Chicago on Brink of Financial Disaster: Emanuel keeps Wall Street waiting on pension overhaul

The Chicago Tribune reports:

When the Illinois Supreme Court decisively rejected Mayor Rahm Emanuel's plan to keep two city worker pension systems from going broke, City Hall told nervous credit-rating agencies it would have an alternate fix within weeks.

Nearly seven weeks later, Emanuel's top aides have yet to propose any new ideas, much less file the state legislation that would be needed to make it reality.

Playing the waiting game are Wall Street analysts. Their pronouncements on Chicago's creditworthiness determine how much it costs the city to borrow money, and they've already warned that further downgrades could be coming if there is no solution for the pension funds covering municipal workers and laborers.

Another hit to the credit rating most likely would result in even higher interest rates at a time Emanuel is making plans to borrow up to $600 million in the coming months under a move the City Council Finance Committee will consider Monday.

The crack up of the one-party Blue model.