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  #461  
Old 10-21-2019, 11:20 AM
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https://www.chicagotribune.com/opini...a4q-story.html



Quote:
Letters: Mayor Lori Lightfoot should seek bankruptcy authority
Spoiler:
Mayor Lori Lightfoot was asked during her appearance at the Humanities Festival last week: “Richard Porter suggested in the Chicago Tribune that the city might be better off filing for bankruptcy. Can you tell me if that is something you’re thinking about?” Lightfoot replied: “That can’t be done legally."

Lightfoot is correct: The legislature in Springfield needs to pass a law to authorize municipal bankruptcies. Lawmakers need to pass a law; that’s what lawmakers do.


Indeed, Democrats just passed 591 laws; Lightfoot needs her friends in Springfield to pass one more. She doesn’t need help from President Donald Trump, Senate Majority Leader Mitch McConnell or any Republicans; there’s no gridlock preventing this from happening.

Not that restructuring Chicago will be easy, but getting the issue on the table isn’t hard. Lightfoot could give a speech or call Gov. J.B. Pritzker and say, “Governor, I can’t in good conscience raise taxes on the people of Chicago; they are taxed too much already. We need to fix our finances and reduce our debt, so we need to authorize municipal bankruptcy.”


She could even include language for the bill, which isn’t complicated: “Illinois municipalities are hereby authorized to be debtors and reorganize debts under Chapter 9, Title 11 of the United States Code.”


Let’s discuss the pros and cons of raising taxes versus cutting debts and modifying pensions in bankruptcy. Will Chicago be a better place with higher taxes or with affordable pensions and less debt?

Tribune readers know: The city’s debt has increased by $7 billion since 2015, despite recent tax hikes; Illinois is the least tax-friendly state in the Union; the exodus from Chicago and Illinois is underway; as population falls, so do property values, which undermines retirement savings for most Illinoisans; and increasing debt on a declining population scares away employers and decreases opportunities.

If you think taxes are high enough and it’s time to fix Chicago’s finances, you need to speak up. Keep after the mayor!

And if any lawmaker says, “We can’t — bankruptcy is against the law," please point out that lawmakers are supposed to make laws to help people, and the people of Chicago need help now.

— Richard Porter,


Illinois national committeeman, Republican National Committee, Northfield


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  #462  
Old 10-23-2019, 06:50 AM
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https://fixedincome.fidelity.com/ftg..._110.1#new_tab

Quote:
Chicago to pocket $200 million in upfront refunding savings
Spoiler:
Chicago Mayor Lori Lightfoot will make a dent in the $800 million budget gap by booking $200 million in upfront savings from a $1.3 billion refinancing.

The city will refund callable general obligation and motor fuel tax bonds with a mix of bonds backed by its general obligation credit and by its higher-rated Sales Tax Securitization Corp.


The deal represents a one-shot, so it won’t help solve the city’s structural budget woes, but Chief Financial Officer Jennie Huang Bennett is stressing that 60% of the measures Lightfoot will propose Wednesday to wipe out the $800 million gap will come in the form of recurring solutions.

Bennett said the finance team has had discussions with the rating agencies and is hopeful analysts and the buy side will find the mix of fixes palatable.

Bennett is also hoping the market views favorably the city’s decision to forgo any pension obligation bonding or to backtrack on the elimination in recent years of scoop-and-toss debt restructuring or borrowing for settlements and judgments.

They are frowned upon practices begun by former Mayor Richard M. Daley and continued by Lightfoot’s predecessor, Rahm Emanuel, who then eliminated them in his final term.

In discussions with investors and rating agencies, “there is not an expectation that we would address the budget gap with all structural solutions” given the deficit’s size, Bennett said in a phone interview with the financial press after the debt restructuring details were announced Monday.

“This is one of the one-time measures we are using as part of the budget” that will address 2020 challenges and help the city “get to a structurally balanced budget” in the coming years, Bennett said.

While the bonds could sell as soon as December, the city is still hashing out details on the finance team that is expected to include a majority participation of minority-owned firms, the number of sales since the refundings will involve two credits, and the amount under each credit.

The administration will include authorization to establish an STSC junior lien as part of the budget package Lightfoot will unveil Wednesday in a City Council address. The city has nearly exhausted an up to $3 billion authorization approved in 2017.

The Emanuel administration heralded the STSC structure, engineered by then-CFO Carole Brown, as a means to achieve $700 million in savings over its first five years in addition to long-term present value savings.

