Kentucky Pension Systems

Gov. Steve Beshear says he hasn't reached a conclusion on whether Kentucky should borrow enough money through the sale of government bonds to shore up the pension systems for state and local employees. The state employee retirement plan faces a $19 billion shortfall. Add to that the financial woes in plans covering local government employees, state police, teachers, lawmakers, judges and other court workers, and the shortfall reaches $30 billion.

A former financial planner for the Kentucky Pension Systems says an international banking scandal is leading to millions of dollars in losses for Kentucky agencies. Financial analyst Chris Tobe believes the pension systems have lost money due to the false interest rates associated with the LIBOR banking scandal.