Senate highway bill contains ‘smoothing’ pension gimmick

Senate highway bill contains ‘smoothing’ pension gimmick

July 02, 2012
Originally published in The Daily Caller

From Angela Malik's article on The Daily Caller:

Marc Scribner, a transportation analyst at the Competitive Enterprise Institute, explained that smoothing “in theory reduces expenditures necessary to pay down these losses in the short-run, [but] it exposes the government to significant additional risk over the medium- and long-runs.”

[...]

Scribner noted the pension provision favors large labor unions because it gives them an opportunity to appear to be fixing unfunded pension programs without actually doing so.