The city sought state legislation allowing for home rule units to securitize revenues that flow through the state to achieve refunding savings by bypassing the city’s weaker GO ratings that range from junk to the single-A category.

The corporation, a bankruptcy-remote entity that is insulated from city financial woes, won triple-A ratings from Fitch Ratings and Kroll Bond Rating Agency. S&P Global Ratings initially rated the securitization structure AA but dropped it to AA-minus last year after a methodology change on priority lien debt.
Bennett believes a subordinate lien might not necessarily result in lower ratings.

Strong legal protections that guard against state interference are built into the structure as well as sturdy debt service coverage ratios, but the market still imposes a cost for Chicago’s name.

Some market participants labeled the STSC structure scoop-and-toss lite, because the STSC pushed out the final maturities of debt being refunding by a few years and took upfront savings that left some present value savings on the table. The structure also locks up pledged sales tax revenues for use elsewhere, which the city has countered is offset by the refunding savings.

While booking most of the savings upfront, “this is not scoop-and-toss," Bennett said.

"Debt service in every year will be at or lower ... importantly we are not going to increase debt service,” she said. “This is a true match” of maturities and “we are not extending the final maturity” beyond the current 2040 dates.

Due to the low rate environment and strong demand for paper especially higher-yielding paper, the city expects to trade in rates that now average 4.9% for rates in the range of 3% to 3.5%. Lightfoot first announced a refunding without any additional details in her state of the city address over the summer with the aim of achieving $100 million in savings.

The debt refinancing is the latest in a series of maneuvers announced to help whittle away at a deficit driven by rising pension contributions, debt service, and personnel costs.

Lightfoot announced the cancellation of credit lines to achieve $22 million in savings, will propose raising the ride-share tax to generate $40 million, and will raise the restaurant tax to generate $20 million. She is also eyeing a parking meter hike.

A property tax hike remains on the table, which Lightfoot has warned may be needed if state lawmakers don’t approve a change in the city’s tax on property sales and changes to a proposed casino’s tax structure.


https://wirepoints.org/mayor-lightfo...-mighty-fishy/
Quote:
Chicago's Pitch For New Bond Refinancing Is Mighty Fishy

Spoiler:
Mayor Lori Lightfoot announced on Monday a plan to refinance $1.3 billion of outstanding bonds and book resulting savings of $200 million in the coming year to help balance the budget.

How could the city possibly save that much on interest? That’s the first and most obvious question.

The city expects to reduce its interest payments on the borrowed money from 4.9% to something in the range of 3 to 3.5%, as reported by the The Bond Buyer. So, the maximum savings on $1.3 billion would only be 1.4% — about $18 million annually. The city acknowledged that the total supposed savings of $200 million is a one-time measure, but the justification for claiming it entirely in one year and using it to balance the budget escapes me.

The city would benefit from generally lower interest rates, but reason why the city expects a lower rate presumably is that the new bonds will be “securitized.” That’s the new structure authorized by the state in 2017 that we and others have heavily criticized.

“Alchemy turns Chicago’s junk into gold” is how a Bloomberg article described the concept when the city used it earlier. We’ve been calling it sale of body parts. Others have likened it to selling your furniture to cover your mortgage.

The basic idea behind securitized bonds is an actual sale of assets. By transferring full ownership assets to ensure repayment of a bond, lenders believe they make their right to payment assured even in bankruptcy. It’s like completing a foreclosure sale before there’s even a default. Some of you may still think chances of a Chicago bankruptcy are remote, but the municipal bond community sees it otherwise. They want not just collateral but full conveyance of ownership in something at least as valuable as their loan amount.

How that will work here is a bit murky. The city says it will use future sales tax revenue to securitize the new bonds, but it already sold that revenue for earlier bonds. So, the new bondholders will get a junior interest in future sales tax revenue, the city says. Presumably there’s some value in that junior position, which would help the city would get a reduced interest rate.

Or maybe not. Chicago Chief Financial Officer Jennie Huang Bennett says she believes the subordinate position might not necessarily result in lower ratings, according to The Bond Buyer. Hmm.

Finally, Lightfoot’s press release on this sure won’t help her maintain her reputation as a straight shooter on financial issues. It reads like something from Rahm Emanuel’s administration:

Much like a homeowner refinancing a mortgage, the City’s refinancing will issue new bonds at lower interest rates to replace higher interest bonds that are currently outstanding in order to achieve cost savings.

