$587 million budget deficit awaits Rahm Emanuel

Source: Chicago Sun-Times

Mayor-elect Rahm Emanuel will inherit a $587 million shortfall in the city’s 2012 budget — not including pension liabilities — despite a slight uptick in city revenues and a $65 million year-end balance that’s Chicago’s highest in the last decade, City Hall said Friday.

A hiring freeze and other spending controls that were projected to save $45 million this year will, instead, generate $85 million. That’s, in part, because the city has yet to hire the 200 additional police officers Mayor Daley promised.

Emanuel, who will be sworn in on May 16, plans to cut $75 million from Daley’s final budget before tackling a structural deficit that he claims could approach $1.2 billion when unfunded pension liabilities are factored in.

The mayor-elect has appointed a financial team packed with private sector experts who specialize in mergers and acquisitions and privatization.

Read more: http://www.suntimes.com/5222836-417/587-million-budget-deficit-awaits-rahm-emanuel.html

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I don't think the people of Chicago need to worry: Rahm will handle the situation in his calm, cool, even-tempered way.

nt

"his calm, cool, even-tempered way."

How you can maintain your equilibrium in these trying times! I feel like I'm continuously screaming at the top of my lungs, inside my skull, mind you:

"I'm mad as hell and I'm not taking it any more!"

I think he will do great.

led Chicago and Illinois since the budget started to go into deficit......

Oh wait, that would include Obama!

"The mayor-elect has appointed a financial team packed with private sector experts who specialize in mergers and acquisitions and privatization."

Calling contracted obligations 'unfunded pension liabilities' does not seem a fair assessment, considering that those who worked for those pensions, no doubt gave up other things during their working years to 'fund' those pensions. It just boosters my belief that the banks stole the public money and all the drama being put out across the country is a cover-up for that theft.

I asked this on another thread, and a knowledgeable person explained it to me in the language of accountants. But I prefer plain speaking. 'Grand Theft Country' marches on.

And I wonder how *not hiring* the '200 additional police officers Mayor Daley promised' is going to work out for the people of Chicago. Surely he won't let crime run rampant or privatize law enforcement which would let crime run rampant for those unable to afford private security.