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NRTA 2019 Update Kentucky Retired Teachers Association April 2019 Alfred Campos, Director

NRTA 2019 Update Kentucky Retired Teachers Association April 2019 Alfred Campos, Director NRTA: AARP’s Educator Community. NRTA: AARP’s Educator Community. NRTA: AARP’s Educator Community.

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NRTA 2019 Update Kentucky Retired Teachers Association April 2019 Alfred Campos, Director

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  1. NRTA 2019 Update Kentucky Retired Teachers Association April 2019 Alfred Campos, Director NRTA: AARP’s Educator Community

  2. NRTA: AARP’s Educator Community NRTA: AARP’s Educator Community • Dr. Ethel Percy Andrus founded NRTA: AARP's Educator Community in 1947 to address the economic challenges and health insurance needs of educators in retirement. • NRTA supports a nationwide network of Retired Educators Associations (REAs), who are skilled partners and volunteers for AARP’s advocacy, community outreach, volunteer and education work. • Our affiliate network includes 51 state and city REAs, 2,400 local units, and a combined membership of more than 850,000 retired educators. • NRTA resides in AARP’s Office of Community Engagement.

  3. NRTA 2019 Planning Pilot

  4. Legislative Issues – Federal MESSAGE FRAMEWORK: KEY MESSAGES Pensions: • On the public pension front, 2019 has been quiet year so far as far as the U.S. Congress is concerned. • Multiemployer pension plans, however, continue to be an issue in Congress. • On private pensions, AARP recently co-signed a letter to the Treasury Department opposing new rules allowing lump sums to retirees already receiving their pension benefits. • Retirement Security: • SECURE Act • Social Security

  5. Legislative Issues – State MESSAGE FRAMEWORK: KEY MESSAGES Public Pensions: Pension systems, their financing, and the benefits public retirees have earned over their careers continue to be prominent issues in state legislatures across the country. Although these efforts are somewhat declining, 2019 has still seen significant legislative efforts in states, including bills to: • Convert the state’s defined benefit plan(s) from into a defined contribution, 401(k)-style plan, or a hybrid plan. (AZ, IN, LA, MO) • Alter pension contributions from employers or employees or benefits for employees. (AR, CO, TX) • Provide much-need cost-of-living adjustments or a 13th check to retirees. (NH, OK, TX, WY) • Eliminate taxes on pensions. (MI)

  6. Pension Messaging Research - Overview RESEARCH: OVERVIEW BACKGROUND • AARP and NRTA believe that public employee defined benefit pension plans are: • Critical for providing public employees with the financial security they earned in retirement • Important for recruiting and retaining the best employees • More efficient than defined contribution plans alone • Retirees tend to spend their defined benefits in their communities, on local goods and services that, in 2016, had a total economic impact of $1.2 trillion, supported 7.5 million American jobs, and supported more than $202.6 billion in federal, state, and local tax revenue. OBJECTIVE AND METHODOLOGY • AARP and NRTA conducted a 2-phase project to better understand American’s 25+ knowledge and views of public pensions and to assess messages that resonate most to garner support. • Phase 1: Focus groups in three states (KY, NV, WI) that were selected based on the level of activity (proposed reforms, state budget issues, news media stories, etc.) surrounding public pensions. • Phase 2: A national survey of 1,505 U.S. adults ages 25 and older using NORC’s nationally representative AmeriSpeak panel.

  7. Phase 1 of Research – Focus Groups RESEARCH: FOCUS GROUPS GUIDING PRINCIPLES

  8. Phase 1 of Research – Focus Groups RESEARCH: FOCUS GROUPS WARY OF OVER SELLING Language that’s too strong risks coming across as exaggeration or worse – an empty promise.

