WBEZ | pensions http://www.wbez.org/tags/pensions Latest from WBEZ Chicago Public Radio en Unions sue to stop Chicago pension overhaul http://www.wbez.org/news/unions-sue-stop-chicago-pension-overhaul-111239 <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/city hall chicago flickr daniel x o nell.PNG" alt="" /><p><p>Current and retired city workers and their labor unions have filed a lawsuit arguing a law overhauling Chicago&#39;s pension systems is unconstitutional.</p><p>The lawsuit filed Tuesday in Cook County Circuit Court also asks a judge to stop the law from taking effect Jan. 1.</p><p>Chicago has the worst-funded pension system of any major U.S. city.</p><p>Legislation approved last year seeks to eliminate a $9.4 billion unfunded liability in two pension systems by increasing contributions and cutting benefits. It would affect about 57,000 laborers and municipal employees.</p><p>The plaintiffs are 12 current and former workers and four unions, including AFSCME Council 31 and the Illinois Nurses Association.</p><p>Mayor Rahm Emanuel says the law is constitutional. He says the changes are needed to ensure pension funds remain solvent and retirees receive benefits.</p></p> Tue, 16 Dec 2014 13:04:00 -0600 http://www.wbez.org/news/unions-sue-stop-chicago-pension-overhaul-111239 Labor unions celebrate judge's ruling against Illinois pension law http://www.wbez.org/news/labor-unions-celebrate-judges-ruling-against-illinois-pension-law-111148 <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/springfield_0_0.jpg" alt="" /><p><p>An Illinois judge has ruled unconstitutional a controversial plan to reduce state employees&rsquo; retirement benefits.<br /><br />Labor groups sued the State of Illinois for passing a bill reducing their members&rsquo; pension benefits. The unions representing downstate and suburban teachers, university employees and most other state workers argued the state constitution says, specifically, that retirement benefits can&rsquo;t be diminished. On Friday, Sangamon County Circuit Court Judge John Belz agreed.</p><p>Belz quoted directly from the state constitution in his six-page decision, citing the passage that states retirement benefits &ldquo;shall not be diminished or repaired.&rdquo; He singled out components of the bill that narrowly passed the state legislature last year to explain why he was ruling against the state. For instance, the law changed cost-of-living increases certain employees receive in retirement, and put a cap on some employees&rsquo; pensionable salary.</p><p>&ldquo;The State of Illinois made a constitutionally protected promise to its employees concerning their pension benefits,&rdquo; Belz wrote in his decision. &ldquo;Under established and uncontroverted Illinois law, the State of Illinois cannot break this promise.&rdquo;</p><p>Labor unions representing employees who are in those retirement systems celebrated the decision.</p><p>&ldquo;The court granted us everything. The court saw it our way,&rdquo; said Dan Montgomery, president of the Illinois Federation of Teachers. &ldquo;This is an unambiguous, unequivocal victory for the constitution and for working people.&rdquo;</p><p>&ldquo;Retirees who earned their modest security in retirement, they always paid their share. And they should not be punished for the failures of politicians,&rdquo; said Anders Lindall, a spokesman for the We Are One Coalition, a group of labor unions.</p><p>Attorneys who defended the bill acknowledged that it reduced benefits, but argued it is needed to deal with a $105 billion unfunded pension liability. Studies have shown that massive debt tied to Illinois&rsquo; retirement payments is the worst of any state in the country.</p><p>Gov. Pat Quinn, and those who supported the legislation, argue basic functions of state government are in danger if the pension law is found to be unconstitutional.</p><p>&ldquo;This historic pension reform law eliminates the state&rsquo;s unfunded liability and fully stabilizes the systems to ensure retirement security for employees who have faithfully contributed to them,&rdquo; Quinn said in a statement.</p><p>The Democratic governor was defeated in this month&rsquo;s election by Republican Bruce Rauner, who also released a statement asking the state&rsquo;s Supreme Court to take up the case as soon as possible.</p><p>The office of Illinois Attorney General Lisa Madigan is defending the law in court. Her office said Friday that it will ask the state Supreme Court to expedite an appeal &ldquo;given the significant impact that a final decision in this case will have on the state&rsquo;s fiscal condition.