-- 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 high salaries, high pensions, and free health care are like the taxpayer having flesh-eating bacteria, and IL and Chicago’s solution is to put band-aids on the wound. As the wound continues to grow and fester, they put slightly larger band-aids on it.
Not filling vacant positions doesn’t sound painful.
If you go back in time and look at previous City of Chicago budgets, you will find that the overwhelming amount of revenue (and when I say overwhelming I mean between 80 and 90% of the budget) always went to the people that the City employed. That is because in the past the only justification for any taxation whatsoever, was to provide essential services to the taxpayers. There were never any such issues as Poor Taxpayer now brings up. So where did the money go? Well, you can start with Tax increment financing Districts or what they call Tif’s. Don’t… Read more »
What will they do? Look at the federal dems. Look at what they did during Rauner. All democrats are compromised by the deep state or Chinese extortion rings. It’s time to make them pay.
I think the pension funding issue was multi faceted including getting bad returns on the investment pool. Consider that Thompson’s build Illinois programs that provided no returns on invested capital for one. Another is the expensive investment board that could and should have been easily replaced with more competent individuals that would not be hired based upon assorted reasons other than financial prowess.
As for the TIfs don’t get me started…
Taxes are going to be raised, that is all there is too it.
Cops, Teachers and Firemen will all get a raise, that is all there is too it.
Pension costs will soon eat up over 50% of the budget, that is all there is too it.
No stopping increasing costs now, it is cast in stone- pensions can not be cut.
Services can be cut, taxes can increase.
Get ready for taxes to Double every Five Years.
It’s not your fault, Chicago . . .
It’s not your fault . . .
It’s not your fault . . .
Orange man bad . . .
Racist virus bad . . .
Policeman bad . . .
It’s not your fault, Chicago. . .