Madigan Pension Fix Would Save Less Than Estimated

By: AP
By: AP

SPRINGFIELD, Ill. (AP) -- The estimated savings on a pension proposal backed by Illinois House Speaker Michael Madigan earlier this year is nearly $25 billion less than originally thought.

That's because the Teachers Retirement System -- one of Illinois' five pension systems -- says it made a mistake in its calculations. The change was outlined in a Monday letter to a bipartisan panel tasked with coming up with an approach to solving Illinois' nearly $100 billion pension crisis.

Madigan's plan involves across-the-board cuts in benefits. It was originally touted to save Illinois about $187 billion over 30 years. However, the new estimate is about $163 billion in the same time period.

Another plan from Senate President John Cullerton, which had union support, was estimated to save roughly $47 billion over the same timeframe.


You must be logged in to post comments.

Username:
Password (case sensitive):
Remember Me:
23 WIFR 2523 North Meridian Road Rockford, IL. 61101 Business: 815-987-5300 Fax: 815-965-0981 News: 815-987-5330 Fax: 815-987-5333
Copyright © 2002-2016 - Designed by Gray Digital Media - Powered by Clickability 221257151 - wifr.com/a?a=221257151
Gray Television, Inc.