Tag: Michael Madigan

IL Public Pension Debt at $133 Billion

Ten U.S. states have public pension liabilities that are at least as big as their annual revenues, according to a Moody’s Investors Service report released on Thursday that found the Illinois pension bill was equal to 241 percent of its revenues.  …

According to Moody’s, Illinois has the largest net pension liability in the country, $133 billion, equal to $10,340 per person in the state. The liability is equal to 19.8 percent of the state’s gross domestic product.

via Reuters.

It’s worth nothing that the $133 billion owed for the pensions does NOT include the over $45B in state issued bonds or over $8B in unpaid bills sitting on the Treasurer’s desk. (Source.)

The reality is every man, woman, and child in Illinois owes the state at least $14,400.

Every man, woman, and child in the U.S. owes the G $53,400.

So if you live in Illinois add up your net worth and subtract $67,800.  Of course, if your a taxpayer you actually owe about 2x this amount… but that’s another story.

More Money 4 Medical Malpractice Lawyers in IL

Medical malpractice lawyers are poised to make more money after Gov. Pat Quinn quietly signed a law allowing them to collect higher fees.

Doctors groups criticize the change, arguing that it will result in less money for injured patients who need it for costly health care and therapy. They also contend the measure was quickly pushed through the General Assembly in the waning days of a lame-duck session by ruling Democrats friendly to trial lawyers.  …

The bill surfaced in the Senate on Jan. 2, tacked onto a measure that originally dealt with firearm ranges. A day later it passed the Senate mostly on Democratic votes. Over in the House, powerful Democratic Speaker Michael Madigan sponsored the bill. A few days later it went to the governor on a 67-46 vote, again with mostly Democratic support. Quinn signed the measure into law Jan. 18, disclosing his move on a Friday afternoon, when politicians often choose to bury controversial news.The law eliminates the sliding scale that spelled out how much attorneys could charge for bringing medical malpractice cases. Previously, attorneys could collect one-third of an award up to $150,000, 25 percent for awards ranging from $150,000 to $1 million and 20 percent for awards of more than $1 million. Attorneys also could petition the court for even higher fees, a practice the new law eliminated.

The new system will see attorneys collecting a flat one-third rate on all awards. The Medical Society contends that means a patient who was awarded $1 million would now pay $333,333 in attorney’s fees as opposed to $262,500 under the old standards — the first $150,000 of the award at the one-third rate and the rest at the 25 percent rate.

via Quincy Journal.

The Machine at it again.

If this was such a great law, so helpful to the general public, then why passed in the dead of night and signed on a Friday afternoon?

Just more corruption from Michael Madigan and his trial lawyer buddies.

Illinois Credit — Worst in the Nation

Illinois fell to the bottom of all 50 states in the rankings of a major credit ratings agency Friday following the failure of Gov. Pat Quinn and lawmakers to fix the state’s hemorrhaging pension system during this month’s lame-duck session.

Standard & Poor’s Ratings Service downgraded Illinois in what is the latest fallout over the $96.8 billion debt to five state pension systems. The New York rating firm’s ranking signaled taxpayers may pay tens of millions of dollars more in interest when the state borrows money for roads and other projects.

“It’s absolutely bad news for taxpayers,” said Dan Rutherford, the Republican state treasurer.

Illinois received its bottom-of-the-pack ranking when it fell from an “A” rating to “A-minus.”

via Chicago Tribune.

Well there you have it.  The Machine, the Illinois combine has driven us straight into the gutter.  The cost of the billions and billions of debt is going up and up.  The taxpayers are stuck with the bill.

It’s old news but I’d like to review this for the record.  I have only three (3) Republicans that represent me.  Every single other elected official that represents me is a Democrat.

