, Bennett said that with staff numbers dwindling, new employees could move to a less secure pension system than that offered to existing employees. The county plan was to leave the state retirement system and move new hires into a defined contribution plan to save money. Current employees will remain in the state plan. All of that has come to a halt however as after some research, it turns out in order to leave the state system, the county would need to come up with six million dollars now- or $13 million over the next 25 years. Bennett told the commissioners that given the price tag- it would be ill advised for the county to opt out at this time…
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