SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Today’s numbers

Monday, Jan 13, 2014

* Crain’s

In a post on its website the Civic Federation of Chicago says that, while sponsors of the bill estimated state taxpayers would have to contribute $1.2 billion less than previously required when the new [pension reform] law is fully implemented in 2016, the latest figures from Gov. Pat Quinn’s office come in more than a half-billion dollars short of that.

Specifically, the latest statements from pension fund actuaries indicate that “approximately $673 million” less in taxpayer funds will be needed in fiscal 2016, the report says. That’s more than $500 million short of the earlier estimated reduction of $1.2 billion.

In the report and in a statement, federation President Laurance Msall said some of that $500 million difference is due to improved investment returns by pension funds in the past year. With the stock market soaring, returns are up and therefore the amount of new money needed from taxpayers can be reduced.

But, even excluding that, the latest actuarial estimates in the Quinn report are $200 million different than the estimates offered by sponsors of the reform legislation, Mr. Msall said.

* Meanwhile, this argument sounds familiar to me…


Oh, yeah, now I remember.

It’s the same basic argument used by those who said legislators screwed up by not funding the pension systems, so pensioners should not be forced to solve the problem on their own.

Reboot and others argued forcefully against that logic. Regardless of past mistakes by the GA, pensioners should shoulder the burden.

- Posted by Rich Miller        


19 Comments
  1. - wordslinger - Monday, Jan 13, 14 @ 2:32 pm:

    Gee, Reboot, who elected those lawmakers? Martians?

    Under what theory of democracy do the people not take responsibility for their elected government?

    Another victim heard from.


  2. - PublicServant - Monday, Jan 13, 14 @ 2:36 pm:

    The CTBA has proposed a progressive income tax where 94% of Illinoians will pay less income tax than they do today, so I’m assuming Reboot Illinois will get behind that. I’ll even write the preamble.


  3. - Chicago Cynic - Monday, Jan 13, 14 @ 2:47 pm:

    “Lawmakers made a wreck of #Illinois’ finances. We shouldn’t have to pay for it with higher taxes!”

    What the heck does that mean? Yes, lawmakers spent too much without asking people to pay for it. But now someone has to pay for it. It sucks, but that’s reality.

    If taxpayers shouldn’t pay for these public goods with taxpayer money, what are we supposed to do - shake the magic money tree and hope a few billion miraculously appears? Please spare us this mindless hyperbole.


  4. - PublicServant - Monday, Jan 13, 14 @ 2:49 pm:

    Or we could accept RNUG’s suggestion of a high flat tax rate and exempt the first 100K or so.


  5. - the troop - Monday, Jan 13, 14 @ 2:52 pm:

    It is unbelievable that everyone keeps talking about saving money for the “taxpayers”.State employees pay taxes just like everyone else.
    I keep hearing this Msall guy with the civic federation.For what nefarious purpose does he have a dog in this fight anyway.


  6. - Soccermom - Monday, Jan 13, 14 @ 2:56 pm:

    What Word said.


  7. - AnonymousOne - Monday, Jan 13, 14 @ 3:04 pm:

    Well of course they shouldn’t have to pay for it- no one should. All public employees should work for free out of their sincere and unabiding dedication to……name your group of Illinois citizens.. And when they get too old, apparently they should just die so taxpayers (of which they are group members) don’t have to bother with them now that they’ve gotten what they need out of them and used them up. All snark.


  8. - Rusty618 - Monday, Jan 13, 14 @ 3:14 pm:

    Under the new pension plan, I will be out $212K in the first 20 years. So 2500 retirees at my rate (which is nothing to right home about) would make up the $500M…in 20 years.


  9. - glaber - Monday, Jan 13, 14 @ 3:28 pm:

    I don’t think that retirees would object to this bite being taken out of their pension so much, if it was going to be a real solution to the structural deficit of Illinois. It isn’t, because the deficit is too large and the savings from cutting the pension is too small. Let’s move on and talk about a real solution, a graduated tax rate.


  10. - AnonymousOne - Monday, Jan 13, 14 @ 3:36 pm:

    RE: saving money for the taxpayers

    Public employees taxes apparently don’t matter, just like their services.


  11. - Arthur Andersen - Monday, Jan 13, 14 @ 3:58 pm:

    Let me be the first to say that by the time 2016 gets here, this “pension reform” will not save a dime.

    Details to follow.


  12. - Anon - Monday, Jan 13, 14 @ 4:21 pm:

    If the Madigan pension bill is upheld, that will be the precedent to justify coming back to the same well again. After all, it would have been held constitutional to take it out of the hides of retirees and state workers.


