Current pension system hurts taxpayers, workers

I am a member of the Illinois Pension Consolidation Feasibility Task Force and the former executive director of the Illinois Municipal Retirement Fund. I fully support Gov. J.B. Pritzker's legislative initiative to consolidate the investment function of the local fire and police pension funds.

During the task force's deliberations over the last eight months, IMRF was frequently cited as a model.

It consolidates over 3,000 units of local government for administrative and investment purposes.

The benefit of consolidating investments is stark. Over the 2012 to 2016 period, the 649 individual police and fire pension funds averaged returns of 5.06% per year; while IMRF earned 8.28% a year.

Over those five years, IMRF earned $2.5 billion more than the suburban and downstate fire and police pension plans. To paraphrase the late Sen. Everett Dirksen, that is real money. Real money Illinois taxpayers will need to make up through real estate taxes or cuts in services.

Taxpayers are being needlessly fleeced. And, the retirement security of first responders needlessly undermined. I urge passage of Gov. Pritzker's initiative.

Louis W. Kosiba

Lakewood Ranch, Florida