2008-07RESOLUTION NO. 2008-7
A RESOLUTION URGING THE ILLINOIS GENERAL ASSEMBLY TO CONSIDER
REASONABLE PUBLIC PENSION REFORMS
WHEREAS, Illinois public pension programs for municipal employees are facing uncertainty and
a financial crisis is developing; and
WHEREAS, generous retirement and disability benefits have caused locally managed pension
funds to incur escalating debt that threatens their long -term sustainability, as measured by declining levels
of funding throughout the State; and
WHEREAS, the Illinois General Assembly has continued to add to the growing costs of locally
managed pension funds through increasing benefits without providing additional revenues; and
WHEREAS, benefit increases in recent years have contributed to a doubling of the debt carried by
locally managed pension funds from 1999 -2004 based upon studies initiated by civic organizations within
the State of Illinois such as the Illinois Municipal League based upon statistical data obtained from the
Illinois Department of Financial and Professional Regulation; and
WHEREAS, the amount of debt carried statewide by locally managed pension funds as of 2004
exceeded $175,000 per active employee; and
WHEREAS, there is no certainty that the current benefit levels are sustainable by municipalities
for the existing and improved benefits; and
WHEREAS, local taxpayers are ultimately financially responsible for the growing pension
obligations and will invariably be expected to pay those costs either through higher property tax levies or
by the diversion of funds dedicated to provide traditional daily public services to residents, business and
other property owners.
NOW, THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF THE
VILLAGE OF BUFFALO GROVE, COOK AND LAKE COUNTIES, ILLINOIS that:
Section 1. The Illinois General Assembly is urged to stop approving new and increased pension benefits
for members of locally managed municipal pension funds in order to allow local municipalities to properly
address the current obligations that must be properly funded based upon the Illinois Pension Code.
Section 2. The Illinois General Assembly is urged to embrace sensible pension reforms in the areas of
ethics reform, professional fund management, public sunshine and disclosure of pension board activity,
conflict -of- interest restrictions, accountability measures, improved cost impact analysis, meaningful
regulation and enhanced local government funding authority.
Section 3. The Village of Buffalo Grove's elected President and Board of Trustees of the Village of Buffalo
Grove, its employees and taxpayers fully support basic, common sense efforts to begin improving the fiscal
health of locally managed municipal pension funds not only in Buffalo Grove but throughout the State of
Illinois.
0 'w R 0
AYES: 6 — Braiman, Glover, Berman, Kahn, Trilling, Rubin
NAYES: 0 - None
ABSENT: 0 — None
PASSED: March 3, 2008 APPROVED: March 3, 2008
ATTEST: APPROVED:
�rn
Villa erk age President