Sorry, the bond proposal is certainly not like that. And no homeowner would add up all the future savings from refinancing and claim the total can be used for next year’s budget.

The press release further quotes Lightfoot: “Since my first day in office I have made responsible stewardship of taxpayer dollars a priority in every financial and budgetary action we have taken.” Blah blah blah.

And this doozy from Bennett: “Instead of looking to one-time measures of the past, we are focused on prudent measures for addressing outstanding debt that will achieve significant near-term savings to the taxpayer without sacrificing the long-term financial health of the City.” [Emphasis added.]

What?

A “one-time measure” is exactly what Bennett said the bond savings will be on a phone conference with reporters: “This is one of the one-time measures we are using as part of the budget….”

Lightfoot’s full, annual budget address is this Wednesday. Should be interesting.


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  #463  
Old 10-25-2019, 03:53 PM
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BUDGET

https://wirepoints.org/lightfoots-bu...wnward-spiral/
Quote:
Lightfoot’s budget won’t stop Chicago’s downward spiral
Spoiler:
Chicago Mayor Lori Lightfoot has presented her plan to cover an $838 million budget shortfall for fiscal year 2020. Like her predecessors, she’s chosen to focus on plugging a one-year budget deficit largely with a one-off deal and a number of tax hikes. And also like her predecessors, she’s failed to attack the real sources of Chicago’s slide toward insolvency.

To close the city’s deficit, Lightfoot expects $200 million to come from up-fronting 20 years of savings from a bond refinancing deal that will partially securitize $1.3 billion of debt. The savings will be a one-time event – even though the mayor originally promised not to use one-time sources – leaving a $200 million hole in budgets after 2020.

The mayor proposes to save another $337 million through various efficiencies, including the implementation of zero-based budgeting, department mergers, better debt and tax collection, and various other financial improvements.

Lightfoot wants the remaining $350 million deficit to be paid through new taxes. Her plan calls for higher taxes on ridesharing and restaurant food and drink, all which will put even more pressure on consumers. She’s also called for other revenues, including a progressive real estate transfer tax and a Chicago casino, that need the authorization of Springfield. If the mayor doesn’t get those items, she’s threatened to close the remaining deficit with a property tax hike.

Those property tax increases would follow Emanuels’ tax hikes of $860 million, which included a record-breaking $543 million property tax hike and numerous increases on garbage collection, ride sharing, online entertainment, e-cigarettes, utilities, permits and more.

What’s missing

Missing from the mayor’s speech was a call for a pension amendment and collective bargaining reforms – the reforms needed to help her cut the city’s massive pension debts and to bring tax relief to city residents. Instead, her only request of Springfield was permission to hike taxes even more.

Without structural changes, Lightfoot will face budget challenges year after year and the city will deteriorate more rapidly. Additional pension costs alone – Chicago will need another $600 million annually by 2023 – will force her to hike taxes by hundreds of millions more over the next few years. And if a recession hits during her term, the city’s financial crisis will deepen.

Even if Lightfoot succeeds in implementing her plan, the budget won’t be balanced. Official numbers consistently fail to properly account for the city’s true costs, including those of pensions. That’s why the city runs up massive debts every year despite City Hall’s claims of “balanced” budgets. Fitch Ratings agrees. The firm “will not consider the city’s budget to be structurally balanced until recurring revenues match recurring expenses (including actuarial funding of pension contributions).”

That failure to structurally balance the city’s finances is why the city’s net position has worsened by billions. Chicago’s net position now stands nearly $30 billion in the red, while the CPS sits at negative $14 billion.



The reality is this: Chicago is trapped in a vicious spiral. The city and school district are already junk rated by Moody’s.



Chicagoans are on the hook for more public sector debts than any other major city in the country.



Taxes already rose by record amounts under Mayor Rahm Emanuel. And real home values are falling, bucking the upward trend in the biggest cities across the country.



All those problems are contributing to Chicagoans’ flight. And as the city’s population shrinks, the burden will only get bigger on those who remain.



The mayor’s budget plan doesn’t change the negative trajectory of the city. In fact, it keeps in place every structural problem that’s brought the city to this point. Expect things to only get worse.

A historical burden to address

Lightfoot is focused on closing the $838 million gap, but the real problem she should focus on is the massive overlapping retirement debts Chicago households are on the hook for.

Chicagoans face some $90 billion in official overlapping city, county and state retirement debts. But under Moody’s more realistic pension assumptions, those overlapping debts total nearly $150 billion.



