Rahm Moves the Budget Timetable
- Mayor Rahm Emanuel said Wednesday he will introduce his 2016 budget in September — a full month early — to confront Chicago’s “momentous budget and pension challenges.”
Chicago’s faces a $1 billion operating shortfall and a $20 billion pension crisis. The Chicago Public Schools has a $1 billion shortfall and a $9.5 billion unfunded pension liability that threatens the on-time opening of Chicago Public Schools.
An Illinois Supreme Court ruling that overturned state pension reforms and placed Emanuel’s plan to save two of four city employee pension funds in similar jeopardy dropped Chicago’s bond rating to junk status.
So we'll be at the tail end of the summer killing season, likely a few weeks into a Teachers' strike and Rahm wants to introduce his budget a month early...a budget that's going to have to cover a $550 million payment to the pension.
What does Rahm know? Has Rauner signaled the casino bill is going to pass? Because everything is tied to that bill....everything. Without that bill, Rahm is up Shit Creek without a paddle, as are the taxpayers and the pension funds.
What does Rahm know? Has Rauner signaled the casino bill is going to pass? Because everything is tied to that bill....everything. Without that bill, Rahm is up Shit Creek without a paddle, as are the taxpayers and the pension funds.
Labels: pension
posted by SCC at 12:11 AM
24 Comments:
Chicago is getting the casino.
It's just extra time for Rahm to fuel the hype machine and leverage fear.
He will introduce his "doomsday" budget one month early, giving everyone an extra month to digest the catastrophic picture he lays out. Horrendous cuts to education, safety, services, etc. By the time he is done sowing fear, paranoia and panic will run through the city. Unless, of course, we do whatever Rahm says is the "solution".
That extra month will be spent emphasizing the most drastic, painful cuts possible, keeping in line with his mantra to "never let a good crisis go to waste". He probably thinks that if he plays his cards right, the public will give him whatever he wants - higher property taxes, a casino, a city income tax, etc. Instead of being held responsible for the poor choices he has made, he will pin the public down and we will thank him for it. SAD
"a budget that's going to have to cover a $550 million payment to the pension"
Oh yeah - the $550 million payment Rahm has taken absolutely no steps whatsoever to help prepare for - despite being fully aware for years that it is pending.
Who does that?
There are some side-effects to this Chicago casino too. It will deal another body-blow to the Illinois horse-racing industry. Bye-bye track and agriculture jobs (currently estimated at about 10,000 state-wide.) I don't care how big this casino is - it won't sustain 10,000 jobs.
I'm sorry, but the Casino is NOT the God-send some people think it is.
You can throw in two casinos, they are not going to make up for the spending and the waste the city is accustomed to.
PLUS, where are you going to find a whole new set of high-rollers to continually come and gamble every night? The South Side? The West Side? You need money to gamble.
The North side gonna come out and drop a couple of hundred a couple nights a week? ALL the foreigners (Visa holders) who live in Presidential Towers and other downtown apartments, are they going to rush out and start dropping $100 bills?
I don't think so.
And suburbanites? All the casinos are crying they aren't getting the crowds they used to. Who has the money? Millennials?
Better plan? Start cutting the waste in Chicago - BIG time.
Cut the Aldermen down to twenty. (Use half that savings to fund more police, the other half to cover pension shortfalls - it won't cover a lot, but it will put a dent in it as well as put a couple more cops on the street)
Freeze salaries for a year or two. Don't want to freeze salaries? Make everyone pay more for their healthcare. What do you pay now, $40-$50 a month - if that?
How about $400-$500 a month. Crazy? Those benefits cost BIG money today and most city workers haven't a clue.
Just don't bet on the Casino to wash away years of waste, because it won't.
Putting your faith in a casino that isn't even built is the height of insanity. Is there something in the water??
Teachers are going to strike in November......not September
Rahm is a tactician. I give him credit for that. By moving up the budget process early he makes it difficult for the teachers to strike. But if the teachers strike anyways then he gets to soak the taxpayers with all kinds of fees, levies, taxes and the blame goes on those greedy teachers and city unions. Why can't we think and act like Rahm? You can do that every single day you go to work. Just think about that last sentence.
The sneaky bastard has something up his sleeve.
I spoke with an Alderman's aid and he told me that they are considering a property tax increase. Ready for this, 50% increase but will settle for 25%! God help us.
If a casino is approved, do any of you really think that the money will be headed toward our pensions?
Let's also keep this in mind, how long do you think it will take to approve, build and make money on this casino?
This casino is a total bull shit deal and I promise Rham, and Daley, will make a fortune on it and we'll still be wondering where our pension funding is.
