Ad
OPINION: $9B pension crisis for NM
New Mexico’s pension system isn’t just numbers on a page — it’s about real people.
It’s about 136,000 state employees, municipal and county workers, firefighters, police officers, judges, magistrates, legislators and volunteer firefighters who kept New Mexico running through decades of service.
It’s about the $1.5 billion paid out every year that supports local economies and families across the state.
And today, their futures are at serious risk.
Eight years ago, the Public Employees Retirement Association (PERA) was not perfect, but it was stable:
- The system was nearly 75% funded.
- The net pension liability (NPL) was about $5 billion — challenging, but manageable.
Today, the NPL has nearly doubled to $9 billion, and the fund is now just 66% funded — a grade no one should find acceptable.
We had every opportunity to fix it.
Markets delivered historic gains. Neighboring states like Arizona took advantage, stabilizing their pensions and even building surpluses.
Meanwhile, New Mexico leaders squandered our chance.
Ad
Despite enjoying record budget surpluses, no serious effort was made to stabilize PERA.
Instead, new permanent government programs were created, with no regard for the promises we already owed.
This wasn’t just an oversight. It was a deliberate choice. And it has left New Mexico more vulnerable than ever.
