-- 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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I had to laugh when the article said Virginia is friendlier to tax-conscious seniors. For the privilege of living here I pay 5.75% state income tax on every dollar of my SURS pension. Had I remained in Illinois I would be paying zero, although admittedly my property tax could be higher if I owned a home. Just goes to show that everyone’s situation is different based on home ownership, consumption patterns, amount of income, composition of income, etc. States that are tax friendly for some retirees can be very unfriendly for others.