Pensions

Budget + Tax Criminal Justice Good Government Jobs + Growth Labor Pensions

Chicago’s plan to pay off COVID-19 debt with federal aid hits a snag

By Justin Carlson

05/21/2021

Chicago had planned to use half of its federal relief funds to pay down pandemic debts, but new federal guidance may prevent that. Regardless, without pension reform the city will continue drowning in debt.

TAGS: Chicago, COVID-19, debt, pensions

Madigan begins collecting $7,093-a-month public pension

By Brad Weisenstein

04/06/2021

Former Illinois House Speaker Michael Madigan will collect $85,000 a year, but in a little more than a year his pension will shoot up to nearly $150,000 a year.

TAGS: GARS: General Assembly Retirement System, Mike Madigan, pensions

Federal stimulus passes with $1,400 for most Illinoisans, $13 B for government

By Patrick Andriesen

03/10/2021

President Joe Biden on Friday is expected to sign the COVID-19 stimulus bill, with direct payments to most Illinoisans and a significant boost to local and state governments. Illinois can use this opportunity to fix state finances.

TAGS: Joe Biden, pensions

Bill would stop Illinois lawmakers from getting public pensions

By Brad Weisenstein

03/09/2021

State lawmakers have significantly abused and underfunded their own pension system. Ending it would be a plus, but only a constitutional amendment will stop pension debt from swallowing Illinois.

TAGS: Dave Vella, GARS: General Assembly Retirement System, John Cabello, Mike Madigan, pensions

Moody’s report: Illinois pension debt reaches record-high $317 billion

By Adam Schuster

03/05/2021

Illinois worst-in-the-nation public pension debt grew 19% year over year. It will continue hurting the state economy and job growth, driving more people out of Illinois, unless there are reforms.

TAGS: debt, Moody's Investor Service, pensions, public sector

Hidden pension ‘tax’ costs each Illinoisan more than $1,400 per year

By Orphe Divounguy, Bryce Hill

03/02/2021

Illinoisans pay a hidden pension tax. Eliminating that cost would free up resources to help Illinois recover from the COVID-19 recession while also raising the state’s long-term economic potential.

TAGS: pensions, public sector, taxes

Madigan will retire with $2.9 million public pension after contributing just $350,000

By Adam Schuster

02/19/2021

Because of a pension sweetener for politicians that Madigan helped create, the former speaker’s pension will spike more than $66,000 the year after his first full year of retirement, then grow 3% each year thereafter.

TAGS: Mike Madigan, pensions

Pritzker to decide COLA increase for Chicago firefighter pensions, with $850M price tag

By Adam Schuster

01/15/2021

Over the objections of Chicago Mayor Lori Lightfoot, who called the legislation “irresponsible,” state lawmakers passed a bill to increase the cost-of-living adjustment for 2,200 Chicago firefighter pensions to 3% from 1.5%. Gov. J.B. Pritzker should veto it.

TAGS: Chicago, debt, firefighter pensions, JB Pritzker

Pritzker calls for $700M in service cuts, silent on pension reform

By Brad Weisenstein

12/17/2020

Illinois’ current budget started out at a deficit, hoped for a tax increase that was rejected and counted on a federal bail-out that never came. Gov. J.B. Pritzker’s best fix is pension reform.

TAGS: budget, COVID-19, deficit, JB Pritzker, pensions

Pensions set to consume 29% of Illinois’ budget amid $7 billion debt increase

By Adam Schuster

12/17/2020

New official reporting from the state of Illinois shows both rising debt and rising costs in state retirement systems, with essential government services again facing cuts.

TAGS: COGFA: Commission on Government Forecasting and Accountability, debt, Illinois, Moody's Investor Service, pensions

Pension apocalypse? COVID-19 exposes long-running fragility of Illinois public pensions

Illinois’ pension crisis has been a growing problem for decades, and its negative effects on state residents are well documented.1 Economic fallout from the COVID-19 pandemic and related government shutdown orders threaten to bring that long-running crisis closer to its breaking point. The state’s five pension systems collectively held nearly $139 billion of debt at...

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Pensions

Pension apocalypse? COVID-19 exposes long-running fragility of Illinois public pensions

Olivia Waldron

CBS Chicago: Illinois’ highest-paid superintendent receives $400K per year to oversee 1,200 students