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Brian Gaines, professor in LAS, said Pritzker’s plan implies substantial surges in spending, which may make it difficult for Pritzker to deliver on promises he made for higher education during his run for governor.

“The state, however, is in dreadful fiscal condition, effectively bankrupt,” Gaines said in an email.

* I asked Professor Gaines to define “effectively bankrupt.” His e-mailed explanation…

I had in mind something like: unable to pay creditors in a timely manner; Steadily incurring more obligations, so that overall debt and unfunded liabilities continue to grow, rather than shrink; and, having no plausible plan to reduce an extreme debt-to-income ratio.

It is, I grant, a somewhat careless or hyperbolic phrase given that states cannot declare bankruptcy right now (though that could change). Rules of thumb for unsustainable debt-income ratios for individuals and businesses don’t transfer easily to cities let alone states, and the accounting details behind estimating the state’s true fiscal imbalance are complicated. But I think we’re quite clearly mired in last (50th) place, in fiscal health, and setting a new record each year. The adverb is the clue that I was not making a legal claim, but an observation more like, “If Illinois were not a state, we’d have declared bankruptcy by now.” Four years ago, The Economist carried a piece about Illinois’s pension liabilities entitled “America’s Greece?” that concluded, “In 2015 Illinois will either sink further into a Greek-style morass of debt or start its long-delayed rehabilitation.”

* People usually point to the state’s horrific unfunded pension liabilities when they discuss state finances. For instance, here’s the Tribune editorial board…

First, the awful numbers: For several years we’ve cited the figure of $130 billion to represent Illinois’ estimated unfunded pension liability. Never mind that number, it was $133 billion as of June 2018 — and it’s getting worse — according to a new state report. The Commission on Government Forecasting and Accountability estimates the shortfall in commitments to future retirees will deepen to nearly $137 billion in the current July-to-June year, and to $139 billion in fiscal 2020.

Unfunded liabilities did, indeed, increase and will increase next fiscal year as well.

* COGFA explains…

At the end of FY 2017, the aggregate unfunded liability based on the actuarial value of assets was $128.860 billion. The unfunded liability based on the actuarial value of assets stood at $133.683 billion as of the end of FY 2018. It grew by $4.823 billion during FY 2018, an increase of 3.7% over FY 2017. The primary reason for the increase was, again, actuarially insufficient State contributions, which increased the unfunded liability by $3.187 billion, accounting for 66.1% of the total increase.

There were two more factors that worsened the unfunded liability. One was an actuarial loss that resulted from unfavorable experience from demographic and other factors, largely due to TRS’ unfavorable retirement experience. This brought the combined unfunded liability up by $1.603 billion. The other factor was the cumulative effect of the change in assumptions, which increased the unfunded liability by $1.245 billion. It is worth noting that SURS was the only system that generated a loss by altering actuarial assumptions, although the other four systems also changed their actuarial assumptions in their 2018 actuarial valuations. This means TRS, SERS, JRS, and GARS realized gains by changing their actuarial assumptions, but these gains were eroded mainly by the impact of SURS’ reduced investment assumption rate from 7.25% to 6.75%. However, actuarial gains from three components helped lessen the effect of actuarial losses; lower-than-expected salary increases, higher-than-expected investment returns and an estimated gain from TRS due to the new pension buyout plans decreased the unfunded liability by $342 million, $489 million, and $381 million, respectively.

* Again, that unfunded liability is such a huge number that it simply boggles the mind. And, under the current “ramp” law, it’s gonna get bigger and therefore scarier over the coming years. From page 13 of the most recent COGFA pension report…

Click the pic if you’re having trouble seeing it.

From the current fiscal year through FY2028, when unfunded liabilities finally start trending downward, the state’s annual pension payments are projected to increase a total of $2.976 billion, or an average of about $300 million a year. That’s definitely not ideal, but it’s mostly manageable.

And the state is getting a break starting next fiscal year when its $1 billion annual payment on Gov. Quinn’s pension bond finally expires. That money could and should be put right back into the system, aside from the ramp.

However, there could be further changes in actuarial assumptions, which could drive these projected annual costs even higher. That’s happened often over the past several years.

