By: Mark Glennon and Ted Dabrowski
Wirepoints has obtained a copy of a letter detailing a federal bailout request sent by Illinois Senate President Don Harmon (D-Chicago) in substantially similar form to all members of the Illinois Congressional Delegation. The letter, which is reproduced below, was sent on April 14 on behalf of Harmon’s 40-member Democratic caucus, which holds a majority in the Illinois Senate.
The requested bailout is galling in scope and shameless in purpose – a clear attempt to use the pandemic as cover to get federal money to pay for Illinois’ pre-pandemic fiscal mismanagement, particularly of its pensions.
The Democratic caucus seeks well over $41.6 billion, including important crisis-related relief such as $1 billion in public-health aid to minority communities and unspecified amounts for increased Medicaid reimbursements and hardship payments to health care facilities.
But the vast majority of their request amounts to a national bailout of Illinois’ pre-pandemic failures. It includes:
- $15 billion for a no-strings-attached block grant;
- $6 billion for the state’s unemployment trust fund;
- $10 billion for the state’s pension funds; and,
- $9.6 billion in unrestricted aid to Illinois municipalities, again for pensions.
The $15 billion for the state is more than double the state’s projected losses caused by the pandemic and downturn, depending on how you count it. Gov. J.B. Pritzker released estimates on Wednesday. Pritzker said total budget shortfalls for this year and next total $6.2 billion, assuming the state’s pending constitutional amendment to allow for a progressive tax increase passes in November. Harmon’s letter claims revenue losses could exceed $14.1 billion, without explanation for the difference with Pritzker’s numbers.
Also notable is that the $6 billion bailout for Illinois’ unemployment trust fund stems from the state’s comparatively poor management of it. Illinois, prior to the pandemic, had the fourth-worst funding level for that state fund.
The new bailout would be in addition to federal assistance already authorized by Congress and the Federal Reserve Bank. They include, for Illinois, approximately $4.9 billion under the new CARES Act and about $9.6 billion in a new Federal Reserve facility to purchase municipal bonds.
Chicago may also be seeking its own federal bailout money separately.
The biggest intended beneficiary of the requested bailout is obvious from the letter: pensions.
Harmon and the Democratic caucus admit that even in a normal year pension costs at the state level are crowding out funding for services and programs, yet they show no intention whatsoever of making reforms to correct preexisting problems. Instead, they seek $10 billion for state pensions alone. And the rationale for the $9.6 billion sought for municipalities is clear. Revenue losses resulting from the pandemic, their letter says, “will dramatically impact municipalities’ abilities to fund retirement systems.”
Illinois government spent the last three decades creating the nation’s worst pension crisis. Now it wants taxpayers across the nation to bail it out.
UPDATE: The response by Republican members of the Illinois Congressional delegation is linked here.
Read more about how Illinois politicians created the nation’s worst pension crisis:
- Overpromising has crippled public pensions: A 50-state survey – Special Report
- Illinois pension plans were running out of cash long before the Coronavirus hit
- Moody’s new report shows Illinois is nation’s outlier when it comes to pension debts
- Illinois state pensions: Overpromised, not underfunded – Special Report
- Coronavirus impact may push Illinois state pension debt to over $300 billion
- Illinoisans overwhelmed by a ‘shadow mortgage’ of pension debts
The letter to Illinois Congressional delegation:
A set of state lawmakers want to extend CPS’ current school closing moratorium to February 1, 2027 – the same year CPS is set to transition to a fully-elected school board. That means schools like Manley High School, with capacity for more than 1,000 students but enrollment of just 78, can’t be closed for anther three years. The school spends $45,000 per student, but just 2.4% of students read at grade level.
Hopefully, all media will get the message, in Illinois, too.
Ted joined Tom Miller of WJPF to talk about Illinois’ highest-in-the-nation property taxes, why lawmakers don’t want to touch the tax’s cost drivers, just how much Illinoisans’ tax burden has grown over the decades, why Gov. Pritzker failed to meet his promise to reform property taxes, and more.
It’s like asking much more for your house than it’s worth. Even if you settle on a price much less than your asking price, you could still win.
CA is going to be ext in this line, trust me.
Right HERE Illinois and Chicago, @1:38- 2:35, she is TALKING ABOUT YOU!!!!
https://www.youtube.com/watch?v=65MKsmFF6Lo&t=138s
They are Hero and DESERVE!
https://www.youtube.com/watch?v=EmC26RuO26g
Sure if they want the cash have them Repeal any and all laws regarding Firearms. Make 3 day wait disappear and make it constitutional carry state. Use federal background checks. Get rid of FOID garbage system period.
Just posted on The Hill. Absolutely incredible.
Emergency room workers in several states are reportedly facing pay cuts as hospitals struggle financially during the coronavirus outbreak.
Workers in at least six states told CBS News that they have taken pay reductions of up to 40 percent as many doctors and nurses also see reduced hours for their work week.
The reduction in staffing hours and pay means that many doctors and nurses on the front lines of the pandemic are feeling higher stress than usual as they deal with highly contagious patients with fewer colleagues to assist them.
