Chicago Area Pension Funds: Unfunded Liabilities Mount

 

The Bond Buyer has an article this morning that discusses the continued deterioration in the funding levels of the Chicago area public employee pension plans (the four City of Chicago plans and plans for Chicago Park District, Chicago Public Schools Teachers’ Fund, Cook County, Forest Preserve District of Cook County, Metropolitan Water Reclamation District, and the Chicago Transit Authority).

The article points out that over the past ten years the average actuarial funding levels have fallen to 45.5% in 2012 from 74.5% in 2003.  All ten of the plans have funding levels below 60%.

Recent state General Assembly approved reform packages for two of the Chicago plans, the park district and the water district have not be reflected in the 2012 valuation.  Reform plans for the other six plans are still under negotiation.

Bond Buyer article