In the 13 years starting in FY28, the back-loaded ramp will require total annual state pension payments to increase by $5.4 billion, or about $415 million a year. And, again, we don’t know what actuarial adjustments will be made. Annual payment increases continue to be pretty high every year through 2045, which is gonna have to be addressed.

* Speaking of the ramp, this COGFA chart from 2015 gives us a really good view of its back-loaded nature…

Whew.

posted by Rich Miller
Wednesday, Dec 12, 18 @ 11:45 am

Comments

So, you’re telling me there’s a chance!

Comment by Anonimity Wednesday, Dec 12, 18 @ 11:52 am
===“If Illinois were not a state, we’d have declared bankruptcy by now.”====
I say bs to that statement. And if we did the first thing a bankruptcy judge would say is “have you explored all possible revenue sources?” They would also ask what are assets are and their value. I would think selling off a few state parks, the capitol building, Thompson center and a bunch of highways could come close to covering the nut.
Definitely not an ideal scenario and not one I would want to see happen. I don’t have the answer but I think we are still a ways off from being your usual bankruptcy client.

Comment by Been There Wednesday, Dec 12, 18 @ 11:56 am
mmmmm…. Maybe I will go with Uncle Bruce and Aunt D to Italy

Comment by NotRich Wednesday, Dec 12, 18 @ 11:56 am
As I pointed out on one post yesterday, the largest bunch of Tier 1 retirees will start dying off. The 2002 ERI bunch will be mostly gone by 2035 assuming a life expectancy of 83. As all of us fade away, the liability gradually goes down.

You just have to keep kicking the can until we all croak. 😉

Comment by RNUG Wednesday, Dec 12, 18 @ 12:00 pm
Yep, In bad bad shape.
So I ask why are we not independently audited the
EDGE grant recipients
The Enterprize Zone recipients
And clawing back hundreds of millions
given in corporate welfare
When the state obviously got very little for it.
Caterpillar, Sears, Rivian
There has never been an independent audit of the program.
I know it’s a drop in the bucket of what we need.
But if every dollar coming in counts
Well this is a start.

Comment by Honeybear Wednesday, Dec 12, 18 @ 12:04 pm
I know this is crazy talk, but pension costs are driven primarily by salaries at the end of career, particularly for management. Holding the line on salary increases for senior management nearing retirement would go a long way, and that’s within our power. Very few senior staff are going to quit because they don’t get the extra 5-8% boost in year 26, but that 5-8% boost is most of what is killing us.

Comment by statehoss Wednesday, Dec 12, 18 @ 12:05 pm
== And if we did the first thing a bankruptcy judge would say is “have you explored all possible revenue sources?” ==

I think the IL SC expressed similar thoughts in response to the attempted “police powers” claim in the rejected SB-1.

Comment by RNUG Wednesday, Dec 12, 18 @ 12:06 pm
The correct legal term is “insolvent “

Comment by Suethe Wednesday, Dec 12, 18 @ 12:11 pm
–It is, I grant, a somewhat careless or hyperbolic phrase…–

And that’s why you’re on Speed-Dial-A-Quote, professor: to give cred to careless and hyperbolic thoughts.

But you knew that already.

Comment by wordslinger Wednesday, Dec 12, 18 @ 12:12 pm
Look at all that money Edgar borrowed from (fill-in every governor between 1999-2045 here).

Comment by City Zen Wednesday, Dec 12, 18 @ 12:12 pm
For RNUG- you keep referring to the eventual demise of tier 1 annuitants- the world Robles is the retiree population of Tier 1 is continuing to increase and won’t decline for decades. Do you have any idea as to the payroll cost of Tier 1 when it reaches its peak. I don’t know myself other then to venture a guess at some staggering number which in 20 years out could be like 20 billion a year and be payable at that level and higher for years

Comment by Sue Wednesday, Dec 12, 18 @ 12:16 pm
Wordslinger, once again for the win.

