SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Rauner blasts pension proposal

Sunday, Dec 1, 2013

* From a Bruce Rauner e-mail blast…

This Tuesday a group of Springfield insiders, many of whom caused the pension crisis with decades of bad deals and giveaways, will try to rush through a pension deal without giving Illinoisans an opportunity to study the details.

They want us to trust them.

We don’t – and can’t.

In the early 1990’s, Senate President John Cullerton was on a committee of 10 legislators who inserted language into a pension bill that allowed 23 government union bosses to collect an extra $56 million from municipal pension funds. According to the Chicago Tribune, “the changes became law with no public debate among state legislators, and, more importantly, no cost analysis.”

Sound familiar?

A few years ago, the legislature approved a workers compensation law that was highly touted for its bipartisan “reforms.” Despite the acclaim it received at the time, in the end it accomplished very little. Illinois’ workers compensation system remains uncompetitive with neighboring states and our economy continues to suffer.

This time the stakes are much higher.

Getting pension reform wrong could devastate Illinois’ economy over the long term.

The truth is the savings in this bill are both insufficient and will make true, comprehensive reform more difficult. Illinois right now has the highest unfunded pension liability in the country. This proposal would take us from the worst to merely very bad and guarantee a future of higher taxes. If you thought the Quinn-Madigan 67% income tax hike was bad, just imagine what tax-and-spend politicians have in mind for an encore.

Unfortunately, legislative leaders have kept Illinoisans in the dark about the details of this bill. The pension deal was announced on the afternoon before Thanksgiving prior to many legislators being briefed on it. Legislators will be asked to vote for it Tuesday. Yet as of this writing no one has released the legislative language.

Whenever politicians act like this, it is a bad sign for taxpayers. Like ObamaCare, they’ll pass the pension deal before most legislators know all that’s in it.

While the final details are unclear, summaries released to date raise some real concerns.

It’s rumored that the bill would eliminate pensions from collective bargaining alongside pay and health benefits. This could tie the hands of government leaders who will need to negotiate further, more comprehensive, reforms on pensions and related issues in the future.

We’ve also learned that the legislation gives “consideration” to government union members by decreasing the amount state workers need to contribute to the pension system. That means you – and everyone else - pay more.

The bill is also expected to include a ‘guarantee’ provision that could require taxpayers to pay for government pensions before payments are made for other government services and programs. That means payouts to government union bosses are ranked ahead of investments in our schools, public safety, and the social safety net. Provisions like the pension guarantee give government union bosses more power in a system that is already rigged in their favor. Government union bosses are funded by your tax dollars and use your money to elect and lobby politicians who will grow government and give them more money. It’s a closed loop system with taxpayers left standing on the outside.

The biggest problem of all is that the rumored savings from the bill would reduce the government’s unfunded liability by less than 20%! It barely scratches the surface of the problem. All this work for relatively small savings that do nothing to stop future tax hikes, and, in fact, make them more likely.

Bigger government. Higher taxes. That’s the future if we continue down this path.

There is a better way.

Government workers and retirees deserve to be treated fairly. But let’s not forget who pays for this — it’s the hard working taxpayers of our state, who themselves are struggling to make ends meet in an economy that is weighed down by the fiscal blunders in Springfield.

We can have a pension system that is fair to both sides of this transaction, the government workers and the taxpayers who pay for it. True reform would cap the current system and fully put in place a 401k-style program that is similar to the retirement plans of most Illinoisans. That’s fair to workers and taxpayers, and it ensures we will never face a pension crisis again.

Republican Leaders Jim Durkin and Christine Radogno are trying in good faith to negotiate a solution to the pension crisis. Those good intentions are why Democratic bosses are trying to rush this through before there is a full airing of the facts.

We’ve seen what happens when a massive deal is negotiated behind closed doors, announced over a holiday weekend, and no one is given a chance to digest the bill. It ends very badly.

A vote for this bill is a vote for insufficient reform. A vote for this bill is a vote for a future tax increase.

