.

Madigan Drops Plan to Shift Pension Costs to School Districts

Under pressure from Illinois Republicans and Gov. Pat Quinn, House Speaker Michael Madigan announced he's dropping his proposal to shift teacher pension costs to local school districts.

Illinois House Speaker Michael Madigan (D-Chicago) dropped his controversial proposal on Wednesday to shift the state's teacher pensions committment to local school districts, universities and community colleges.

The announcement came after two days of spirited debate over pension reform in both the House and Senate.

Madigan's plan, which was part of Senate Bill 1673, was widely criticized by Republicans, and threatened to derail other legislation to address the state's massive pension shortfall.

READ: 

Madigan said he reached the decision after Gov. Pat Quinn asked him to drop the amendment, the Associated Press reports.

“He agrees with the Republicans. He thinks that we ought to remove the issue of the shift of normal cost out of the bill,” Madigan told the House on Wednesday night. “I disagree with the governor, but he is the governor. This is his request.”

The bill was handed over to House Republican Leader Tom Cross of Oswego, who slammed Madigan on Tuesday, calling his proposal a "poison pill" to kill pension legislation.

Plans to remove Madigan's amendment will be considered by a House Panel on Thursday, the Chicago Tribune reports.

Illinois currently has an $83 billion unfunded pension liability—$44 billion of which is from the Teachers' Retirement System.

With the cost-shift language off the table, lawmakers could vote on a comprehensive pension reform plan before the legislative session ends Thursday night.

School district officials from , and have previously spoken out against proposals to shift the state's TRS obligation to local districts.

The shift could have D230 $12 million, officials have said.

Sign up for Tinley Park Patch breaking news alerts and Like us on Facebook. 

Looking for more pension reform stories?

Do you agree with Madigan's decision? Tell us in the comments.

Larry June 02, 2012 at 12:30 PM
AS a retired State Employee of almost 2-years,You DO-NOT REFORM PENSIONS FOR PRESENT RETIREES,BUT FOR (FUTURE-RETIREES).When you retired you were told what your monthly in come is going to be,you signed the retirement papers AGREEING TO THAT AMOUNT(_No-LESS )!!!.PUBLIC-WAKE -UP-MR. MADIGANS SHURADS HAS TO END.WE need to elect new fresh political personnel,and vote out the INCUMBENTS.We need to demand TERM-LIMITS-2-year maximum.
Larry June 02, 2012 at 12:39 PM
Governor Quinn should do what a Democratic Governor did back in 1975-76.Then Governor Dan Walker took his powers and froze raises for all State union and non union personnel for 2-years during those hard times.More transparence needs to be done up-front with current workers.Last JULY State IDOT EMPLOYEES RECEIEVED A GENEROUS 4% RAISE AND THEN THIS PAST JAN.1ST ANOTHER 1-2% RAISE,5-6% RAISE IN 1 YEAR AND YET THEY CLAIM THEY NEED TO REFORM RETIREES PENSIONS??????????STOP EXPANDING GOVERNMENT AT OUR EXPENSES.
lvent August 18, 2012 at 06:52 AM
The American people CANNOT AFFORD to pay for anymore FRAUD...! There is $100+ BILLION DOLLARS MISSING...? WHERE DID IT GO....? AUDIT THESE CROOKS..!
Larry August 18, 2012 at 12:57 PM
They the (GENERAL ASSEMBLY)Should be audited,look and see where the dollars are being spent and miss-used,our PAID-INTO-PENSION money was Borrowed to the C.T.A. and never re-paid.Remember in November to ELECT NEW POLITICAL PERSONNEL,these incumbants need to go,no-one should hold any office for 20 or more years,voters in ILL. when will you STOP RE-ELECTING the people that are causing the problems!!!Wake UP! There needs to be term limits in ILL.When a person holds office for too many years,there is corruption!!Even in the City of Chicago with Alderman Burke,he is now under scrutiny for the police board .Think of who is running the country,who is running Springfield,and who is running the City of Chicago,is there a common political party and affiliation throughout??
lvent August 18, 2012 at 05:30 PM
The emperor has no clothes.
lvent August 18, 2012 at 05:54 PM
Financial experts agree...America needs a debt jubilee. The politicians and the banksters debt is massive and unsustainable.
lvent August 18, 2012 at 06:33 PM
Madigan and Quinn are acting like fascists in this attempt to cover up for fraud.

Boards

More »
Got a question? Something on your mind? Talk to your community, directly.
Note Article
Just a short thought to get the word out quickly about anything in your neighborhood.
Share something with your neighbors.What's on your mind?What's on your mind?Make an announcement, speak your mind, or sell somethingPost something
See more »