Maybe Just Maybe… …Harmon’s letter was designed to be swatted down as a non-starter. The Illinois General Assembly has until 6 months prior to the election (i.e., 2 weeks) to propose changes to the State constitution in the form of a ballot referendum. IF (big if here) the scale of the budget damage is even larger than disclosed so far, and Dem leaders are negotiating with public union leaders for some pension relief because that is the only way to make the numbers work, both the legislators and the union leaders may need some cover if they plan on scaling… Read more »
That would be nice but probably wishful thinking. It assumes 1) that the Democrats understand math and 2) they would ever do anything that upsets our union overlords. History suggests both of these assumptions are incorrect.
Illinois Democrats will never do anything to reform or change the status quo. The corrupt politicians and the criminal public sector unions have a lucrative symbiotic relationship that has served both very well for 50 years. The only one who will ever change this criminal conspiratorial relationship is a Federal Bankruptcy Board.
The corrupt politicians and the criminal public sector unions have a lucrative symbiotic relationship that has served both very well for 50 years.
Truth!
I agree, Harmon is no idiot he did this for a reason. Stay tuned Illinois this may be the start of what everyone has been hoping and praying for.
I’m sure Harmon did’nt write that letter in a vacuum. Who are all the other dems weasels and union hacks that didnt have the cojones to sign on?
A lot of people here are beating on the public employees about their pensions. Look at it this way. If a person is a union worer,, most trades, plumber, carpenters, electricians etc, any of the trades, you are paying their pensions as well. Okay, a tradesman say gets $50 an hour, $35 goes to worker, $15 goes into the “health and benefits” fund which means pensions and health care. Also most, probably all, pay into SS. Now after working 30 or 35 years that person retires, gets a pension and full SS. I have friends who worked in the trades,… Read more »
The PBGC (Pension Benefit Guaranty Corporation) backs private pension for pennies on the dollar. That’s the backstop. And many union pensions are in bad, bad shape. But WE, the residents of Illinois, backstop government pensions, in FULL. Your street will be filled with potholes, and your playgrounds will be unsafe and dangerous, and your real estates will be skyhigh, and the government pensions will be paid. The phones in Harvey will be turned off, and East St. Louis will have to cut its basic services in half, so that pensions can be paid. That’s why we are harping on public… Read more »
Public pensions are not covered by the PBGC, now what?
what does your statement mean. Did you not read PBGC backs pension for pennies on the dollar, and I mean “Pennies”. Public pensions will get a haircut, but the payout will still be more than pennies. I have no idea the point of most of your comments.
Because you are speaking out of your ass. You have no knowledge about anything that I have posted. Go back, read them and actually try to understand what I said. Your anger and obvious hatred have turned your brain into mush. Shut up about things you heard or rumors or things you think. If your stupid quit making it worse and STFU.
Here you go:
https://www.dropbox.com/s/gy3us5g4preps12/American%20Retirement%20Act.pdf?dl=0
Public pensions are not covered by the PBGC, now what?
“pension Haircut”, that’s what. And yours is on the way, so prepare for it. You can take that to the bank.
No haircut just more for me. How much SS money have you stolen?
I am not sure what your point is or your math. Whatever the level is for private sector pensions, they are funded and paid for by the employer. The customers are paying the bills for the employers products or services in an arms lengths, market based transaction; no coercion involved. The employer is not promising or guaranteeing pensions that cannot be supported by the revenue being taken in. Nothing is hidden and no mathematical tricks involved. You think the plumbers fees are too high; hire someone else or do it yourself. No one is forcing you to pay those rates.… Read more »
10% of the gross amount every check for 33yrs. You may not have been listening but the pension is the ONLY! option when you get a city job. So what’s a person to do? If you’re at say 21 do really think that the person is thinking about a big fat pension 30+ yrs later? Cops are needed, firemen, EMT’S, tradesmen, trash collectors, clerks, janitors, and on and on. Dont apply for these jobs? Refuse to join the pension and not get hired? You folks seem to have a lot of criticism but as I said in an earlier post… Read more »
You are really clueless. You consider it “double dipping” when private sector employees contribute to SS and contribute (along with employer) to a DC pension plan? I suppose you would call it triple dipping when they also contribute their own money to an IRA. Are they quadruple dipping if they put their own after-tax money into a savings account? Seriously? Social Security is not a great deal for most employees who have it, but it is mandatory in order to support a government sponsored Ponzi scheme. Most intelligent people would not chose to contribute to SS if they had an… Read more »
“These plans can only be offered by feckless Democrats who don’t care about sticking the taxpayer with the bill 30 years down the road when they are out of office.”
Or serving out the remainder of their federal prison terms…
Or serving out the remainder of their
federal prison termselected terms, and will be LONG GONE when the bills (Bankruptcy) come due…Fixed. They’re not going to prison, but should.
