May 28, 2015
This article discusses the first bond refinancing completed by the City of Chicago following a credit downgrade by Moody’s Investors Service that pushed the City’s credit rating below investment grade. The Civic Federation said it won’t be clear what the total cost of this refinancing will be to taxpayers until the deal is closed on June 1.
May 27, 2015
The Chicago Tribune
This article discusses Mayor Emanuel’s plan to tackle a sharp increase in required payments to the City’s pension funds next year, based on a 2010 law aimed at bringing the City’s Police and Fire pension funds back to 90 percent funded by 2040. The Civic Federation said the law’s 25-year funding plan was a political construct and not tied to any actuarial analysis.
May 25, 2015
The New York Times
This article discusses the Illinois Supreme Court ruling that found a 2013 State of Illinois law reducing pension benefits for State employees and retirees unconstitutional. The Civic Federation called the ruling a wake-up call and said the financial challenges the City of Chicago and State of Illinois are facing related to unfunded pensions will not be fixed without politically painful options.
May 24, 2015
This article discusses the City of Chicago’s planned return to the municipal bond market weeks after Moody’s Investors Service downgraded the City’s bond ratings to below investment grade. The Civic Federation said the combination of the downgrade and an Illinois Supreme Court ruling that appeared to limit the City’s options for dealing with its underfunded pensions leave the City with heavy uncertainty in the market.
May 21, 2015
The Wall Street Journal
This article covers the City of Chicago’s decision not to hire Moody’s Investors Service to rate its recent refinancing of general obligation bonds shortly after the City was downgraded by Moody’s to below investment grade. The Civic Federation said just five years ago it was almost inconceivable that the City’s ratings could drop to less than investment grade.
May 22, 2015 - 9:46am
Recently, Moody’s Investors Service downgraded the City of Chicago, Chicago Park District and the Chicago Board of Education’s general obligation bond ratings below investment grade, with a negative outlook.
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May 7, 2015
Crain's Chicago Business
This article discusses the FY2016 Recommended Budget Analysis released by the Institute for Illinois’ Fiscal Sustainability at the Civic Federation. The Civic Federation opposed the budget because the analysis found that certain spending reductions are either unrealistic or inconsistent with the State’s long-term financial goals.
May 7, 2015
This article covers an analysis released on the Governor’s FY2016 Recommended Budget by the Civic Federation’s Institute for Illinois’ Fiscal Sustainability. The analysis found that while the budget closes a $6.2 billion gap on paper, it relies heavily on projected savings that do not appear to be achievable.
May 7, 2015
This article covers the FY2016 Recommended Budget Analysis released by the Civic Federation’s Institute for Illinois’ Fiscal Sustainability on May 7. The analysis found that certain projected savings included in the budget are dependent on changes in State law and are likely unachievable within the timeframe of the fiscal year that begins July 1, 2015.
May 8, 2015
Chicago Sun-Times Editorial Board
This editorial followed the Illinois Supreme Court’s ruling against the constitutionality of a 2013 law that would have amended State retirees’ pension benefits to begin reducing the State’s $111 billion in pension debt. The editorial cites Civic Federation recommendations from its FY2016 Recommended Budget Analysis and FY2016 State Budget Roadmap that would generate additional State revenue.