Alderman Bob Fioretti – D
Mayor Rahm Emanuel – D
Chicago City Clerk – D
Cook County Clerk of Courts – D
Cook County Treasurer – D
Cook County Assessor – D
Cook County Recorder of Deeds – D
Cook County States Attorney (DA) – D
Cook County Board Member – D
Cook County Board President – D
IL House Seat, Derrick Smith (Current under indictment) – D
IL Senate Seat, Patricia Van Pelt – D
IL Governor, Pat Quinn – D
IL Lt. Governor, Sheila Simon – D
IL Attorney General, Lisa (I won’t investigate my father) Madigan – D
IL Comptroller, Judy Baar Topinka – R
IL Treasurer, Dan Rutherford – R
IL Sec. of State, Jesse White – D
US House, Danny Davis – D
US Senate, Mark Kirk – R
US Senate, Dick Durbin – D
US President, Barack Obama – D

What is that?  3 of 22?  If you just take the State folks it’s 2 of 17.  2 of 17.  That’s 11.76% of my elected persons are not Democrats.

So let me ask you, if I was looking to blame someone for the mess that we’re in where would be a good place to start?

Mike Madigan: Speaker King

Democratic Speaker Michael Madigan has many advantages as he tries to extend his nearly uninterrupted three-decade control of the Illinois House.

His Democrats have more campaign money. His party has home-state President Barack Obama to drive the vote. Perhaps most important, Madigan drew the district boundaries for each of the 118 House contests that will play out in Tuesday’s election.

Given all that, Madigan is positioned to add to his 64-54 majority.

via Chicago Tribune.

Someday Michael Madigan’s daughter will not be the Illinois Attorney General.

Someday the people of Illinois will realize just what self serving piece of garbage Michael Madigan really is and demand that he be thrown in jail, burn his house down, and then burn the ashes.

All of Illinois’ problem can be laid at the feet of Michael Madigan.  The debt, the fraud, the corruption, the bad roads, the pension fiasco, … everything.  It’s been his piss poor planning for the last 30 years that has brought us to this point in time where the state is bankrupt and looking for a federal bailout.

We need to Kill the Machine.

 

 

 

IL Finances Heading to Social Unrest

“I think it’s going to reach a point where there’s either social disorder or bankruptcy before people will act,” he said.

via Crain’s Chicago Business.

Ya, that sounds about right.

But let’s back-up a little.  This is a quote from a story about how back the finances are in Illinois.

A Blue Ribbon Panel put together a report which was released this morning.  It’s damning in the extreme.  The whole report can be found here.

I’ll write more about this later… I have to catch a plane.

$2M in Unemployment to Inmates

More than 1,100 people have collected nearly $2 million in unemployment benefits while they were in county jails or state prisons, including $43,000 that went to a person in the Cook County Jail, a state agency said Tuesday.

Now they may face state or federal criminal fraud charges as well as having to repay what they shouldn’t have taken in the first place, said Greg Rivara, spokesman for the Illinois Department of Employment Security.

In Cook County alone, there were 296 inmates tied to $722,689 in wrongful payments. In Will County, 21 inmates collected $85,159. Lake County was another leader with 20 inmates collecting $84,533, the agency said.

via Chicago Tribune.

WT…?!  You couldn’t make this stuff up.

#1. Where are the two wonder-twins of justice in this?  Nothing from Lisa Madigan or Anita Alvarez?  Why?  Where have they been?
#2.  Who the hell is running this agency?  Jail and prison records are actually a matter of public record.  You’re telling me no one ever bothered to cross-check the payouts against another public record?

#3.  It kinda makes you wonder how much fraud is really going on in the system.  After all, The Machine has their corrupt friends running all these agencies there is really no limit to how much might be missing.

Certainly not last… This is just another fine example as to why any service run by the government is doomed to ultimately doomed to fail.  People are incentivized to cheat the system.  But government employees are also incentivized to get as many people as possible into the system so they can justify their jobs and get more jobs and thus become more politically powerful.  As such, no one is watching the money.
The government that works the least is most often the government that works best.

