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August 23, 2016      4:39 PM

Sunset picks up ERS contracting issues as new benefits contract goes out for bid

Sen. Taylor of Collin raised concerns about a recommendation to provide more transparency around alternative investments, Chair Flynn acknowledged actuarial soundness was a continuing concern

The review of Sunset Commission recommendations on the Employee Retirement System veered into investment strategies far more than contracting reforms.

ERS is not an agency in the rotation for Sunset review. It’s constitutionally created. Lawmakers added the agency to the queue after the State Auditor’s Office raised concerns about the selection of United Healthcare as a vendor and whether it represented the “best value.” That audit, completed at the end of 2014, can be found here.

Last night’s discussion, which came at the tail end of a lengthy hearing on the Railroad Commission, tended to focus more on the agency’s investment strategy than anything else.

By Kimberly Reeves