Friday, July 8, 2016

Pension Reform Unlikely to Happen Until After November

Gov. Bruce Rauner said Thursday that he'll travel the state this summer and fall, meeting with individual legislators and legislative to press his case for major pension reform, according to the Champaign News Gazette.

However, he admitted there won't be a vote on his plan until after the Nov. 8 election. Under a side agreement that was part of the "bridge" budget deal reached last week between the governor and the Democratic Legislature, the cash-strapped Chicago Public School system won't get a $215.2 million contribution from the state to its teacher pension system without approval of a broad-based pension reform.

Pension reform is one of three major issues - along with the workers' compensation changes and "local control" - that Rauner said have to be addressed before he considers any tax increases for Illinois government.

Rauner claims a pension change could save the state $1 billion annually. But if it were applied "across the board," he said it could save all governments in Illinois $2.5 billion a year.

Information provided by the Champaign News-Gazette

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