SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
“Matlaked Again”

Saturday, Mar 31, 2007

If this video isn’t the best of the Chicago runoff season, I don’t know what is…


- Posted by Rich Miller   Comments Off      


Weekend Extra - GOVERNOR CHANGES HIS GRT PLAN *** Updated x4 ***

Saturday, Mar 31, 2007

[Password removed because others have caught up. See updates below, including links to the actual amendments.]

The governor’s office has agreed to change his proposed gross receipts tax, according to a memo obtained from his budget office.

After complaints by Senate Democrats about the number of businesses that would be hit by the GRT, the governor has agreed to raise the minimum taxation point on the gross receipts tax from $1 million to $2 million, which will impact fewer businesses.

However, the gross receipts tax rate will rise. The GRT on services will go from the initially proposed 1.8 percent up to 1.95 percent, while the rate on goods will rise from the initial 0.5 percent to 0.85 percent. The revenues the gross receipts tax will now bring in will increase from $6.3 billion to $7.6 billion.

That extra money raised by the revised GRT will be mostly used for $1 billion in property tax relief, which was not in the original plan.

The following was e-mailed to me late yesterday from the governor’s office and was slightly revised for style. All emphasis added…

Today the key components of the Governor’s Investing in Families budget plan were filed in the Senate. Thought you’d want to know the bill numbers for tracking purposes.

Senate Bill 1 contains the education funding plan, the gross receipts tax revenue plan, and a property tax relief plan. The bill language reflects a few revisions worked out with the Senate:

Gross Receipts Exemption: increases from $1 million to $2 million – 85% of all businesses in Illinois now exempted

GRT services rate: increases from 1.8% to 1.95% (increases from $1.85 on every $100 to $1.95)

GRT goods rate: increases from .5% to .85% (increases from .50 cents for every $100 to .85 cents)

Total net revenue: increases from $6.3 billion to $7.6 billion ($1.3 billion increase, rounded)

$1.3 billion covers: $250 million bonded road program; $1 billion in property tax relief

Additional highlights:

Education – stays the same/$10 billion over 4 years

Healthcare – stays the same/all uninsured get access to affordable health care

Senate Bill 2 contains bond authorization for the Governor’s $1.5 billion school construction plan, $150 million for school maintenance grants, and $30 million for early childhood capital expansions.

Senate Bill 5 contains the Governor’s Illinois Covered plan to provide every Illinoisan with access to affordable health coverage.

Senate Bill 1090 contains language eliminating road fund transfers for SOS and ISP that cover health care and pensions for employees on our state roads (which started during the Edgar administration); these funds will instead be dedicated for bonded road construction projects. This legislation will allow the state to dedicate up to $3 billion more for the bonded road program.

*** UPDATE *** The AP has react on the plan, which they report was “forged in discussions with Senate President Emil Jones“…

Proponents say the tax would do a better job at gathering revenue as the state economy shifts from manufacturing to services.

‘’The package dramatically boosts education spending, gives every person in Illinois access to affordable health care, ensures property tax relief for homeowners around the state, invests in important infrastructure projects — and makes all of that possible by asking wealthy corporations to finally pay their fair share,'’ said Blagojevich spokeswoman Abby Ottenhoff.

But business groups say the new plan will drive up consumer prices and discourage companies from doing business in Illinois.

Gregory Baise, the president and CEO of the Illinois Manufacturers’ Association, called the new proposal ‘’unbelievable.'’

‘’The kind of negative reaction to this tax hike will only be compounded by this lunacy,'’ Baise said. ‘’This governor wants to tax too much. He wants to spend too much on his way to ruining the Illinois economy.'’

*** UPDATE 2 *** YDD has a comparison over at Illinoize of the revised GRT and HB 750

At the end of the day, the Governor’s plan calls for $8.6 billion in new taxes, with only $1 billion in tax relief, for a net increase in taxes of $7.6 billion. Funding for K-12 classrooms will increase $1.5 billion the first year, bringing foundation level funding to schools 6% below recommended levels. Higher education will see a meager $50 million increase.