&rdquo;</p><p>Meantime, Democratic Senate President John Cullerton is considering a plan, in case the state Supreme Court agrees with Judge Belz and throws out the law. Cullerton had pushed for a separate pension proposal that would ask employees to choose between earning state-funded health care coverage in retirement or receiving pay increases.</p><p>&ldquo;If they throw it out, we&rsquo;ll be back to square one and then we go back again to the alternative that already passed the Senate and when that passes, save some money that we can then pass on to education funding and whatever else we want to utilize that savings,&rdquo; Cullerton said Friday.</p><p>Legislators would have to re-visit Cullerton&rsquo;s proposal in a new General Assembly, after January&rsquo;s inauguration.</p><p><em>Tony Arnold covers Illinois politics for WBEZ. Follow him <a href="http://twitter.com/tonyjarnold" target="_blank">@tonyjarnold</a>.</em></p></p> Fri, 21 Nov 2014 17:19:00 -0600 http://www.wbez.org/news/labor-unions-celebrate-judges-ruling-against-illinois-pension-law-111148 Preckwinkle gets her pension plan past Senate, stops short of calling for higher taxes http://www.wbez.org/news/preckwinkle-gets-her-pension-plan-past-senate-stops-short-calling-higher-taxes-110240 <p><p>Cook County Board President Toni Preckwinkle wouldn&rsquo;t rule out higher taxes to help pay for changes to her employees&rsquo; retirement benefits in making her pitch to Illinois state senators Tuesday.</p><p>Preckwinkle needs the okay from Illinois lawmakers to cut retirement benefits for the county&rsquo;s pension funds. She estimates that if nothing is done to the retirement benefits, the funds will be tapped dry within 25 years.</p><p>&ldquo;We&rsquo;re going to be very creative about making government very efficient just as we have for the last three and a half years,&rdquo; Preckwinkle told a state senate committee in addressing how she plans to pay for the pension changes. &ldquo;But everything is going to be on the table.&rdquo;</p><p>Preckwinkle has rolled back an unpopular sales tax increase in Cook County since she was elected in 2010.</p><p>State senators quickly approved her plan, which was negotiated with some labor groups representing county employees. Those negotiations flipped a handful of state senators who had voted against previous pension benefit-reducing measures for state or City of Chicago employees. State Sen. Toi Hutchinson said she thought the pension bills facing state employees was unconstitutional.</p><p>Preckwinkle&rsquo;s plan still needs approval from the House of Representatives.</p><p>It calls for a combination of increased employee contributions beginning in 2015, a phased-in increase in the retirement age, and delays cost of living adjustments for future retirees.</p><p>The plan passed with largely Democratic support over the objections of labor groups like the American Federation of State, County and Municipal Employees, as well as some Republicans.</p><p>AFSCME spokesman John Cameron told state senators Preckwinkle should wait to see how a lawsuit over similar changes to state employees pensions turns out before pushing her own pension reform plan.</p><p>&ldquo;The county is not in the dire situation that either the state or the city found themselves. We disagreed with those proposals, but we particularly feel that this is not ready for prime time,&rdquo; Cameron said.</p><p>Meantime, State Sen. Matt Murphy, R-Palatine, said he feared Preckwinkle would have to raise property taxes down the road to pay for her plan, unless she were willing to make even deeper cuts to county employees&rsquo; retirements. Despite his no vote, Murphy complimented Preckwinkle on her work as board president in a moment of levity during the committee discussion.</p><p>&ldquo;I have enjoyed our working relationship thus far. It is a substantial change from the way things were before you took office,&rdquo; Murphy said to Preckwinkle, referring to her predecessor, Todd Stroger.</p><p>&ldquo;The bar was pretty low,&rdquo; Preckwinkle quipped back.</p><p><em>Tony Arnold covers Illinois politics. Follow him @<a href="https://twitter.com/tonyjarnold">tonyjarnold</a>.</em></p></p> Wed, 28 May 2014 09:26:00 -0500 http://www.wbez.org/news/preckwinkle-gets-her-pension-plan-past-senate-stops-short-calling-higher-taxes-110240 Chicago Teachers Union: New taxes to fix pensions--but not higher property taxes http://www.wbez.org/news/chicago-teachers-union-new-taxes-fix-pensions-not-higher-property-taxes-110120 <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/karen lewis.jpg" alt="" /><p><p>The Chicago Teachers Union is rolling out a plan they say will help solve the teachers pension crisis. CTU leaders say their proposals would raise much-needed money for the cash-strapped retirement fund that covers the city&#39;s educators. The fund is just under 50 percent funded.