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Summary and audio linked here.
Chicago’s political leadership is floating a pension buyout program as evidence it is seriously addressing the city’s thirty-six-billion-dollar unfunded pension liability, but Mark Glennon, founder of the Illinois policy research organization Wirepoints, said that the proposal moves debt from one column to another rather than reducing it, and that the broader fiscal picture facing the city continues to deteriorate across every measurable dimension. Audio here.
Expect no retraction or apology. This what they do.
The state’s existing buyout program for its own pensions is the precedent for Chicago, which should be a warning: Look out for similar exaggerated claims and shoddy analysis.
Full interview and summary linked here.
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Folks, if you ever needed a reason to stack, this article is it.
If you want read ahead in the script on how this ends, Google on the Weimar Republic.
Here’s a better question. How many retirees who worked in southern states like Florida or Texas or western states like Ca. or Arizona/Nevada move to Illinois when they retire? How much money is coming in vs going out. Also how many travel here from those states and stay for the beautiful cold/clammy/snow drifts/icy roads during the winter?
I distinctly remember reading an article several years ago, probably here, stating a lot of retirees were moving to Florida because taxes were to high in IL. Maybe Mark could dig that up again. IL needs to pay retirees in scrip money that can only be spent in Illinois.
It was an article in the Daily Herald. About 18% of Illinois retirees leave the state. Now how many leave the state because of high taxes? That we don’t know. Illinois has high property taxes but retirees don’t pay tax on pensions, SS or retirement withdrawals. Many retirees from many states leave after they are done working. In Iowa 16% of their retirees leave. Is that from taxes or just that people want to retire elsewhere. Cold midwest states will always see some retirees leave for warmer states. If people are really concerned about this then property taxes will need… Read more »
The Daily article is here: https://www.dailyherald.com/news/20190620/how-many-collecting-illinois-pensions-have-moved-to-other-states-and-how-much-did-they-take-with-them?utm_content=94660633&utm_medium=social&utm_source=facebook&hss_channel=fbp-56680318666&fbclid=IwAR2VtSfqf1P9sDrO47hhFlEavN843HCqg1OxLJQhg9y4N2g0ZqYaudg2uIM
This hits the nail right on the head. Six figures of public employees making six figures. The math doesn’t work. They’ll make even more in retirement. Hit the road out of Illinois. It’s your only hope.