Tobin: “Yeah, 2015 is about right” for state bankruptcy
Thursday, Aug 8, 2013
* Taxpayers United President Jim Tobin, who believes Abraham Lincoln fought the Civil War over taxes and has long wanted to abolish the Illinois State Police also believes that Illinois will declare bankrupty in 2015…
States can’t declare bankruptcy, and pension costs are projected to rise $200 million in FY 2015, a far cry from the recent billion dollars a year increases of the recent past. But, other than that, yeah, we’ll be Detroit in two years. That’s about right. For sure.
* The far more likely event, I think, is that Mayor Emanuel might “encourage” one of the city’s pension funds to declare bankruptcy. He refuses to raise taxes to make up for years of zero-funding the city’s pension systems, and a legislative solution doesn’t yet appear in sight.