Comment by Generic Drone Wednesday, Dec 12, 18 @ 12:16 pm
The problem is - sorry

Comment by Sue Wednesday, Dec 12, 18 @ 12:17 pm
Looking at the difference in funded ratios in the first picture also shows the back loading. From 2022-2027, the ratio improves 0.9% each year, for 28 and 29 1%, 30 and 31 1.1%, then in 32 its 1.2% and then we start taking off, 34 has a 1.7% increase, then 1.9%,2.1%,2.2%, 2.4%,2.7%, then in 2040 2.6%,3.3%,3.5%,4%,4.3%, and in 2045 a 4.7% increase.

It’s insane that the plan is to go further into debt for the next decade (and last several decades), and then start paying it off in the last 17 years out of a 50 year ramp. Insane.

Comment by Perrid Wednesday, Dec 12, 18 @ 12:17 pm
Been in Springpatch for a long time.. RNUG’s “expecting a large group of Tier 1’s to kick the bucket soon” is a debate I REALLY want to hear in both chambers on the 3rd floor…

Comment by NotRich Wednesday, Dec 12, 18 @ 12:19 pm
I would strongly encourage people to go take a look at the state’s annual financial report. Read pages 18-29. You will then understand why financial people consider the state to be bankrupt, as they have to use real accounting in this report, as opposed to the budget gimmicks the governor and legislature use. General Fund deficits for the last ten years have ranged between $4 billion and $14 billion, EACH YEAR.

https://illinoiscomptroller.gov/financial-data/find-a-report/comprehensive-reporting/comprehensive-annual-financial-report-cafr/fiscal-year-2017/

Comment by Smalls Wednesday, Dec 12, 18 @ 12:25 pm
We will need all legal avenues to solve this problem, but it is not insurmountable. These include but are not limited to
-tax increases
-broadening of sales and income tax bases including retirement income
-better delivery of services and use of GRF funds, including eliminating pinstripe patronage and other pork
-freezing or reducing salary increases to the extent possible by contract
-new revenue from gambling and cannabis
-reamortizing and extending the timeline for achieving 90% funding.

Anyone who thinks one or two of these options is sufficient has not come to grips with the reality of the situation. There will be no magic wand or savior, only hard choices and a long slog.

Comment by Jibba Wednesday, Dec 12, 18 @ 12:26 pm
Jubba- I guess the AFSMCE hasn’t come to grips with the problem given the Union’s contract demands. So much for thinking the public unions want to be part of any solution

Comment by Sue Wednesday, Dec 12, 18 @ 12:30 pm
Requests for comment from a CBA professor were not immediately returned.

Comment by Worth It Wednesday, Dec 12, 18 @ 12:31 pm
Taking Professor Dial-A-Quotes “scholarship,” virtually every country on Planet Earth is, and always has been, “effectively bankrupt.”

Feel free to check the “unfunded liability” or public debt for the country of your choice on the innertubes.

Yet somehow, the masses seem to muddle through another day, day after day.

Comment by wordslinger Wednesday, Dec 12, 18 @ 12:31 pm
=“If Illinois were not a state, we’d have declared bankruptcy by now.”=

And if a gas station didn’t sell gas there would be no reason for it to exist.

This idea that we have to continue to equate government to private enterprises is well worn and plays to the lowest common denominator. There is no comparison.

Comment by Pundent Wednesday, Dec 12, 18 @ 12:33 pm
Sue, last I heard the union said they were still willing to negotiate on most issues. They didn’t want more pinstripe patronage deals to take away their jobs with no oversight, and they didn’t want an all at once DOUBLING of their healthcare costs.

You’re putting some words in their mouth with your statement. The union is going to be an obstacle, because it’s their job to defend their members, but pointing at them as THE problem is disingenuous at best.

Comment by Perrid Wednesday, Dec 12, 18 @ 12:34 pm
No problem at all - voters overwhelmingly chose a Governor-Elect whose central campaign theme was to raise taxes. So get on it, start jacking them up and give the voters what they asked for. Personally, I would wish the new taxes were borne primarily by those who voted for them, but don’t know how you would apply that. But let’s get that economic pain cranked up to the max., and pay down the debt earlier than the COFGA chart implies, such that the people who are benefitting most from the system pay the most into the system. 01 January is coming quickly, I’d like to see a starting plan by Pritzker by 31 Jan., so the Legislature can modify and approve it in the next session.

Comment by Stuntman Bob's Brother Wednesday, Dec 12, 18 @ 12:35 pm
Having lunch.should I have the mega fries and skip the lipitor ? I.E croak solution..