I see your using your new found word “spreedsheet”. You’re the clueless one because you havent read or comprehended the postings I made. So I’ll give in. All state, county, and municipal pensions are in excess of 6 figures. We all get free health care, dental and vision , drugs and get a rebate check at the year end to buy Xmas gifts. We also get a 5% compounded bump twice a year. All of us own ocean front homes or condos and we all have at least 3 luxury automobiles. None of us worked and if we did show… Read more »
Congrats, you just made the classic strawman argument. To quote from the goofs at Wikipedia, “A straw man (or strawman) is a form of argument and an informal fallacy based on giving the impression of refuting an opponent’s argument, while actually refuting an argument that was not presented by that opponent. One who engages in this fallacy is said to be “attacking a straw man”. You listed a bunch nonsensical pension benefits, none of which are true, and then complain that people are accusing you of these things, which is also not true. The fact of the matter is that… Read more »
Congrats, you just made the classic strawman argument. To quote from the goofs at Wikipedia, “A straw man (or strawman) is a form of argument and an informal fallacy based on giving the impression of refuting an opponent’s argument, while actually refuting an argument that was not presented by that opponent. One who engages in this fallacy is said to be “attacking a straw man”. You listed a bunch nonsensical pension benefits, none of which are true, and then complain that people are accusing you of these things, which is also not true. The fact of the matter is that… Read more »
Apparently you do not understand satire. I’ve been accused of having a luxurious home in Florida, a fancy car and boat and a 100K pension that I did not work for, pay for or deserve plus free medical. In addition I along with every public pension recipient pay no taxes on the unearned and undeserved benefit. I also demanded full social security after not paying anything into it. I was a union pawn and voted for corrupt Democrats. I also took my job at 18 yrs of age because I was going to get a huge pension 30-35 yrs later.… Read more »
Imagine 12.4% of your lifetime earnings going into your 401k instead of social security. Combine that with your and your employer 401k contributions and you’d have a retirement far superior than the typical state pension.
I saved close to 500K thru IRA’s and a 457 plan that were made available about 10 yrs after I started my city job. I realized that the eventual pension may or may not be there when I became pension available so I saved so that I would have a nice nest egg ready in case the pension went away. I’m not as stupid as many on this thread have claimed.
10% of the gross amount every check for 33yrs.
BS, you NEVER, EVER paid 10%in. In fact you may have paid in nothing because MANY of your lazy piglet trough feeding parasite “brothers” and “sisters” paid NOTHING for their pensions!!! That’s right- nothing, zero, nada. They had THEIR PORTION of the pension costs “picked up” by the Muni/state… Stop the spin, OK. Just stop it, because it will NOT work here..
You’re an idiot and have no idea what you’re talking about
No IRA’s, no 457, no 401, and no Social Security.
Actually you can contribute to ALL of these, except SS, which has been “opted out” of. The rest, 100%, every year, although the 457 may have limits related to the Roth 401K. MANY/MOST/ALL Muni/s Gov agencies in IL offer the 457 option….More spin from a gov trough feeder. How abut this Dixon, just THANK US, the REAL WORKERS in the private sector that provide you with your government workfare job, and STOP complaining like the little baby you are. For once in your life.
https://www.hr.uillinois.edu/benefits/retirement/457
Again you’re an idiot. Read the posting. At my time of hire there was no IRA, no 401, no 457. Your anger is, make that has, turned you into a drooling turd.
“The customers are paying the bills for the employers products or services in an arms lengths, market based transaction; no coercion involved.” That’s funny, you wanna convention at McCormick Place? Here’s a clipboard, now pay $1,000 for my services! “The employer is not promising or guaranteeing pensions that cannot be supported by the revenue being taken in.” What fantasy land do you live in? Have you never heard of Central States? How was that United Airlines Pension treating those pensioners? ” You think the plumbers fees are too high; hire someone else or do it yourself. No one is forcing… Read more »
I was referring to market based transactions between companies and/or individuals without government involvement or coercion. I apologize for not making that clear. All your examples are correct, but they would not happen without government or union interference in the market
I have friends who worked in the trades, retired after 30-35 years and got a union pension in the 80K range plus full SS which is around $25-$28K a year
You are a complete, total, 100% LIAR! NO private trade Unions have EVER gifted out $80K/pensions after 30 years, even 35 years. And MOST are upside down, with payouts 1/3 of what a public employee makes in the gov.
You’re the typical gov employee with “Entitlement Mentality”, except yours is on steroids.
You obviously have no idea of what you’re talking about. Get angrier maybe you blow a blood vessel in you heart. And to just piss you off more I’m anxiously waiting for my 3%bump.
Moral of the story is dont flame on the public employee, the pension plan they are on is the ONLY option that public employees have, nothing else is offered, you cant say no, that’s it and only that.
You can say YES to a reduction in your pension, to the exact amount it is presently funded. 40% funded, then you take a 60% pension reduction to reflect it. Just say YES, for once in your life, you lazy piglet trough feeding parasite.
Lazy, how many welfare checks are you collecting?
So … predictions on what ultimately happens here? Obviously the big boys are in trouble since de Blasio and Pritzker have been pleading lately. It’s funny, how stupid can the Big Boy Illinois be talking smack and being all irreverent to the President … and then ask for a bailout?!! Haha, he is as stupid as we think, mercy.
