IL Govt. Pension Fiasco Sparks Media Coverage

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Chicago – Illinois Gov. Bruce Rauner delivered his inaugural budget address before the General Assembly yesterday, focusing in part on the government pension debacle afflicting the state. Taxpayers United of America (TUA) has played a large role in publicizing this issue for nearly a decade, and yesterday’s media coverage is helping spread the message like never before.
Although not mentioned by name, Rauner was citing TUA’s research when he stated in his budget address, “As it stands right now, one out of every four dollars taken from taxpayers by the state goes into a system that is giving more than ELEVEN THOUSAND government retirees tax-free, six-figure pensions worth as much as, in one case, $450,000 per year!”
Rauner was referring specifically to TUA’s release April 30, 2014, “Illinois’ Top 200 Government Pensions: The New Millionaire’s Row,” listing the most lavish government pensions in Illinois as of April 1, 2014. TUA’s response to Rauner’s budget address yesterday can be found here.
Luckily, Gov. Rauner’s reference was not ignored, and ABC 7 Chicago followed up with a story yesterday evening, “Some Illinois retirees getting millions from taxpayers,” further investigating the top gold-plated government pensions in the state. A link with a PDF of our research can be found within their ABC 7 investigative report, as well as here.
TUA has forced the Illinois government pension fiasco into the spotlight and for good reason; the current government pension system is unsustainable. TUA’s website has been flooded with new visitors and taxpayers looking to become members, joining TUA in the fight for fiscal sanity in Illinois and reclaiming our economic future.

ABC 7 | Some Illinois retirees getting millions from taxpayers

Taxpayer Education Foundation’s recent study on pensions was featured in a story by ABC 7 on the amounts of Illinois pension payouts.


“One out of every four dollars taken from taxpayers by the state goes into a system that is giving more than $11,000 government retirees tax-free, six-figure pensions worth as much as, in one case, $450,000 per year,” Rauner said.
Government pensions in Illinois are tax-free by Illinois, one of the few states that does not tax government pensions. Federal taxes are not exempt.
READ: Illinois’ top government pensions
The person receiving a $450,000 pension went unnamed, but the I-Team has learned he is a man named Tapas Das Gupta, a doctor retired from University of Illinois Chicago Hospital. Currently taxpayers are footing his annual pension of $452, 843, but what the governor didn’t mention is that the No. 2 top pensioner also makes about that much.
According to state pension records obtained by the I-Team, there are dozens of retired state workers with pensions of more than $200,000 per year, several at more than $300,000, and two atop the list at more than $400,000. The tax-free money is subsidized by taxpayers.
No. 1 is the UIC doctor, Tapas Das Gupta, a surgical oncologist schooled in Calcutta, India and who retired at 72.
Runner-up top state pensioner is Dr. Edward Abraham, a UIC orthopedic surgeon educated in Beruit, Lebanon, who retired at age 66 and receives a $439,000 a year pension.
Even as he receives that pension, Dr. Abraham has been hired back here at UIC part-time. It’s double dipping that is perfectly legal in Illinois and that other state pensioners take advantage of.
According to state records, Abraham is projected to receive more than $9 million in pension payouts from the State of Illinois during his retirement.
And there are dozens of retirees whose lifetime payouts are expected to be between $5 and $10 million.
The top-grossing state pensioner is expected to be a former kindergarten teacher, now retired school from his job as superintendent of Lincolnshire District 103, Larry K. Fleming. After retiring recently at age 55, Fleming is projected to receive $11, 535, 660 during the rest of his life.
Nearly all of the biggest state pensions are being paid to university medical doctors, local school administrators and teachers. In his speech Wednesday, the governor said those retirees- and all current state pensioners- will get everything they were promised, but that changes are needed for future state retirees.

We Need More Details and Fewer Speeches, Gov. Rauner!

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Chicago – Illinois Gov. Bruce Rauner delivered his first budget address to the General Assembly today, allowing the first-term Republican an opportunity to outline his plan to address the financial catastrophe looming over the taxpayers of Illinois.
Taxpayers United of America’s (TUA) director of operations, Jared Labell, said that today’s speech was mostly a replay of Rauner’s State of the State speech delivered just two weeks ago. “We were hoping that today’s budget address would give some concrete indication of how Rauner intends to move forward with his goal of reforming the government of Illinois and improving the economic climate of the state, but he was heavy on flowery campaign rhetoric and short on substance.”
“Rauner’s speech continued to echo many of the same points he offered two weeks ago, but unfortunately, without further details of how his approach will make fiscal sense; not to mention gain the approval of the Madigan and Cullerton Democratic stronghold called the General Assembly.” Labell continued, “Yet again, we will have to wait and see what the finalized budget proposal will look like on paper before we celebrate, and even then, we still have a long way to go.”
Although many specifics of the governor’s so-called ‘Turnaround Budget’ remained elusive following the speech, Labell was not entirely pessimistic about the opportunities ahead. “Rauner’s general approach to reforming the government of Illinois is a positive step in the right direction, especially when compared to groups like the Civic Federation, which recently released its state budget analysis calling for six major tax increases totaling more than $23 billion, plus billions in more expenditures.”
“Rauner seems committed to finding a solution to the pension crisis in Illinois, a top priority of TUA for nearly a decade. In his speech, Rauner even referenced some of the figures we have published, including the fact that more than eleven thousand government retirees are collecting tax-free, six-figure pensions.” Labell concluded, “The government pension system is unsustainable. Rauner and the General Assembly must address this fiasco first and foremost if they want to retain any credibility with the taxpayers who are forced to pay for this perpetual government boondoggle.”