Fitch: Focus on OPEB Expected to IncreaseCategories: National Developments,New England Developments,OPEB/GASB 45/75
Digital Journal via Business Wire, June 11, 2014
Other post-employment benefit (OPEB) liabilities will receive more focus in light of the expected changes in GASB reporting requirements and the stabilization of other state financial concerns, according to a new Fitch Ratings report.
‘GASB is expected to revise their OPEB standards in line with revised pension reporting requirements, which could provide greater consistency in available information. The changes could also increase focus on the issue and prompt more OPEB reform.’ said Laura Porter, Managing Director in Fitch’s state ratings group.
States with above-average OPEB liabilities often have above-average liabilities for debt and pensions as well, which is not unexpected, since the same institutional infrastructure is making decisions regarding all three. Comparatively high OPEB liabilities are also seen in states that play an above-average role in relation to local government, like Delaware, Hawaii, and Connecticut.