Comment by Anotherretiree Wednesday, Dec 12, 18 @ 12:36 pm
Sue, I would say that many groups have not come to terms, and I would not exclude AFSCME. However, Rauner did not negotiate with them in order to achieve an agreement. He negotiated to fail and bust.

If AFSCME keeps healthcares insurance affordable, staff are increased, and outsourcing limited or ended, perhaps they can give on raises to the greatest extent possible.

Every group in Illinois will need to be hit, and in doing so perhaps no one will be totally knocked out. JB’s best move is to open the books to get buy in from all sides.

Comment by Jibba Wednesday, Dec 12, 18 @ 12:38 pm
Sue- what are those demands? enlighten me

Comment by theq Wednesday, Dec 12, 18 @ 12:40 pm
Life expectancy in the US is 78.7, not 83. You were thinking of Canada maybe?

Comment by Anonymous Wednesday, Dec 12, 18 @ 12:41 pm
All those Pritzker promises on education, health care, infrastructure and whatever else he pledged to do are never going to happen.

The next recession is going to expose the charade that’s been happening for decades and any available resources will be used to payoff debt. You think bad deals were cut in 2009 or 2011. Wait till Pritzker and Co. are forced to invent a Tier III or some other zany idea.

Comment by Ole General Wednesday, Dec 12, 18 @ 12:41 pm
=I guess the AFSMCE hasn’t come to grips with the problem given the Union’s contract demands. So much for thinking the public unions want to be part of any solution.=

Not to speak on behalf of AFSCME, but I think they, and their members, are keenly aware of the fact that the State has not held up its end of the pension bargain. Exactly why is this AFSCME’s “problem” to solve? Are you suggesting that they were somehow responsible for shorting the pension fund?

Comment by Pundent Wednesday, Dec 12, 18 @ 12:43 pm
-You just have to keep kicking the can until we all croak. 😉-

I’d also like to point out that the stress levels the Tier II folks are under will probably kill us faster.

Comment by Honeybear Wednesday, Dec 12, 18 @ 12:43 pm
===are never going to happen===

$300 million a year payment increases still leave revenue room for some other stuff.

Comment by Rich Miller Wednesday, Dec 12, 18 @ 12:44 pm
Has anyone given any thought that it maybe state employees were treated with some dignity and respect they might not retire so early.

When your constantly beat and berrated. And given no contracts and raises. Why wouldn’t they retire and get free health care. No income tax and a 3% raise

Why not look at it like let’s keep them working. Delays the length of time of collecting pension. Will be paying income tax and will be paying towards their care

Comment by Nick Wednesday, Dec 12, 18 @ 12:46 pm
With every pension check send out a carton of cigarettes and case of Ripple and remove seat belts.

Comment by DuPage Saint Wednesday, Dec 12, 18 @ 12:48 pm
Hat-tip to Jibba for the boring-sane-true analysis. I’d suggest though that it’s not so much AFSCME doesn’t see the problem as they understand their power - I’d expect nothing more than token concessions from them.

Comment by lake county democrat Wednesday, Dec 12, 18 @ 12:49 pm
Pundent- explain how to date the State hasn’t kept up its end of the pension deal. Who has ever missed a payment. There is not any minimum contribution imposed by law so it’s within the discretion of the legislature. Total mismanagement yes- but no annuitant has ever not received their lawfully required payment

Comment by Sue Wednesday, Dec 12, 18 @ 12:54 pm
Bankruptcy is more of a cash flow problem than a liability problem. You can buy a million dollar house on income of 100k and no assets. But as long as you can make the mortgage payments on time, you aren’t bankrupt.

Comment by A Jack Wednesday, Dec 12, 18 @ 12:56 pm
==Life expectancy in the US is 78.7, not 83. You were thinking of Canada maybe?==

Your number is likely “at birth”. Since there are no current Tier 1 members who drowned at age 10 or died in a car wreck at age 25, their life expectancy is considerably higher.

Overall life expectancy varies greatly by gender, age, race, and economic class. And your “individual” life expectancy is further affected by lifestyle risks (occupation, hobbies), health habits (weight management, preventive care, smoking, drinking), and the always-present elephant in the room - genetics / family history.