House Bill 750 generates $9.05 billion in new taxes, but provides $3.6 billion in tax relief, for a net tax increase of only $5.45 billion, or 30% less than the Governor’s plan. House Bill 750 provides $3.9 billion for K-12 classroom instruction in the first year — 260% more than the Governor’s plan, bringing the foundation level funding for schools up to 100% of recommended levels. In addition, HB 750 provides $300 million more for higher education, 600% more than the Governor’s plan.

In the final analysis, only 20% of the net new spending in the Governor’s plan goes to education, while 72% of House Bill 750’s net new spending goes to education. Granted, this doesn’t include new spending on school construction, and I’ll post comparisons of both school construction plans as soon as they are available.

*** UPDATE 3 *** Full text of pertinent amendments

* (GRT) SB1, Amendment 1

* (Illinois Covered plan) SB 5, Amendment 1

* And the synopses for all amendments can be found here.

[Hat tip: AR]

*** UPDATE 4 *** Dan Johnson-Weinberger has a post at Illinoize on a very unfavorable look at the governor’s gross receipts tax by the “progressive” Institute for Taxation and Economic Policy. Dan’s post is here. The two-page study [pdf file] is here.

- Posted by Rich Miller   Comments Off      


PREVIOUS POSTS »
* State GOP declares victory for LaHood
* Rauner claims he's already filed appeal
* *** UPDATED x3 - Durkin: Tax hike vote first - Phelon: Maybe - Brown: No *** Rauner wants continuing approp for state workers
* Question of the day
* Cruz hearts Flynn
* Rezko moved to halfway house
* *** UPDATED x8 - Munger to appeal - AG Madigan response - Rauner response - "No one getting paid" - AFSCME to appeal *** Cook County judge: Illinois can't pay state workers without a budget
* *** UPDATED x1 *** Federal judge: Pay DCFS workers
* Today's quotable
* *** UPDATED x1 - Kirk campaign calls ads "false" and "sickening" *** Kirk under fire from enviro groups
* Get off the back bench, please
* A triangulating shift
* Counting the absent legislators
* Credit Unions – 100 Million Strong
* The reddest of meat
* Today's number: 47
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Yesterday's blog posts

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............

...............


Search This Blog...

Search the 98th General Assembly By Bill Number
(example: HB0001)

Search the 98th General Assembly By Keyword

          
        * Get your very own Star Trek Communicator device
        * Sony updates Folding@Home to help research in cures for diseases
        * Escape collapsing building, save mankind with your flying rocket
        * Doodle: Schedule Maker gets a redesign, built-in chat feature
        * MIUI 6 ROM for Redmi 1S now available globally
        * Apple patent focuses on giving iPhones an accurate “face unlock”
        * Snapdragon 810 issues make this the perfect time for a new SoC maker to take the lead

        * Facebook to build new, wind-powered data center
        * Twitter Would Love To Celebrate Your Birthday
        * Google Play Music Wiping Downloaded/Cached Songs On SD Cards
        * Samsung Galaxy Note 5 Might Not Sport A microSD Slot
        * Sony’s Live Screen Streaming App Will Stream To YouTube And Twitch
        * New Facebook Data Center To Rely On Renewable Energy
        * Apple Watch Sales On The Slide

        * Where would White Sox be without pitching?
        * Cooper wants more of electric atmosphere
        * Ruminations on the Chris Sale-Mark Buehrle duel
        * Quintana hopes for run support against Blue Jays
        * Sale fans 6 in complete-game win over Jays
        * White Sox turn tables after opponent's mistake
        * Sale named AL All-Star, goes the distance

        ...............


