Sources tell WHAS 11 News that Beshear will present his idea to key lawmakers, then go ahead with a news conference announcing formation of the work group. Beshear is hoping the group can come up with a compromise bill to reform Kentucky's public employee pension systems and start reigning in the estimated $12 billion unfunded liability. Beshear's biggest concern, according to aides, is how the pension systems' financial problems are impacting Kentucky's bond rating.

Legislative leaders reached an 11th hour deal on pension reform on the last night of the 2008 Legislative Session. The deal collapsed when House democrats refused to go along with the bill. According to employee groups, one of the main sticking points is the Senate's plan to take 1% of the employees' contribution to set up an annuity savings account. Other hang ups include the talk of including classified school employees in the Teachers Retirement System and setting up a separate pension system for city and county employees.