Like RNUG, the actuarial charts say that half of the folks of my age, race, etc. will die before age 83, and half will die after, which, incidentally, makes it very difficult to manage your own retirement finances via a 401k. Bottom line, your mileage may vary.

Comment by Stuntman Bob's Brother Wednesday, Dec 12, 18 @ 12:56 pm
==“The state, however, is in dreadful fiscal condition, effectively bankrupt,”==

The same argument could be said for the US, but we somehow “found” 13 trillion dollars to stabilize our markets in 2008.

Comment by Jocko Wednesday, Dec 12, 18 @ 1:03 pm
Thanks LCD. As to your point, you may be right that they know their power. That is why all of this needs to be proposed/moved together. You must show that all are taking a hit for the common good, and that no one is taking an inordinate hit.

This is also how we will know if JB is serious about being a good and effective governor, or whether he is simply going to be a partisan hack who leaves the state worse off (see previous governor). Can he ask for sacrifices from all and obtain them? A person could become beloved by showing leadership and fairness in hard times. You’d think a politician might like that, eh?

Comment by Jibba Wednesday, Dec 12, 18 @ 1:04 pm
Jocco- can’t compare Illinois to the US. The feds have unlimited borrowing ability at really low rates and let’s not forget there is no such thing as Illinois dollars. The treasury prints currency- Illinois doesn’t have that luxury

Comment by Sue Wednesday, Dec 12, 18 @ 1:07 pm
==Life expectancy in the US is 78.7, not 83. You were thinking of Canada maybe?==

For better or worse, I picked a current age that is a reasonable assumption of the mix. The life expectancy tables have some interesting twists and the best you can do is make a reasonable guess. I tend to lean conservative on.figuring numbers.

If you want to use 78, fine. That means the group I was referring to is gone 5 years earlier … which would be better for the pension funds.

Comment by RNUG Wednesday, Dec 12, 18 @ 1:09 pm
I’m happy to see that Rich and others haven’t forgotten the roughly $1 billion a year no longer needed once the 2011 pension notes are paid off. When I wrote my pension stabilization plan back in 2012, I found that using those funds to augment the state’s other payments had the effect of lowering the top of the ramp, reducing some of the state’s pension payments in the near term, or reach 100% funding by 2045 (instead of 90%).

For those who are interested, there’s another big chunk available when the Blagojevich pension bonds are paid off in 2033. I assumed transferring those payments to the pension systems into my 2012 plan as well.

Comment by State Rep Mike Fortner Wednesday, Dec 12, 18 @ 1:14 pm
Afscme tried years back to get the state to fund the pensions but the legislature wanted to spend elsewhere and worry about pensions later. Later is here. Don’t blame Afscme, blame politicians.

Comment by Just saying Wednesday, Dec 12, 18 @ 1:15 pm
“You just have to keep kicking the can until we all croak. 😉”

In other words: Plan A.

– MrJM

Comment by @misterjayem Wednesday, Dec 12, 18 @ 1:25 pm
== Afscme tried years back to get the state to fund the pensions but the legislature wanted to spend elsewhere and worry about pensions later. ==

The first time was for FY75, and IFT was the lead plaintiff with the other unions joining in. That led to the 1975 IL SC decision that effectively said the Ststd (aka GA) could fund (or not fund) the pensions in any manner the State saw fit, but the State was on the hook to pay the actual pension checks when due.

Comment by RNUG Wednesday, Dec 12, 18 @ 1:25 pm
@- Anonymous - Wednesday, Dec 12, 18 @ 12:41 pm:

===Life expectancy in the US is 78.7, not 83. You were thinking of Canada maybe?===

The life expectancy goes up somewhat when people get older? It was explained to me that life expectancy at birth counts in every death from all causes. Infant deaths, diseases, car accidents, homicides, suicides, overdoses, everything. If someone lives through all that to age 65, going forward they have an average life expectancy of 83 years or so.

Comment by DuPage Wednesday, Dec 12, 18 @ 1:26 pm
As many informed people know, states can’t declare bankruptcy. So, it’s a question of when the bond market loses confidence in Illinois. When there’s not enough demand for Illinois debt , changes will have to be made. Also, those who usually extend credit to Illinois might refuse to be a vendor fearing they can’t get paid.