We can solve the pension crisis. This deal doesn’t do it.

Let’s get it right.

Bruce

* “It’s rumored”? “We’ve learned?” C’mon, Bruce. You got that info from the same dot points as everyone else.

Also, this…

True reform would cap the current system and fully put in place a 401k-style program that is similar to the retirement plans of most Illinoisans. That’s fair to workers and taxpayers, and it ensures we will never face a pension crisis again.

“Cap the current system” means no more cost of living adjustments for retirees. Ever. That’s fair?

* This makes no sense…

Provisions like the pension guarantee give government union bosses more power in a system that is already rigged in their favor.

Um, actually no. The pension systems would be allowed to sue if state pension payments aren’t made, not the “government union bosses.” Also, this

Nekritz said that’s not the case and noted the bill’s so-called pension payment guarantee has wiggle room. If the state fails to make a pension payment, a retirement system could file action in the Illinois Supreme Court to compel the state to make the required payment. But if the state faces a crisis, it could simply vote to change what the required payment would be, she noted, effectively working around that guarantee.

Nekritz noted that flexibility does cause her some concern, despite her support of the deal.

* And this is rich…

Republican Leaders Jim Durkin and Christine Radogno are trying in good faith to negotiate a solution to the pension crisis. Those good intentions are why Democratic bosses are trying to rush this through before there is a full airing of the facts.

Durkin and Radogno aren’t “trying in good faith to negotiate,” they already did negotiate in good faith. Several of their ideas are incorporated into the proposal. Giving them an attaboy at the end after completely eviscerating the legislation they negotiated serves to dishonestly make this a partisan issue when it is not.

This is the most deliberately misleading screed to come out of the 2014 governor’s race to date.

* On a related note, I’m told that the pension bill’s language is expected to be released this evening. That’s two days before the House and Senate are expected to take up the matter. That’s about the same lead time given before Speaker Madigan passed his pension bill in early May - a timeline that suited the Chicago Tribune just fine.


…Adding…
Sen. Bill Brady, a Rauner GOP primary opponent who sits on the pension reform conference committee, clearly disagrees that the proposal is being unduly rushed

“Our staffs are all up to speed on this. They’ve been meeting with us all summer,” Brady said. “The ability to analyze it won’t be difficult. They’re (public employee unions) in tune, too. They’ll have ample time. As hard as it’s been to come to this conclusion, it’s not really all that complex.”

Brady said many elements of the proposal are similar to Senate Bill 1, a reform plan pushed by House Speaker Michael Madigan, D-Chicago, that passed the House last spring but was defeated in the Senate. Those elements have been thoroughly reviewed already, he said.

- Posted by Rich Miller        


No Comments

Be the first to comment.

Sorry, comments for this post are now closed.


* Adding insult to injury in higher ed
* Question of the day
* SUBSCRIBERS ONLY - Fundraiser list
* Congresscritters who draw state pensions
* *** UPDATED x1 - ISP responds *** The Mendoza car saga continues, including a Rauner twist
* It's just a bill
* *** UPDATED x3 - Rauner response - 81 percent vote to authorize strike *** AFSCME strike vote authorization result announcement
* *** UPDATED x1 - Purvis responds *** Madigan forms another education funding task force
* Can Rauner's 25 percent prisoner reduction goal be met?
* Fisking Rauner
* *** UPDATED x1 - Backpedal begins *** Pritzker urges unusual "protest"
* Rauner dodges reporters
* *** LIVE *** House session coverage
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Yesterday's stories

Support CapitolFax.com
Visit our advertisers...

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

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

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

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

...............
<


Loading


* Nick in the AM: Dee-Mack football visits State .....
* Illinois union OKs strike over contract dispute.....
* Madigan Forms Illinois House Panel to Address S.....
* State workers should embrace the 40-hour week..
* AFSCME Approves Strike, Faults Rauner's 'Refusa.....
* AFSCME Takes Big Step Towards Possible Strike -.....
* Madigan forms Illinois House panel to address s.....


