Local pension accountability poll

Illinois survey of 500 likely voters

1. School districts in Illinois offer pensions that guarantee employees fixed retirement income. Even though the school districts employ teachers, Illinois state government pays most of the employer share for teacher pension contributions. Were you aware that the state government pays the pension costs of teachers that are employed and paid for by local school districts? 68% Yes 26% No 7% Not sure 2. State government has struggled to make annual contributions to teacher pensions because of ongoing budget troubles. Plan administrators are warning of future insolvency. What is the best way to address the problem of unfunded teacher pension liabilities? 13% Raise taxes 12% Cut other government services 3% Borrow money 25% Require teachers to contribute more 27% Transition teachers into a 401K style defined contribution retirement savings system going forward 15% Something else 5% Not sure 3. Another idea being considered is to have the school districts instead of state government cover the employer share of teacher pension benefits earned going forward. Do you favor or oppose this proposal? 27% Favor 49% Oppose 24% Not sure 4. Moving the employer share of teacher pension costs from state government to school districts is sometimes referred to as local pension accountability. Im now going to ask you a few questions about which factors would make you more or less supportive of local pension accountability. First, local pension accountability could immediately save state government more than $800 million this year. Does that make you more or less supportive of local pension accountability? 42% 30% 17% 12% 5. More supportive Less supportive Has no impact Not sure 7. 6. Last oneIf local school districts had to pay the pension costs of their own employees, they would be incentivized to be more responsible in setting salaries and other benefits. Does that make you more or less supportive of local pension accountability? 58% More supportive 27% Less supportive 10% Has no impact 5% Not sure Some say that local pension accountability would result in higher property taxes. Others say that school districts, given added flexibility, can cover the cost by implementing basic operating reforms. Which would you say reflects your opinion? 42% Local pension accountability would result in higher property taxes 38% Districts can cover their costs by implementing basic reforms 20% Not sure 8. Is local pension accountability a liberal or conservative idea? 24% Liberal 46% Conservative 30% Not sure 9. Are you aware that many Illinois teachers do not pay the employee share of retirement savings, and that school districts pick up this cost? 57% Yes 25% No 18% Not sure 10. Are you or is any member of your household a teacher? 16% Yes 82% No 2% Not sure

OkayCurrent teacher pension funding arrangements benefit wealthy school districts that pay teachers more money over poor school districts that pay teachers less money. Having school districts pay for their own pension costs would make the distribution of state education aid more fair. Does that make you more or less supportive of local pension accountability? 50% More supportive 33% Less supportive 10% Has no impact 7% Not sure

Conducted June 20, 2012 by Pulse Opinion Research NOTE: Margin of Sampling Error, +/- 4.5 percentage points with a 95% level of confidence Numbers may not add up to 100 due to rounding

illinoispolicy.org

illinoispolicy.org

Local pension accountability poll Democrats and Republicans have different approaches for fixing pensions
Question: State government has struggled to make annual contributions to teacher pensions because of ongoing budget troubles. Plan administrators are warning of future insolvency. What is the best way to address the problem of unfunded teacher pension liabilities?

Other

50% 40% 30% 20% 10%

Raise taxes

Cut other government services

Borrow money

Require teachers to contribute more

Transition teachers into a 401 K style defined contribution retirement savings system going forward

Something else

Not sure

illinoispolicy.org

Local pension accountability poll

50%
But voters response to local pension accountability is similar across parties.
Question: Another idea being considered is to have the school districts instead of state government cover the employer share of teacher pension benefits earned going forward. Do you favor or oppose this proposal?

40% 30% 20%

Other

10% 0 50%
Favor Oppose Not Sure

Both Democrats and Republicans are split on whether local pension accountability will cause property taxes to go up.
Question: Some say that local pension accountability would result in higher property taxes. Others say that school districts, given added flexibility, can cover the cost by implementing basic operating reforms. Which would you say reflects your opinion?

40% 30% 20%

Other

10% 0
Local pension accountability Districts can cover their would result in higher costs by implementing basic property taxes reforms Not sure

Voters respond best to the idea that local pension accountability will promote responsibility in compensation levels, more so than the need to find state budget savings or fairness in aid distribution. More supportive Less supportive Has no impact Not sure Save state budget $800 million 42% 30% 17% 12%

Make distribution of state education aid fairer 50% 33% 10% 7%

Incentivize school districts to be responsible in setting compensation 58% 27% 10% 5%