Nicole Macri — Moved the nomination of Representative Travis Couture as chair.
June Robinson — Called during the roll call vote.
Darren Painter — Darren Painter, committee staff, briefs the committee on the upcoming election of officers. He explains that the committee elects new officers each year, including a chair, vice chair, and three executive committee members representing different stakeholder groups. He then concludes his prepared remarks and offers to answer questions.
Darren Painter — Staff to the committee; introduced the briefing on Engrossed Substitute Senate Bill 5357.
Luke Massalink — Luke Massalink, an actuary from the Office of the State Actuary, is introduced as the next speaker and will discuss the bill’s actual implications.
SB5357 — Engrossed Substitute Senate Bill 5357 is introduced as the subject of a briefing on pension funding. The presenters explain that the bill was enacted to change how the state’s retirement systems are funded, resulting in lower contribution rates and near-term budget savings. They note that the bill had been briefly discussed previously and now is being reviewed in more depth, with emphasis on its three key funding changes.
Darren — Hands the presentation over to Luke for the actuarial implications of the bill.
Darren — Darren is referenced as having previously explained normal cost and UAAL contributions.
Darren — Thanked for analysis and helping explain the issue.
Luke Masselink — Introduces himself as a senior actuary with the Office of the State Actuary and outlines the structure of his testimony.
Luke — Luke concluded the presentation and offered to answer questions.
Luke — Thanked for analysis and helping explain the issue.
Aaron Gutierrez — The chair introduced Aaron Gutierrez for the next agenda item.
Erin Gutierrez — Erin Gutierrez, a committee staff member, introduced herself and began an introductory kickoff presentation on the study plan. During the opening, she encountered brief technical difficulties advancing slides and asked for help moving to the next slide, then regained control of the presentation and proceeded to outline the material.
Erin Gutierrez — Erin is addressed with a question about whether the legislature could later request confidential information.
SB5085 — One of the two bills the committee is required to study and report on.
SB5085 — The speaker notes that a provision in 5085 is now moot because enacted legislation already changed UAAL rates.
HB2034 — One of the two bills the committee is required to study and report on.
HB2034 — The speaker described HB 2034 as the bill involving a merger of three plans.
Aaron — Thanked for analysis and helping explain the issue.
Fred Yancey — Fred Yancey is called as the first public testifier, introduces himself, and testifies on behalf of the Washington State School Retirees Association, the Washington Association of School Administrators, and the Washington Association of School Business Officials. His testimony then concludes with the chair thanking him.
Michael Duchemin — Next public testifier is introduced, though the name is uncertain in the transcript.
Michael Dushman — Michael Dushman, president of the Retired Firefighters of Washington, testifies in opposition to the bills, and the chair thanks him after his remarks.
Donna Albert — Donna Albert, a retired PERS 2 member, delivers testimony urging the committee and the State Investment Board to align pension investments with Washington’s climate policy. She argues that the Board should recognize climate-related financial risk, asks the state actuary to quantify it, and says that failing to reduce emissions will harm younger beneficiaries and undermine the long-term value of retiree pensions. She concludes by thanking the committee for considering her comments.
Barbara Carey — Barbara Carey, a PERS 3 retiree, testified that systemic financial risk is an existential threat and argued that the State Investment Board is failing to protect long-term pension returns by remaining invested in volatile coal, oil, and gas assets. She said the state’s $215 billion pension assets are being misused to finance fossil fuel development, harming pensioners’ long-term interests.
David Maren — David Maren, a Left 1 retiree from the King County Sheriff's Office, testified in opposition to any attempt to take funds from the Left 1 pension system. He said there is unanimous opposition among Left 1 members, described repeated efforts to divert pension funds as abusive, emphasized that the fund is legally for the benefit of its members and should remain fully funded, and concluded by thanking the committee for the opportunity to speak.
Anthony Marietta — Cited for the point that pension benefits belong to plan members.
Claire Oliver's — Claire Oliver's, president of the Retired Public Employees Council of Washington, testified that the projected short-term savings are outweighed by the growing long-term unfunded liability. She argued that a merger is the only way to address the problem and urged the committee to recommend action to the legislature, including steps to restore a recurring COLA for Plan 1, and not to delay by "kicking the can down the road."
Brad Reynolds — Brad Reynolds introduces himself as a LEOFF 1 retiree and former police officer, then explains that he was injured in the line of duty and medically retired. He asks the committee to consider the impact on retirees when discussing benefits and any move to close LEOFF 1.
Jim Adesley — Jim Adesley introduces himself as a retired fire chief, a LEOFF 1 member, and a director for the Retired Firefighters of Washington, then continues by agreeing with President Dushman’s earlier comments and noting that he has testified on mergers since about 2011.
Robert Baker — Robert Baker introduces himself as a PERS 1 retiree and continues his opening testimony by noting his 45-year service badge and long work history, including prior experience in the Actuary's office.
Steve Conway — Votes aye on the May minutes.
Steve Conway — Nominated for vice chair of the committee.
Steve Conway — Elected vice chair of the committee.
Steve Conway — Congratulated on election as vice chair.
Steve Conway — Steve Conway is part of a brief exchange clarifying that when the rates are described as suspended, they are effectively frozen at zero, meaning there will be no contributions to the Plans 1 UAAL for the next four years.
Steve Conway — Senator Steve Conway raises his hand and then asks a question about the figures, specifically whether the 2026 pre-rate was 2.05% and whether rates would ever return to that level.
Steve Conway — Senator Steve Conway asks whether Washington’s overfunded pension situation is unique nationally, whether any broader federal analysis has been done, and whether the IRS may have little or no experience with an overfunded pension system. The discussion centers on standard pension funding targets, how systems are generally designed to stay fully funded, and the unusual nature of an overfunded plan.
Steve Conway — Robert Baker says it is nice to see Senator Conway on the board and notes Conway was on the board when Baker was a staff member.
Travis Couture — Travis Couture is introduced as a new virtual committee member and introduces himself, stating his district, role as ranking member of House Appropriations, and support for the pension policy committee. He is then welcomed, votes aye on the May minutes, is nominated and elected as chair of the Select Committee on Pension Policy, and takes over presiding.
Travis Couture — Addressed as Chair Couture by the witness.
Joe Fitzgibbon — Joe Fitzgibbon is mentioned repeatedly during a brief procedural exchange: he is thanked/acknowledged by name, then referred to as Vice Chair Fitzgibbon during the motion on the May minutes, and finally appears in the roll call vote on those minutes.
Cyndy Jacobsen — Representative Cyndy Jacobsen was noted as having joined the committee but not yet being online, and later was marked excused during the roll call vote.
Steve Conway — Is addressed in the exchange following Pat Thompson's remarks.
Steve Conway — Offers personal remarks honoring Pat Thompson's long service and recalls Pat being among the first members when the committee was created.
Steve Conway — Continues praising Pat Thompson's engagement and service on the committee.
Matt Boehnke — Chair Benke is absent today, so the meeting is being chaired temporarily until the election of new officers.
Matt Boehnke — Likely intended by 'Senator Bankee'; noted as excused.