* The Latest: 46 protesters arrested while police clear camp
* Illinois union OKs strike over Rauner contract dispute
* University suspends fraternity after allegations of hazing
* Madigan forms Illinois House panel to address school funding
* Ex-US Rep. Jackson gets about $138,400 in annual benefits
* Storm system that hit California moving into the Midwest
* Illinois attorney general convenes summit on Trump orders
* Storm system that hit California moving into the Midwest
* Investigation of missing deputy leads to Joliet basement
* Deere CEO says company will keep headquarters in Quad Cities

* AFSCME members authorize leaders to call strike
* Madigan forms Illinois House panel to address school funding
* Ex-U.S. Rep. Jackson gets about $138,400 in annual benefits
* Economic stakes high for Springfield in labor showdown
* AFSCME members authorize leaders to call state employee strike
* AFSCME will announce results of strike-authorization vote Thursday
* Hastert victim again argues for remainder of hush money
* Senate urged to leave state's PE requirements alone
* Luciano: State lawmakers fiddling while Illinois burns
* Illinois education board vote settles 2008 funding lawsuit

* Why this Chicago hospital is doubling down on breastfeeding
* Sears cuts 130 corporate jobs


* Sneed: Feds may be ‘moving forward’ with CPD consent decree
* Rasmussen reveling in role with defensive gurus Kruger, Hossa
* Man dies after being struck by car during argument on NW Side
* Trump tweets ‘Chicago needs help’ after 7 homicides in one day
* Loyola suspends fraternity after allegations of hazing
* Phony chiropractor charged with battery in Cary
* Editorial: Honing in on possible life in the heavens
* FOP chief, city IG slam quiet change to police merit promotions
* 20-year-old woman killed in Melrose Park crash
* Steinberg: Who do bullies bully? Whoever bullies can


* Bulls trade Taj Gibson, Doug McDermott to Thunder
* If anybody knows what the Bulls are doing, please let me know
* Hundreds of protesters urge Bobby Rush, other Illinois Democrats to fight harder against Trump
* Naperville cops ID, wait to talk to tuxedo-clad 'crime victim'
* White Sox to retire Mark Buehrle's No. 56
* Some witnesses say fatal Kansas bar shooting was racially motivated
* Homicides in Chicago outpacing last year after deadliest day so far in 2017
* The only thing that can beat Merkel is anti-Merkel
* Rauner: OK on Obama Day, but no one gets to skip work
* Mundelein trustee draws heat for 'Korean money' comment on Facebook


» AFSCME Members Authorize Potential Strike
» Palatine Reacts To Trump's Move To Rescind Transgender Student Guidance
» Illinois Union OKs Strike Over Rauner Contract Dispute
» Fear Heightened Among Immigrant Workers In Chicago Area
» Illinois Attorney General Convenes Summit On Trump Orders
» Chicago Schools Take A Stand On Immigration Enforcement
» After Budget Proposal, Governor Goes Quiet
» Illinois Issues: The Great Pension Chasm
» 16 Latino Leaders Resign From Chicago Public Schools Advisory Panel
» Teachers At Chicago Charter School Vote To Authorize A Strike


* AFSCME members authorize leaders to call strike
* Madigan forms Illinois House panel to address school funding
* Ex-U.S. Rep. Jackson gets about $138,400 in annual benefits
* Economic stakes high for Springfield in labor showdown
* AFSCME members authorize leaders to call state employee strike
* AFSCME will announce results of strike-authorization vote Thursday
* Bernard Schoenburg: Duckworth in weekly address: Trump record 'abysmal'
* Hastert victim again argues for remainder of hush money
* Our View: TIF doesn't stand for 'Take It Freely'
* Senate urged to leave state's PE requirements alone


