Conservative Watch Dog: Pensions Could Bankrupt Illinois By 2015
CHICAGO (CBS) -- A conservative watchdog group is warning of dark days ahead for the entire state unless Illinois mends it's financial ways, and soon.
Conservative Watch Dog: Pensions Could Bankrupt Illinois By 2015
Taxpayers United President Jim Tobin, is essentially blaming Democrats with a two house super-majority for failing to act on pension reform.
"Illinois will be the first state to go bankrupt, unless pension reforms are implemented," said Tobin.
And Tobin's numbers suggest it'll be sooner rather than later.
"Yeah, 2015 is about right," said Tobin.
Tobin totaled up lifetime salary and pension costs to assert a plan for hiring 200 new Illinois state police could cost $38 billion as he called for a state hiring freeze until the state's pension system is reformed.
Governor Pat Quinn's press secretary Brooke Anderson says pension reform is already in the work...with a bill now in the house..
"They will have some changes to the retirement age as well as the cost of living adjustment and a boost in the employee contribution. These are principles that we have spoken about for more than a year now," said Anderson.
Anderson says Quinn rejects the notion of switching all new employees to defined contribution plans as recommended by the taxpayers federation.