Illinois – Worst Financial Shape Ever

Bloomberg L.P., the big New York financial data firm, is holding its fall municipal-financing conference on Wednesday, and guess what the title is for the special panel on the Land of Lincoln?  Try Land of Entropy.  Yes, sports fans, the panel titled “Illinois Treading Water” is set for 1:45 p.m. and, according to a synopsis, not too much good will be said about our fine state.

“California debt is beating Illinois bonds by the most in three months as investors choosing between the two lowest rated U.S. states reward efforts to bolster the finances of the nation’s biggest pension in California,” it says.  But though they passed a version of pension reform in California, nothing good has happened here.

“Illinois lawmakers failed to advance any measures in a special session Aug. 17,” the synopsis says.  “Standard & Poor’s cut the state’s credit.”  And, at last check, “Illinois carried a backlog of about $8 billion in unpaid bills, not including pension obligations.

“More: Illinois’ ratio of pension assets to liabilities is “the lowest among U.S. states.”  It concludes, “What is the outlook for significant defaults in the state? How can Illinois get its fiscal house in order?”

via Crain’s Chicago Business.

Rahm, Michael Madigan, Pat Quinn, John Cullerton, and the rest of The Machine will go down in history as fiddling while Illinois burned.

Legislative Change Means $670 million More for Teachers’ Pensions

The state will have to come up with another $670 million for the teacher pension system in the next budget after a retirement fund panel crunched the numbers and adjusted its assumptions.

The Teachers’ Retirement System lowered what it expects from investments from 8.5 percent to 8 percent. The pension fund’s leadership also increased a variety of other assumptions, including how long it expects retired teachers to live. The fund covers teachers outside Chicago.  …

The state is paying $2.7 billion into the fund in its current budget. Without any adjustments, the state would have owed about $2.89 billion in the new budget year that begins next July 1.But the changes approved Friday increased that price tag to $3.37 billion. All told, the state will have to pay $670 million more than this year.

via Chicago Tribune.

Consider, we’re going to pay $3.3 billion into the teachers pensions and another $3 billion on debt service.  That’s $6 billion next year that could have gone to pay for services for the poor and the elderly but instead are going to the politically connected and union members (… I realize that’s redundant.)

But this may be the best line of all:

Senate President John Cullerton and House Speaker Michael Madigan, both Chicago Democrats, recently suggested that changes to the pension system would have to get done in January at the earliest. That’s a post-election period when more lame ducks are freer to take politically risky votes, and the bar to pass legislation with an immediate effective date drops from three-fifths to a simple majority.

Allow me to translate:  Fixing the pensions is going to be very unpopular and thankfully our experience is that voters have short memories.  We also don’t care how much more money this costs the state (after all, all the bond holders and the teachers unions are our buddies.) We’re also not sure that we can get all the Democrats to go along.  So we to avoid any embarrassment — and to make sure the unions make the campaign donations they promised before the election — we’re going to put this off until next year.

The Machine is like a casino… the house never loses.

IL, 3rd Worst for Business …again

Let’s first get some background on the winners:

In Chief Executive’s eighth annual survey of CEO opinion of Best and Worst States in which to do business, Texas easily clinched the No. 1 rank, the eighth successive time it has done so. California earns the dubious honor of being ranked dead last for the eighth consecutive year.  …

Florida moved up from number three last year to number two. Last year, Florida Gov. Rick Scott penned a tongue-in-cheek letter to Texas Gov. Rick Perry, warning him that Florida is coming after the Lone Star State’s top ranking. Since Scott took office, his administration has enacted business tax and regulatory reforms that have contributed to the creation of more than 140,000 private sector jobs and an unemployment drop of 2.1 percentage points last year—one of the biggest decreases in the nation.It is perhaps no coincidence that Texas and Florida have the highest net migration of people to their states from 2001 to 2009. (By contrast, New York and California lost over 1.6 million and 1.5 million in net migration out of the states, respectively, over the same period.) People migrate in search of employment, but this can cut both ways. Texas is justly proud of adding to its employment numbers, something Gov. Perry cited numerous times during his brief campaign for the Republican Presidential nomination. Between June 2009—which marked the official end of the recession—and July 2011, the number of jobs increased in the state by 328,000. Nationally, the job growth in that time period was 697,000 according to figures from the Bureau of Labor Statistics. This translates to Texas jobs making up 47 percent of the national net job creation. However, neither Texas, nor the nation, is adding jobs at a pace fast enough to bring down unemployment to historically normal levels. And Texas’ unemployment rate—while still below the national average—is now higher than that of 26 states

via Chief Executive Magazine.