  9. Phase 2 of Research – National Survey RESEARCH: NATIONAL SURVEY Americans are Uncertain about Their Financial Security in Retirement 78% 65 and older (n=360) 89% 50-64 year olds (n=441) …wish they had more money saved for retirement. Q2. As you think about your finances in the future, how anxious do you feel about having enough money to live comfortably through your retirement years? Base: n=1,505

  10. Phase 2 of Research – National Survey • RESEARCH: NATIONAL SURVEY U.S. Adults Have Misperceptions About Public Pensions • Facts unknown by most respondents: • Worker contributions are mandatory • Some public workers are not able to collect Social Security. Q6. How much would you say you know about public pensions…like what they are, how they work, who receives them? Base: n=1,505

  11. Phase 2 of Research – National Survey • RESEARCH: NATIONAL SURVEY U.S. Adults Have Misperceptions About Public Pensions Q5. Some people work in the public sector for state and local governments and others work in the private sector for private or non-profit businesses or organizations. Do you think public sector workers are paid more, the same, or less than workers in the private sector with similar jobs? Base: n=1,505

  12. Phase 2 of Research – National Survey • RESEARCH: NATIONAL SURVEY Thoughtful Messaging Around Public Pensions Can Influence Support

  13. Research Tested Key Messages • MESSAGE FRAMEWORK: KEY MESSAGES • Keep Our Promise: After a lifetime of sacrifice for us, public servants deserve to know that we will keep our promise to care for them. • Firefighters, teachers, police officers, and social workers sacrifice daily to build stronger communities, knowing that it means modest wages for hard work. • To honor their commitment, we provide these public servants with a retirement benefit to care for them in their later years – a public pension.

  14. Research Tested Key Messages • MESSAGE FRAMEWORK: KEY MESSAGES • It’s All They Have: Unlike most Americans, many public servants such as teachers, firefighters, and police officers don’t get Social Security. • Instead, they are required to pay into their pension from every paycheck they receive and depend on their pension to support them through retirement. • Pensions are a promise made to take care of Americans who dedicate their lives to caring for us – it’s a promise we need to keep. Only use if you have a significant number of public employees not covered by Social Security.

  15. Research Tested Key Messages • MESSAGE FRAMEWORK: KEY MESSAGES • Public Pensions = Stronger Communities: To ensure we have strong schools and safe neighborhoods, we must protect the public pensions that allow our state and local governments to attract the best people for the job. • Public workers earn up to 14% less than private-sector workers, according to the National Institute on Retirement Security. • Offering a steady source of retirement income through a public pension helps to attract the best talent – making sure our state and communities are getting the best service possible.

  16. Stop Rx Greed: Cut Drug Prices Now AARP Advocacy Campaign Briefing

  17. Rx I S S U E B A C K G R O U N D Drug prices are going up. Average Annual Cost of Brand Name Drug:In 2006: $1,868 In 2017: $6,798 Average annual cost in 2017 if price increases were limited to inflation: $2,178

  18. Rx I S S U E B A C K G R O U N D Wondering why our prescription drugs costs so much?

  19. P O L I T I C A L L A N D S C A P E — F E D E R A L + S T A T E House & Senate emphasize drug pricing as top issue to address – holding hearings on drug pricing Governors and State Legislatures willing to take on issues at increasing rates Campaign issues for 2020 Presidential race President Trump spoken out against high costs

  20. M E M B E R I M P A C T National Survey Data High costs for Rx is a top concern for 50+ voters across party lines. And, AARP is the best positioned to lead the fight. 90% 72% 63% 90% 80% Voters ages 50 and older who self-identify as Democrat, Republican and Independent.

  21. C A M P A I G N S T R A T E G Y We understand no one solution will make prescription drugs more affordable. Therefore, the broadest possible advocacy effort is necessary.

  22. P O L I C Y S O L U T I O N S — F E D E R A L Reduce Out of Pocket Rx Costs Increase Rx Competition Reduce Rx Prices

  23. P O L I C Y S O L U T I O N S — S T A T E Price gouging laws with State Attorney General authority. Bulk purchasing of Rx State importation from other countries. 2 3 1 Transparency behind dramatic price increases in Rx costs. Setting caps on out of pocket costs 4 5

  24. “They are America in action.” “It has been wisely said that whatever many may say about the future, it is ours, not only that it may happen to us, but it is in part made by us.” “The Past Is Prologue: What’s to Come Is Your and My Discharge,” Modern Maturity, August/September 1966

  25. Q & A Questions?

  26. For more information: Alfred Campos Director NRTA: AARP’s Educator Community acampos@aarp.org 202-434-3931

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