Recently WTTW (Ch 11) did a story on the results of the consolidation of the investments for local Police and Fire Pension Funds. By and large, by combining the assets for investment purposes, a higher return was realized than what the individual funds could do on their own, plus the cost savings of not having to pay fees to investment advisers for each individual fund. An interesting part of the online story was a search button where each individual town’s funding ratio could be viewed. It turned out that of the 16 towns immediately surrounding Northlake, Northlake had the best funded police pension with a funding ratio of 73%. State law requires that these pension funds must be at the 90% funding level by 2040. Northlake is well positioned to meet this target before 2040.
Please note that the WTTW story was using data from 2021. The latest audit of the Police Pension fund shows a funding rate of just over 76%.