Spread that debt over the Chicago households with the means to pay – say those making more than $75,000 a year – and it’s nearly $400,000 per household, a hidden mortgage that will eventually chase many families out of Chicago.



Unfortunately, Lightfoot has already moved in the wrong direction. She’s made the household burden worse by offering Chicago teachers what she calls “the most lucrative CTU package in its history.”

If Lightfoot really wants to be historical and address the problems that her predecessors have ignored for decades, she’ll need to change her approach. She needs a workout plan – a restructuring of sorts – that reduces overlapping pension debts, aligns the city’s public sector infrastructure with what its residents can afford and reforms collective bargaining laws to give taxpayers a stronger voice.

She’ll need to be the champion of those reforms in Springfield. All of them are needed to make Chicago – and cities across the state – competitive again in tax burdens, public services and economic confidence.
https://moneymaven.io/mishtalk/econo...EKehLeVw21d6Q/
Quote:
Chicago's Death Spiral: There's No Can Left to Kick

Mish Comment

It is simply too late, and Chicago too deep in debt to fix other than bankruptcy.

Alas, the state does not allow bankruptcy.

So Lightfoot, like all the mayors who proceeded her will attempt another can-kicking exercise.

Alas, there is no can left to kick.

This is why I suggest Escape Illinois: Get The Hell Out Now, We Are

Mike "Mish" Shedlock
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  #464  
Old 11-03-2019, 07:55 AM
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https://fixedincome.fidelity.com/ftg..._110.1#new_tab
Quote:
Measures on pensions and Chicago budget wait another two weeks

Spoiler:
The fate of Illinois Gov. J.B. Pritzker’s proposed public safety pension fund consolidation and two state law changes pursued by Chicago Mayor Lori Lightfoot won't be settled until the second half of the Illinois General Assembly’s fall veto session.

The legislature wrapped up the first three-day session Wednesday and will reconvene for a three-day session Nov. 12. Votes could come then or the measures could be pushed off to the regular session early next year.


Senate President John Cullerton, D-Chicago, is sponsoring the pension consolidation legislation introduced Tuesday as an amendment to Senate Bill 616.

“Consolidating downstate and suburban police and fire pensions is vital for relieving some of the burden of local property taxes while meeting our obligations to first responders,” Pritzker said in a statement.

The legislation would create the Police Officers' Pension Investment Fund and the Firefighters’ Pension Investment Fund and fold the investments of more than 600 individual funds that cover employees outside Chicago into the new funds empowered to “manage the reserves, funds, assets, securities, properties, and moneys” of their respective members.

The funds would “streamline investments and eliminate unnecessary and redundant administrative costs, thereby ensuring more money is available to fund pension benefits for the beneficiaries of the transferor pension funds,” reads the legislation.

Temporary boards would manage the funds during a transition period and then the permanent boards would be governed by a board with equal representation of employees and employers. Each local pension plan would maintain an individual and separate account within the new consolidated funds, such that no assets or liabilities are shifted from one plan to another.

Each of the two consolidated funds would be held in independent trusts, separate from the State Treasury, with sole governance provided by their respective boards. The legislation empowers the Illinois Finance Authority to provide loans to each of the funds to help cover consolidation costs.

The legislation follows the recommendations of Pritzker’s pension consolidation task force. The governopr believes the plan could generate $850 million to $2.5 billion in additional investment returns over the first five years and $3.6 billion to $12.7 billion through the 20-year ramp to a 90% funded mandate in 2040.

The roughly 650 systems carried $11 billion of unfunded liabilities in 2017 — up from $10 billion a year earlier — with an average funded ratio of just 55%, according to a report this year from the Illinois Department of Insurance. The new police fund would have more than $8 billion assets to invest and the firefighter fund more than $6 billion.

Local governments have been slapped with downgrades as they grapple with rising pension contributions with some forced to cut services, raise taxes, or look for infusions of cash through measures like privatizing their water systems.

Since last year local governments have faced the threat of state funding garnishments under a law that allows funds to intercept the revenue to cover actuarial contribution shortfalls. East St. Louis facing a $3.9 million diversion temporarily closed a fire station and laid off nine firefighters.

While some market participants believe the consolidation is a good step, its impact is limited. The Illinois Municipal League, which represents many local governments, supports the proposal and is encouraging its members to lobby lawmakers.

The Associated Fire Fighters of Illinois, which represents firefighters, supports the deal. It faces opposition from the Illinois Fraternal Order of Police and possibly local funds with better funded ratios. The Illinois Pension Fund Association which has said many of its member funds oppose such a move did not comment on the legislation.