        Main Menu
        Home
        Illinois
        YouTube
        Pundit rankings
        Obama
        Subscriber Content
        Durbin
        Burris
        Blagojevich Trial
        Advertising
        Updated Posts
        Polls

        Archives
        July 2015
        June 2015
        May 2015
        April 2015
        March 2015
        February 2015
        January 2015
        December 2014
        November 2014
        October 2014
        September 2014
        August 2014
        July 2014
        June 2014
        May 2014
        April 2014
        March 2014
        February 2014
        January 2014
        December 2013
        November 2013
        October 2013
        September 2013
        August 2013
        July 2013
        June 2013
        May 2013
        April 2013
        March 2013
        February 2013
        January 2013
        December 2012
        November 2012
        October 2012
        September 2012
        August 2012
        July 2012
        June 2012
        May 2012
        April 2012
        March 2012
        February 2012
        January 2012
        December 2011
        November 2011
        October 2011
        September 2011
        August 2011
        July 2011
        June 2011
        May 2011
        April 2011
        March 2011
        February 2011
        January 2011
        December 2010
        November 2010
        October 2010
        September 2010
        August 2010
        July 2010
        June 2010
        May 2010
        April 2010
        March 2010
        February 2010
        January 2010
        December 2009
        November 2009
        October 2009
        September 2009
        August 2009
        July 2009
        June 2009
        May 2009
        April 2009
        March 2009
        February 2009
        January 2009
        December 2008
        November 2008
        October 2008
        September 2008
        August 2008
        July 2008
        June 2008
        May 2008
        April 2008
        March 2008
        February 2008
        January 2008
        December 2007
        November 2007
        October 2007
        September 2007
        August 2007
        July 2007
        June 2007
        May 2007
        April 2007
        March 2007
        February 2007
        January 2007
        December 2006
        November 2006
        October 2006
        September 2006
        August 2006
        July 2006
        June 2006
        May 2006
        April 2006
        March 2006
        February 2006
        January 2006
        December 2005
        April 2005
        March 2005
        February 2005
        January 2005
        December 2004
        November 2004
        October 2004

        Blog*Spot Archives
        November 2005
        October 2005
        September 2005
        August 2005
        July 2005
        June 2005
        May 2005

        Syndication

        RSS Feed 2.0
        Comments RSS 2.0
        WordPress

        Loading


        * State Employees Caught In Political Crossfire; .....
        * Judge: No budget, only minimum wage—and only fo.....
        * State Employees Caught In Political Crossfire; .....
        * Americans do care - Belleville News-Democrat..
        * Brown: State paycheck pain may be only crisis c.....
        * Judge rules that Illinois state employees only .....
        * Judge: State workers get only minimum payments .....


        * LaHood wins Illinois GOP race to replace ex-US Rep. Schock
        * Freight train derailment causes ordeal for Amtrak passengers
        * Freight train derailment causes ordeal for Amtrak passengers
        * Judge: Chicago jail's newspaper ban violates 1st Amendment
        * Former Blagojevich fundraiser released from prison
        * Judge bars full state worker pay without Illinois budget
        * Drew Peterson's murder-for-hire trial again delayed
        * Unions to appeal ruling barring full Illinois worker pay
        * Voters go to polls for primary in race for Schock's seat
        * Rauner wants appeal of ruling barring full state worker pay

        * State workers worried about lack of income
        * Area lawmakers say they'll forgo pay during impasse
        * Former Blagojevich fundraiser Tony Rezko released from prison
        * Light turnout so far in 18th Congressional District primary
        * Judge rules no pay for state workers without budget agreement; Rauner, union want appeal
        * Judge rules no pay for state workers without budget agreement
        * University of Illinois spends $843K for legal defense against professor denied job
        * Federal judge orders state to keep funding DCFS even without budget
        * ACLU seeks federal enforcement of Illinois child services
        * Despite state budget deadlock, there are ways out

        * Former Trotter chefs return to Chicago
        * Subway faces PR crisis in light of Jared Fogle investigation
        * Corzine, ex-MF Global officials to settle investor lawsuit
        * Kroll finds cracking the ratings tripoly tougher than sleuthing
        * Budget or no budget, keep funding DCFS, judge tells Illinois


          * Rauner, unions vow to appeal judge's ruling limiting state worker paychecks
          * Emanuel rakes in another $612,000 in campaign cash
          * 1 dead, 2 wounded in South Side shootings
          * Marina City will be considered for landmark status
          * Low turnout as primary voters head to polls for Aaron Schock's seat
          * Portillo's to open new restaurant in Gurnee
          * Oak Park considering its own medical marijuana tax
          * Former national radio host spared prison for fraud
          * Wauconda man gets 8 years in home invasion, shooting case
          * Jailed Gary teacher had felony background


