This editorial discusses a proposed amendment to the Illinois constitution that would restrict the State of Illinois in how it uses transportation-related revenues. The editorial board urges Illinoisans to vote ‘no’ on the provision. Civic Federation President Laurence Msall is cited, noting that maintaining safe roads is not by default more important than maintaining safe schools, higher education, social services or providing a reasonable payment schedule to the State’s creditors.
This article examines a proposed constitutional amendment that would prevent the State of Illinois from diverting transportation funds for other uses and discusses the potential consequences it could have. Laurence Msall, President of the Civic Federation, remarks that the proposed amendment wouldn’t guarantee adequate future transportation funding and would further hinder Illinois lawmakers in addressing the State’s ongoing budget impasse.
Following Mayor Rahm Emanuel’s FY2017 budget address, Civic Federation President Laurence Msall spoke with a pool of reporters about the finances of both the City of Chicago and Chicago Public Schools. He called the Mayor’s proposed budget “good news” for the City but cautioned that Chicago is not out of the woods yet. Msall also called for more details on how the recently signed teachers’ contract would be funded. ----- City of Chicago Finances DNA Info: Rahm Expands…
This article reports on a tentative contract deal reached between the Chicago Public Schools and the Chicago Teachers Union. Civic Federation President Laurence Msall notes that CPS should not rely on TIF surplus funds, because they are not enough to close the deficit that Chicago Public Schools faces, among other reasons.
This article discusses a proposed constitutional amendment on the November 2016 ballot that would prevent the State of Illinois from diverting transportation funds for other uses. Civic Federation President Laurence Msall explains that transportation funding is part of an overall state budget and should be treated as such. The article also references a recent Civic Federation blog post on transportation diversions. Related: October 24, 2016: Critics: Transportation ‘lockbox’ amendment…
This segment references two Civic Federation blog posts (here and here) and discusses the damage done to the State of Illinois as it continues to operate without a complete budget. Laurence Msall, President of the Civic Federation, notes that Illinois’ stopgap spending plan is not really a budget and that without a comprehensive plan, Illinois is spending more money than it has available.
This article discusses how recent changes to expected rates of return and other factors for several of the State of Illinois’ pension funds are increasing pressure on the State to address reforms. Civic Federation President Laurence Msall notes that Illinois needs to explore all of its options, including a constitutional amendment that would clarify that the State’s pension protection clause applies only to accrued benefits and not future benefits.
This article analyzes the connection between pension debt and major tax increases among selected U.S. states and municipalities. Civic Federation President Laurence Msall notes that the percentage of state source revenue going to Illinois pensions and related debt is far in excess of well-run states and says that it will be difficult for Illinois to stabilize its finances without additional revenue.
Decisions by two of the largest State of Illinois pension funds to reduce their expected rates of return on investment have garnered headlines, but they were not the only funds to change their assumptions recently. On May 11, 2016, the Retirement Board for the Firemen’s Annuity and Benefit Fund of Chicago voted to reduce the expected rate of return on investment for the fund to 7.5% from 8.0%, in addition to changes to the inflation and wage inflation assumptions. Together the changes…
Recent decisions by two of the largest State of Illinois retirement systems are expected to result in significant increases to statutorily required pension contributions in the upcoming budget year. This blog post discusses the decisions and their potential impact on the State budget. Changes in Actuarial Assumptions The Boards of Trustees of the Teachers’ Retirement System (TRS) and the State Employees’ Retirement System (SERS) recently voted to revise assumptions that affect the estimated…
