How to calculate the Chicago Police Pension in 2018
The Chicago Police Department (CPD) is facing an enormous pension deficit that will make it difficult to pay retirees, including a large portion of its $3.2 billion in pension liabilities.
In fact, the CPD has a $2.9 billion pension liability in 2018, with $1.6 billion of that going toward paying its workers.
The CPD will pay a $250 million bond payment to pay down its pension liabilities, but that payment is subject to approval by a state pension board.
It is important to note that the Cpd will be able to pay its workers even if its pension payments are not paid by 2019.
As long as the state’s pension system is in good shape, the state is expected to provide CPD with enough money to pay it for the remainder of the 2027 fiscal year.
However, the city’s pension plan is in dire straits, as it is expected that it will not be able pay all of its retirees in 2019.
The city’s $3,926 billion pension fund has $4.9 trillion in assets and $2,923 billion in liabilities, according to the Chicago Board of Education’s 2016 actuarial report.
In the last three years, the pension fund’s assets have grown by $4 billion, while liabilities have grown in half that time.
The fund’s balance sheet has ballooned to $2 trillion, and is expected be around $3 trillion by the end of the decade.
In a letter to the state board, the Chicago Public Schools System said that it plans to borrow $1 billion for the 2019-20 fiscal year, with another $600 million to be used for 2018-19.
The school system said it plans “to maintain an adequate reserve fund of $2 billion to maintain its current operating balance and to invest the additional $1,000 billion in capital projects.”
However, as the pension liabilities grow, the financial impact of the shortfall on the city is likely to be larger.
According to the letter, the shortfall “could result in significant changes to the operating plans of the CPS and could result in a reduction in operating hours and potentially reduce the ability of the school system to continue to meet its current workforce needs.”
According to The New York Times, the Pension Benefit Guaranty Corp., a New York City-based financial advisory firm, expects the CPLD’s pension obligations to balloon to $3 billion by 2019, from $1 in 2019 and $1 by 2021.
This could cause the city to have to borrow money to cover the $3 bill.
While the Cpld’s pension payments will be less than the $2 bill, the bill could still be a significant financial burden for the city.
The city currently owes $3bn to the Creditors Protection Fund, and it is not clear how much the city could be able borrow to pay off the $1 bill.