CHICAGO (WBBM) — When Mayor Daley leaves office in a couple of weeks, no one will be throwing any tag days for him. WBBM Newsradio 780 has learned the mayor will be receiving government pensions totaling nearly $200,000 a year.
Mayor Daley has already notified the Municipal and General Assembly Retirement Systems he wants to begin collecting his pension on May 17, the day after he leaves office.
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When he does, he will be collecting a pension of nearly $184,000 a year. Of that, 64 percent will come from the state pension system and 36 percent will come from the city pension system.
According to Tim Blair, the executive secretary of the General Assembly pension system, the mayor has chosen to obtain his government pension under the Illinois Retirement Systems Reciprocal Act.
In other words, all his government service is being combined into one lump—nearly 40 years, instead of getting separate pensions from every government body he worked for.
In 1991, Daley transferred his nearly 7.5 years of service credit as Cook County state’s attorney and more than $98,000 in contributions to the General Assembly Retirement System.
The mayor is also taking advantage of a rule that was in effect for legislators in office before 1994 which allows him to base his state pension on his last government salary. In this case, it’s based on his $216,000 salary as mayor of Chicago.
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Daley has not been in the state legislature since 1980.
And, because Daley has about 40 years of government service, he’s eligible to receive the maximum of 85 percent of that mayor’s salary.
When Daley left the state legislature in November 1980, his salary was $53,000 a year. Blair says the state portion of Daley’s pension will come to more than $117,000 a year. More than $66,000 a year will come from the city pension system.
Current state legislators are only able to base their state pensions on their final salaries as legislators.