On June 17, 2015 the Chicago City Council approved the largest borrowing of Mayor Rahm Emanuel’s tenure, totaling $1.1 billion. The issuance pays for the current costs of refinancing the City of Chicago’s variable rate debt, ending its outstanding swaps, extending the life of other long-term bonds and paying for a variety of judgements and settlements. Newly appointed Chief Financial Officer Carole Brown presented the Mayor’s debt restructuring plan to the Finance Committee on June 15, 2015.…
The Illinois General Assembly has approved a $36.3 billion general operating budget for the upcoming fiscal year with an acknowledged shortfall of at least $3.0 billion in revenues. The package of approximately 20 appropriation bills and other budget-related legislation was passed during the last week in May, at the end of the legislature’s regular spring session. But amid an impasse with Governor Bruce Rauner, the General Assembly has not officially transmitted the FY2016 budget to the…
This editorial discusses the $1.1 billion deficit Chicago Public Schools is facing and the decisions the District will need to make before the fall school year begins. It cites the Civic Federation’s FY2012 analysis of the CPS budget, which warned that the District would face enormous budget shortfalls in future years if it did not move quickly to implement a long-term financial plan.
This article covers the tough financial choices Chicago Public Schools is facing coming into the fall 2015 school year, including a $634 million pension payment. The Civic Federation discussed the District’s difficult options: severe budget cuts in order to make the payment, skipping the pension payment and violating the law, or seeking an emergency fix from the Illinois General Assembly.
This article discusses Mayor Emanuel’s plan to tackle a sharp increase in required payments to the City’s pension funds next year, based on a 2010 law aimed at bringing the City’s Police and Fire pension funds back to 90 percent funded by 2040. The Civic Federation said the law’s 25-year funding plan was a political construct and not tied to any actuarial analysis.
This article discusses the FY2016 Recommended Budget Analysis released by the Institute for Illinois’ Fiscal Sustainability at the Civic Federation. The Civic Federation opposed the budget because the analysis found that certain spending reductions are either unrealistic or inconsistent with the State’s long-term financial goals.
This article covers an analysis released on the Governor’s FY2016 Recommended Budget by the Civic Federation’s Institute for Illinois’ Fiscal Sustainability. The analysis found that while the budget closes a $6.2 billion gap on paper, it relies heavily on projected savings that do not appear to be achievable.
This article covers the FY2016 Recommended Budget Analysis released by the Civic Federation’s Institute for Illinois’ Fiscal Sustainability on May 7. The analysis found that certain projected savings included in the budget are dependent on changes in State law and are likely unachievable within the timeframe of the fiscal year that begins July 1, 2015.
This segment reports on recent proposals for a casino in the City of Chicago intended to generate revenue for the City, primarily to pay down unfunded pension liabilities. The Civic Federation said it is unclear how much revenue a new casino could generate, but it is unlikely it would be enough to solve the City’s financial problems.
This article looks at the growth of CountyCare, Cook County’s initiative to provide Medicaid coverage for low-income adult patients who are currently uninsured. The Civic Federation said the expansion of CountyCare and the resulting increase in insured patients and revenue has transformed the Cook County Health and Hospital System’s financial position.
