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Chicago Public Schools Build Rich Future For Teachers

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View 2018 CPS Grids for all $100,000 CPS pensions

Chicago – Taxpayers United of America (TUA) has released the updated study of the Chicago Teachers’ Pension Fund (CTPF) conducted by its education arm, Taxpayer Education Foundation (TEF).

“Chicago teachers are guaranteed a rich future that they consistently fail to provide for their students,” stated Jim Tobin, president and found of TUA.

“No place is it more apparent that teachers are not paid for performance in educating our students than in Chicago Public Schools (CPS). Although the CPS graduation rate has increased to about 78%, it still trails the national average of about 84% and yet salaries are among the highest in the nation.”

“Chicago taxpayers are clearly not getting what they pay for. CPS pays its teachers more than any other major metropolitan government school district. Those generous paychecks equate to even more generous pensions. With a 3% compounded cost of living adjustment it takes only about 10 years to make more than their final average salary and the pension itself doubles in about 25 years.”

“There are more than 1,275 CTPF pensioners collecting more than $100,000 a year while the average Chicago taxpayer receives only about $17,000 in Social Security pension payments. That doesn’t even include most administrators who participate in a different pension fund.”

“Chicago area property taxes continue to climb in order to cover the ballooning pension payments. Chicago homeowners suffered a 10% property tax increase last year and another 5% increase this year and there is no end in sight.”

“Now that J. B. Pritzker has been elected as Illinois’ governor, you can count on a massive state income tax increase via the income tax increase amendment, a graduated income tax increase for Illinois. Their proposed structure would decimate the middle class.”

“Manford Byrd still tops the list of CTPF pensioners. His current annual pension is $202,244 and he has been paid $2,493,466 so far.”

“Mary A. McGuire makes more now in retirement than she did when she was employed. Her current annual pension is $185,201 while her final average salary was $183,800. With her compounded 3% cost of living adjustment, she should take in about $4,435,398 over a normal lifetime.”

“Imagine getting $5,871,750 in lifetime pension payments! That’s what Barbara June Eason-Watkins is on track to collect. Her current annual pension is $184,057 and she only paid 4.3% into her own pension fund.”

“Chicago is on a downward spiral as more and more taxpayers are moving out of the city and out of Illinois. That leaves a higher tax burden for those of us who stay as spending continues to increase – a formula for disaster.”

“Illinois needs to pass pension reform that ends the overly generous pensions and salaries being paid to government employees. New hires need to be placed in retirement savings accounts and retirement ages need to be raised. Without these changes, Chicago and Illinois will be completely bankrupt.”

5 NEW HOME RULE VICTORIES AND NEW CHALLENGES

Last night was a series of mixed blessings for taxpayers.

Yesterday taxpayers resoundingly turned down home rule from entering their communities. Beach Park, Lemont, Winthrop Harbor, Prospect Heights, and Zion all voted “No” on adopting Home Rule. By rejecting Home Rule, taxpayers have refused to give local politicians unlimited taxing power.

“I am happy for all of our local advocates,” said Taxpayers United of America (TUA) President, Jim Tobin, upon hearing of the victories. “TUA has warned for years that Home Rule means home ruin. This shows we are being heard loud and clear. I am hopeful this overwhelming victory discourages other power hungry local politicians, but governmental greed knows no limit. We have defeated 431 local tax increase referenda since 1977.”

However, the battle for the Illinois statewide government ended on a less rosy tone.

J. B. Pritzker ran over incumbent Bruce Rauner for Illinois Governor in an unsurprising victory. Rauner, who refused to sign a Tax Accountability taxpayer protection pledge, ran an ugly Republican primary campaign against Jeanne Ives. Representative Ives had scored a perfect 100% while Rauner only scored a 92% in our TUA Tax Survey of the 99th Illinois General Assembly. Representative Ives had also signed a taxpayer protection pledge.

Rauner’s attack on a committed taxpayer advocate combined with the tens of millions in funds for the Pritzker propaganda machine sealed the fate of the Republican governor.

Now with a committed tax raiser back in the governor’s seat and a Democrat majority, it falls to taxpayers to resist the Income Tax Increase Amendment, a graduated income tax increase for middle class taxpayers.

ILLINOIS HAS SIXTH-HIGHEST PROPERTY TAXES IN THE U.S.

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CHICAGO—Not only has Illinois lost more population than any other state, but, according to the nonpartisan Washington, D.C. Tax Foundation, only 5 states have higher property taxes.

“No wonder Illinois is hemorrhaging businesses and middle class taxpayers to states with lower taxes,” said Jim Tobin, president of Taxpayers United of America (TUA). “Illinois’ middle-class tax base is on the ropes. Greedy municipalities keep raising property taxes to fund the pensions of retired government employees.”

The foundation points out that local businesses also are victims of high property taxes: “Across the nation, property taxes represent one of the most substantial state and local tax burdens most businesses face. In fiscal year 2013, taxes on real, personal, and utility property accounted for 36.1 percent of all taxes paid by businesses to state and local governments.”

This year, the states with the best scores on the property tax component are New Mexico, Indiana, Utah, Idaho, Arizona, and North Dakota. On the other end of the spectrum, Connecticut, Vermont, New Jersey, New York, the District of Columbia, Massachusetts, and Illinois had the lowest scores on the property tax component.

According to the foundation, “States put themselves in a better position to attract business investment when they maintain competitive real property tax rates and avoid harmful taxes on intangible property, wealth, and asset transfers.”

Click here to view original Tax Foundation property tax report.

Click here to view why Oberweis is scaling down in Illinois because of high taxes.

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DISCLAIMER

Taxpayers United Of America: (TUA). is a nonpartisan, 501(c)(4) taxpayer advocacy group. Founded June 27, 1976 in Chicago, Illinois by activist and economist Jim Tobin, TUA works on behalf of taxpayers to reduce local, state, and federal taxes. In the past forty years, TUA has saved taxpayers more than $200 billion n taxes and has become one of the largest taxpayer organizations in America. Check All posts. s.

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