* Judge upholds Alton Electoral Board’s decision to kick Dan Rauschkolb off April 4 mayoral ballot
* No charges against Springfield officer in fatal shooting of mentally ill man
* Menard Correctional Center put on lockdown after ‘incident’ on prison yard
* PODCAST:Sports Talk 02-23-17
* Freedom beckons marijuana suspect, but not yet
* South Peoria ice cream shop brings customers' menu ideas to life
* Pushing for town hall, some constituents ask, 'Where is Mike Bost?'
* My View: Celebrating unity in diversity
* Diesel leak discovered in Mud Creek in Scott County
* Mendard Correctional Center on lockdown after 'incident'


* North Barrington attorney sent to prison for nearly 10 years
* After cyclist's death, bill to tighten penalties for crosswalk scofflaws advances
* Illinois union OKs strike over Rauner contract dispute
* Sears cutting 130 jobs
* Challenger: Lake in the Hills mayor's legal woes taint village

* Hultgren criticizes immigration ban, Roska...
* US Congressman tours new Aurora Specialty ...
* Hultgren guides STEM scholars through pres...
* Majority of IL Congressional Delegation Op...
* Group upset with Trump wants Town Hall mee...
* US Rep. Randy Hultgren talks veterans' iss...
* Hultgren will be at veterans' forum March ...
* GOP congressman appears to distance himsel...
* US Representative Randy Hultgren visits ne...
* Hultgren to participate in veterans forum ...

* Durbin on target about the location and ca......

* GW: Illinois Sen. Tammy Duckworth to Speak......

* Former Obama adviser David Plouffe fined for illegally lobbying Rahm on behalf of Uber, and other Chicago news
* Ruth Ratny, chronicler of Chicago's film industry, dies
* An Internet-free ‘bookbar’ in Lincoln Park has banned laptops in favor of books and conversation
* Right-wing Trumpnuts go bonkers over New Trier civil rights program.
* #LibertysPromise
* #TBT -- John Kinzie, Oldest Uptowner
* Kizuki Ramen & Izakaya is the dependably good bowl Wicker Park doesn’t need
* “Contracts, like hearts, are meant to be broken.” -Ray Kroc.
* 81% of AFSCME Illinois state workers vote for strike authorization.
* The newly renovated Davis Theater is a vaudeville house for the 21st century


* Governor Bruce Rauner Honors Carnegie Hero From Buffalo Grove
* Governor Addresses State Board of Education to Emphasize Importance of Strong Accountability Standards
* Stars and Legends to Perform at 2017 Illinois State Fair - First Round of Grandstand Headliners Announced for Springfield Fair
* Earthquake Education Kiosk Unveiled at University Mall in Carbondale - IEMA, Central U.S. Earthquake Consortium project will help southern Illinois residents reduce damage, injuries from earthquakes
* Governor Takes Bill Action

  
* Apple says iOS 10.2.1 has reduced unexpected iPhone 6s shutdown issues by 80%
* Alphabet's Waymo Accuses Uber of Stealing Self-Driving LiDAR System
* Apple to Open First Argentinian Apple Store in Buenos Aires in 2018
* Apple Updates iTunes Remote App With Two-Factor Authentication for Home Sharing
* [TA Deals] Live an active lifestyle? The BK Sport wireless earbuds are here! (66% off)
* Xiaomi Mi 5c ‘Meri’ with in-house Pinecone SoC benchmarked running Android 7.1.1
* Facebook tests ad breaks in all types of videos, giving creators a 55% cut

* Starter for Saturday's spring opener TBD
* White Sox Tilson hopes to return next week
* Improving Anderson a key piece to Sox rebuild
* White Sox to retire Buehrle's uniform No. 56
* Harris continues following Jackie's path
* White Sox to retire Buehrle's uniform No. 56
* Holland brings loose, fun personality to White Sox clubhouse


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

Archives
February 2017
January 2017
December 2016
November 2016
October 2016
September 2016
August 2016
July 2016
June 2016
May 2016
April 2016
March 2016
February 2016
January 2016
December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
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




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