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.
I hope anyone stupid enough to buy those bonds get burned.
This will be worse than Detroit, Chicago will leave nothing left to pensioners, contractors, and other general unsecured creditors. Detroit didn’t have a lot of secured creditors.