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Chicago City Wire

Saturday, April 20, 2024

Analysis: Municipal Employees A & B Fund Of Chicago would go broke in nine years without taxpayer subsidy

Money 05

Without members and taxpayers subsidizing its revenue, Municipal Employees A & B Fund Of Chicago lost $593,034,839 in 2016, according to a Chicago City Wire analysis of the latest data reported to the Illinois Department of Insurance Pension Division.

The fund has $2,147,483,647 in total assets. If the funds annual losses were the same, it would run out of money in nine years without these subsidies.

The fund earned $301,896,719 in investment income and other revenue in 2016. At the same time, it paid out $894,931,558 in expenses, according to the 2017 biennial report detailing the health of each of the states pension funds and retirement systems. The difference between the two shows the funds annual loss without subsidies.

Taxpayers added $157,444,029 to the funds revenue last year – an amount that has decreased from $158,380,709 five years ago. Members contributed an additional $130,390,848 – $124,555 more than five years ago.

In all, subsidies amounted to $287,834,877 in 2016.

Municipal Employees A & B Fund Of Chicago non-subsidy revenue over five years
YearTotal non-subsidy revenueTotal expensesOutcome without subsidies
2016$301,896,719$894,931,558-$593,034,839
2015$137,530,962$864,734,280-$727,203,318
2014$307,909,668$838,869,279-$530,959,611
2013$761,209,537$811,440,046-$50,230,509
2012$614,571,996$773,798,208-$159,226,212

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