A press release from State Senator Dan McConchie:
McConchie: New, disturbing report demonstrates the dire need for pension reform in Illinois
Springfield, IL… With Tuesday’s release of Fitch Ratings’ 2017 state pension report, State Sen. Dan McConchie (R-Hawthorn Woods) says Illinois’ out-of-control pension system needs to be reformed immediately.
Dan McConchie
“The General Assembly can no longer allow the Democrat Majority to kick the can down the road,” said Sen. McConchie.
“It is way past time to fix this problem.
“Illinois needs reform and it needs it now.”
According to the report, Illinois’ net pension liabilities lead the nation at $151.5 billion at the end of fiscal year 2016.
That is $21.7 billion up from last year’s CoGFA report of $129.8 billion.
Illinois’ pension burden far exceeds the pension liabilities of other states with high pension burdens.
New Jersey has the second highest with $91.8 billion, Massachusetts with $48.9 billion, and Kentucky with $32.8 billion.
The report also suggests that Illinois’ unfunded pension liabilities amounted to 22.8% of residents’ personal income.
The median is 3.1% for all states.
“The bottom line is that the system is fundamentally out of control.
“The state’s pension liabilities cost every man, woman, and child a whopping $11,780.
“That is an injustice to the people we represent.
“We can’t ignore this problem any longer and just hope that it goes away.
“It’s not going away.
“The longer we wait, the worse it gets,” said Sen. McConchie.
Take a page from the neighbors to the North.
https://en.wikipedia.org/wiki/2011_Wisconsin_Act_10
The ONLY way to make changes is to elastrate the public unions.
McConchie – Master of the obvious.
Next story, please …
No kidding…
Duh!
The real problem is the Constitutional guarantee.
Do the right thing:
Put a referendum on the March 20 ballot to repeal it!!
And hot off the press:
https://patch.com/illinois/huntley/s/gb7p3/illinois-has-worst-pension-burden-in-america
The pension guarantee in the Illinois Constitution won’t amount to a hill of beans when the pension funds become insolvent.
The courts can order the State to pay, but they can’t force the General Assembly to come up with the money, and only the General Assembly has the power of the purse.
Some have suggested that the courts can order that money be taken from the General Fund to pay the pensions, but the last time I checked the State wasn’t exactly carrying a large balance.
The inevitable lawsuits will be about as effective as getting a judgement against someone who is broke.
Re: “The pension guarantee in the Illinois Constitution won’t amount to a hill of beans when the pension funds become insolvent.”
Maybe you are not aware that Judges are ORDERING tax increases to fund the pensions.
Interesting how some parts of State and Federal Constitutions are adhered to while others are not.
“An unprecedented appellate court decision this month ordered an Illinois city to approve a property tax levy specifically for its firefighters’ pension. That city, Harvey, already has effective tax rates of 5.7% for residential and 14.3% for commercial properties.
It’s a historic decision that may be the first of similar ones to come — eventually — for many of Illinois’ 600-plus local police and firefighter pensions.”
http://www.wirepoints.com/court-ordered-taxes-for-pensions-begins-in-illinois-litigation-turmoil-looms-wirepoints-original/
FYI I am told the lawyer who is largely responsible for the Firefighter pensions is now running for Republican Committeeman in Seneca Township.
Again I ask, why is the referendum not scheduled for the March 20 ballot?
Are the Firefighter and Police unions that powerful?
Illinois has 660 different pension funds.
Total members last year was 972,667 – State total population last year was 12,801,539.
The problem is last year (like most recent years) more money was withdrawn from pensions then what went in.
Only $13,902,184,000 was put in but $17,598,347,000 was taken out!
When a judge orders the State government or a local municipality to increase taxes or go to jail, how many politicians are willing to go to jail like Orv Brettman did one time?
Hell, we can’t even get a majority on the County Board to make a little twerp (my description) follow the rules!!
That’s outrageous,and I hope the order is overturned, but that case involves local taxes imposed by a city.
The General Assembly is in a different legal position than a city or a county – they have legislative immunity explicitly guaranteed by the Illinois Constitution.
They also have the power to impeach judges who get too far out of line, and I would consider such a blatantly unconstitutional order to be an impeachable offense.