Favorite line is “…threatens the progress Illinois has made.” Talk about delusional…there has been less than zero progress made
Why are they only asking for $42 Billion? That’s not even a significant fraction of Illinois outrageous pension liabilities and doesn’t make a dent into Chicago’s pension problems. Why don’t they ask for the whole $250 Billion Dollar nut?!?! Chicagoan Daniel Burnham said “Make no little plans; they have no magic to stir men’s blood and probably themselves will not be realized. Make big plans; aim high in hope and work”. If Illinois corrupt politicians and their evil public sector union masters plan to pillage and rob their fellow Americans from fiscally responsible states, then they should go for it… Read more »
Hell no nothing to bail out these greedy jerks who do this to us…tax us to death so the cabal can retire off us at 55 with $300k/yr pensions with colas in florida ! Time for the sham to end !
Strategy for Illinois taxpayers: refuse service to defined benefits entitlements recipients such as teachers and government bureaucrats.
Federal Non-discrimination laws are constantly flouted by the Illinois political class, manifested by nepotism and patronage appointments.
Non-discrimination in public accommodation laws are specific as to bases of prohibited discrimination: race, color, religion, national origin, and disability.
Discrimination against persons due to an economic factor such as their willingness to commit economic violence on their neighbors does not seem prohibited under Title VII or ADA.
Not one penny of Federal Money to Bail out the Pensions. Let them take less or raise income tax in Illinois to 20% to pay for the Luxury homes and cars in Florida. They are laughing all the way to the bank.
Feel like you are being Screwed? It is because you are.
Not everybody has a luxury home in florida, or expensive cars and boats. There are many who make huge amounts of pension benefits but most of the worker ants are living within their means and not the luxurious lifestyle you seem to be fixated on.
Not a teacher that worked full time for over twentyfive years
Yes, the problem is not the “average” or typical worker who doesn’t have a large pension. The reason many don’t is they only worked a few years (common for many who enter teaching young and quit after a short time). These average numbers obscure the problems associated with union workers who spent their entire careers working for the government. I believe there are over 20,000 retired union workers in Illinois each getting over $100,000 each year (and growing at 3% per annum). Most of them contributed very little during their careers; their contributions were never going to come close to… Read more »
Agreed. They averages include workers who didn’t have long careers and ones who worked for 35 years, but retired many decades ago (before pensions spiking routinely occurred). If you only look at teachers who had full careers (there were 65 teachers in IL who retired last year with 40 or more years of service), they had an average starting pension of about $98,000/yr. In fact, my mother-in-law retired last year from a 40+ year career of teaching 3rd grade in the suburbs, and takes home a net of $9500/month ($114,000/year after taxes).
Yet the list of IL pensions with guaranteed incomes far in excess of social security benefit is a mile long.
“…but most of the worker ants are living within their means and not the luxurious lifestyle you seem to be fixated on.”
Average cop/firewhiner retire at age 45-55 and receive a pension of over $100K/year, is that your idea of “living within their means”?
Gonna say it again, you dont have a clue about what you are saying. Keep working on that brain blowout, I’m looking forward to hearing about it. Big 3% bump do anyday now, I think I’ll go out and buy a yacht.
Musta got the idea from Pelosi
Although it still affects us, that is why we moved to Florida with absolutely no regrets. The pension problem is horrendous. I believe that hundred of thousands will lose their pension as they know and then the dems will just start over.
HUGE PENSIONS from Illinois are NOT TAXED BY THE STATE OF ILLINOIS. No I call that fair for the honest hard working taxpayer.
Government employees can take tax money, but CAN NOT give tax money.
Nobody who receives a pension in Illinois pays state taxes on it. Nobody in Illinois pays taxes on any retirement income. SS, 401 plans, 457 plans or IRA’s. Again, NOBODY.
My posting about retirees paying taxes is an absolute fact yet the haters and ignorant posters on this thread still downvote it. Another shining example of ignorance and stupidity by the likes of rex and poor taxpayer. To close this comment, PAY ME!
We shall see, since I know they are negotiating a second package that may be announced today. I already emailed my Congressman and urged him not to support a bailout. IL’s fiscal malfeasance predates the Covid epidemic by decades, and asking the rest of the country to bail the state out is ridiculous. Even if they do, the bleeding will continue because the benefits far exceed what is fiscally sound. It’s almost as if those in charge of promising benefits have no money management skills or financial background. As has been detailed here, it’s not a case of underfunding, it’s… Read more »
It is one big constitutionally protected Ponzi scheme, literally, Madigan has engineered a way to make Ponzi schemes legal. And turn Illinois private sector citizens into the suckers. And turn the public sector citizens into the mob.
The Illinois Democratic Party, lead by Madigan, has screwed up the economy of Illinois for the last 20+ years and they need to fix it. Trump should not give them any money for a bailout. They will just waste it like they have done in the past. They are fiscally irresponsible or perhaps incompetent
…or both. And not perhaps, for sure. What does it say for the Majority voters of this state ?
