By John Klingner
07/01/2013
Employee contributions to the State University Retirement System, or SURS, have gone up by 16 percent since 1998. During the same time period, taxpayer contributions to university worker retirements increased by 333 percent. In 2012 alone, Illinois taxpayers contributed $730 million more to SURS than university employees did. And the disparity between taxpayer and employee...
By Benjamin VanMetre
06/20/2013
A six-point pension plan created by the Institute of Government and Public Affairs, or IGPA, fails to solve Illinois’ pension problem. That’s because the plan, Senate Bill 2591, maintains the state’s unmanageable defined benefit plan for current employees. It requires all new employees to participate in a hybrid defined benefit and defined contribution pension plan, and...
By Chris Andriesen
06/16/2013
State Reps. Tom Morrison (R-Palatine) and Jeanne Ives (R-Wheaton) have proposed House Bill 3303, which is based the Institute’s pension reform plan. State Sen. Jim Oberweis (R-Sugar Grove) introduced a floor amendment to Senate Bill 2026, which is identical to House Bill 3303. The problem Illinois has the nation’s worst-funded pension systems. The unfunded liability currently stands at more...
By Benjamin VanMetre
06/14/2013
The Illinois General Assembly is gearing up for a special session to discuss pensions next week because of lawmakers’ reform inaction during the recent spring session, which resulted in back-to-back credit rating downgrades. The debate during session will likely be over which of two plans will solve Illinois’ crisis – House Speaker Mike Madigan’s proposal or the one...
Like many, we are disappointed that pension reform was not enacted during the spring legislative session. But make no mistake: the Madigan and Cullerton pension proposals were not pension reform. Taxpayers should be relieved they did not pass. Right now, the job of Illinois government is to provide for the well-being of all the people....
By Benjamin VanMetre
05/30/2013
A “cost shift” pension plan was introduced today, Senate Bill 1687 Amendment #2, for the State Universities Retirement System, or SURS. Here are the ins and outs of the plan: What the cost shift does: A significant driver of Illinois’ $97 billion pension crisis is the fact that the state makes pension contributions to SURS...
By Benjamin VanMetre
05/22/2013
Even with record revenues, Illinois is suffering
TAGS: budget
By Benjamin VanMetre
05/17/2013
The problem Illinois has the worst-funded pension systems in the nation. The structure of Illinois’ current defined benefit system coupled with the political unwillingness to reform has left the state’s pension systems in danger of running completely dry. Even the head of the Illinois Teachers’ Retirement System, or TRS, Dick Ingram, said the fund may...
By Ted Dabrowski
04/23/2013
Flaws of the defined benefit system are really at the core of the state’s pension problems.
Illinois is in crisis. According to official government numbers, Illinois has an unfunded pension liability of $96 billion – the worst in the nation. This heavy debt burden, combined with the state’s culture of out-of-control, wasteful spending, has driven the state into an economic death spiral. Illinois cannot be economically prosperous until real pension reform...
TAGS: Medicaid, pensions
