* Illinois has the largest pension liability
* Big pension liabilities reflect long-term underfunding
* Nebraska has smallest pension burden
WASHINGTON, June 27 (Reuters) – Ten U.S. states have public pension liabilities that are at least as big as their annual revenues, according to a Moody’s Investors Service report released on Thursday that found the Illinois pension bill was equal to 241 percent of its revenues.
The rating agency took a new approach to determining the health of public retirement systems by weighing each plan’s net pension liability – the difference between the projected benefit payments and the assets set aside to cover those payments – against state revenue.