Asking for pension bailouts is a level of chutzpah that I simply hadn’t foreseen.
Greedy cops, teachers and firemen should have their pensions supported by honest hard working taxpayers who only get $20,000 a year on SS.
Let the greedy pigs sell their luxury homes in Florida and move back to Illinois to help support the State they Raped.
Not one dime of my tax dollar to bail out any pensions. Let them take less.
Chicago Police and Fire Departments are dedicated public servants. ?
Michael, not to many of the ignorant ass clowns posting on this thread.
If police,firemen, and teachers had social security taken from their checks, there would be no need for pension protection clause.Theses public servants only receive their state pension. Nothing else.I know it was part of the ConCon of 1970.Why it was agreed to the by the workers I don’t know. But an agreement by the politicians and unions should be honored by those who pushed for it. To all the pension critics. Until social security is taken out of employees checks along with the implementation of a smaller state,county or municipal pension promise, then the critics should shut the hell up.
Well, why don’t we just go back and look at what your pension contributions were, calculate them as if they had been social security contributions…and just give you that? But that $18,000 a year SS benefit looks a little pale and sickly to that $100K+ pension, now doesn’t it? The problem the “critics” have of your pensions is that you get your cake and eat it too. Not only do state employees make well over market price for their skill sets, but they get crazy job security (see current crisis where state employees are being paid in full), but platinum… Read more »
So you are going to tell me that you are not going to receive more in SS benefits than you paid into? Sorry pal but you’ll get more back in bennies in 3-5 yrs than you paid in. But that’s okay if you get it as long as no one else does
Theses public servants only receive their state pension. Nothing else.
They/you do NOT PAY into anything else Baby Einstein! Do you think you should GET SS when you did NOT pay for it??? You are getting 10-20 TIMES what the average SS recipient gets. 20 years sooner. Stop the spin. And STOP complaining you lazy piglet!
Blow up yet? Soon, hopefully soon. I just polished my new Ferrari today.
News for you. My wife just traded in her Lamborghini for a 2020 model, she wanted a new color! My 3% of $1,000,000 pension is $30 K. Looking at some waterfront homes in Florida. 10,000 square feet minimum. Be nice and I might invite you to use to Olympic sized pool it has
Any bailout should be in the form of a low interest loan as was done for GM and Chrysler
Ah it’s the old ask for $41B and they will be happy to settle for $10B.
Office of the Senate President,
AH, NO!
Sincerely,
From The Whom It May Concern Team..
‘Imagine the robber comes into your home and takes everything valuable. As the robber leaves, the robber says, “you accumulate more valuables and I will be back to get them”.’ DOES THAT MEAN THE ROBBEE OWES THE ROBBER? I reject the premise that others should pay for the robbery from Illinois residents, money stolen from millions by just a few politicians, who benefited themselves. NO BAILOUT. And I say this as an Illinois resident. Let the state collapse, I am prepared. No pension should have exceeded any social security amount. Instead of fixing anything, toilet guy put pension spiking back… Read more »
Great comment!
This is merely anecdotal, so take it for what it’s worth. A seventy-something Illinois resident told me he knows a couple who are retired H.S teachers who have a combined pension approaching $250,000. I said that’s impossible. He said they both have online Master’s Degrees and they both had various jobs such as coaching in addition to teaching. Plus they received huge annual salary bumps at the end of their careers – their bosses were sure that the taxpayers wouldn’t mind. But he really convinced me that it very could well be true when he told me retired teachers get… Read more »
I think I should have posted below bagelgirl. Sorry about that. Her compliment pertains to Danni Smith. Sorry about that.
You can look up any retirement payment by teacher name at
Openthebooks.com
Correct Susan, and you will shit your pants at what these people make. Absolutely disgusting if not heart breaking. But yet they whine like little baby’s they need more all the time.
Thank you, Susan. I had difficulty with that Website, but I did find one much easier to use – pensions.bettergov.org
I found the retired teacher immediately and my friend who told me the story exaggerated: the retired teacher is not paid $125,000 per year by the fine taxpayers of Illinois. He only gets $113,000.
My friend’s wife’s father earns more money today as a retired teacher than he ever earned when he was a teacher. This was told to me verbatin. They live in a large home in an expensive suburb and take vacations around the world regularly. This is a 100% true story. I just looked it up on the website below – pensions.bettergov.org – 40 years of teaching (retired in his 60’s) and earns $130,000 a year. Completely insane, just insane. Totally unaffordable. Hopefully they slash his pension in half. I will mock him as he is lead into bankrutpcy court. if… Read more »
Debtsor, in your post, with all due respect, you use the terms “earns” and “earning” loosely. Back to my $113,000 teacher – he retired with 33 years of service which would be at about age 55. I retired from a Fortune 50 company with 33 years of service, also. Except I had two previous jobs. As another retired co-worker and I were recently discussing, we are truly, truly BLESSED to be receiving a $21,000 pension as the company no longer has them. It would have been more if our core company wasn’t sold a few times, but such is life.… Read more »
I don’t think the COLA is compounding, i think it’s simple interest from the base pension. So it’s not 3% of the previous year, it’s 3% of the base when he retired. But if I’m wrong about this, and I might be, GOD HELP US ALL.
