Illinois governor signs state pension reform into law
Illinois Gov. Pat Quinn signed into law Thursday new legislation that aims to reform the state’s underfunded pension system — a $100 billion unfunded liability that was the worst in the United States.
“Illinois is moving forward,” Quinn said in a statement. “This is a serious solution to address the most dire fiscal challenge of our time.”
The new plan, in addition to allowing Illinois to make a full yearly contribution to pension funds, is expected to save Illinois around $160 billion in the next three decades. The law is the latest action among U.S. cities and states who have also moved forward with similar pension cuts to address funding issues, including Rhode Island in 2011.