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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 question this begs, will people now wake up and realize how abysmal Dem/Lib/Prog policies are and start to vote with a brain?
It won’t matter since the takers outnumber the makers in Chicago.
The lefties may move to the suburbs or out of state for better schools or to avoid crime, but in their dinosaur brains they won’t connect longtime Democrat policies and leadership to the city’s failures that caused them to leave.
Lefties are all about how something makes them feel, not hard facts.
With the decline in value of commercial real estate downtown, property taxes on homeowners will have to rise, even though the value of their homes is declining. Property taxes never go down, only up. Gotta feed the IL beast.
As a side note, our property taxes in SC have gone down, the two years in a row we’ve been here, though only $40 dollars, but down. Mostly due to the influx of new residents and businesses. SC is second in states people are moving to.
Many folks won’t remember, but when Harold Washington was mayor and for a few years thereafter, there was zero appreciation in condo prices or rents, roughly from 1983 to 1990. It was close to a lost decade in downtown residential real estate prices. The current fool we have for mayor will spawn a worse muti -year collapse– not just a plateau but a significant decline. All the obvious problems, plus this ill conceived mansion tax, will lead to a 20-40 percent or more value drop . Just wait and see three years from now. Get out while you can, Downtown… Read more »
Yup, here we are in Streeterville. Recent realized sale-prices in our condo building are often less than sale-prices from 20 years ago.
Probably because you are in “MAGA Land,” as Jussie said.
Caller on the radio this afternoon laments and capitulates: “Chicago is not coming back” and moved away. The sadness her in voice was the Acceptance in DABDA.
Conversely in my DuPage county neighborhood my neighbors 3 bd 1,800 sq/ft home just sold for $680,000. We’ll see how long the flight to the suburbs lasts. I need about three more years til I’m out of here.
The $680,000 1,800 sq 3/2 in DuPage County is huge red flag that we are in a massive housing bubble.
The first comment on the original article points out that these sellers can probably afford the hit.
The real problem is people who cannot afford to take the hit. But if your prospects for a better life in another state are better, it’s best to just take the hit and move on with your life.
Unless property taxes are adjusted for declining values quickly, this could get much worse, fast.
50%? 60%? Decline …
What appears to be holding up are non-luxury single families in good school areas on the Northside — at least not falling much.
Yet …
if a home or business is in a Ptell county even if the home value drops by 50% the tax rate is doubled to compensate for the lower value. The taxing bodies will collect what was levied (not billed or collected) the year before plus can add 5% or 1/2 of inflation whichever is less.
When the 39 counties put this on the ballot the downside was never explained. Any deduction like homeowners or senior/disability/veterans/etc that people get also raises the tax rate.
Hmm, like Bowmanville?