Lightfoot’s proposed 2020 budget relies on lawmakers approving a graduated property transfer tax to generate $50 million next year and $100 million after that, along changes to the casino tax structure the city says are needed to lure financing and an operator. Future budgets would count on casino cash to shore up pensions and in turn structurally balance the city’s books.

Cullerton on Tuesday said lawmakers were “pretty close to a compromise” on the tax structure. If the city’s efforts fails, the state too would lose out on future tax revenue.

Some legislative sources believe the city’s chances at getting its agenda approved are complicated by the indictment this week of state Rep. Luis Arroyo, D-Chicago, on bribery charges and reports that the state senator who was the author of the original gambling expansion bill is the unnamed federal mole that led to the Arroyo charges.

At least a dozen House members, mostly from Chicago, are also opposed to the property tax transfer change unless the city commits 60% of the new tax revenue to affordable housing. Lightfoot said Tuesday with an $800 million deficit the city can’t afford to earmark the revenue generated by the change to housing.


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  #465  
Old 11-06-2019, 07:47 PM
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https://moneymaven.io/mishtalk/econo...FqYBw/#new_tab

Quote:
Chicago Headed for Insolvency, Get the Hell Out Now
Spoiler:
The Wall Street Jounal Editorial Board blasts Chicago Mayor Lori Lightfoot for her deal with the Chicago Teachers Union (CTU). The deal will further wreak havoc on the already insolvent school system.

Who will be hurt most?

The WSJ answers the question this way: Union Routs Students in Chicago.

Contract Details

16% raise over five years (not including raises based on longevity)
Three-year freeze on health insurance premiums
Lower insurance copays
Caps on class sizes
More than 450 new social workers and nurses.
New job protections for substitute teachers who going forward may only be removed after conferring with the union about “performance deficiencies.”
Chicago Public Schools will become a “sanctuary district,” meaning school officials won’t be allowed to cooperate with the Immigration and Customs Enforcement without a court order.
Employees will be allowed 10 unpaid days for personal immigration matters.
Under the new contract, a joint union-school board committee will be convened to “mitigate or eliminate any disproportionate impacts of observations or student growth measures” on teacher evaluations.
Instead of student performance, teachers will probably be rated on more subjective measures, perhaps congeniality in the lunchroom.
The new union contract caps the number of charter-school seats, so no new schools will be able to open without others closing.
Get the Hell Out

The WSJ commented "Michelle Obama the other day complained that white people were leaving the city to escape minorities who are moving in. No, they’re fleeing Chicago’s high taxes and lousy schools—and so are minorities."

Chicago Public School Bond Ratings


You can kiss those positive and stable outlooks goodbye. The system is insolvent and this contract will further weaken the outlook.

Bond Rating Comparison




Chart from Wikipedia, yellow highlights mine.

S&P already has CPS bonds in the "highly" speculative area, five steps into its junk ratings.

Pension Spiking

A Chicago Teacher's Pension is based on your years of service and a pension percentage (up to 75%), multiplied by your final average salary. Their union notes "There are ways to increase these factors to enhance your pension or meet eligibility requirements."

Let's Discuss Pensions

Wirepoints asks Chicago Teachers Strike: Why is No One Talking About Pensions?

The average retired CPS teacher already receives a pension of nearly $55,000 a year, according to a 2019 FOIA request to the Chicago Teachers’ Pension Fund.

However, looking at the pension of an average teacher far understates the true size of CPS pensions. The “average” benefit includes teachers who only worked a few years for CPS, which brings down the average.

To get a more accurate picture of what pensions are really worth, look at career teachers. Over half of all currently retired CPS teachers worked 30 years or more. On average, they receive a $72,000 annual pension and began drawing benefits at age 61.

In comparison, the average annual Social Security payment in Chicago is just $16,000 and the maximum benefit for someone retiring at age 62 is $26,500.

C-O-L-A Cola, la la la Payola



The average career CPS pension will grow by 3 percent, compounded annually, due to the COLA benefits teachers get. That will double a teacher’s annual benefit to over $140,000 in 25 years.

Teacher Contributions



Wirepoints Projections



Those projections were based on the proposed contract. The CTU held out for even more benefits and got them.

Pension Funding Level

The Chicago Tribune notes that the end of 2018, City Hall’s pension funds had only 23% of what they should have.

