[LeifCarrotson]

Offering recourse to the pension-holders will clearly require penalizing groups that did not cause the problem.

But can't we also penalize those that made the un-keepable promises and mismanaged the funds? This won't make the policemen financially whole, but it would offer at least some sense of justice, and, more importantly, send a message to others currently operating similar schemes.

[kmc059000]

I'm not sure that is possible and I question if their actions were illegal. Investing is risky and when actual returns did not beat the guarantees, the investors decided to invest in riskier assets to attempt to make them whole. However I'm not excusing their behavior and they are clearly to blame. There was also questionable behavior but I'm not sure how illegal it was.

And if their actions were illegal, I wonder how many people were involved and able to be prosecuted. I imagine there are many, from investors to politicians, and thus an expensive endeavor for the city and state.

I think the best thing is to prevent this from happening in the future by monitoring and exposing these shenanigans early rather than before it is too late. Cities and states with pensions should take note of Dallas' problem and act accordingly. Contracts should include clauses for penalties and recourse so as to allow civil lawsuits.