OK, I stand corrected. Hope that the greedy union leader thugs don’t figure that out.
Teacher pensions compound at 3% previous year’s Pension
So its like compounding interest, that’s insane.
Some get compounded raises some dont. State retirees do, county also. Chgo PD and FD do not. For them its 3% of the original annuity and whatever that amount is it stays the same yearly. Most of that is eaten up by raises in health care (which is not free as retirees were let go from city plans a years ago). State retirees get free health, dental and prescription coverage, their spouses pay under $50 a month. Many state, county and municipal retirees take an automatic cut of 60% of ther social security benefits. Enrollment in a city pension plan… Read more »
Why would you want social security when the state pension plans are so generous?
The point I’m making is that city employees cant join social security. The pension is the only thing available. Take away the pension isnt an easy thing since you automatically lose 60% of any ss due. Work for 35 yrs doing part time jobs and you only end up with a very minimum ss payment. As an example I contributed to ss from 15 to the age of 70, I get a check for $34.00 a month. I was supposed to get about $400 but they, ss, just chopped off about 60%. Live on $34 a month if you can.… Read more »
Again, why would you want SS if you are getting a nice pension. The pension is much more generous. I can’t live on SS either, that’s why I saved for over 40 years. What a concept, saving money.
Why would a union worker who gets a pension want their SS? Your argument is ridiculous. Most of you posters dont read what is written and most cant comprehend it.
It compounds.
God help us all. The chickens really will come home to roost this year as the state government collapses under the crush of its budget deficit. Maybe it is time to leave Illinois.
It takes a lot of money to buy a Luxury home and Car in Florida.
They are laughing all the way to the bank.
Anyone that stays in Illinois is mentally challenged.
Yep, I’m laughing at you because you are a giant ass clown
IL gets stiffed by Fed spending every year getting way less than we contribute (and the Fed govt is running a massive deficit),
The request should go further and ask for a true- up to take IL receipts/contributions to the national average.
This true-up would be over $100 bn!
My hometown gets stiffed by state spending every year getting way less than we contribute (and the state govt is running a massive deficit).
Total balance of payments: -$14.8 billion
Per capita balance of payments: -$1,158.00 per business insider
https://www.businessinsider.com/federal-taxes-federal-services-difference-by-state-2019-1?op=1#illinois-13
NO BAILOUT. REMEMBER, TOILET GUY PUT PENSION SPIKING BACK IN AFTER RAUNER MANAGED TO GET IT OUT!!! NO BAILOUT. NO BAILOUT STOP 3% ANNUAL INCREASE. CLAWBACK THOSE PENSIONS THAT EXCEED WHAT THE SOCIAL SECURITY AMOUNT WOULD HAVE BEEN.
So these guys were working this week? And this is where they put their efforts? Unbelievable. The nerve they have. I hope it gets denied.
Unbelievable that they ask the whole country to pay for their incompetence!!! I wouldn’t give them a nickel. Let the state go broke!!
The citizens of Illinois pay the highest tax rate in the US. Now Harmon wants to rake in more through the progressive tax in Illinois – and a Federal tax surcharge on Illinoians? Absolutely not!
We have a balanced budget requirement in our State Constitution. Throw Harmon and Madigan in jail until they pay off the debt they created.
That doofus Harmon was on tv last night. All he kept saying was he was going to rely on science to determine when to re-open Illinois. When democrats use science to make decisions then you’re in trouble.
Federal government should not bail out the bad policies of states made by their politicians. The citizens of those states need to start electing fiscally conservative politicians who have a backbone to pull back on spending. If the federal government bails out any state they are enablers for more bad policies.
The first scene in the TV miniseries “Das Boot” is a perfect analogy how it’s going to end for Illinois and Chicago. The sub is caught off guard in an air attack and is hit. It sinks. In a typical sub movie, the crew will furiously close bulkheads and plug leaks, and save the boat at the last minute. In “Das Boot” the crew is waist deep in water and they know it’s over. The boat sinks. It’s the most unheroic death since HAL killed the crew members in “2001 A Space Odyssey”.
If one accepts the premise that Illinois taxpayers owe this money, it’s a bailout of those taxpayers. A bankruptcy with haircuts in the pension obligations would have a similar result, depending on how the court rules and who(m) else the court decides to screw at the time of its decision. At the national level all the worst-run states can be expected to make the same argument. By and large these are the populous coastal states which vote Democratic. Those same states are likely to have the greatest representation in the House of Representatives. And the taxpayers of those states are… Read more »
‘Imagine the robber comes into your home and takes everything valuable. As the robber leaves, the robber says, “you accumulate more valuables and I will be back to get them”.’ DOES THAT MEAN THE ROBBEE OWES THE ROBBER? I reject the premise that others should pay for the robbery from Illinois residents, money stolen from millions by just a few politicians, who benefited themselves. NO BAILOUT. And I say this as an Illinois resident. Let the state collapse, I am prepared. No pension should have exceeded any social security amount. Instead of fixing anything, toilet guy put pension spiking back… Read more »
Wait, so this pandemic is going to result in Illinois losing $14.1 billion dollars but they’re requesting $41.6 billion bailout from the Federal Government ? This is a joke. My business is going to lose six figures in gross income, I’d like for Illinois to give me 3 times my losses please.
