Charles Hugh Smith say's the authorities in charge of the pension funds have tended to down-play it. 

By claiming they’re going to make it up from very high returns on capital and other kinds of peen less means but the reality that is now becoming visible is that the public pensions have to be funded at rates that require the cutting of public services. So, there is a seesaw here – that the more money that is put in to the public pension funds to build up their capital to minimum levels then the less money there is available for public services. It is a win-lose situation or a zero-sum game. You can’t find money for both. 

As the asset bubble economy that we’ve been living in for decade normalizes, or perhaps even declines, then this is really going to be a case where many municipalities and counties are going to be proverbial as time goes out and we’re going to see who is naked....

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