Administration officials say privatization would bring in a one-time payment of $150 million and save $10 million a year in administrative costs through the elimination of 149 jobs. But a bipartisan list of critics say the numbers don't add up.
State Sen. Butch Gautreaux, D-Morgan City, has promised to hold weekly hearings of the Senate Retirement Committee until he gets certain questions answered. The Louisiana Democratic Party has taken a stand against the proposal, and House Speaker Jim Tucker, R-Algiers, said the sale likely would lead to increased premiums for beneficiaries as the buyer seeks to recoup its investment.
The administration is in the process of hiring a financial adviser to assist in the sale after negotiations to hire the Wall Street firm Goldman Sachs for that role broke down earlier this year.
Saturday, April 30, 2011
Sticking with the sell-off
Bobby Jindal will go to the mat for his scheme to privatize the Louisiana Office of Group Benefits.
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