  13. - Rod - Monday, Jan 13, 14 @ 4:39 pm:

    The reality of the savings really should be no major surprise to readers of this blog. I think we all discussed how savings in the pension reform proposal were largely back loaded, which is way all the talk of savings “over thirty years.” Really President Cullerton at one point, to his credit, discussed the more limited immediate savings. But the media did not pick up on those comments.


  14. - DuPage - Monday, Jan 13, 14 @ 4:46 pm:

    @3:04P.M. Reminds me of the old joke, “keep working till the day you die, just be sure to finish all the work for the day, then punch out and get off company property first.”


  15. - Norseman - Monday, Jan 13, 14 @ 5:16 pm:

    AA, you’ve got me on pins and needles waiting for those details.


  16. - Norseman - Monday, Jan 13, 14 @ 5:25 pm:

    Now that the legislature has taken them up on their desire to stick it to public employees and retirees. Who will be their next group to attack in order to prevent taxes from being raised because of poor financial management by the Governor and General Assembly? How about abused children? DCFS hasn’t been doing the greatest job with their limited money anyway. How about the mentally ill? The developmentally disabled? School children? Universities? Poor children? Road maintenance?


  17. - OLD BRASS - Monday, Jan 13, 14 @ 6:32 pm:

    “..How about abused children? DCFS hasn’t been doing the greatest job with their limited money anyway. How about the mentally ill? The developmentally disabled? School children? Universities? Poor children? Road maintenance?…”

    Well of course, that’s where all the pension holiday funds were used in the first place. Someone (or fund) had to pay for all these things the GA had no money for in the budget.


  18. - What is to be done? - Monday, Jan 13, 14 @ 6:52 pm:

    I will argue that a lot people went into public service (teachers, police) and got paid very little in direct wages but had the promise of a decent retirement. We should not reneg on those promises.


  19. - PolPal56 - Tuesday, Jan 14, 14 @ 11:52 am:

    Reboot Illinois, IPI, the Trib and their ilk are going to blow gaskets when the ISC rule the pension theft unconstitutional and the GA goes for a tax structure change.

    I, too, am intrigued by RNUG’s suggestion of a higher flat tax rate on income above a certain level, with incomes below that level exempt. It would be very hard on those at the cut-off, though. Imagine being someone who earns $103,000 and the cut-off is $100,000. Imagine that but for $3,000 you go from no state income taxes to 6%. I know that I would resent it. At the least there would have to be a loophole that no one can be taxed real dollars that would bring them below the $100,000 that is tax-free. Therefore, the person earning $103,000 would pay $3,000, not over $6,000.


Sorry, comments for this post are now closed.


* Quinn presser raw audio
* MillerCoors matching donations for Equality Illinois GOTV efforts
* Question of the day
* Rauner takes batting practice
* Stagnant income, except at the top
* If the US Attorney doesn't believe he did it, that's good enough for me
* Today's number: 20x
* Cross endorsed by Democratic mayor
* *** UPDATED x1 *** Et tu, Cubbies?
* Cutting to the chase
* Welcome to the NFL, rookie
* *** UPDATED x1 *** This just in... Court keeps Libertarians on ballot
* Callis releases new negative ad
* FactCheck.org calls Schilling ad "shamefully misleading"
* Rauner zeroing in on 20 IDOT workers
* SUBSCRIBERS ONLY - Supplement to today’s edition: Crosstabs, mailers, latest cable TV buys
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

          
        * Chromecast support for Sling app debuts
        * Galaxy Note Edge won’t be available everywhere this year
        * Polaroid Socialmatic combines old school instant pics with social media
        * Eight is enough?
        * Link Bubble and TapPath: a better way to open links on Android
        * Chromecast now available in Austria and Hong Kong
        * Apple Watch Likely Uses BCM4334 Broadcom Wi-Fi Chip

        * Curb Specific Food Cravings with "Sensory Simulation"
        * Amazon Announces the Kindle Voyage, a New Premium eReader [Hands-on]
        * Microsoft Shuts Down Silicon Valley Research Lab, Amid Broader Layoffs
        * Talk Your Way to a Deal: How to Negotiate at These Major Retailers
        * Twitter Overhauls Profiles on iOS in the 'Biggest Update to Date'
        * Twitter Overhauls Profiles on iOS in the 'Biggest Update to Date'
        * Larry Ellison steps down as Oracle CEO, becomes chairman, tech chief

