-- 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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Here’s an idea: Chicago can cut costs, cut staff, cut programs and lay off all of CTU. That would be a good start in meeting revenue. If 25,000 CTU members spontaneously exploded would anyone notice?
Chicago hunts for more revenue as residents hunt for new residences. There’s a lot of hunting going on.
So the political animals mismanaged finances like a rookie phenom who just got his ticket punched to the NFL. Then the rookie pans out like Rex Grossman and washes out of the league and the NFL contract expires, leaving the one-time phenom destitute.
The political animals continued their spending as if the big bucks would always roll in while in full knowledge that Uncle Fed’s spigot was squeaking shut and changes had to be made.
The animals bray in unison, “Pay up, chumbolones!”
I criticize WTTW as being to lib, but they did a good job with this podcast on what a mess Chicago will be in now that COVID $bucks$ have run out, especially CPS…..the drunken sailor spending party is over. What a mess! (https://www.wbez.org/reset-with-sasha-ann-simons/2024/06/26/the-end-of-federal-covid-relief-funding-leaves-illinois-public-services-strapped-for-cash)
While CTU/Brandon talks more tax revenue is needed to make up for the “40 yrs of community dis-investment”, etc. The reality is more like, the city is looking for new taxes on chump Chicagoan’s to make up for now spent one time fed COVID $bucks$. In CPS/CTU’s case, CPS gambled and largely spent their COVID $bucks$ on CTU salaries & hires while other school districts spent their COVID $bucks$ on one time structural improvements.
The city of Chicago, Cook County and the state leaders have not figured out that to attract people and businesses to Chicago and Illinois, costs (including taxes) need to come down. Otherwise, the well documented exodus of people and businesses will continue. Are these leaders so poorly educated that they cannot figure this out? This is genius of free markets ( to the extent we still have them), where people can choose among alternatives what is best for them.
Remember Zippy said, “ first we get the money”, oh no we are running out of money.
Heaven to Mergatroid what will we do.
“ Exit! Stage right, even!” as the cartoon cat was wont to exclaim when things got out of hand.