Comment by Steve Wednesday, Dec 12, 18 @ 1:28 pm
Sue- I really resent your constant attempts to make loyal public servant- the problem.
I can tell you’re not in management because no even halfway decent manager would do what you daily- blame workers and employees.
Stop, just stop.
Your hatred of organized public employees
has approached unhealthy levels and betrays your
privilege
and
elitism
You have not had to put downpayments on dental work because your dentist hasn’t been paid by your insurance company.
You haven’t had wages illegally withheld from your paycheck. For me it’s now over 20k.
You haven’t had to work in an environment where your most veteran workers are being chased off and no replacements come in. My customer to caseworker ratio is 812 to 1.
Yet you in your malignant callousness
pound away at us
and perfidiously try to blame us for the problem.
Government must have a competent, loyal, dedicated workforce
to execute policy, statute and law.
Government isn’t just politicians and judges
It’s caseworkers, inspectors, its secretaries
Tax specialists, managers, administrators
Thousands hold this state together
Thousands paid for Rauners Malum in se.
Stop attacking the good people of this state
Who work for this state.

We as a state need to be holding those people up
as the ones who quite literally held everything together during the years of Rauner.

It’s why I suggested that Rich add a Golden Horseshoe award for Illinois State Worker. Sure I get that it might not get many nominations. But you know what? Maybe you’d start thinking about the fact that you don’t know any State Workers. Maybe you should meet one. Just sayin. Maybe even thank one for what they do for the state. Thousands of Stateworkers read this blog each day. I think you might be pleasantly surprised.

But Sue- Go bully someone else.

Comment by Honeybear Wednesday, Dec 12, 18 @ 1:43 pm
There are many Tier 1 workers in their 30’s and 40’s. This debacle will go on and on and on……….

Comment by Anonymous Wednesday, Dec 12, 18 @ 1:52 pm
==So much for thinking the public unions want to be part of any solution==

Boy Sue, in your world everything leads back to the unions. It’s anti-union all the time with you isn’t it? You sure you aren’t secretly the governor with your anti-union fervor?

As for the unions, no union doing their job would ever have agreed to the demands the Governor is making. He was asking for a lot of “giving up” and was offering nothing in return. What union in their right mind gives up something without getting something in return. That’s called negotiating. We’ll never know what could have happened because the Governor came into negotiations with a “take it or leave it” approach. Say, were you also part of the Governor’s negotiating team?

Comment by Demoralized Wednesday, Dec 12, 18 @ 1:56 pm
=When there’s not enough demand for Illinois debt , changes will have to be made.=

The buyers of bonds are smart guys and gals. They know that talk of “bankruptcy” is meaningless and only drives up yields. They’re happy to play along.

Comment by Pundent Wednesday, Dec 12, 18 @ 2:00 pm
===When there’s not enough demand for Illinois debt , changes will have to be made.===

I don’t think that demand is going anywhere anytime soon. Illinois debt is pretty safe. Bondholders are first in line for payment. The return on their investment is great.

The only people who think Illinois bonds are risky are those who continue to believe the conspiracy theory level bankruptcy nonsense.

Comment by Demoralized Wednesday, Dec 12, 18 @ 2:06 pm
Would love to be in the room when people explain the JB that every penny he can possibly try raising with new taxes is already spoken for because of the pension liabilities. Have to believe the actuarial studies will be worse given the market downturn thus forcing even bigger payments in FY 20

Comment by Sue Wednesday, Dec 12, 18 @ 2:14 pm
=When there’s not enough demand for Illinois debt , changes will have to be made.=

For crying out loud, they sell out in a matter of minutes and are exponentially oversubscribed.

Comment by wordslinger Wednesday, Dec 12, 18 @ 2:17 pm
Yet you in your malignant callousness pound away at us and perfidiously try to blame us for the problem.

Holy Cow, Honeybear — you’re on a rhetorical rampage. The way you dish it out, I never figured you’d have such a thin skin.

