85 / 56
      73 / 53
      77 / 50

      N.M. pension finances to improve under new law

      SANTA FE, N.M. (AP) - A retirement system for New Mexico's state and local government workers reports its long-term financial outlook has improved in large part because of a recently enacted pension overhaul.

      The Public Employees Retirement Association said Thursday the projected cost of future pension benefits was $4.6 billion more than the retirement fund's assets in the 2013 fiscal year. That's down from an unfunded liability of $6.2 billion the previous year.

      PERA has almost 73 percent of the assets needed to cover future benefits. That's up from 65 percent in 2012, but a new law aims to improve the retirement system so it has 90 percent of necessary assets within three decades.

      Reduced cost-of-living adjustments for pension benefits are among the changes in a state law approved this year.

      (Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)