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The other financial storm threatening to capsize Illinois’ economy
Source: Crain’s Chicago Business

And no, it’s not underfunded pensions.

We’ll soon find out if Illinois lawmakers are serious about easing the state’s unsustainable property tax burden.

As you may know, Illinois has the second-highest property tax rate in the nation, trailing New Jersey by just five one-hundredths of a percentage point. The pain has become so acute for homeowners and landlords across Illinois that Gov. J.B. Pritzker appointed a task force this year to study the causes and recommend solutions. The task force report is due Dec. 31, setting up possible legislative action on the issue when state lawmakers reconvene next month.

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Public Act 101-0610 Short Summary: Consolidation of Fund’s Investment Assests
Source: Reimer & Dobrovolny PC

Public Act 101-0610 Short Summary: Consolidation of Fund’s Investment Assests

December 18, 2019: Signed by Governor Pritzker

January 1, 2020: Effective Date

Consolidates all Article 3 and 4 Pension Fund’s Investment Assets Only.

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Spillovers From State and Local Pensions to Social Security
Source: Center for Retirement Research

Federal law allows certain state and local government employees to be excluded from Social Security coverage if they are covered by an employer pension of sufficient generosity.  Public sector retirement systems have grown less generous in recent years, and a couple of plans could exhaust their assets in the next decade, putting benefits at risk.  If pension sponsors are inattentive to federal generosity requirements when cutting benefits, current and future initiatives to curb costs may conflict with their obligations to the U.S. Social Security Administration (SSA).  This project combines data from a variety of sources to assess whether state and local governments are currently satisfying the federal standards and whether the standards continue to provide benefits of equal generosity to Social Security.

The paper found that:

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