CHICAGO (AP) — Mayor Rahm Emanuel says a new law that'll overhaul two of Chicago's pension systems is a step toward correcting financial challenges.
Emanuel said Monday he'll work with the City Council to address other sources of revenue and will look for alternatives to a property tax increase for at least a year.
Gov. Pat Quinn signed a law Monday that'll address the pensions of municipal employees and retirees. It would nearly eliminate the $9.4 billion shortfall in those funds by cutting benefits and increasing contributions for employees and retirees. Major parts of the law take effect in January.
Quinn urged Chicago officials not to seek a property tax increase for additional contributions. Emanuel has said the tax increase is necessary.
Chicago has the worst-funded pension systems of any major U.S. city.