</p><p>Speaking to WBEZ Thursday, CTU head Karen Lewis said cutting benefits for retired schoolteachers is &quot;unconscionable,&quot; and that cannot be the answer to pension woes. Instead, she said, the union is suggesting ways to raise more revenue. A Chicago Public Schools spokesman called those ideas &quot;not a responsible solution.&quot; &nbsp;</p><p>CTU wants the city and state to adopt three proposals that it says could bring in billions of dollars that could be devoted toward retirement accounts:</p><ul><li>A so-called<strong> &ldquo;LaSalle Street Tax&rdquo;</strong> would impose new taxes on financial transactions at the CME Group and the Chicago Board Options Exchange. The Chicago Teachers Union wants a dollar tax on the trading of agriculture futures and two dollars on other derivatives. In addition to raising money, CTU Vice President Jesse Sharkey said the tax could help curb high-frequency trading, which has come under fire lately. &ldquo;Derivative trading is a problem at its current level,&rdquo; Sharkey said. &ldquo;These are trades that don&rsquo;t produce value. These are not long-term investments of the kind your grandmother might have in her stock portfolio.&rdquo; Sharkey estimates the new tax could bring in $10-$12 billion a year.</li><li>A <strong>commuter tax</strong> on those who work in Chicago but live outside the city. Sharkey suggested the tax could be administered through the payrolls of companies in Chicago with employees who live outside the city. Sharkey said an alternative way to implement the tax would be as a regional income tax surcharge affecting cities surrounding Chicago. He said the cash generated from this plan could be shared between Chicago and the communities affected. Sharkey did not have an estimate for how much money this tax could generate.</li><li>A delay on the expiration of some <strong>tax increment financing (TIF) districts</strong>. TIF districts are special zones of the city that divert tax money into economic development projects. Critics, including those in the Chicago Teachers Union, have ridiculed the mayor&rsquo;s use of TIF districts, saying they amount to personal slush funds. &ldquo;You could take a lot of bad debt off the books by making a bond that would put the school system in better shape financially by using TIF money that would actually help serve the intended purposes of the taxation authority the schools have,&rdquo; Sharkey said. The teachers union estimates more than a billion dollars in bonds could be generated from this idea</li></ul><p>The Chicago Teachers Union said Chicago should inject $5 billion into the pension fund immediately by floating municipal or pension obligation bonds. The new &quot;LaSalle Street&quot; tax, commuter tax, and TIF revenues would then go to pay off those bonds. The refinancing scheme would save $3 billion by 2059, said a consultant for the union. Sharkey says the money from the TIF districts could be used to pay off bonds, which would be used to pay down the Chicago Teachers Pension Fund&rsquo;s $9 billion in unfunded liabilities.The union also opposed any more property tax increases to help fund the Chicago Teachers Pension Fund.</p><p>Last year, Illinois lawmakers approved legislation that would cut teacher pension benefits as a way to help reduce the state&rsquo;s $100 billion pension obligation. The legislation is the subject of a lawsuit filed by unions representing state workers.</p><p>Now, lawmakers have turned their attention toward Chicago city workers. Last month, they passed a bill changing the pension benefits of city municipal and laborers. That legislation still needs the approval of Illinois Gov. Pat Quinn, who hasn&rsquo;t said whether he&rsquo;ll sign the bill or not.</p><p>Lewis said she&rsquo;d oppose a similar pension plan that would affect teachers, if one were to be proposed.</p><p>&ldquo;If we&rsquo;re talking about benefit changes without some sort of revenue, then we are just basically cutting our own throats and we will not do that at this moment,&rdquo; Lewis said.</p><p>Gov. Quinn&rsquo;s hesitance to sign the legislation affecting the retirements of city laborers and municipal workers comes in part from Mayor Rahm Emanuel, who has said he&rsquo;d pay for those pension bills by increasing property taxes in the city.