 The state Senate on Thursday approved the package of pension changes
for local cops and firefighters who are hired after Jan 1. The
Illinois House approved the plan earlier this week despite stiff
opposition from police and fire unions across the state.Under the
package headed to Quinn's desk, newly hired police officers and
firemen will have to work five more years, until age 55, to retire.
They will have to put in 30 years on the job to collect a full slate
of retirement benefits, and those benefits will be capped. Cities,
which pay the bulk of the cost of the plans, also will be required
to make the contributions.
But the new pension changes have not settled the issue of pension
reform. There are a number of lawmakers, and some local leaders, who
say changes must be made for cops and firefighters currently
enrolled in a pension plan.
The Illinois Constitution, however, could be a roadblock to those
pension reform plans. State Sen. Kwame Raoul, D-Chicago, said there
is a desire to look for more reforms, but there's an even greater
desire to avoid a constitutional showdown.
"We don't want legislation that would just lead to extended
litigation," said Raoul.
Pat Devaney, president of the Associated Firefighters of
Illinois, said the thousands of local police officers and
firefighters would not sit by and let lawmakers target current
retirement plans.
"That's a non-starter. ... If (lawmakers) want to talk about
efficiencies, no problem. We're open to that," Devaney said. "But I
haven't heard anything about slashing benefits for current
employees."
Springfield Mayor Tim Davlin, who has became a leading voice for
pension reform, said it would be tough to change benefits for anyone
on the job or collecting a pension check. Instead he'd rather look
for technical changes in managing current retirement plans.
"Not at all changing benefits for current workers; more so
efficiencies that you can have in 636 different downstate police and
fire pension funds," said Davlin.
The mayor said cities have more leeway in managing retirement
plans for local workers but not local firefighters.
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But State Sen Pam Althoff, R-Crystal Lake, said that won't save
cities the kind of money they need. Althoff said the constitutional
question is more a question of timing. She thinks there could be
wiggle room for a change in benefits for current workers from the
date of new legislation.
"I think people really have to understand that at this particular
time -- when we have numerous people in the state of Illinois who
are unemployed, who are no longer receiving unemployment checks and
certainly have no access to a pension -- that what government
employees and elected officials have available to them when they
leave their position is rich by any means. And I think we have to
evaluate where we're going from this point, in this economic
condition," Althoff added.
Devaney said it's insulting that lawmakers are targeting
retirement benefits for police officers and firefighters when it's
not the costs of those benefits that have led to cities' fiscal
woes.
"The benefits are not the reason these funds don't have the
money. Investment returns, poor planning and sometimes cities not
even contributing are the real problems," Devaney said.
Davlin said the pension changes for new cops and firefighters are
the most important new law for cities in a decade. He said cities
across the state will now have a way to find millions of dollars in
savings at a time when they need it most.
Sean Smoot with the Policemen's Benevolent and Protective
Association said that remains to be seen.
"Cities are expecting millions of dollars in savings the day
after this legislation takes effect, ... but we don't know what
those savings really will be. And we won't know for years," he said.
[Illinois
Statehouse News; By BENJAMIN YOUNT]
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