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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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The Evanston Downstate Police pension is 50% funded with an $116,755,057 unfunded liability.
The Evanston Downstate Fire pension is 44% funded with an $96,445,512 unfunded liability.
Total public safety unfunded liability is $213,200,569.
IMRF is 105% funded.
There is OPEB, uncompensated sick days, and bond debt as well.
Two corrections.
The Evanston Downstate Police pension unfunded liability is $118,270,093 ($116,755,057 is the assets).
The total public safety unfunded liability is $214,715,605.
Everything else is correct.
The source is City of Evanston FY 2018 CAFR.
I’m curious. You mentioned that IMRF is 105% funded. Does that mean that taxpayers do not have to pay into that system and then can get a break in the form of lower property tax’s? Basically if any fund is 100% funded doesn’t that alleviate the taxpayer from future liability To me it should since they have all the money they need.
In the 2017 Evanston CAFR, IMRF was 93% funded, the employer contribution was $3,963,856, and there was a net investment income of $14,441,739. In the 2018 Evanston CAFR, IMRF was 105% funded, the employer contribution was $3,702,271, and there was a net investment income of $39,438,193. So the CAFR is a good source of information to get an understanding of what happens in the pension funds from year to year. Many units of government put the CAFR or its equivalent (annual financial report, audit report) on their website. The Illinois Comptroller warehouse website has a three year archive of the… Read more »