-- 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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The point of all of these task forces and initiatives to reduce taxpayer burden is for show only. If the Property Tax Task Force results in reducing taxpayer burden, IL will recoup that revenue by creating or increasing other taxes and user fees. Since IL is in such a horrible financial situation, it can’t afford to lose that revenue. Therefore, the overall taxpayer burden stays the same, at best.
It’s so silly to read endless ideas to ease the burden of the IL taxpayer. Everyone should know by now that the only way to significantly reduce this burden is by reining in the inappropriately high salaries, pensions, and health care benefits. The rest of these ideas are just background noise and band-aid fixes.
Easier said than done. There are very, very powerful lobbies out there for the pensioners and state workers. They will do everything in their power to prevent the ultimate day of reckoning.
Yeah, I know. The point of all of these task forces and initiatives to reduce taxpayer burden is for show only. For example, if the Property Tax Task Force ends up lowering residential property taxes, IL will recoup that lost revenue by creating or increasing other taxes and user fees. IL is in such a negative financial situation that it can’t afford to lose that revenue.