By 2023, Lightfoot must find an additional $989 million a year for pensions, according to the Tribune’s Hal Dardick and Juan Perez Jr. Thank you, former mayors and aldermen, for promising more pension benefits than Chicagoans could afford.

Who Will Pay?

That one is easy.

The kids will suffer because charter schools are reined in, grading standards lowered, and incompetents were given further projections.
Taxpayers will face higher property taxes, higher gas taxes, and higher sales taxes with every penny going to pensions.
Get the Hell Out

On October 5, I commented Escape Illinois: Get The Hell Out Now, We Are

Goodbye Illinois. Hello Utah. See my reasons for Utah above.

If you can't get out of Illinois, do the second best thing, Get the Hell Out of Chicago.

By the way, Chicago is not "headed" for insolvency, it's already there, but it is just not recognized yet.


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Old 11-06-2019, 08:02 PM
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Mish has been bitching about Chicago for years. But he lives in some suburb out in the sticks, never ventures foot in there, and is moving to one of the Whitest states.

He has priorities and is biased. Do I agree with some of it, sure, pensions were conveniently ignored throughout the CPS strike. But the city has a lot going for it too, including financially where there's been an Urban flight of corporations leaving the burbs and coming in (i.e. McDs). Real estate is booming with many new projects, a new (albei democratic) gov't trying to move Illinois up and out of the pits.

But city is bankrupt and move to Utah is the answer. LOL, that guy Mish cracks me up. He used to be objective and smart. Now's he's a grumpy old man soon to be forgotten while taking pictures.
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Old 11-06-2019, 08:26 PM
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Well, enjoy Chicago, then.

It is amusing to me to be in very high-taxed NY, and I'm just fine with that, because our pensions are pretty well-funded so my current taxes are going to current operational expenses.

So nyah, Chicago and Illinois.

(of course, NYC is about as bad as Illinois for fundedness. But the state, overall, is pretty good)
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Old 11-07-2019, 04:30 PM
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Originally Posted by Beach Bum View Post
Mish has been bitching about Chicago for years. But he lives in some suburb out in the sticks, never ventures foot in there, and is moving to one of the Whitest states.

He has priorities and is biased. Do I agree with some of it, sure, pensions were conveniently ignored throughout the CPS strike. But the city has a lot going for it too, including financially where there's been an Urban flight of corporations leaving the burbs and coming in (i.e. McDs). Real estate is booming with many new projects, a new (albei democratic) gov't trying to move Illinois up and out of the pits.

But city is bankrupt and move to Utah is the answer. LOL, that guy Mish cracks me up. He used to be objective and smart. Now's he's a grumpy old man soon to be forgotten while taking pictures.
New Govt? It has always been D. Corporations moving to city to attract younger ee. Trend will end. If the media ever starts reporting the crime going on, people will start fleeing a bit quicker
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Old 11-07-2019, 05:31 PM
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FWIW, the pensions aren't exactly a worry with respect to the CTU strike.

Because Illinois is now covering the normal cost for CPS pensions.

https://wirepoints.org/how-chicago-s...ion-giveaways/
Quote:
Why didn’t Chicago Public Schools include higher pension costs resulting from payroll increases in its report on the cost of the new contract with the Chicago Teachers Union? Did they even measure it? If so, there’s no sign they did.

And why did CPS, under the new contract, let teachers accumulate 244 sick days they can put toward an earlier retirement with a full pension?


The Chicago Teachers Union.
The answer is simple. Thanks to the new school funding formula passed in 2017, state taxpayers are now shouldering all “normal costs” for CPS pensions. Normal costs are the actual costs accrued each year for pension benefits incurred in that year, which will include the expanded pension costs. The pension impact of the new CTU contract is foisted on the state.




Of course, the people who live in Chicago also happen to live in Illinois. So they're still going to pay for it. But some of the people outside of Chicago will also pay.

Of course, to the extent the normal costs are lowballed, it will just add onto the unfunded liabilities.

https://publicplansdata.org/quick-fa...lan/?ppd_id=11
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Old 11-07-2019, 06:24 PM
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Originally Posted by Andy The Clown View Post
New Govt? It has always been D. Corporations moving to city to attract younger ee. Trend will end. If the media ever starts reporting the crime going on, people will start fleeing a bit quicker
It is a new Gov't. New Governor, now a new Mayor of Chicago. What are you talking about?

Crime has improved significantly in 2019 compared to 2017 and prior. Mish hates Chicago and its people and is fleeing for Utah, can't make this up lol.
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