Property taxes would increase and retirement benefits for some city workers would be cut under a proposal put forward by Chicago Mayor Rahm Emanuel to start alleviating the huge pension debt he inherited.
Under the plan, both taxpayers and city workers would pay more. The owner of a $250,000 home would pay $50 more a year starting in 2016, and after five years the homeowner would be paying and extra $250 a year.
At the same time, city workers would pay 2.5 percent more toward their retirement, increasing their contributions by 0.5 percent a year for five years. They now pay 8.5 percent of their salary each year for pensions and would eventually pay 11 percent.
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