Comment by jim Wednesday, Dec 12, 18 @ 2:23 pm
Sue- I hate to interrupt your fantasy of JB, but the transition team is already hard at work mitigating the very thing you touch yourself fantasizing about.
Rauner made our economic crisis so much worse by
Wracking up insane debt
Not paying contractors
Attacking the state workforce
Not attracting any large companies to IL
Hollowing out state agencies
Destroying the private social service network
Starving higher education

Frankly, I fail to think of how Rauner could have made things worse.

Yes, we were screwed before.
Now thanks to Rauner we’re worse.
The transition team of some of our best minds
are under no illusions like
Rauners perfidious cabal of idealogues.

No matter what
It’s going to be a rough few decades
Rauner made it
so
much
worse

FACT

Comment by Honeybear Wednesday, Dec 12, 18 @ 2:32 pm
==you’re on a rhetorical rampage.==

If you had been viciously attacked for 4 years you might be a little bent out of shape as well.

Comment by Demoralized Wednesday, Dec 12, 18 @ 2:32 pm
Sorry Honey Rauner did nothing to harm pensions other then to make the required payments. The several hundreds of millions connected to Rauners budgets were actually just a delay in raising income rates by a year or two. Those monies were held on to by taxpayers. Don’t see how Rauner had much impact on what really counts - pensions. Nd retiree health care. Everything else is a rounding era. As for your raises- it’s too bad you had to wait but unfortunately you will be getting your $$

Comment by Sue Wednesday, Dec 12, 18 @ 2:48 pm
Jim, rampage is a good word. I’m own that. But have you ever had something stolen from you?
Rauner stole over 20k from me.
You bet I’m on a rampage.
My 18yo HAS to get the Navy ROTC scholarship she’s applying for. She has to choose a Navy ROTC school.
It’s not a want it’s a necessity. I can’t afford much at all.
I didn’t have the money to save, invest, so she could have a college fund.
I drive a beatup old minivan.
I live paycheck to paycheck.
I’m a union steward so I see the abuses of management all the time.
It’s not about having a thin skin
It’s about not taking it any more.
It’s about using my words to go after
the collaborators
the enablers
the complicit
to hold them accountable
and to shame
Yes, I’m going to be civility challenged.
I’m going to actively shame
I’m going to hit as hard as I can get away with
(fear not, Rich won’t let me hit below the belt)

But the truth of it is
That very very very few people
speak for those I do.

To quote Dr.Cornell West
“Let suffering speak, let victims be visible
and let social misery be put on the agenda of those in power.”

It’s why just last week I implored the JB transition team to include frontliners.
They didn’t and so they hired Hardick Bhatt
an apostacy if there ever was one.

Look, I get that I’m the warpath. And yes I know that anger and rage is not going to heal me.
But at this point
I don’t want peace
I want justice
I want accountability

Comment by Honeybear Wednesday, Dec 12, 18 @ 3:35 pm
Yeah that’s right Sue, stick to the abstract.
Hide within figures and abstractions.
You don’t have to feel for anyone there.
That’s one thing I’ve noticed about you, BVR and other Libertarian, anti-union, free market folks
You don’t feel
You are incapable it seems, of feeling.
No compassion
No empathy
Rauner parrots it by dressing up like a
biker or farmer.
But I have never, not once, ever
experienced him in word, deed or action
caring or feeling for another.
That is not just wrong to me
That is sick
It’s being sociopathic.
and as it turns out
being sociopathic isn’t a wise political strategy
So is that the path you want to emulate Sue?

You sure sound like that’s your path.

Comment by Honeybear Wednesday, Dec 12, 18 @ 4:09 pm
==but unfortunately you will be getting your $$==

Unfortunately? Seriously? You really are a piece of work Sue.

“I’m sorry, it’s unfortunate that you will be getting the funds you were contractually obligated to get.”

Your “unfortunate” comment takes your union bashing to a new low. And the fact that you say it’s “unfortunate” someone will be getting money says a lot about your morality.

Comment by Demoralized Wednesday, Dec 12, 18 @ 4:10 pm
So those big numbers are to reduce unfundeded liabilities. What are the unfunded liabilities for rest of the budget til 2045?

