Hundreds of Bloomington – Normal Government Retirees Become Pension Millionaires at Taxpayer Expense

By on February 12, 2013   /   Illinois, Latest, News Releases, Pension Reform  

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Bloomington—Taxpayers United of America (TUA) today released the results of a new pension study of the employees of the Cities of Bloomington and Normal, McLean County, McLean County government schools, and Illinois State University.
“Illinois lawmakers continue their abuse of taxpayers by ignoring the number one budgetary problem in the state,” stated Jim Tobin, president of TUA. “Illinois is in horrible financial shape, and yet taxpayers are still expected to pour their hard earned money into a failed government pension system.”
“While residents across McLean County face crushing tax increases, falling home values, high unemployment, and a painfully slow economic recovery, government employees continue to receive stunning pensions largely funded by taxpayers who, on average, collect only $14,800 a year from Social Security.”
“Illinois’ government bureaucrats have been draining taxpayers in McLean County and all across the state for the last 30 years, trading gold-plated pension benefits for the votes they need to stay in power. Across the country, millions of bureaucrats are being paid trillions, to do absolutely nothing! With their 3%, compounded cost of living adjustments (COLA), Illinois’ government retirees double their pensions after only 24 years of retirement.”
“The purpose of our study is to put some perspective around individual pensions, to put them in terms to which the average taxpayer can relate. Area taxpayers, whose average household income is $59,000, need to know how much local government retirees are being paid not to work and the astronomical accumulation of those payments over an average lifetime.”
“For example, Robert S. Nielson retired from Bloomington SD 87 at the ripe old age of 58 and collects an annual pension of $158,930. His estimated lifetime pension payout is a stunning $6,152,074*, 3.7% of which was his contribution.”
“At only 53 years of age, Thomas A. Hamilton retired from the City of Bloomington and has an annual pension of $119,696, with a staggering estimated lifetime payout of $5,750,607*. His contribution of the estimated lifetime payout would be only 1.8%.”
“Retired Normal government employee, John M. Callahan, has an incredible lifetime estimated pension payout of $3,296,426*, 2.9% of which he contributed, with an annual pension of $93,812, retiring at only 58.”
View pension amounts below:

“Illinois’ government pensions are in serious trouble with no end in sight. Government employees should be paid a fair wage for the work they do today so they can save for their own retirement.”
“Without sweeping and immediate reform, Illinois’ pension system will collapse. Reform must include raising retirement age to 67, increasing employee contributions by 10%, increasing healthcare contributions to 50%, eliminating all COLA’s, and replacing the defined benefit system with a defined contribution system for all new hires. It’s mathematically impossible to tax your way out of this problem. Illinois has more than 6,700 retirees collecting more than $100,000; in 2020, that will be over 25,000 six figure pensioners.”
*Lifetime estimated pension payout includes 3% compounded COLA and assumes life expectancy of 85 (IRS Form 590).

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Cook County Proposes Huge Tax Hike on Poor

By on October 26, 2012   /   Illinois, Latest, News Releases, Pension Reform, Taxpayer Alert  

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Chicago–Cook County Board boss Toni Preckwinkle’s promotion of a $1.00-per-pack tax increase on cigarettes as a humanitarian initiative has questionable motives, according to Rae Ann McNeilly, director of outreach for Taxpayers United of America (TUA).
“Such an increase targets those who can least afford it,” said McNeilly.
“Smoking is most prevalent among the poor without even a high school diploma, so why propose a tax that will hurt them more than help them? This is also the same group hardest hit by unemployment and crime, which will also be bolstered by this tax increase.”
“It is either naïve or dishonest to promote this tax hike from the bully pulpit at the Stroger Hospital, exploiting the truly sick and suffering as well as those who are dedicated to helping people quit smoking. Recent cigarette tax hikes have done nothing to decrease smoking. From 2006 to 2010, Cook County and Chicago held the country’s second highest tax rate. During that same period, smoking decreased by only 4% in Illinois, but decreased by 18.4% nationally, according to the CDC.”
“The county’s revenue from cigarette taxes fell from $200 million to $131 million, or 34%, after the cigarette tax-increase in 2006. Increasing cigarette taxes does nothing to reduce the number of smokers but, instead, pushes them to purchase across county lines or out of the trunks of black-market dealers.”
“It is difficult to believe that Cook County board president Toni Preckwinkle doesn’t understand the realities of cigarette tax-hikes and their unintended consequences. If revenue decreases, crime increases, and legitimate Cook County businesses will lose business, what is the intent?”
“I will be testifying on this outrageous proposal at the public hearing on Friday, October 26 at 9:00 a.m. in the County Building, 118 N Clark, Room 569. I urge everyone to attend one of the hearings and let the board know that we won’t stand by while taxes are raised on businesses and low-income residents.”
Public Hearings on the 2013 Cook County Budget:
•    Thursday, October 25, 2012 – 6:30pm Public Hearing – Skokie Courthouse (Forest Preserve begins at 6:00 PM)
•    Friday, October 26, 2012 – 9:00am – Public Hearing – County Building, 118 N Clark, Room 569
•    Tuesday, October 30, 2012 – 6:30pm Public Hearing – Markham Courthouse (Forest Preserve begins at 6:00 PM)
•    Thursday, November 1, 2012 – 6:30 pm Public Hearing – Maywood Courthouse
Taxpayers can pre-register to speak at any of the hearings at https://www.surveymonkey.com/s/C6JTW3H.

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VIDEO: Magnum TI and the Case of Illinois' Fiscal Crisis (featuring Big Cheese Madigan)

By on October 23, 2012   /   Illinois, Latest, Pension Reform  

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Chicago – Taxpayers United of America (TUA) today released a video with an important message for voters: vote out of office those Springfield Democrats responsible for the huge 67% personal income tax increase and end Michael Madigan’s reign as House Majority Leader.
“Boss Madigan has been speaker of the Illinois House for nearly 30 years ‘and has more power than Mike Tyson’s left hook’, so who is really to blame for our bleak financial state?” asks Jim Tobin, president of TUA.
“TUA has produced this video to remind voters exactly who the problem is here in Illinois. The hero of our story, Magnum TI, solves the mystery of how to reform Illinois. In this ‘film noir’, Magnum TI calls for the neutralization of ‘Big Cheese Madigan’ by making him the house minority leader.”

“If we don’t throw enough Democrats out of office to make Speaker Madigan the Minority Leader, the 67% temporary personal income tax increase will become permanent, and will be followed by even more tax increases.”
“Illinois is hemorrhaging, 18 jobs per hour and one taxpayer every minute, and we need to stop the bleeding with an immediate change in leadership.”
“We are sending this video to every Illinois member and press contact to spread the message: ‘Throw the bums out.’ Chicago Machine Boss Madigan led us to financial devastation and we intend to hold him and his cronies accountable.”
“But nobody tells the story better than our very own, Magnum TI. Watch him in action!”

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