        * Hot corner belongs to Gillaspie on South Side
        * Predicting Jose Abreu's place in the American League MVP vote
        * Royals offense unflappable, even against Chris Sale
        * Konerko, White Sox stop at the Trop to face Rays
        * Sale roughed up by Royals, loses AL ERA lead
        * Royals 6, White Sox 2: Chris Sale roughed up
        * Abreu's stolen base overturned by Royals' challenge


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        September 2014
        August 2014
        July 2014
        June 2014
        May 2014
        April 2014
        March 2014
        February 2014
        January 2014
        December 2013
        November 2013
        October 2013
        September 2013
        August 2013
        July 2013
        June 2013
        May 2013
        April 2013
        March 2013
        February 2013
        January 2013
        December 2012
        November 2012
        October 2012
        September 2012
        August 2012
        July 2012
        June 2012
        May 2012
        April 2012
        March 2012
        February 2012
        January 2012
        December 2011
        November 2011
        October 2011
        September 2011
        August 2011
        July 2011
        June 2011
        May 2011
        April 2011
        March 2011
        February 2011
        January 2011
        December 2010
        November 2010
        October 2010
        September 2010
        August 2010
        July 2010
        June 2010
        May 2010
        April 2010
        March 2010
        February 2010
        January 2010
        December 2009
        November 2009
        October 2009
        September 2009
        August 2009
        July 2009
        June 2009
        May 2009
        April 2009
        March 2009
        February 2009
        January 2009
        December 2008
        November 2008
        October 2008
        September 2008
        August 2008
        July 2008
        June 2008
        May 2008
        April 2008
        March 2008
        February 2008
        January 2008
        December 2007
        November 2007
        October 2007
        September 2007
        August 2007
        July 2007
        June 2007
        May 2007
        April 2007
        March 2007
        February 2007
        January 2007
        December 2006
        November 2006
        October 2006
        September 2006
        August 2006
        July 2006
        June 2006
        May 2006
        April 2006
        March 2006
        February 2006
        January 2006
        December 2005
        April 2005
        March 2005
        February 2005
        January 2005
        December 2004
        November 2004
        October 2004

        Blog*Spot Archives
        November 2005
        October 2005
        September 2005
        August 2005
        July 2005
        June 2005
        May 2005

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * Income stagnant in Illinois..
        * Pretty faces draw eyes to animal abuse..
        * Illinois jobless rate continues 6-month decline..
        * Bruce Rauner..
        * Steve Cochran Show “Polticial Hour” featuring R.....
        * Illinois jobless rate declines in August..


        * 2 Illinois women die from West Nile virus
        * Emanuel backs away from naming school after Obama
        * Economy remains slow in rural parts of 10 states
        * Illinois jobless rate declines in August
        * Alleged gang member sentenced; judge cites murder
        * Illinois school resumes classes after gas leak
        * ComEd settles for $46M with state of Illinois
        * 2 college students drowned in Naperville quarry
        * Judge: Libertarian candidate can be on ballot
        * Company wants to drill for oil in McLean County

        * Illinois’ jobless rate continues 6-month decline
        * Sangamon Co. judge: Libertarian candidate for governor can stay on ballot
        * Jeb Bush headlining Chicago fundraiser for Rauner
        * Rochester resident to lead State Board of Elections
        * GOP appeal seeks to knock Libertarian gubernatorial candidate off ballot
        * Jesse White to focus on technology, highway safety if re-elected
        * Rauner’s ethics reform plan targets lobbyists, lawmakers
        * White to focus on technology, highway safety in fifth term
        * Quinn blasts NFL owners with dig at Rauner
        * Hundreds apply for jobs at northern Illinois federal prison

        * Home Depot says 56 million payment cards affected by data breach
        * A big jolt to your power bill just got one step closer
        * Obamacare enrollment dips to 7.3 million
        * Export-Import Bank gets a reprieve
        * ComEd to refund $46 million in settlement


        * Drug dealer held accountable in Chicago cop’s murder, gets 35 years in prison
        * Highland Park woman gets 5 years for killing 5-year-old girl
        * Ald. Munoz: Democratic Party support for Emanuel in mayor’s race premature
        * 16-year-old is second person charged in fatal home invasion
        * NU prof realizing genius grant is no prank
        * Tightwalk across the Chicago River is ‘real deal’
        * 16 suburban firefighters stranded in Mexico after hurricane
        * Salami-smuggling mob enforcer gets 15 years for gun rap
        * Trump happy over Emanuel crackdown on signs
        * Probation officer suspended after teen’s assault on CSU student


