The state Senate voted today to pass a new pension reform bill that was advanced by the Senate Appropriations Committee Sunday night. The House is expected to vote on the bill Thursday.
The Senate passed the bill 40-9 after closed-door negotiations between Senate and House Democrats and Republicans, and Governor Tom Wolf.
“This is the medicine that will move us forward in a way that future Legislatures will be proud of,” Senate Majority Leader Jake Corman (R-Centre) said prior to today’s vote, according to the Patriot News.
The only Republican to vote against the bill was Senator Scott Wagner (R-York). Wagner voted against the bill both in the Appropriations Committee and in the floor vote. He argued that the system should go to a full 401(k) style system. Wagner is also running to challenge Wolf in next year’s Gubernatorial election.
The bill would create three options for new state employees to choose from, two of them are hybrid plans allowing workers to put money into both the pension system and a 401(k) style system. The third option is a full 401(k) system with no pension guarantee when the employee retires.
The bill will likely pass the House with bipartisan support, but more will be known later on Tuesday as House members have time to read the full bill and discuss it.
Wolf has already said he will sign the bill if it gets to his desk.