Illinois pension buyback program fell short in year 1
CHICAGO (AP) — A pension buyout program offered to members in the state's three largest retirement systems has fallen considerably short of anticipated savings in its first year, according to a report.
Buyout savings were expected to reduce the state pension contributions from general operating funds by more than $400 million for the fiscal year that ended June 30.
But an analysis by a budget watchdog, the Civic Federation, shows that the buyouts have only produced around $13 million in general funds savings, which all emanate from the State Employees' Retirement System, the Chicago Tribune reported.
Last year, former Gov. Bruce Rauner included the program in the 2018 Illinois budget without submitting the plan through a pension actuarial assessment or public hearing process.
Read more: https://www.nwitimes.com/news/state-and-regional/illinois/repot-illinois-pension-buyback-program-fell-short-in-year/article_73e7117a-d1ac-563e-9d46-c926ebd6ae30.html
(Northwest Indiana Times)