-- 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.
SIGN UP HERE FOR OUR FREE WIREPOINTS DAILY NEWSLETTER
This is what is happening in the 36 PTELL counties in Illinois. When property values go down the tax rate goes up to compensate. When property values go up PTELL limits upward taxes at 5% or 1/2 of inflation whichever is less. No lose situation for taxing bodies. This is why tax rate (14.8363% on 1/3rd value) are high here in Rockford. I pay $6,900 on a 157K home in 2018. No end in sight for tax increases or new tax’s in the pipeline.
The SmartAssett zip code property tax calculator allows comparisons between, for instance, Rockford & Winnebago County to Janesville & Rock County. Per the website, the state average effective property tax rate for: Illinois – 2.32%, 2nd highest in the US. Wisconsin – 1.95%, 5th highest in the US. https://smartasset.com/taxes/illinois-property-tax-calculator In terms of overall tax burden, per WalletHub: Illinois – 10.8%, 8th highest in the US. Wisconsin – 9.26%, 16th highest in the US. https://wallethub.com/edu/states-with-highest-lowest-tax-burden/20494 In terms of State debt: Illinois – 268.9% debt ratio, 2nd highest in the US. Wisconsin – 48.7% debt ratio, 28th highest in the US. This… Read more »