</p><p>Lewis made a point to say the teachers pension fund&rsquo;s financial problems stem from the Chicago Board of Education&rsquo;s refusal to put money into the system for years, not from exorbitant benefits for teachers. She said she&rsquo;s not convinced raising retirement ages, increasing employee contributions to the retirement fund or reducing cost of living adjustments would fix the hole in the pension fund.</p><p>&ldquo;We are concerned that they&rsquo;re not done,&rdquo; Lewis said. &ldquo;If we continue to give, give, give and make huge concessions, when does it all end? Til when we have no pensions?&rdquo;</p><p>Meantime, a Chicago Public Schools spokesman dismissed the union&#39;s proposals.</p><p>&quot;We&#39;re glad that CTU is putting forth ideas on how to solve our pension crisis, but borrowing $5 billion and raising taxes by a record amount to prop up the pension fund is not a responsible solution,&quot; said CPS spokesman Joel Hood. &quot;Any conversation about pension reform must start with legislative action in Springfield, moving toward reforms similar to those which now apply to 80 percent of teachers in Illinois.&quot; &nbsp;</p><p><em>WBEZ&#39;s Linda Lutton and Alex Keefe contributed to this story.</em></p><p dir="ltr" id="docs-internal-guid-4a3f3ef8-b99a-c33a-1cd4-5c280d4472d9"><em>Tony Arnold covers Illinois politics for WBEZ. Follow him <a href="https://twitter.com/tonyjarnold">@tonyjarnold</a>.</em></p><p dir="ltr"><em>Linda Lutton covers education for WBEZ. Follow her <a href="https://twitter.com/wbezeducation">@wbezeducation</a>.</em></p><p><em>Alex Keefe covers politics for WBEZ. Follow him <a href="https://twitter.com/akeefe">@akeefe</a>.</em></p></p> Thu, 01 May 2014 16:01:00 -0500 http://www.wbez.org/news/chicago-teachers-union-new-taxes-fix-pensions-not-higher-property-taxes-110120 Illinois state income tax could help city pensions http://www.wbez.org/news/illinois-state-income-tax-could-help-city-pensions-110088 <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/AP319847883196.jpg" alt="" /><p><p>Gov. Pat Quinn says he favors giving Illinois cities a larger share of income tax revenues to help solve the municipal pension problem.</p><p>The idea previewed Monday before the City Club of Chicago is part of the Chicago Democrat&#39;s pitch to extend the 2011 income tax increase. It rolls back in January, leaving an estimated $1.6 billion revenue hole. Quinn&#39;s budget plan proposes an extension to avoid budget cuts.</p><p>Municipalities statewide have pushed for legislative help for underfunded pensions. Mayors say costs have risen, pension obligations are crowding out spending for other services and raising property taxes may be the answer. Quinn&#39;s against raising property taxes.</p><p>Lawmakers approved a plan for two Chicago pension systems that indirectly could mean a property tax increase. Quinn won&#39;t say if he&#39;ll sign it.</p></p> Mon, 28 Apr 2014 16:08:00 -0500 http://www.wbez.org/news/illinois-state-income-tax-could-help-city-pensions-110088 Chicago teachers become students in Illinois politics http://www.wbez.org/news/chicago-teachers-become-students-illinois-politics-110082 <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/CTPF.JPG" alt="" /><p><p>Chicago teachers have been getting lessons in Illinois politics in recent weeks.</p><p>While state lawmakers have been away from Springfield for a short break, teachers in the city have been turning the tables. They&rsquo;ve been getting a lesson in history, civics and, separate from civics, politics.</p><p>A group of current and retired teachers sat for a three-hour tutorial on how their pension is funded, why it&#39;s now so underfunded and what they can do about it.</p><p>Lesson number one: start calling state lawmakers. After they figured out who the leaders in Springfield even are, Bukola Bello, the lobbyist in Springfield for the Chicago Teachers Pension Fund, told the teachers which politicians they should be calling.</p><p>&ldquo;It&rsquo;s an election year. Everyone gets that,&rdquo; Bello said. &ldquo;It&rsquo;s an election year and because you have certain pressures from the mayor, certain individuals need more education than others. Wink wink.&rdquo;</p><p>The Chicago Teachers Pension Fund is separate from the Chicago Teachers Union, although most union members get their retirement through it. And the pension fund is separate from the government, even though the public officials are the ones cutting the checks. That means the pension fund is stuck in the middle between the two sides that have been battling with each other about cutting retirement benefits.