The problem for these Illinois democrats is that they have nothing to offer in return. No one in Congress is going to stick their neck out for one state’s problems. If they did, they’d have a lot of answering to do at home, and what could Illinois possibly give them? Just about nothing.
And that’s on the Democrat side. Republicans will tell them to go pound sand.
And that’s the appropriate response.
Senator Harmon going to the feds to get a back door SB1?! I doubt the feds do anything without some serious strings attached, namely freezing pension benefits. He’s gotta know that. Now he gets to pin a pension reduction on the feds.
IF the feds bailout Illinois there HAS to be strings! The state pension benefits, as I understand it, is only 40% funded! no wonder they’re in the trouble. Sorry to say but payouts then need to be lowered, to 40%????, until the fund becomes at least 90% funded. My husband was a union painter and several years ago the government told them that their pension fund only being funded at 90% was endangered so next contract they had to increase their the amount of their hourly pay to go directly to their pension benefits!
The strings on the fed bailout of Illinois should be that all present and past Illinois state politicians go to jail for life and due hard time.
LOOK AT THE PENSION AMOUNTS! Reduce them to the same amount as a social security sum would have been, this second. Too, bad retired district 57 elaine auschuller won’t have her vacation home, Mercedes, and boat. Her current in Mt. Prospect Illinois, just because she is the supervisor of 4 grammar schools is $300,000. per year.
Let’s send this to all 49 states and let them see how Illinois dumocrats are trying to steal from other Americans
As disgusting as this is, it was completely 100% predictable.. Especially the parts that claim everything was fine in Illinois before the coronavirus hit. “we turned a corner last year” “Illinois law has put the state on a path to fund the pension liability in a manner that is actuarially sound” What total BS. I knew that the political class in this state would use this crisis to try and get bailed out from years of mismanagement and accept no accountability whatsoever. I sure hope this doesn’t work and there are some people in Washington paying attention who will not… Read more »
This had best be wrong! I moved out because of the crooked criminals in office in IL and now they want the rest of the Country to bailout their corrupt policies and behaviors. This would be so wrong!
THESE BAFOONS IN CHICAGO NEED TO GET OUT…. THE COMMUNIST DEMS IN CHICAGO JUST WANT TO ENRICH THEIR POCKETS …CHICAGO TAKES ALL THE TAXPAYER’S DOLLARS FOR THEIR OWN NEEDS WHILE THE REST OF ILLINOIS IS GOING TO HELL…CHICAGO IS HOME OF CORRUPTED POLITICIANS AND THAT IS WHY ILLINOIS IS GOING DOWN THE TUBES…GET RID OF THE SANCTUARY CITY STATUS AND THE CRIMINAL ILLEGAL ALIENS ILLINOIS WOULD HELP ILLINOIS HAVE MONEY TO WORK WITH…ILLINOSIANS ARE FLEEING THIS STATE AND NOW WITH THE VIRUS THEY CAN SEE WHAT STATES THEY DON’T WANT TO MOVE TO… SO IF I WERE THE GOVERNOR HE… Read more »
Downstate Illinois receives a disproportionate share of state revenue compared to the taxes they contribute.
https://www.chicagobusiness.com/greg-hinz-politics/heres-who-really-getting-most-state-spending
Anything by Hinz is fake news. “Why the sharp disparities? Part of it is that income levels tend to be lower the farther south you get. Another part is that state government and all of the state’s major public universities, except the University of Illinois at Chicago, are downstate. And the major state pension funds all are headquartered in central Illinois.” So, the majority of the state government and all the major universities are south of I-80…because that’s where they are located, and suddenly, SOUTHERN ILLINOIS RECEIVES A DISPROPORTIONATE SHARE OF THE INCOME! I mean, ask yourself the question, should… Read more »
You’re right I shouldn’t post a link to an article that states where tax dollars are allocated. I should instead just post my opinion in ALL CAPS or just say FAKE NEWS to make my point. That’s a much more educated point of view.
debtsor,
I’ll post this link to make you feel better. You have posted from this source in the past. https://www.bnd.com/news/local/article217665185.html
Go ahead and post your source that shows Chicago gets excessive funding compared to the rest of the state.
“Go ahead and post your source that shows Chicago gets excessive funding compared to the rest of the state.” Again, your assertion is ‘fake news’. The entire premise that spending money around the state, because facilities happen to be located in downstate counties, is somehow “disproportionate funding” is completely absurd. It doesn’t matter that a rural county with a university ‘gets back’ $1.14 for every dollar it sends, because the university is for the benefit of the state, are is the prisons, the pension funds, the seats of government, different agencies, etc. First of all, the money goes to the… Read more »
Hinz is a social justice warrior/ advocate masked as a reporter. His opinion isn’t worth the paper it’s written. In fact, I’m not sure why they give that guy a Platform af all.
