-- 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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Gee, wonder which way they’ll go: raise revenues (more taxes) or cut programs?
Yup, my best guess is raise revenues – works every time.
They will need to raise revenue. Nobody on either side of the aisle wants to cut spending so you are only left with increased taxes. It’s clearly what the voters want.
The sad reality is there isn’t much budget eligible to cut. Pensions, interest payments and medicaid can’t be cut. This is around half the budget. The other half is comprised of human services which is elderly, youth services, etc, good luck cutting that, these are the Democrat’s primary voters. Then there is education which is politically untenable. That leaves environment left. Blago already gutted the DNR. Our outdoor recreation in IL is terrible. Our facilities are old and small, overused, decrepit. There’s nothing left to cut without massive, massive layoffs statewide in every department. Considering that virtually every state employee… Read more »