WATCH: Warnings of higher IL property taxes heard as pension bill advances
(The Center Square) – Supporters of an Illinois Statehouse pension measure say it is a “fix” for Tier 2 public employee pensions. Opponents say it will be too costly for state and local taxpayers.
State Rep. Jay Hoffman, D-Swansea, said amendments to Senate Bill 1937 will correct conflicts with Social Security provisions, saving taxpayers from covering possible penalties. The measure also increases cost of living adjustments to 3% a year for employees hired after 2011.
“Currently, under Tier 2 is 3% or half of the half of the change in the consumer index,” Hoffman told the House Revenue and Finance Committee Wednesday. “That’s not fair in that their pensions simply do not keep up with inflation.”
Republicans warned the aggregate cost for local taxpayers could be $15 billion.
Northwest Municipal Conference Executive Director Mark Fowler said in the first year alone, the measure would cost local taxpayers tens of millions of dollars extra.
“In some communities, local taxpayers could face the equivalent of a 10% property tax increase to fund the pension benefit increases proposed in Senate Bill 1937.”
Illinois already has the highest property taxes in the country.
State Rep. Stephanie Kifowit, D-Oswego, said the issue isn’t the annual costs of pension benefits increases.
“It is not the benefits. The benefits payment is about $2 billion. The issue here is the unfunded liability,” Kifowit told the committee. “And so we have laid out a plan to pay for that. We have laid out a plan that is fiscally responsible.”
State Rep. Steven Reick, R-Woodstock, criticized Democrats for working on the issue without Republicans or other stakeholders. He motioned to table to measure.
“We’re $140 billion in debt. I think we need to start from square one,” Reick said. “We heard people talking about dignity in this state. There is also dignity in not making promises you can’t pay for.”
Reick’s motion failed in committee.
The measure is advancing at the Statehouse. Thursday is the final day of fall veto session.
Chance Showers And Thunderstorms then Showers And Thunderstorms
Latest News Stories
Yorkville’s 17-Hit Outburst Overwhelms Lincoln-Way Central in 14-4 Victory
Munster Edges Lincoln-Way Central 4-3 in Nine-Inning Thriller
Meeting Summary and Briefs: Will County Board Ad-Hoc Ordinance Review Committee for April 14, 2026
Executive Committee Advances Sweeping Updates to Adult Entertainment and Wireless Facilities Ordinances
Sandburg Pitching Tosses One-Hit Shutout to Defeat Lincoln-Way Central 3-0
New Lenox Board Green-Lights Final Plat and $2.75 Million Surety for Spencer Meadows Subdivision
Ad-Hoc Committee: County Lowers Air Rifle Age to 13, Finds Airsoft Guns Beyond Local Regulatory Reach
Marist Dominates Lincoln-Way Central 15-0 in Three-Inning Power Display
Executive Committee Approves Local Fire District Appointments, Faces Pushback Over Delayed Elwood Seat
Gill’s Clutch Hitting, Panos’s Scoreless Start Propel Lincoln-Way Central Past Sandburg 3-1
Meeting Summary and Briefs: Will County Board Finance Committee for April 7, 2026
Ad-Hoc Committee: County’s Lack of Home Rule Stifles Effort to Ban Kratom and Non-Nicotine Vapes
Meeting Summary and Briefs: Will County Public Health & Safety Committee for April 2, 2026
Indiana Man Faces Federal Indictment, Potential Death Penalty for Momence Bar Owner’s Murder