Pension Reserve Trust Receives First Payment from Puerto Rico Government

In early October 2022, the Puerto Rico government made the first installment, in the amount of $1.4 billion, to the Pension Reserve Trust newly established pursuant to Puerto Rico’s Court-approved Plan of Adjustment. This marks an important milestone in the creation of a secure system for the full payment of approximately $55 billion in accrued public pension benefits in Puerto Rico. In its negotiations with the Puerto Rico Oversight Board regarding accrued pension benefits, the Official Retiree Committee (represented by Jenner & Block, LLP and other advisors) proposed and successfully negotiated for the creation of a pension reserve trust fund, along with AFSCME. The purpose of the fund is to provide security and assurance that accrued pension benefits will be fully funded even in future years when it is anticipated that the Commonwealth may experience a budgetary shortfall. The fund is expected to receive approximately $10 billion in aggregate annual deposits from the Puerto Rico government over the next 10 years. 

Partner Robert D. Gordon led the team that served as counsel for the Official Retiree Committee and its constituency. The core restructuring team also includes Partners Catherine L. SteegeMelissa M. RootRichard LevinLandon S. Raiford, and Marc B. Hankin, Special Counsel Carl N. Wedoff, and Associate William A. Williams

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© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.

Pension Reserve Trust Receives First Payment from Puerto Rico Government

In early October 2022, the Puerto Rico government made the first installment, in the amount of $1.4 billion, to the Pension Reserve Trust newly established pursuant to Puerto Rico’s Court-approved Plan of Adjustment. This marks an important milestone in the creation of a secure system for the full payment of approximately $55 billion in accrued public pension benefits in Puerto Rico. In its negotiations with the Puerto Rico Oversight Board regarding accrued pension benefits, the Official Retiree Committee (represented by Jenner & Block, LLP and other advisors) proposed and successfully negotiated for the creation of a pension reserve trust fund, along with AFSCME. The purpose of the fund is to provide security and assurance that accrued pension benefits will be fully funded even in future years when it is anticipated that the Commonwealth may experience a budgetary shortfall. The fund is expected to receive approximately $10 billion in aggregate annual deposits from the Puerto Rico government over the next 10 years. 

Partner Robert D. Gordon led the team that served as counsel for the Official Retiree Committee and its constituency. The core restructuring team also includes Partners Catherine L. SteegeMelissa M. RootRichard LevinLandon S. Raiford, and Marc B. Hankin, Special Counsel Carl N. Wedoff, and Associate William A. Williams

Related Capabilities

© 2026 Jenner & Block LLP. Attorney Advertising. Jenner & Block LLP is an Illinois Limited Liability Partnership including professional corporations. This publication, presentation, or event is not intended to provide legal advice but to provide information on legal matters and/or firm news of interest to our clients and colleagues. Readers or attendees should seek specific legal advice before taking any action with respect to matters mentioned in this publication or at this event. The attorney responsible for this communication is Brent E. Kidwell, Jenner & Block LLP, 353 N. Clark Street, Chicago, IL 60654-3456. Prior results do not guarantee a similar outcome. Jenner & Block London LLP, an affiliate of Jenner & Block LLP, is a limited liability partnership established under the laws of the State of Delaware, USA and is authorised and regulated by the Solicitors Regulation Authority with SRA number 615729. Information regarding the data we collect and the rights you have over your data can be found in our Privacy Notice. For further inquiries, please contact dataprotection@jenner.com.

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