But, finally, Governor Pritzker has started to address the $185 billion dollar elephant in the room. One of his proposals in February addressed the subject of our pension debt and organized a task force that would evaluate the use of consolidation.
First, what exactly is “asset relocation”? Well, it’s a fancy term for transferring public assets– ostensibly from a government’s general fund to a pension fund to boost its value. Voila, problem solved, right? Well, not so much.
Gov. Pritzker’s five-year budget plan aims to pay off debt, cut taxes “for most” and raise taxes, significantly, on others, and seek to stimulate economic growth. The plan — given the prevailing circumstances — makes big promises for growth to better the state’s fiscal footing. Color me skeptical of these lofty goals.
Working for the state can have some major benefits. For decades it was assumed state workers were giving up short-term salary opportunities for long-term retirement stability. That long-held belief is being tested now because when it comes to retirement, many state...
The hot topic in Illinois right now is the new minimum wage hike to $15.00 an hour. Newly elected Governor JB Pritzker had made raising the state’s minimum wage — which is higher than the federal minimum wage right now — a top priority, fast.
The recent gubernatorial and current Chicago mayor elections have brought forth a plethora of new taxing ideas. While no politicians seem interested in less government spending or reducing the size and scope of government’s gigantic footprint in Illinois, literally dozens of new fees or taxes have been bandied about by Illinois politicians.
Here’s a tough pill to swallow: Illinois boasts the highest tax burden in the Midwest, and near the highest nationwide. Many of these taxes have been implemented or raised by politicians to try and help relieve the burden of the Illinois government’s over-the-top spending and deep deficits.
There’s no simple solution, but the causes of this exodus are pretty apparent. If legislators can’t find a means to create more economic opportunity and a more stable budget, the entire state could eventually find itself in a death spiral.