CTA's Hidden Pension Fiasco | NBC Chicago

CTA's Hidden Pension Fiasco

    processing...
    Country
    Total
    1
    United States
    463738121
    2
    China
    26182670
    3
    Great Britain
    27231767

    NEWSLETTERS

    Getty Images
    The CTA is still paying its pensions, but its budget gap is getting bigger and bigger.

    (Bloomberg) -- The Chicago Transit Authority retirement plan had a $1.5 billion hole in its stash of assets in 2007. At the height of a four-year bull market, it didn’t have enough cash on hand to pay its retirees through 2013, meaning it was underfunded to the tune of 62 percent.

    The CTA, which manages the second-largest public transit system in the U.S., had to hope for a huge contribution from the Illinois state legislature. That wasn’t going to happen.