If the Kentucky state government wants to operate a secret, non-transparent public pension system, then by all means, it should.
The catch is that the state absolutely should not use taxpayer dollars to do it.
Currently, the state’s pension system is as transparent as a brick wall. In fact, state law goes as far as specifically excluding any information about the pension system accounts from being accessed by the Kentucky Open Records Act (KRS 61.661.)
The problem is that taxpayers are cut off from how their hard-earned money is allocated. I think that all Kentucky taxpayers would be especially interested in the sizable pensions that part-time legislators are collecting.
We should do all we can to help Frankfort achieve and maintain their goal of operating in secrecy by moving to a defined contribution pension plan and away from a defined benefit plan. This would remove taxpayer money from the equation.
Until that happens, the books must be opened on the Kentucky Retirement System so that accountability can thrive.
There is a SEC investigation and current scandal but the mainstream Kentucky newspapers have refused to cover but Forbes has at
http://www.forbes.com/forbes/2011/0523/features-pensions-glen-sergeon-auditors-secret-agent.html
Also there is a report by a former SEC attorney at http://papers.ssrn.com/sol3/papers.cfm?abstract_id=2112594
titled “Report of Independent Counsel to SEC: Placement Agent Abuses at Kentucky Retirement System” that is very critical of the Auditor, and thus was not covered in the mainstream KY media.