Jackson Jambalaya

this smells like Lynn Fitch being a political opportunist

the stock market and bond markets are at historical highs. WHAT HAVE THEY INVESTED IN????????????

But I thought Tate left the MPACT program in great shape??

I believe the question is, What was Tate and his precedessor investing in?

and the Tate haters in 3....2....1..

I was a little nervous buying these things and this is not really helping despite the noted reassurance.

While the people (read: Treasurers) with authority over the money managers certainly didn't put us in the best possible position, they were destined to fail. The problem with MPACT is the same problem with PERS - the state is offering a guaranty on something that is accelerating in cost at a much higher rate than even good returns can match and with an extra layer of cost (bureaucracy). Those in the system love the deal. The taxpayers are left holding the bag.

This is a perfect example of why she didn't need to get elected. Not ready for the big leagues. That's what the word at the Capitol is.

Only good thing about Tater-head is that he is a republican...at least he has that going for him

The word at the Capitol? Please. Lynn Fitch was elected to do a job and she's doing it. She has the courage to tackle what most politicians wouldn't touch with a ten foot pole and you guys think she's being an opportunist? If that's true then there's plenty of opportunity for every politician out there to get state spending under control. Conduct the audit, figure out a way to get MPACT back on solid financial footing without the taxpayers having to foot the bill. Bill Billingsley

3:58 hit the nail on the head. This probably should have been done years ago. You just can't cover 7% +/- tuition increases when your return is 1-2%. The stock market is up now but MPACT is the kind of thing that you want to keep mostly invested in bonds to avoid risk. Yields there are pitiful, but you don't put your principal to any great risk.

Amen Bill....

Bill, have you ever had a conversation with Lynn?

In the interest of full disclosure, my wife and I have been friends with Lynn since our kids became classmates eight years ago. I worked to get her elected against pretty much every establishment Republican in Mississippi. She had her first campaign fundraiser at my house. Yes, I've had a conversation or two with her. BB

Then I guess the answer to if you agree with conventional wisdom that she is in over her head would be...no.

Bill - I just got my mail and it includes a flyer from, of all people, Lynn Fitch encouraging me to invest in (wait for it) MPACT.

Usually we make snarky comments when different people work at cross purposes - "the left hand doesn't know what the right hand is doing", etc. In this case, maybe she's got Multiple Personality Disorder and can blame it on that :-)

5:02, no, I don't think she's in over her head and don't hold much with conventional wisdom, I guess. Conventional wisdom had her third in the primary and then had her losing to Yancey in the runoff. Do you not agree that this action needs to be taken? Frankly, letting MPACT continue toward insolvency would be more of an indicator that she's in over her head. Ten states have already killed similar programs, and the math doesn't work the way it's currently configured. I'm glad she's identified the problem.

5:06, I suspect your flyer was part of a bulk mailing that could have been dropped at the post office a month ago. Although I'm sure they've been discussing MPACT and the need for an audit for awhile now, the left hand/right hand comment is still applicable whenever you're dealing with any bureaucracy. The program is not dead, at least not yet, and her encouragement may still be valid after the audit and restructuring the program probably will get. BB

... figure out a way to get MPACT back on solid financial footing without the taxpayers having to foot the bill.

... [and] it really is very simple. Audit the model, adjust the assumptions and change the MPACT contract prices for alignment with the new financial realities.

Did Reeves drop the MPACT ball? You betcha. He ignored, er, avoided what was happening to MPACT because to make changes to MPACT would be to draw attention to the exponentially MASSIVE problems with the PERS (inclusive) model(s) in advance of his political plans to conquer the state.

Is MPACT a bad idea? Absolutely not. Never was and still isn't.

Why? Because it encourages parents, grandparents, guardians, families, estates, etc to SAVE MONEY IN ADVANCE for college educations where the students (thousands of whom every year will attend Mississippi institutions because of family tradition) will be able to matriculate with the least amount of debt (assuming the students do their part) as possible.

FURTHERMORE, the biggest MPACT bang for the buck is achieved at institutions WITHIN Mississippi. So for all those folks looking to keep our graduates here, in-state, this is one important program that points in the right direction.

The issues with MPACT has never been with the concept. No, they have ALWAYS been issues of political courage and execution.

KUDOS to Lynn Fitch for addressing the problem.

3:53 is right; although Bill that doesn't make you wrong. Back when this program was begun (Marshall Bennett) and since, it has the same problems as PERS. You promise much more than is possible, and the taxpayers have to foot the bill. None of the Treasurers were involved in the development of the program other than Bennett. He, with the legislature, designed it and it was something more for the state to "give" to some taxpayers. Benefits guaranteed, rate of return anticipated over-estimated; result - eventually it will run out of money.