</p><p>During the training session, Bello kept reminding her students, the teachers, of this lesson in politics.</p><p>&ldquo;Legislators are our friends. Why are legislators our friends? Because ultimately we need something from them. We need their support. We need a vote. We need them to protect your pensions,&rdquo; she said.</p><p>Mayor Rahm Emanuel has said Chicago teachers pensions are coming up on his lesson plan so the city&rsquo;s finances can be stabilized.</p><p>But Kevin Huber, who heads the pension fund, says something else should happen first. He&rsquo;s advocating for setting aside a tax levy so taxes go straight toward teacher&rsquo;s pensions and not to the board of education, which distributes the cash. He also said the Chicago Board of Education should contribute to the pension fund monthly, not annually.</p><p>Huber said he&rsquo;s training teachers how to talk to their lawmakers because they mean more to representatives than he does.<br />&ldquo;When we get the actual voters, they&rsquo;re more receptive,&rdquo; he said. &ldquo;Again, I can get meetings with all these people and I do, but they care about the vote.&rdquo;</p><p>Last year, the governor and state lawmakers approved changes to state employees&rsquo; retirement benefits to save the government money, including suburban and downstate teachers. Unions representing those workers have sued over the plan, saying it hurts employees so much, it&rsquo;s unconstitutional. The lawsuit is still in court.</p><p>Dick Ingram, who runs the Teachers Retirement System for those teachers, said while those bills were being negotiated, he had to stay out of the back-and-forth between the unions and the lawmakers and just make sure money was still coming into the system.</p><p>&ldquo;We were gonna go broke unless there were changes made,&rdquo; Ingram said. &ldquo;We&rsquo;re not in the business of suggesting what those changes might be, but we can certainly help explain what the impact of proposed legislation would be.&rdquo;</p><p>Meantime, Debra McGhee, who sat through the three-hour training program at the Chicago Teachers Pension Fund and is retired from Bouchet International Academy in Chicago&rsquo;s South Shore neighborhood, was ready to tell her story to her representative.</p><p>&ldquo;We worked for this. This is ours and now you&rsquo;re talking about taking it away. We contributed (to) this. We didn&rsquo;t miss a payment,&rdquo; McGhee said. &ldquo;But you guys skipped out on where you&rsquo;re supposed to be. So now we&rsquo;re worried and we have to do something to try to put this back intact.&rdquo;</p><p>McGhee said she&rsquo;s nervous she&rsquo;ll be retiring at the poverty line because of benefit cuts. Her training session came as pension funds representing Chicago teachers, firefighters and police officers wait and see whether Gov. Pat Quinn signs the pension bills sitting on his desk affecting other groups of Chicago city workers. Quinn has not said whether he will sign that legislation into law, but he&rsquo;s been critical of Chicago Mayor Rahm Emanuel saying he&rsquo;d have to raise property taxes in the city to help pay for pensions.</p><p><em>Tony Arnold covers Illinois politics for WBEZ. Follow him <a href="https://twitter.com/tonyjarnold">@tonyjarnold</a>.</em></p></p> Mon, 28 Apr 2014 07:54:00 -0500 http://www.wbez.org/news/chicago-teachers-become-students-illinois-politics-110082 Morning Shift: Examining politicians' self-made narrative http://www.wbez.org/programs/morning-shift-tony-sarabia/2014-04-09/morning-shift-examining-politicians-self-made <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/Cover boots Flickr wormwould.jpg" alt="" /><p><p>Politicians love reminding voters of their humble beginnings. We dissect the &quot;bootstrap&quot; narrative. We also hear about Norse mythology from an unlikely source.&nbsp;</p><div class="storify"><iframe src="//storify.com/WBEZ/morning-shift-examining-the-bootstrap-narrative/embed?header=false" width="100%" height=750 frameborder=no allowtransparency=true></iframe><script src="//storify.com/WBEZ/morning-shift-examining-the-bootstrap-narrative.js?header=false"></script><noscript>[<a href="//storify.com/WBEZ/morning-shift-examining-the-bootstrap-narrative" target="_blank">View the story "Morning Shift: Examining politicians' self-made narrative" on Storify</a>]</noscript></div></p> Wed, 09 Apr 2014 08:43:00 -0500 http://www.wbez.org/programs/morning-shift-tony-sarabia/2014-04-09/morning-shift-examining-politicians-self-made Morning Shift: Artists work overtime to follow their dreams http://www.wbez.org/programs/morning-shift-tony-sarabia/2014-01-22/morning-shift-artists-work-overtime-follow-their <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/Flickr Muffet.jpg" alt="" /><p><p>We take a look at the social barriers to accessing reproductive health services. And, we talk to the director of a film following people following their passions.