Keith Brainard, research director for the National Association of State Retirement Administrators, said much is made about the funding levels of public pensions and their relation to the overall health of those plans.
“Underfunded is a matter of degree, not kind,” Brainard said. “The fact that a plan is underfunded is not in itself problematic.”
He said there are several other key factors in determining whether a pension plan is healthy. One key factor is the demographics of the plan.