Today isn't its worse, that was in 2002. But with the bond rates at less than 1% and a need to make 8% to be sound there is no reason to think that it shouldn't have problems.

Lynn over her head? Surely you jest. This is just a little MPACT fund. Today on Ramsey she declared herself the "Chief Financial Officer" of the State. Another self-promotion! That title, I believe, belongs to the ED of DFA. Maybe somebody better tell Ms. Fitch what her job does entail. All during the campaign she thought she was in charge of bonds - another function that is in the Governor's office (at DFA).

And just a few days ago, our Treasurer was in Hancock County promising the good folks on the coast that "we are going to make sure that we get rid of all the dead stinking rats" down here. Actually, she wasn't talking about the local politicians, and more accurately she was promising that the state would get rid of the dead nutria. Not sure how that fits under the auspecies of the Treasurer, but I guess she is just like Dilbert and thinks that since she won a statewide office, she has all the responsibilities of all offices!

Why do we even have a Treasurers office? We are paying her to run for another office.

6:02 - don't know what position you hold there in the Treasurer's office, but.......

Your ending comment matches with all the rest of your post. "Kudos to Lynn for "Fixing" the problem?" I don't see where she has fixed anything yet. She has put a "hold" on new enrollments - maybe a good beginning to shut it down. But you don't think it should be shut down. So, what do you suggest she has done to "fix" it? Has she added a few hundred million to the pot to shore it up? That's what Alabama just did: $500 million to fix the shortfall in their fund. Found a way to get the returns up to 8%? If so, she should go into financial advising. Lowered tuition at the colleges? Damn, how can she do this while removing the dead rats on the coast at the same time.

But obviously, you are on the train of trying to gut Reeves while promoting Lynn - trying to tie the PERS problems on Reeves. Sorry to tell you, but Reeves had been on the team calling for reforms in PERS for several years. But that, like MPACT, is a legislative creation and is too generous to the beneficiaries and too costly to the taxpayers.

Stopping the MPACT temporarily is a good start. Let's see if she has the guts to do what should be done - shut it down for good. You want people to save - fine; let them do it. Plenty of opportunities to do so including the MAC program (also sponsored and subsidized by the state.)

But I am glad you posted - you point out what this is all about. A political move by Fitch as her opening round to run for LG next time. Would suggest she read that old tome, The Peter Principle, before she really jumps in.

She is trying to be relevant and the majority of people have no idea who she is.

We are going to need more sand to balance the physical budget.

I'm not a Lynn Fitch fan, but I'll give her credit on this one.

I'm still wondering why Daddy Fitch didn't pick up the tab for her new desk and credenza @ the MSPB .

Political ? You better believe it. A Fitch vs.Tater showdown for Lt. Guv ? That would be funny.

A 37 year old "man-child" sporting a shorter Ceara Sturgis/Justin Bieber hair-do up against a cute , blonde & rich, Ole Miss sorority alum from
Holly Springs ? .... Priceless .

Tate Reeves is an Obama-level fraud. This JJ discussion proves it.

Ask any staffer in the T office. She doesn't have a clue what she is doing.

I hope Fitch runs against Reeves. Hewes (and Phil's friends) spent $3 million against Reeves and won 4 counties. Yep...$750,000 per county.

Fitch can spend $5 million of Daddy's money and win 7 counties. Great investment.

Can't any of y'all dispute with facts whether or not the MPACT shortfall is meritorious?

@Notherthirdhusband

Interesting that you broght dead sea rats to politicians comparison into the thread. You know simone else who thinks that's a funny analogy? That coast crook Wes Teel. Check his Facebook.

9:28pm, you're right about losing to tater now even with daddy's money but are you saying tater is anything?? come on man, you gotta be kidding. right, you're kidding???

Is there a limit on the number of times Billy Hewes can post anonymously?

Stepping away from the I love/hate Tate/Lynn stuff, there were two comments that made a lot of sense to me— the state is offering a guaranty on something that is accelerating in cost at a much higher rate than even good returns can match and with an extra layer of cost (bureaucracy). You just can't cover 7% +/- tuition increases when your return is 1-2%. The stock market is up now but MPACT is the kind of thing that you want to keep mostly invested in bonds to avoid risk. Yields there are pitiful, but you don't put your principal to any great risk

These are good points. Honestly, how could this be fixed, if it can be fixed. You can’t drop the principal in a high risk category but the system can’t support a low return and be viable.