Prairie State Wire

Net liabilities in Illinois for so-called other post-employment benefits (OPEBs), which consist primarily of health care and life insurance benefits to retired public employees, now hover at approximately $101.6 billion, according to a new analysis. 

The Prairie State posted a per-capita OPEB liability of $8,017, which represents the fifth highest value among the 50 states, the study from the American Legislative Exchange Council (ALEC) found. In terms of total unfunded OPEB liabilities, Illinois also posted the fifth highest debt figures among the states.

Nationwide, unfunded OPEB liabilities in the U.S. total more than $959 billion, or just under $3,000 for every American. That figure is slightly below the OPEB liabilities figure calculated in a 2020 report from ALEC.

States that have defined-contribution retirement systems, rather than defined-benefit OPEB systems, are more able to weather unexpected downturns, according to the analysis. Without reform of state OPEB defined-benefit systems, taxpayers will face severe financial burdens, as will other state spending priorities, the report said.

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States With the Highest and Lowest OPEB Liabilities

Rank	State	Total Unfunded Liabilities
1 (tie)	Nebraska	$0
1 (tie)	South Dakota	$0
3	Kansas	$138,373
4	Utah	$113,643,864
5	Montana	$138,976,485
6	Idaho	$205,853,795
7	North Dakota	$258,476,535
8	Indiana	$341,007,757
9	New Hampshire	$458,891,967
10	Oregon	$581,630,093
11	Wyoming	$646,931,140
12	Oklahoma	$722,104,169
13	Iowa	$729,528,281
14	Rhode Island	$827,810,898
15	Mississippi	$1,005,027,453
16	Minnesota	$1,159,507,767
17	Nevada	$1,570,901,589
18	Wisconsin	$1,880,522,308
19	Vermont	$2,695,723,726
20	Tennessee	$2,863,852,761
21	New Mexico	$3,558,272,947
22	Colorado	$3,869,181,941
23	Arizona	$3,931,579,071
24	West Virginia	$4,015,619,011
25	Maine	$4,573,899,430
26	Arkansas	$4,706,048,273
27	Missouri	$5,217,611,482
28	Alabama	$9,111,735,649
29	Delaware	$9,897,802,620
30	Alaska	$10,465,369,515
31	Louisiana	$13,183,243,653
32	Kentucky	$14,569,561,030
33	South Carolina	$16,058,191,936
34	Maryland	$17,046,087,272
35	Ohio	$18,433,727,397
36	Pennsylvania	$18,443,951,834
37	Florida	$18,617,493,676
38	Hawaii	$18,742,935,751
39	Virginia	$18,996,780,830
40	Washington	$20,750,181,194
41	Georgia	$22,074,513,706
42	Massachusetts	$22,357,822,937
43	Connecticut	$27,596,865,649
44	North Carolina	$37,768,028,088
45	Michigan	$40,870,483,254
46	Illinois	$101,589,984,034
47	New Jersey	$104,340,736,085
48	New York	$111,615,332,033
49	Texas	$116,447,159,333
50	California	$124,608,551,798

Source: American Legislative Exchange Council