          * Coping while black: A season of traumatic news takes a psychological toll
          * Illinois voters head to polls in primary for Schock's seat
          * Little Village residents fight for fieldhouse
          * Low turnout as primary voters head to polls for Schock seat
          * CPS, Emanuel warn of deep cuts, layoffs to school district
          * Emails show Emanuel, top officials aware of Clinton's private address
          * Judge rules no pay for Illinois workers without state budget
          * The legacy of Willie Dixon on his 100th birthday
          * Ex-Illinois US Rep. Reynolds doesn't show for arraignment
          * Preckwinkle may reevaluate sales tax plan if Springfield acts on pensions


          * State workers worried about lack of income
          * Area lawmakers say they'll forgo pay during impasse
          * Former Blagojevich fundraiser Tony Rezko released from prison
          * Light turnout so far in 18th Congressional District primary
          * Judge rules no pay for state workers without budget agreement; Rauner, union want appeal
          * University of Illinois spends $843K for legal defense against professor denied job
          * Federal judge orders state to keep funding DCFS even without budget
          * ACLU seeks federal enforcement of Illinois child services
          * Our Opinion: Don't let a few voters decide who goes to Congress
          * Fullerton, Konar and Reif: Pope Francis' message a chance for Illinois to plan ethically for climate change


          * PODCAST: Chelsea Norton - Champaign Park District 7-7-15
          * Sports Talk 07-07-15
          * Sherman's purchases former Cohen's Distribution Center
          * CNN report rehashes allegations against Illinois
          * CNN reports on Illini allegations
          * Updated: flash flood watch issued for East Central Illinois
          * Flash flood watch issued for East Central Illinois
          * Updated: Unions to appeal ruling barring full Illinois worker pay
          * Updated: Drew Peterson's murder-for-hire trial again delayed
          * Final land agreements for Cronus plant pipe expected to be in soon


          * 'Can't Buy Me Love' actress Amanda Peterson dies at 43
          * 'The View' says host Rosie Perez leaving to focus on acting
          * 10 Things to Know for Wednesday
          * Giants activate Pence from disabled list
          * Des Plaines alderman: Don't do Rosemont any favors on rezoning

          * House lawmakers overcome hurdle on key tra...
          * Rodney Davis talks funding with Bloomingto...
          * The agency that fought Illiana gets a new ...
          * Rep. Dold takes educational cruise down Ch...
          * Lawmakers decry high turnover rate of VA h...
          * CBD Oil, and politics
          * Simon considering state Senate bid
          * Killer Congressman Tom MacArthur trying to...
          * Shutdown? State may not notice
          * Rep. Bob Dold

          * Durbin Open to Extending Deadline for Rail......

          * Politics as Usual: Enviromental group laun......

          * Telling stories at the NEA RA.
          * In Madrid the fascist flags come down.
          * 1,599 Chicago school workers paid six figures, despite billion-dollar deficit
          * Cook County Democrat Judge rules no state employee paychecks on July 15th
          * Construction Season In Full Swing
          * Minimum wage in Chicago is now $10/hr
          * Univ. of Illinois anti-Semitic professor lands position in Beirut
          * Pfleger files suit against three Chicago suburbs for gun shops
          * Morning Minute: U.S. pending home sales at highest level in nine years, NAR says
          * CIPS designation could be one reason demand for course is high


          * New Report Examines Issues, Strategies for Dealing with Urban Flooding in Illinois
          * IEMA Radiochemistry Lab One of Nine in U.S. Selected for Federal Training - Will Enhance State, Federal Response Capabilities
          * IL Department of Insurance Recommends Essential Health Benefit (EHB) Benchmark for Plan Year 2017
          * IDOT, State and Local Police Join Forces for Fourth of July Safety Campaign: “Drive Sober or Get Pulled Over” - Emphasis on drunk drivers, seat belt law violators to last through Sunday
          * State, Teamsters Reach Tentative Agreement - Workers at IDOT, DHS, IDES, and CMS in Cook County to Vote on New Contract




              Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller