Rep. Jim Walsh, R-Aberdeen, said on Apr. 28 that the state’s decision to move $4 billion from the Law Enforcement Officers’ and Firefighters’ (LEOFF) Plan 1 pension fund is a significant mistake.
The issue concerns House Bill 2034, which allows the state to use money from a well-funded pension plan to support daily government expenses. Walsh said this approach could put both the creditworthiness of Washington and the retirement security of first responders at risk.
Walsh said that Washington had previously avoided fiscal practices seen in states such as California and Illinois but is now adopting similar measures. “By raiding these earned benefits, majority Democrats is putting the creditworthiness of our state and the retirement security of our first responders at risk,” Walsh said.
He warned that this action sets a precedent for future decisions involving other public employee funds. “If the state can raid LEOFF 1 today, other funds for teachers and general state employees could be next,” he said.
Walsh concluded by emphasizing his view on how pension funds should be used: “Pension funds are for the workers who earned them, not a budget backstop for unsustainable spending.”