Hinz is a strange bird to say the least. He has been trying to be accepted by the machine since the days of Vrydolyak. He’s kissed up to everyone in the machine from Daley to Washington to Rahm and now because Lori is a lgbtq warrior like Hinz, he sucks up to her. Everyone in politics knows what a joke he is and especially how insignificant he is. He’s like the kid who buys everyone candy not to get beat up. Hinz is truly pitiful and nothing he writes has any truth or substance.
the tax theft of just a few days ago-lightfoot the haircutting mayor is using my $$ to pay for illegals health care. when she said, ‘ya wanna talk about it more”, her gangsta was clear as a bell. These are the people who get hung in effigy, first.
The Illinois General Assembly are spending addicts. For decades, they have spent more than the State gets in revenue. They have even borrowed money, then called that ‘revenue’. Every time the taxpayers of IL have given them new revenue to ‘get clean’, they treat it like it’s just another fix and go out and spend more. The last round of tax and fee increases was supposed to help us out of our pension crisis. Instead, Gov. Pritzker just dropped another IOU into the pension fund. You can’t cure an addiction by feeding it. The State MUST cut spending FIRST to… Read more »
No more “borrowing” until we clean house….
Putz and Madigan must go….
They’re scum
will someone ask toilet guy why he put pension spiking back in???
I think they should have demanded the money, not requested it. That would’ve made the letter even funnier.
I just pushed someone’s buttons on twitter when I said why should schools and cities be bailed out. Nobody wants to bail out AMC theatres,Disney, or American Airlines. So she called me a bot and said we’re talking about a public good. My reply was is Calif.’s $500 billion unfunded pension liabilities a public good?
Who leaked this to you?! And good work.
Boris, I think he said his name was. Boris Badoff. Heavy Russian accent. We asked no questions.
Mark…the little guys name was Boris Badinov. He hung out with Natasha Fatale..those darn Russians
Yes, she was with him! They’ve been very generous funding us, too.
Was there a squirrel wearing a leather avaiators helmet nearby? If so I think that I know those guys.
I fear we are dating ourselves.
<BI fear we are dating ourselves
Your comment helped lower my blood pressure, which shot thru the roof from the bailout letter!
Hey rex I just took my Porsche out for a spin. Interstates are empty so I got that baby up to 145mph. I didn’t want to take the Ferrari out because i just washed it and mrs won’t let me near her new Lamborghini.
Oh yeah, I just talked to the yacht broker in Grand Cayman where I have a winter home. He says he found a nice 65 footer in good shape. We’re leaving in a couple of days on the Lear jet to check it out. Let you know what happens. My 3% bump turned out to actually be 12%.
Rex keep raging like the idiot you are. It’s good you’re raising the BP expect a major brain blowout.
Dixon — you need to get back to work. Or take your meds. If you are a public employee or retiree, this is going to end badly unless you are up in years and among the piggies currently snugged up to the trough. The state and its municipalities are OUT OF MONEY. Nothing for rainy days and nothing for unemployment. The pension funds are way underfunded and are leaking buckets. The sponsors can’t afford the contributions. Bailouts from other well-run states and their taxpayers are improbable. The short-term aid coming from Washington will likely ruin the economy and we’ll all… Read more »
“The Democratic caucus seeks well over $41.6 billion, including important crisis-related relief such as $1 billion in public health aid to minority communities and unspecified amounts for increased Medicaid reimbursements and hardship payments to health care facilities.” This is never going to happen and reeks of desperation. The problem is these reps see which way the wind blows, and they’ve all seen their fellow members be replaced by the progressive caucus, which for all practical purposes, was elected on the sole basis of promising to spend extraordinarily large sums of money on pet socialist projects. And the reps need cold… Read more »
Please do a follow up on the response from Washington on this wirepoints. Man this takes a lot of balls to even consider this.
Unbalievable, asking for a $10 billion direct pension payment or loan? What would folks in Wisconsin think? Also illinois gets to apply for $500 billion in Municipal Liquidity Facility (MLF)–SPV loans
They want a low interest loan. Well since the 10-yr treasury yield is .6% I assume a low interest loan is around 0% with no payback schedule.
Other articles i’ve read dems want to lift restrictions on what SPV loans can be used for….ie pensions
Shocking. Thats why our Wuhan numbers are inflated too. This has been the agenda along. Lets hope the other states tell Illinois to go scratch.
NO!
Absolutely moronic we all need to wake up and protest this is enough JB Pritzker and the gang are ruining the state no more money no more pensions 401(k)s like it like the private sector let’s get to reality people quit voting Democrat in.
Let’s get back to work Democrats are all socialist live in Venezuela if you want to live like that this is United States home of capitalism and freedom of choice if you’re sick stay home you’re healthy go out. We’re not children
Danny Davis will assist Din Harmon
Danny Davis will assist Don Harmon.