What the mayor and alderman do in late summer/fall may easily be the final move that kills Chicago. Our population is 2.7 million. In 2015 they published that Chicago's population was unchanged. http://www.chicagobusiness.com/article/20150326/BLOGS02/150329875/chicago-area-population-growth-grinds-to-a-halt
Our city is in big trouble. Since we are city employees our fortune rises and falls with the city's. Like it or not. If these clowns introduce more taxes then people will what they have always done, either not move here in the first place or move out. Property taxes on a middle class bungalow in Portage Park are easily $5000 and still it keeps going up and up and they still want to raise it further. This is fucking insane.
I could go for a big property tax increase, maybe 40% to 60%. Let those rich slum landlords pay through the nose for a change, and all those rich people that own houses.
"Has Rauner signaled the casino bill is going to pass? Because everything is tied to that bill....everything." -- SCC
OT --
Massive bank runs in Greece as country collapses --
"Failure to end the stalemate between Greece and its creditors at a meeting of eurozone finance ministers on Thursday led to fresh Greek deposit withdrawals, bringing the total for the week to €4.2bn."
http://www.theguardian.com/world/2015/jun/19/ecb-greek-banking-system-emergency-funding-greece-creditors-monday-meetings
“All those who are betting on crisis and terror scenarios will be proven wrong..."
Yeah, right. The ordinary people are voting with their passbooks...
"It's A Wonderful Life."
"ALL the foreigners (Visa holders) who live in Presidential Towers and other downtown apartments, are they going to rush out and start dropping $100 bills?"
6/20/2015 01:28:00 AM
P.T. and some others are like college dorms -- puke in the elevators, loud parties, etc. Not exactly like Cote D' Azur, loads of disposable income...
The politicians said the lottery would save the school systems with all the money it would bring in. Has not happened. Why would a city casino be any different. It may bring in a few bucks, and every bit helps, but bottom line there will be a property tax increase sooner or later. Cutting the city council to 25, cutting waste, sweetheart contracts, etc would save more money, but that will not happen. Not in Chicago.
Funny if its all about saving MONEY or finding MONEY for this problem WHY is there a GRAND TOTAL of 4 Superintendents at OEMC Traffic Operation ,. with Clout Connections . The Police Dept only has one Supt ,. OEMC Traffic Ops has 4 total ,. Unbelievable
I like Mr. Rahm.
Anonymous said...
I could go for a big property tax increase, maybe 40% to 60%. Let those rich slum landlords pay through the nose for a change, and all those rich people that own houses.
6/20/2015 11:59:00 AM
I'm cool with what you said. Cuz my rich landlord ass then passes on tax increases via jacking up tenants' rent when their leases are up for renewal. Same goes for water bill increases, lawn/snow/garbage services and any improvements I make on my rental properties... IT ALL GETS PASSED ON TO CHUMP TENANTS LIKE YOU. No need to hate those of us that are smarter than you and know how to invest and realize a very sizeable positive cash flow each and every month. My days of hustling and going to court and working side gigs ended in year number 12 of this fucked up job. I made and managed my money the right way, and now six income properties later (and not a single one Section 8) I'm fat with cash, Homie. Not to mention the primary residence being paid in full and a pretty nice summer place in Wisconsin.
REMEMBER THIS, CHUMP: YOUR money is making ME money. YOUR money established MY credit worthiness allowing me to buy multiple rental properties. YOUR money pays MY mortgages. YOUR money allows ME to own MY home outright. YOUR money allows ME to be maxed out in Deferred Comp. YOUR money allows ME to lease a new Lexus or BMW every 3 years. YOUR money allows ME to invest in many other endeavors. And YOUR money allows ME to blow a grand or two whenever I want to take a trip to a casino. Yeah, in case you haven't figured it out by now, it's all about ME and MY family's financial wellbeing.
PS - YOUR rent is going up next lease.
Casinos do not work.
Don't believe me, Just Look at Atlantic City.
They are closing casinos in AC.
25% property tax increase is still cheaper then most suburbs.
Use on of the existing pipeline used for oil distribution,clean it out,and sell great lakes water to California,Nevada and Arizona.Chicagos the most westernly city of the GreatLake cities,so it makes logistical sense Chicago could do this.OK I'm done.Just another retired copper drinking a few beers with a one hitter putting a thought out there.
It's probably tied to some deadline for increasing property taxes to make it on the spring bills.
Use on of the existing pipeline used for oil distribution,clean it out,and sell great lakes water to California,Nevada and Arizona.Chicagos the most westernly city of the GreatLake cities,so it makes logistical sense Chicago could do this.OK I'm done.Just another retired copper drinking a few beers with a one hitter putting a thought out there.
6/20/2015 11:22:00 PM
Good shit ain't it?
;^)
Post a Comment
<< Home