&nbsp;</p><div class="storify"><iframe allowtransparency="true" frameborder="no" height="750" src="//storify.com/WBEZ/morning-shift-artists-in-the-workforce-work-overti/embed?header=false" width="100%"></iframe><script src="//storify.com/WBEZ/morning-shift-artists-in-the-workforce-work-overti.js?header=false"></script><noscript>[<a href="//storify.com/WBEZ/morning-shift-artists-in-the-workforce-work-overti" target="_blank">View the story "Morning Shift: Artists work overtime to follow their dreams" on Storify</a>]</noscript></div></p> Wed, 22 Jan 2014 08:39:00 -0600 http://www.wbez.org/programs/morning-shift-tony-sarabia/2014-01-22/morning-shift-artists-work-overtime-follow-their Morning Shift: After state reform, what's next for Chicago pensions? http://www.wbez.org/programs/morning-shift-tony-sarabia/2013-12-09/morning-shift-after-state-reform-whats-next-chicago <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/danxoneil.jpg" alt="" /><p><p>After last weeks historic state pension deal, the focus shifts to Chicago. WBEZ political reporter Alex Keefe discusses possible solutions and challenges.</p><div class="storify"><iframe allowtransparency="true" frameborder="no" height="750" src="//storify.com/WBEZ/morning-shift-after-state-reform-what-s-next-for-c/embed?header=false" width="100%"></iframe><script src="//storify.com/WBEZ/morning-shift-after-state-reform-what-s-next-for-c.js?header=false"></script><noscript>[<a href="//storify.com/WBEZ/morning-shift-after-state-reform-what-s-next-for-c" target="_blank">View the story "Morning Shift: After state reform, what's next for Chicago pensions?" on Storify</a>]</noscript></div></p> Mon, 09 Dec 2013 08:38:00 -0600 http://www.wbez.org/programs/morning-shift-tony-sarabia/2013-12-09/morning-shift-after-state-reform-whats-next-chicago The politics behind the pension vote http://www.wbez.org/news/politics-behind-pension-vote-109301 <img typeof="foaf:Image" src="http://llnw.wbez.org/main-images/dan montgomery.JPG" alt="" /><p><p>Illinois lawmakers have approved a long-awaited plan to restructure retirement benefits for state employees and Gov. Pat Quinn says he&rsquo;ll sign the bill into law.</p><p>But labor groups are vowing to sue, saying the measure unlawfully cuts the pensions of their members.</p><p>And even though the dialogue around changing the pension benefits of state employees started years ago, the proposal sets up a big fight for next year&rsquo;s election.</p><p>Legislative leaders gave themselves a week - a holiday week, at that - to sell the bill to their own members. Senate President John Cullerton spent Tuesday morning meeting privately with his senators to get them on board.</p><p>Republican House Leader Jim Durkin says the short timeframe made for a busy home stretch.</p><p>&ldquo;I had people running in and running out over the last 24 hours,&rdquo; he said in an interview after Tuesday&rsquo;s vote. &ldquo;Talking to every member, every question.&rdquo;</p><p>Except, Durkin said, there may have been an ulterior motive behind some of the questions he was getting from his own fellow Republicans.</p><p>&ldquo;I&rsquo;ll say some questions weren&rsquo;t exactly sincere. So that&rsquo;s politics. That&rsquo;s what we live in,&rdquo; he said. &ldquo;But there was a lot of - to say that it got a little tense is an understatement.&rdquo;</p><p>Durkin said some Republicans had legitimate concerns. For instance, he says some downstate GOP representatives have a lot of state employees in their districts, especially those with prisons. Meantime, others want to move state pension funds into 401K style plans -- and nothing else would do.</p><p>&ldquo;Some people I will just say that their reasoning is not reasonable and I question it because of the dynamics of what&rsquo;s going on in the State of Illinois over this next year,&rdquo; Durkin said. &ldquo;It&rsquo;s a political season and some people believe that we shouldn&rsquo;t deliver a win to the Democrats.&rdquo;</p><p>The logic goes: If Republicans blocked yesterday&rsquo;s pensions vote, Democrats - and Governor Pat Quinn - would look bad for not getting the job done come Election Day. That&rsquo;s a claim reiterated by Democratic House Speaker Michael Madigan, who&rsquo;s also chair of the Illinois Democratic Party.