Wow!!  Congratulations to Florida and Texas for being massive job creators.

Illinois?  You rank 47th.

One CEO commented that “Illinois is in a race to the bottom.”

Congrats Gov. Quinn, Michael Madigan, Mayor Daley, and the rest of the cabal for driving businesses and job out of Illinois.  We’re shrinking while other states are growing.  You’ve forced millions of people to suffer while you’ve enriched yourselves.

Pathetic.

Clout Boosts Ex-Police Chief $30k per Year

The Machine taking care of its own:

At first blush, a pension bill adopted by the General Assembly in 2007 seemed to have a laudable goal: extending retirement benefits to local police force employees’ widows after they remarried.

But buried within the legislation was something considerably less altruistic: a provision that enabled a member of one of Chicago’s better-known political families to boost his pension by more than $30,000 a year — while saddling unsuspecting taxpayers in Oak Brook with nearly $750,000 in funding liabilities, the Chicago Sun-Times and Better Government Association have learned.

The recipient of that larger pension, Thomas Sheahan, is a former police chief in Oak Brook, the current village manager in Lyons and a member of a Democratic clan that has helped rule Chicago’s Southwest Side for decades.

Sharp-tongued and unapologetic about benefitting from the provision that no one else has used, the 59-year-old Sheahan said of his pension: “I worked for 24 f—— years [in the public sector], I deserve every penny of it and I deserve a lot f—— more.”

Retiring from Oak Brook last spring, Sheahan now is drawing an annual payout of nearly $77,000. Although pension records show that’s about $32,000 more than he would have received had he retired at the same point without the legislation, Sheahan said it’s still a relatively modest sum. “I get about what a sergeant gets,” he said.

Sheahan — brother of former Cook County Sheriff Michael Sheahan and James “Skinny” Sheahan, a long-time aide to ex-Mayor Richard M. Daley — wouldn’t say if or how he was involved in the origin of the pension sweetener.

via Chicago Sun-Times.

When will the people rise up and say “Enough!”  A foul-mouth connected punk thinks he deserves more.  Go get a real job in the private sector and find out what you’re really worth.

But that’s not even the end of the story:

The main sponsor of the bill, then-state Rep. Bob Molaro (D-Chicago), told members of the Illinois House that the tweak to the state’s pension code was intended to help one person, according to a transcript that didn’t identify the person.  …

Molaro declined to be interviewed, but released a statement to the Sun-Times indicating he did not know Thomas Sheahan at the time the legislation was crafted, something Sheahan echoes. They came to know each other, however, after Molaro left the Legislature in late 2008 and, with a partner, became a $5,000-a-month lobbyist for Oak Brook.

Molaro said in the statement: “Any attempt to connect the sponsorship of this bill and my being part of the lobbying team for the village of Oak Brook is completely unfounded and absurd.”  …

Sheahan now is village manager in Lyons, where he said he’s paid roughly $65,000 a year for fewer than 20 hours a week.

So this political hack is now drawing $140,000 per year from the taxpayers.  Unbelievable.

And Molaro… the tool that he is, doesn’t even know who he’s working for.  He’s just doing what he’s told; nothing more than a warm body filling a seat collecting $80,000/year from the taxpayers to be Michael Madigan’s bag man.

Speaking of Madigan… Where’s Lisa Madigan in all this?  Shouldn’t the state’s highest law enforcement officer look into the matter to see if a crime’s been committed?