WBBM Newsradio/Craig Dellimore

Vallas Blasts Emanuel's $10 Billion Pension Bond Idea

August 14, 2018 - 3:28 pm

CHICAGO (WBBM NEWSRADIO) -- Mayoral candidate Paul Vallas is calling on the Chicago City Council to hold special hearings on a $10 billion bond proposal he says the Emanuel Administration is trying to push through.

Vallas on Tuesday said Mayor Emanuel’s financial team is considering a pension obligation bond program would be repaid by future city revenues. That is risky, he said, because the city is running out of sources to back such bond deals.

If the city’s finances hit a rough patch, like a recession, "the impact could be catastrophic," Vallas said.

Emanuel mayoral spokesperson Adam Collins said Vallas is not one to talk.

He said Vallas set Chicago’s finances on fire when he ran the budget office and schools. Asking Vallas for advice on pensions would be like asking an arsonist to put out his own fire.

Collins said Emanuel’s financial team is studying every sound option.