Alaska Senate Passes Pension Bill for Public Workers

0:00It's April 29th. This is Anchorage News Today, AI-powered stories from your city. I'm Cory with the story. Alaska's Senate just passed a bill to bring back pensions for state and local government workers. The first one to clear both chambers since they shut down the old plans back in 2006. It's been a top goal for lawmakers in both parties, and the House is said to approve the Senate's tweaks today, sending it straight to Governor Mike. Done leaving. The plan lets current staff and new hires pick between their current 401k style savings or a traditional pension. Public safety folks like cops and firefighters could retire after 20 to 25 years at age 50, or 55, while teachers plow. Drivers and others get 30 years, or age 60, with steady monthly payouts based on salary and service time. Supporters argue it'll cut high turnover and fill empty jobs, especially since Alaska's the only state without pensions for public workers. They say it'll cost about $89 million a year, but save over $100 million by skipping

1:03overtime and such. Critics, though, worry it'll repeat past mistakes that left billions in debt. Lawmakers tweaked it to ease the hit on local governments, dropping their share from 24% of payroll to 22.5%, and letting non-state employers opt out. The Senate vote was tight, 12 to 8, with some majority members joining Republicans against it, pushing higher pay instead. Now it's up to the Governor, who's been skeptical before, with a decision needed by May 20th, or it becomes law automatically. Either way, this could reshape how Alaska keeps its public servants on the job long term.