New Orleans, LA - May 7, 2010 The Louisiana Legislature is considering two bills that could impair education reform in our state. SB 694 and HB 658 would require charter school teachers to participate in the Teachers' Retirement System of Louisiana (TRSL).

Why is this a bad idea? Because teachers and schools should have more flexibility to determine appropriate salaries and benefits. Some teachers might prefer a lower salary with the promise of more generous retirement benefits down the road. Others might prefer a higher salary up front. Further, some might prefer a defined contribution plan, such as a 401(k) or 403(b). Shouldn't people be free to make these important decisions for themselves?

That's not the only problem with this legislation. The TRSL is severely underfunded. While TRSL admits to being $9 billion in the hole, a new study by the Pelican Institute (click on image to read the report) shows that a more realistic accounting puts TRSL $17.5 billion in the hole. Why would we want to force more people to board this sinking ship? Not only does it put teachers at risk, it puts taxpayers on the hook for a massive bailout.

These bills would centralize power, impair freedom and support fiscal irresponsibility. Don't let the progress we are making post-Katrina go to waste.

At a time when Louisiana is finally emerging as a leader in education reform, we cannot allow the bureaucracy to hamper our progress. We need more flexibility and innovation - - not less. And forcing teachers into an underfunded system rather than addressing the real problems puts you - the taxpayer - at risk.

Click Here for Senate Retirement Committee Contact Information

The Pelican Institute for Public Policy is a nonprofit, nonpartisan research institute dedicated to the principles of individual liberty, the free market and limited, accountable government. Through research papers, policy briefings, commentaries and conferences, the Institute seeks to educate and inform Louisiana's policymakers, news media and general public.