        * Report: More flu shots given across U.S. and Illinois' rate flat
        * Brandon Marshall addresses domestic violence, allegations from troubled past
        * Mayor: New high school won't be named after President Obama
        * 'Obama College Prep' blocked, but lots of other things bear his name
        * Gang leader held responsible in '08 slayings of officer, companion
        * ComEd customers to get refunds in 'smart grid' settlement
        * Indictment charges police commander with shoving gun barrel down suspect's throat
        * Onetime top aide to Daley sentenced to probation for theft
        * Cubs leave Kane County for South Bend
        * Cops: Boy, 15, went missing 2 days ago from Southwest Side


        * How do you find high school dropouts?
        * Plan Would Give Police Cameras, Raise Fines
        * Can A Governor Really Create Jobs?
        * Governor's Race Has A Third Contender; Judge Keeps Libertarians On Ballot
        * Humanities Film Series Kicks Off In Jacksonville
        * Court Ruling Could Impact Governor's Race
        * Indicted police commander suspended from duty 11 times, records show
        * Despite Outbreak, Illinois Virus Cases Remain Low - Why?
        * Teen Arrested For Threat Against Glenwood High School
        * I Like Illinois Website Debuts, In Time For The Election


        * Illinois’ jobless rate continues 6-month decline
        * Sangamon Co. judge: Libertarian candidate for governor can stay on ballot
        * Jeb Bush headlining Chicago fundraiser for Rauner
        * Christopher Mooney: Evidence in policymaking — no cure-all, but better than the alternative
        * Eugene Robinson: Hillary Clinton needs to tell us her vision
        * George Will: Obama needs Congress to approve this war
        * On Lincoln’s Side: Washington’s close call
        * Bernard Schoenburg: New poll, AFSCME nod help change narrative
        * Rochester resident to lead State Board of Elections
        * GOP appeal seeks to knock Libertarian gubernatorial candidate off ballot


        * Coroner called to residence in rural St. Clair County
        * SJO Academic Letter Ceremony
        * Part of Lake Egypt Water District under boil order
        * Strike Day 6: Highland community holds prayer vigil as teachers union, school board continue negotiations
        * Allison tries footgolf
        * Carbondale groups to hold candidate forum
        * ADM evacuates lab in Clinton
        * Belleville robbery report turns out to be false alarm
        * Who's in the news? Gale Vyncke
        * Towboat sinks in Mississippi River near Chester


        * Aurora cops looking for man who tried to lure children
        * Real-life Grinch steals gifts earmarked for needy families
        * Officials working to get stranded firefighters out of Mexico
        * 16 Hoffman Estates firefighters stranded in Mexico after hurricane
        * Football: Scouting Week 4, Northwest

        * Efforts to streamline discovery, developme...
        * Shimkus Discusses Presidential Policies - ...
        * Shimkus not taking election for granted - ...
        * At a glance: How metro-east residents vote...
        * Shimkus office hours set in Danville - Cha...
        * Keeping the Internet Open and Free | Comme...
        * Illinois vote: Dems split on aid for Syria...
        * Polly Sulcer goes to Washington to push Co...
        * Deadline set for military academy applicat...
        * Applications for military academies being ...

        * Lab Day Highlight Labs' Contribution to U.......
        * Top Dem Says Another Big ISIS Vote is Comi......
        * Top Dem Says Another Big ISIS Vote is Comi......
        * Top Dem Says Another Big ISIS Vote is Comi......
        * Top Dem Says Another Big ISIS Vote is Comi......

        * Senators, Energy CEOs Call for Long-Term E......
        * Mary Cheney: Equality can only be achieved......
        * Senate unanimously confirms John Bass as t......

        * Illinois to Fund Kidney Transplants for Undocumented Residents
        * Higgins: The Ray Rice Mess and Women in Combat
        * Coulter castigates conservatives and libertarians
        * Obama administration forcing new gun buyers to declare race, ethnicity
        * Gov. Mike Huckabee Endorses Mike Bost for U.S. Congress
        * Hoffman Estates officials counting on Sears staying
        * 'Suicide fanatics' facing demonstrators in Chicago
        * Rauner Criticizes Illinois Medical Marijuana Law
        * Chicago Housing Activists Fight To Save A Rogers Park 'Community House' (VIDEO)
        * Callis releases new negative ad on Davis


        * Quinn Misleads Public on IDOT Again
        * Governor Quinn Visits Chicago’s Hydro, Inc. as Illinois’ Unemployment Rate Continues to Drop - State Jobless Rate Reaches Lowest Level in Six Years
        * Rauner Launches New TV Ad: 100 Years
        * 100 Years
        * Bruce Rauner Announces Ethics Blueprint




            Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller