Friends – 

On Wednesday, August 6, the Iowa DOGE Task Force met to discuss dozens of proposals to present to Gov. Reynolds and lawmakers. 

Among those proposals were recommendations to significantly change public employees’ pensions and retirement benefits.

Terry Lutz, a member of the task force and chair of one of the internal working groups, said, “We are recommending doing away with the current defined benefits program and going to a defined contribution program.” What does that mean?

• Under a defined benefits plan, the employer manages the investments and is responsible for ensuring there are sufficient funds available to pay the guaranteed retirement benefits, which are calculated based on an employee’s salary and years of service.
• Under a defined contribution plan, like a 401(k), the employee manages the investments and is responsible for the risk. Defined contribution plans do not promise any specific amount of benefits at retirement.

In short, it means shifting the risk and management responsibility from the employer to the employee and eliminating the specific, promised retirement benefits. 

This proposed change would threaten programs on which hundreds of thousands of Iowans rely, like the Iowa Public Employees Retirement System (IPERS), Municipal Fire and Police Retirement System of Iowa (MFPRSI), Peace Officer Retirement, Accident, and Disability System (POR), and the Judicial Retirement System.  

What can YOU do?

First, you can sign up for the new Retirement Alerts newsletter. The Iowa Senate Democrats have put together this newsletter to keep you informed and up to date on the proposed changes and to keep you in the loop on opportunities to make your voice heard at any town halls, public forums, informational sessions, or potential subcommittee meetings. 

• You can sign up to receive the Retirement Alerts newsletter using the link below. We will also have a sign-up link available at iowasenatedemocrats.com.

Second, you can contact Gov. Reynolds and tell her to reject this proposal and keep her promise to protect Iowans’ benefits. 

• You can call the governor’s office using this number: (515) 281-5211.
• You can submit feedback electronically here. 

Third, you can reach out to Republican legislators and tell them that any proposed changes to Iowans’ benefits should be dead on arrival in both the Iowa Senate and the Iowa House.

What Comes Next?

The Iowa DOGE Task Force will meet again on September 15. Their deadline to submit their final report and recommendations to Gov. Reynolds is September 29. 

Thank you for standing together with the Iowa Senate Democrats in defense of Iowans and the benefits they rightfully earned.

Please note: signing up for Retirement Alerts will NOT remove you from any current newsletter list. You will continue to receive your regular legislative communications in your inbox.