Number of half-empty Chicago public schools doubles, yet lawmakers want to extend school closing moratorium – Wirepoints
April 19, 2024
15 Comments
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.
If public employee unions do not get on board very soon with the need for pension reform, the financial markets will do it for them. They will not like the result, but they will have nobody to blame but themselves.
The unions can’t negotiate away pension benefits. They don’t have the authority.
I mean by their votes, not by negotiation. As long as they continue to vote for politicians who refuse to allow reform measures on a ballot, nothing will change. They need to understand that in the end they will only be hurt by refusing to face reality.
So you are suggesting that union members/pensioners should vote for candidates that are against tax increases to help fund pensions and instead vote for candidates that want to cut their pensions? You’re funny. Pensioners have been threatened with cuts for over 100 years. During that time every pensioner has been paid.
“They won’t like the results”??? What? More taxes for ALL Illinois taxpayers? Taxes in Illinois will continue to increase to cover these expenses. When tax increases no longer increase overall revenue then pensioners may receive a reduction in benefits. Not a moment earlier.
In the end they cannot increase taxes enough to pay for benefits promised. So anyone who does not see the writing on the wall is in for a serious letdown. As I said, the financial markets will provide the ” come to reality” moment if Illinois voters do not.
How will voting to “reform” pensions prevent their pensions from being reduced? Are you saying that pensions would be reduced less if they agree to reforms now rather than increased taxes and eventual reduction later? I don’t think you will convince too many pensioners with that argument. The reform group has been telling pensioners for the last 100 years that the state can’t continue to pay them. What’s happen during that time? Oh that’s right, the pensioners have yet to miss a deposit in their account. Stating that pensioners are going to be sorry may help you feel better but… Read more »
The pensions have not been around for 100 years.
Seriously does google not work on your computer?
In 1917 the General Assembly commissioned the Illinois Pension Laws Commission to study the pension crisis. That commission described the pension system as nearing insolvency and heading towards crisis because the state contributions were inadequate for paying the
pensions benefits. The Commission authored another report to the same effect in 1919.
You’re right. 103 years.
https://www.trsil.org/sites/default/files/documents/history.pdf
TRS is not a City of Chicago pension.
Actually you are correct for most of the Chicago Pensions and TRS.
That report listed:
Chicago Municipal (MEABF).
Chicago Fire.
Chicago Police.
Chicago Teachers.
TRS.
Not listed on the report was Chicago Laborers (LABF), IMRF, Cook County Penisons, all the Downstate Police and Downstate Fire, and some others.
The benefit levels of all have been drastically hiked over time.
For what it’s worth, in 1939 the “Teachers’ Retirement System of the State of Illinois” (TRS) superseded the “Illinois State Teachers’ Pension and Retirement Fund.”
Here is the list of pensions in the 1918 – 1919 Pension Laws Commission report. (1) Chicago Policemen – 1874. (1874 and 1877 – general; 1887 – cities 50,000 and over; 1915 – 200,000 and over.). (2) Chicago Firemen – 1874. (1874 and 1877 – general; 1887 – cities 50,000 and over; 1917 – 200,000 and over.). (3) Policemen in Cities of 5,000 to 100,000 – 1874. (1874 and 1877 – general; 1887 – 50,000 and over; 1909 – 20,000 to 50,000; 1913 – 9,000 to 50,000; 1917 – 5,000 to 100,000.). (4) Policemen in Cities of 100,000 to 200,000… Read more »
Once the pension fund is out of assets and a city can’t provide essential services, it appears that there really IS no solution other than bankruptcy or chaos.* “Chaos” includes everybody suing everybody with courts ordering payments (probably including lawyers’ fees for employees and pensioners) from non-existent assets. The foregoing excludes de facto or de jure federal bailouts where Congress does essentially the same thing, satisfying obligations by printing money. This is likely to make dollar-denominated government pensions worthless — as well as private sector savings and pensions. It follows as night the day that something like communism or national… Read more »
“Once the pension fund is out of assets and a city can’t provide essential services, it appears that there really IS no solution other than bankruptcy or chaos.” You may want to review the financial struggles of Harvey. Before that pension fund runs dry they can seek to seize any state funding through the pension intercept law and move it directly to the pension funds. The bondholder and other that are owed money are left to deal with the “chaos”. So again I ask, what purpose would a pensioner have to negotiate away a benefit today instead of a potential… Read more »
Maybe because they don’t want to live in a society that seizes all funding to go to pensions, leaving little for any necessary services? Maybe they do not want the entire state to go the route of Harvey? Maybe they will come to see where this ultimately ends and decide not to go there?
You keep speaking of “pensioners”. Nobody is talking about taking from the current pensioners. The discussion is about how to adjust the pension system moving forward.
They adjusted the pensions “going forward” and they can continue to do so anytime they want. They adjusted them back in 2010. Currently tier 2 pension members receive something similar to social security. There is nothing to negotiate away for tier 2 as there is not much there. The bulk of the debt is for tier 1 pension members. If you don’t go after people currently receiving pensions, that only leaves you a small portion of the members to go after. Also, are you suggesting that someone that is a couple of years away from retirement agree to work an… Read more »
I don’t think there is any way to get pensioners to negotiate individually or as a group. Each individual has a personal contract right. This is a constitutional right (state and possibly federal). There is authority that an individual may waive his constitutional rights. [It’s done all the time with plea bargaining.] One approach might be via permitting states to file for bankruptcy and make the effective date some time in the future. Say one year after enactment. Then open up a “window” [less than a year] for a federal lump sum [or annuity with no COLA] settlement for all… Read more »
Chicago is not going to be able to pay back the bonds.
They do not have the money.
Raise taxes double and they still do not have the money.
Chicago is going the way of Detroit, it is not “IF” it is “WHEN”.
The poor honest hard working taxpayer is who will pay the price.
The State of Illinois is right behind them.