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IPPFA wants to spend $480K on lobbyists to stop Pritzker consolidation

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Illinois

Money managers who invest retirement savings for 649 local police and fire pension funds in cities and towns across the state are mounting a fundraising effort to try and defeat Governor J.B. Pritzker’s proposal to consolidate their smaller funds into two combined funds.

According to an email leaked to WCIA, a former board member at the Illinois Public Pension Fund Association (IPPFA) is working to raise nearly half a million dollars to hire lobbyists to kill the pension proposal during the fall veto session at the statehouse.

“The retention of two or three lobbyist (sic) would be beneficial,” the email said, adding that the estimated “costs for a 12-month engagement would be approximately $480,000.”

Retired Addison police detective Dave Wall sent the fundraising email out to other IPPFA members and investment fund managers with a deadline for them to respond with a commitment to spend on lobbying by this Friday.

Unless the leaders slow it down, I’m kinda thinking they may not need any lobsters after veto session ends in less than a month.

posted by Rich Miller
Thursday, Oct 17, 19 @ 4:33 pm

Comments

Doesn’t Kasper lobby for IPPFA? Sweet gig, if you can get it.

Comment by Da Lobsta Thursday, Oct 17, 19 @ 4:41 pm
3 Contractual lobbyists for $480k seems a little steep. Or I need a new line of work.

Comment by Centennial Thursday, Oct 17, 19 @ 4:57 pm
at that price those one-pagers better be color printed

Comment by tildef Thursday, Oct 17, 19 @ 5:06 pm
No one ever asks for IMRF to be returned to the local governments… there’s a reason for that. Emulate IMRF with police and fire and let’s move on. Kudos to the Governor for finally taking action on what a lot of mayors and managers have been wanting done for years. A lot of retired police and fire will miss the Grand Geneva junket, but let’s do what is best for all please. I know that’s a new concept in this State.

Comment by Shemp Thursday, Oct 17, 19 @ 5:24 pm
It’s not a done deal. The report was short on detail, and the projected earnings are overly-optimistic. Finally, those trustees are all over this state, they are usually politically active and will be talking to their members.

Comment by Nova Thursday, Oct 17, 19 @ 5:45 pm
Numbers are way to overly optimistic.

IML sold mayors and village managers a bill of goods that isn’t going to come true.

If investment options for Article 3 and 4 were opened and similar to that IMRF, along with the intercept capability (which just became available a couple of years ago for Article 3 and 4 funds) to prevent underfunding, Article 3 and 4 funds would be in similar and way better shape to IMRF.

Comment by Stas Thursday, Oct 17, 19 @ 5:54 pm
== Doesn’t Kasper lobby for IPPFA?==

Doesn’t Kasper lobby for just about everyone? Not to mention the election stuff he get some nice fees for.

Comment by Labour Thursday, Oct 17, 19 @ 6:37 pm
Not a big Pritzker fan here, but consolidation makes infinite sense. My wife receives a teacher’s pension and having some local yokel managing the fund would mean absolutely nothing to either of us. Investment size means everything and eliminating all these local managers is a no brainer.

Get it done

Comment by Illinifan Thursday, Oct 17, 19 @ 6:47 pm
Brown seems to indicate a preference for an agreed bill in the piece.

Comment by Not for Nothing Thursday, Oct 17, 19 @ 7:32 pm
Two questions for the IPPFA
1. What percentage of your money managers are fiduciaries vs. broker-dealers (whose primary allegiance leans toward the firm or themselves)?
2.How much do your money managers make on carried interest fees?

Comment by Jocko Friday, Oct 18, 19 @ 9:35 am
$480,000 divided by three = $160,000 per lobbyist. No wonder so many legislators make a beeline for the rail.

Comment by anon2 Friday, Oct 18, 19 @ 10:15 am
Community bankers will also fight this hard. A lot of small town funds are invested through their local banks, probably earns them a lot in fees

Comment by Lester Holt’s Mustache Friday, Oct 18, 19 @ 10:26 am
“We have to protect our phoney-baloney jobs here, gentlemen‼” — Governor William J. Le Petomane, Blazing Saddles (1974)

– MrJM

Comment by @misterjayem Friday, Oct 18, 19 @ 10:45 am