A PENSION REFORM PACKAGE IS TAKING SHAPE IN THE ILLINOIS LEGISLATURE.

THE MEASURE RESTRUCTURES THE STATE’S PENSION SYSTEMS FOR STATE WORKERS, OFFICIALS, LAWMAKERS AND TEACHERS. IT REQUIRES EMPLOYEES TO MAKE A CHOICE: STAY UNDER THE CURRENT SYSTEM WITH COMPOUNDED COST OF LIVING INCREASES BUT LOSE YOUR HEALTH CARE WHEN YOU RETIRE…OR OPT FOR THE NEW PLAN THAT STILL ALLOWS ACCESS TO THE STATE’S HEALTH INSURANCE AND FACTORS IN ANY RAISES IN PENSION CALCULATIONS. THE DOWNSIDE WITH THAT OPTION IS THE ANNUAL COST OF LIVING INCREASES ARE REDUCED. THE GOVERNOR’S BUDGET DIRECTOR JERRY STERMER SAYS THIS ISN’T AN IDEAL SITUATION…BUT NECESSARY GIVEN THE DIRE CONDITIONS OF THE STATE’S PENSION SYSTEMS.

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 THE BIGGEST STICKING POINT IS A PART OF THE LEGISLATION REQUIRING SCHOOL DISTRICTS AND COLLEGES TO GRADUALLY START PICKING UP THE TAB FOR THEIR TEACHER’S PENSIONS. THAT COMPONENT IS OPPOSED BY HOUSE MINORITY LEADER TOM CROSS.

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THE BILL IS AWAITING A VOTE ON THE HOUSE FLOOR. THE SPRING LEGISLATIVE SESSION IS SCHEDULED TO END THURSDAY NIGHT.