If Chicago’s public schools are failing, isn’t that a Chicago problem? Not according to Mayor Rahm Emanuel who wants a bailout for his city’s failure in education.
Zero Hedge reported:
Chicago Is Pushing For A Massive Bailout Of Its Public School System
It is well known that Chicago’s pension liabilities have completely decimated the city’s finances and currently stand at close to $20 billion. Faced with a significant challenge of meeting funding obligations as a result of a 2010 state law, Mayor Rahm Emanuel recently won a slight reprieve in the amount of money the city would have to contribute to fund the liabilities over the next few years, as recently Illinois lawmakers overrode Governor Bruce Rauner’s veto and will now change the legislation in order to allow the city to defer payments to fund pensions.
Under the prior legislation, Chicago was required to have its public safety workers pensions 90% funded by 2040, and called for an $834 million payment to be made in 2016 alone. The revised legislation reduces that amount to $619 million, and allows for smaller increases through 2020 while pushing the timeline for 90% funding out to 2055 – at which time the timeline will be extended once again of course, as it will never be possible for the City to come up with such funds.
Perhaps riding high on that small victory, Rahm Emanuel is now quietly asking the city to change investment rules that would allow Chicago to purchase debt from sister agencies such as the Chicago Public School system – said differently, Rahm Emanuel wants to bail out the Chicago Public School system.
Watch Democrats try to do this by naming the effort something Orwellian like the “Chicago’s Future” bill.
Misleading the American public is what they do best.