Washtenaw County, Mich. is considering issuing $345 million to pay down its pension and retiree health care obligations.
The county joins a group of local governments that are hoping to take advantage of a new state law that allows certain governments to issue debt to cover their pension debt and their other post-employment liabilities.
Commissioners on the Washtenaw County board had planned to vote on the bond deal in May, but postponed the decision until they received an updated actuary report. The new report is scheduled to be released July 8, and the board is set to vote on the borrowing July 10.
The county’s pension fund is roughly 60% funded and its OPEB fund is about 30% funded, according to local reports.
Bloomfield Township, a triple-A rated town 10 miles from Detroit, as well as Saginaw and Oakland Counties are also considering the borrowing.