Comment by lost in the weeds Wednesday, Dec 12, 18 @ 4:23 pm
==Jocco- can’t compare Illinois to the US.== Yet Brian Gaines compared Illinois to Greece..

Comment by Anonymous Wednesday, Dec 12, 18 @ 4:55 pm
Demoralized- try reading sometime- my comments dealt with Union raises- not pensions. And under JB- he will be repaying his donors with huge union increases paid by taxpayers. And I do believe giving those raises will be unfortunate. so take a hike

Comment by Sue Wednesday, Dec 12, 18 @ 5:40 pm
–You will then understand why financial people consider the state to be bankrupt,…–

Financial people, like those institutional bondholders, who have been paid on time and in full, forever? Never a late payment, never a short payment? They consider the state “bankrupt?”

You’re struggling with the language. I imagine your community college offers remedial courses.

Comment by wordslinger Wednesday, Dec 12, 18 @ 5:57 pm
Sue:

You said “as for your raises it’s unfortunate you had to wait but unfortunately you’ll get your $$”

I said nothing about pensions in my comment. I understood you weren’t speaking of pensions. Your comment - since it refers to money due that wasn’t paid - indicated that you found it unfortunate that the money owed would be paid.

That attitude is just sad.

You seem to have an extreme amount of bitterness towards state employees. Your rabid anti-union, anti-state employee diatribes are beyond ridiculous and they are just sad.

So you take a hike.

Comment by Demoralized Wednesday, Dec 12, 18 @ 6:01 pm
Sue -
Your comments will attain credibility … when Rauner publicly identifies the agency with no computers because of “Af-scammy” …

Comment by Smitty Irving Wednesday, Dec 12, 18 @ 6:05 pm
Sue

To clarify - your comment sounds as if you are speaking about back pay owed

Comment by Demoralized Wednesday, Dec 12, 18 @ 6:09 pm
–And under JB- he will be repaying his donors with huge union increases paid by taxpayers.–

LOL, JB will be “repaying his donors?”

How many moons does your planet have?

Comment by wordslinger Wednesday, Dec 12, 18 @ 6:20 pm
I know many state employees who have retired. Some are well off. And some struggle day to day. Maybe If JB asks those who are well off if they could forgo there AAI for the good of the state

Comment by Blue Dog Dem Wednesday, Dec 12, 18 @ 8:07 pm
Sue,I wouldn’t care to be living your life of bitterness. Hope that one day you can let go of what and/or who brought you to this mind set. Wishing you may find some sort of peace in the coming year.

Comment by Anonymous Thursday, Dec 13, 18 @ 4:47 am
I’m 4:47 am

Comment by cc Thursday, Dec 13, 18 @ 4:49 am
Blue Dog Dem- So let me get this straight.
Loyal State workers should be shamed into giving up what they contractually earned, when EDGE grant corporate tax forgiveness, indeed corporate welfare, which they don’t need and by all accounts did not earn, is allowed to continue.
I dare you
Go to the DCEO website
https://www2.illinois.gov/dceo/AboutDCEO/Pages/Legislation.aspx
Now take a gander at the corporate welfare,
we are NOT allowing to be sent to the state.
We’re not giving them that money.
We are forgiving companies like Sears and Caterpillar from sending Illinois what it’s owed.
Hundreds of millions
Now to complete my point
Go to your nearest
DHS Family Community Resource Center
Explain to them the cuts
the slashing of Medicaid
that they have to endure
So that a company doesn’t have to
remit withholding on employees
They get to keep it.

Comment by Honeybear Thursday, Dec 13, 18 @ 8:53 am
For all the hand wringing about pension payments growing out of control, the inflation-adjusted payments are remarkably stable from here on. There is a 6% increase in 2020 and an 8% increase in 2034, likely due to increased payments as the POB are paid off, but otherwise the annual increase is almost always less than 1% after inflation.

In other words, we are already over the worst of the ramp, and we are hanging in there. We are just about at the halfway mark. We just need to keep up it up and we will have solved the problem that has thwarted the state for over 100 years. And if we increase revenue through cannabis, progressive tax, service tax, etc, all that money can go towards paying down debts, education, infrastructure, children services, or any other priority.

Comment by thechampaignlife Thursday, Dec 13, 18 @ 9:07 am