Voters urge General Assembly to enact pension reform to relieve taxpayers

Voters expressed overwhelming support in Tuesday's election for immediate, meaningful pension reform. More than 84 percent of voters in Woodridge responded “Yes,” to an advisory referendum question asking constituents if the General Assembly and Governor should enact meaningful pension reform to protect taxpayers from the burden of rising pension costs.

A sizeable majority of voters in 45 Illinois communities where the referendum appeared on election ballots voted in favor of immediate pension reforms. This referendum follows the passage last March of pension reforms for all public employees except police and fire fighters.

“Skyrocketing pension obligations passed down by the state are crippling our communities,” said Kathleen Rush, village administrator. “Our taxpayers can no longer foot this bill, especially at a time when many don't even have money to put into their own retirement funds. We want to provide our employees with reliable and secure retirements, but we must be reasonable. Without meaningful action taken to curb escalating pension costs, our communities will suffer.”

As it currently stands, the pension payout structure for Woodridge employees is unsustainable. More than 65 percent of the total village of Woodridge tax levy goes towards pension costs, with 20 percent of the levy going towards IMRF pensions (non-public safety employees) and 45 percent going towards police pensions. Last year, the General Assembly passed legislation addressing IMRF pensions. This effort needs to be continued with reforms to public safety pensions. Said Kathleen Rush, Village Administrator, “We are counting on the members of the General Assembly to reform public safety pensions during the upcoming veto session.”

Public safety employees can retire as early as age 50 after 30 years of service, with a pension of 75 percent of their final pay rate. By comparison, IMRF employees would need to retire at age 60 with 40 years of service to receive a pension of 75 pecent their final pay rate.

The village of Woodridge joined the Pension Fairness for Illinois Communities to help address the problem of escalating pension costs. The Coalition, which represents more than 200 communities including Woodridge, was established as a statewide effort to develop a lasting solution to the pension crisis that protects Illinois taxpayers and communities, while ensuring sustainable retirement benefits for employees.

The coalition is calling on lawmakers to make police and fire pension reform a top legislative priority in the November veto session. For more information, please visit www.vil.woodridge.il.us/pensioninformation.aspx or www.pensionfairness.org.