“Opinion Piece: Bottomless Pitts”

bottomless pitts

The letter to the editor (below) also appears in today’s Lancaster Sunday newspaper. It is written by Eric J. Epstein, of Rock The Capital, “formed in August 2005 as a nonpartisan, voter education organization that was enacted after the Pennsylvania legislative, judicial and executive branches conspired to enact a compensation package in violation of a state constitutional provision.

“Eric J. Epstein is Rock the Capital‘s coordinator and a community advocate for good government for over 25 years.  Mr. Epstein is also Chairman of the Three Mile Island Alert, Inc.,  a safe-energy organization founded in 1977; President of EFMR  Monitoring Group, Inc., a non-profit economic development corporation established in 1977, and Chairman of the Stray Winds Area Neighbors (SWAN), a smart growth association organized in 2005. Mr. Epstein was a Visiting Assistant Professor of Humanities at  PSU-Harrisburg (1992-1999) and co-authored the Dictionary of the Holocaust, which was released by Greenwood Press (1997), and prepared the Appendices for the The Holocaust Chronicle (2000).”

“To the Editor:

“I wanted to take the time to thank you for the article you published on July 12, 2013 regarding  Congressman Joe Pitts ability to harvest a state pension of $90,867 per year  in addition to his annual Congressional salary of $174,000.

“I  appreciated the information you provided and wish to shed additional light on this subject. Mr. Pitts has been collecting a state pension and a Congressional salary since 1997. Both income streams are subject to cost of living adjustments (COLAS). From January 1997 to June 1998 his pension was $82,984.32.  In June 1998. Mr. Pitts’ COLA increased and his  pension increased to $84,527.88. On July 1, 2003, Mr. Pitts benefitted from another COLA and his annual pay out was pumped up to$90,867.48.

“Mr. Pitts is quoted in your article as saying that the rate he “paid into the system was  a lot higher than what it is now.” Such a comment might suggest his generous annual pension was the result from Mr. Pitts making higher contributions. This is not the case.

“The facts of this matter are that Mr. Pitts’ contributions are no longer part of the state  resources available to pay his or anyone else’s pension. And, upon his retirement in 1997,  Mr. Pitts received a lump sum payment of $210,079.73 from the state pension system. His  lump sum pay out was comprised of his contributions of $154,707.20 and a 4% statutory interest totaling $55,372.53. He, also, received a lump sum payment of $5,351.55 for contributions made when he taught school. The combined lump sum benefit was  $215,431.28.  But unlike traditional 401 (K) defined contribution plans, the state  served as Mr. Pitts’ investment agent and guaranteed a robust rate of return.”

To continue reading this opinion column at Rock The Capital, click here.

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