PENSION PAIN NOT LIMITED TO CHICAGO
Chicago isn’t the only government with a looming pension crisis. Numbers compiled by the Cook County treasurer’s office and secreted my way show about a quarter of the government entities under the county umbrella have more retirees than they do employees.
It’s all public information available online, but seeing it in one lump is an eye- opener.
Mayor Rahm Emanuel’s been battling the problem since arriving in City Hall. There are 34,129 employees in the city of Chicago— not including teachers and school employees— and 46,749 retirees get benefits.
The mayor has offered up plans to put more money in the city’s retirement system to help prevent it from going broke.
Other government bodies may need to take similar action given the dire data from the office headed by Treasurer Maria Pappas.
This isn’t the first time she’s brought information to light. Pappas likes numbers and likes to share them with the public. A few years ago, she started publishing information about city and suburban debt on county property tax bills.
Pappas declined to talk about the latest bit of pension information. She was preoccupied Friday playing an electronic piano and singing holiday carols for a community party at her office. Pappas is expected to discuss the data Monday when she headlines a City Club luncheon.
Of the 549 government entities under Cook County’s umbrella, 130 have more retirees than they do paid employees— from the giant MetroWater Reclamation District of Greater Chicago to little libraries.
MWRD has 1,982 employees and 2,359 retirees. A few years ago, recognizing it faced a pension problem, the district made some changes. Employees added 3 percent of their pay toward the fund, dedicating a total of 12 percent of their pay, and the district nearly doubled its contribution to 4.19 percent.
“Significant changes needed to take place if those benefits were to be secured,” David St. Pierre, executive director of the MWRD, told me. “We’ve made those changes and seen a turnaround.”
For Glenview Public School District 34, it’s the state that oversees pension benefits for 1,170 retirees. Employees number 665. The district still pays into the state fund based on how many employees and retirees it has on the books.
Interim Supt. Griff Powell acknowledges the employee- to- retiree ratio could be a concern if the state can’t fix its pension problem or if it shifts some of the burden back to the district. Nothing joyful and triumphant about that.
“The finger should be pointed to the state legislators who haven’t appropriately funded pensions over several decades,” Powell says.
Pappas’ documentation is an eye- opener for smaller government bodies. What will little Justice Public Library District do? It has one employee and 11 retirees.
Local attorney knighted by France
Chicago attorney Richard Saines has been awarded France’s national order of merit for his contributions to tackling climate change.
The award, which makes the Baker & McKenzie executive a chevalier— like a knight — was presented at a private ceremony at the Chicago home of the French consul general.
“It’s a tremendous honor, and I’m thrilled and excited,” Saines told me.
He heads the North American climate change and environmental markets practice at the law firm.
The south suburban native worked with French and American officials for more than a year leading up to the Paris Agreement, which is aimed at strengthening the global response to the threat of climate change. It was signed by 193 countries.
Saines is well- accustomed to public speaking and seldom prepares a speech, but he prepared remarks for the honors.
Among some 2,000 honorees, mostly French citizens, are war heroes. “They’re people who have gone through a hell of a lot in their lives. I want to live up to that responsibility,” he says.
Chicago art collectors swarmMiami
They call it Art Basel Miami Beach, but it felt like Chicago to the local art collectors who found themselves bumping into each other at one gallery after another. They say they go for the art, but schmoozing is fun, and you can’t beat the sunshine and parties. Marc Spiegler, the global director of Art BaselMiami, is a welcoming host— he’s a Chicago native, after all.
I hear billionaire Ken Griffin wasw on the scene. Dr. Richard Heller and his wife, Beth GoldbergHeller, marketing vice president for Harry Caray’s Restaurant Group, celebrated their 14th wedding anniversary and looked for art to add to their collection.
Other Chicago collectors spotted at the fair and accompanying parties: Sara Albrecht, the former boutique owner and Hubbard Street Dance board chair; Jackie Bucksbaum, wife of Chicago businessman John Bucksbaum; former commodities trader Larry Fields and his wife, Marilyn; Arts Club of Chicago president Helyn Goldenberg and her husband, Michael Alper; commodity traders Paul and Linda Gotskind; Reel Beauty nonprofit board member Juanita Jordan; SkinnyPop cofounder PamNetzky and her civicleader wife, Ashley; and business exec Don Thompson.
Industry leaders on hand included Expo Chicago’s Tony Karman, Sotheby’s GaryMetzner and artists Hebru Brantley, Theaster Gates and Tony Tasset.
Missing from this year’s festivities was Linda Johnson Rice, who was in Los Angeles for the Ebony Power 100 Party.