-- Connecting the dots between our economy, government and business --
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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Right size to their remaining ridership must precede any talk of more money thrown their way. The 50% farebox coverage of operating costs must be enforced.
Transit authorities need to cut wasteful spending, cut political hires, and stop spending money they don’t have. Stopping crime on mass transit would be good too. Not another dime should be given to transit until they behave financially responsibly. Mass transit management should be held accountable first.