</p><p>&ldquo;I find Bruce Rauner to be particularly disingenuous with his approach to this,&rdquo; Madigan said.</p><p>Rauner is a venture capitalist running for governor who opposes the pension deal.</p><p>&ldquo;My view is that (Rauner) would like to blow it up so that he would maintain a campaign issue,&rdquo; Madigan said. &ldquo;So with the passage of the bill and the anticipated signature by the governor, why, Rauner has lost one of his campaign issues.&rdquo;</p><p>In response to Madigan&rsquo;s claim, a Rauner spokesman said the Republican thinks the plan is a bad one. After the vote, Rauner released a statement saying the pension bill doesn&rsquo;t go far enough.</p><p>When asked if Rauner and his allies made the pension vote more complicated for Republican senators, Senate Republican Leader Christine Radogno said, &ldquo;Absolutely it made it more complicated.&rdquo;</p><p>She said if the vote had taken place at another time - and not three months before the primary - the votes might have been different. When asked why Rauner, who&rsquo;s never held political office, could influence lawmakers so much, Radogno said it&rsquo;s not just about Rauner&rsquo;s political influence, but also his money.</p><p>And Rauner has a lot of it.</p><p>&ldquo;I mean, people think about campaign funding. They think about what support they&rsquo;ll get when they&rsquo;re running. They think about their own political futures. They think about the people that are around Bruce Rauner and how they relate to them and their campaigns,&rdquo; Radogno said.</p><p>There are three other Republicans in the primary for governor.</p><p>State Sen. Bill Brady of Bloomington, was the only candidate to support the pension bill.</p><p>Twenty percent of the current budget&rsquo;s revenue goes toward pensions. Brady says that number will only get worse - and the remaining money isn&rsquo;t enough to pay for education and other government services.</p><p>State Sen. Kirk Dillard of Westmont, wanted more time to review the legislation - and voted no. But his pick for Lieutenant Governor in next year&rsquo;s campaign, State Representative Jil Tracy of Quincy, voted yes.</p><p>Treasurer Dan Rutherford said he thinks it&rsquo;s unconstitutional.</p><p>On the Democratic side, incumbent Pat Quinn, who&rsquo;s running for re-election, could face some opposition from a group who previously supported him: labor unions.</p><p>&ldquo;I do think, as I said, this is the triumph of politics over the rule of law in this state, so I would imagine there are political consequences all around,&rdquo; said Dan Montgomery, the head of the Illinois Federation of Teachers.</p><p>When asked what those consequences will be, Montgomery replied, &ldquo;Well, that&rsquo;s yet to be seen.&rdquo;</p><p>But with a lawsuit from the unions imminent, the issue isn&rsquo;t likely to disappear before next year&rsquo;s election.</p><p>Already, Chicago and Cook County officials are wondering how the vote will affect their own pension systems.</p><p>Chicago Mayor Rahm Emanuel issued a statement shortly after the legislature approved the pension bill.</p><p>&ldquo;The pension crisis is not truly solved until relief is brought to Chicago and all of the other local governments across our state that are standing on the brink of a fiscal cliff because of our pension liabilities,&rdquo; Emanuel said.</p><p>State lawmakers agree.</p><p>State Rep. Elaine Nekritz, D-Buffalo Grove, said that while some of the state&rsquo;s pension systems are poorly funded, Chicago&rsquo;s teachers&rsquo; retirement plans are perhaps even worse.</p><p>&ldquo;Our work on pensions is by no means done, but this will let a lot of air back in the room to start addressing the other systems,&rdquo; she said.</p><p>Cook County Board President Toni Preckwinkle said county employees&rsquo; retirement system&rsquo;s unfunded liability grew by $1 billion last year, and also needs state intervention.</p><p>Meantime, House Republican Leader Durkin said he&rsquo;ll work with Mayor Emanuel, even though he&rsquo;s with the opposing political party.</p><p><em>Tony Arnold covers Illinois politics for WBEZ. Follow him <a href="https://twitter.com/tonyjarnold">@tonyjarnold</a>.&nbsp;</em><em>Illinois Public Radio&rsquo;s Amanda Vinicky contributed to this report. Follow her&nbsp;<a href="https://twitter.com/AmandaVinicky">@amandavinicky</a>.</em></p><div>&nbsp;</div></p> Wed, 04 Dec 2013 13:53:00 -0600 http://www.wbez.org/news/politics-behind-pension-vote-109301