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Budget speech react: Editorial boards

Thursday, Feb 23, 2012

* For the first time in a very long time, I agree fully with the Bloomington Pantagraph editorial board

There were no applause lines in Gov. Pat Quinn’s budget address. In fact, no one applauded until the 30-minute speech was over — and that’s good.

There is little worth applauding in either the state’s financial condition or the “solutions” presented by Quinn on Wednesday.

But we aren’t complaining — not really.

Let’s face it, the governor’s track record in achieving goals announced in big speeches isn’t that good. So it’s actually refreshing not to hear a lot of proclamations of what he’s going to do or a lot of lines designed to trigger applause but achieve no real change.

Instead, Quinn set a properly somber tone and correctly pointed out the two biggest areas in need of change: the public pension systems and the Medicaid program that’s bleeding worse than most of the patients who rely on it.

His emphasis was on what he called a “collaborative approach.” That’s what has worked in the progress he has made, such as pension changes for new employees and limited workers compensation reform; that’s what it will take to make the fundamental changes needed in public pension systems and Medicaid.

Quinn isn’t going to bully the Legislature into doing what he wants; he can’t. He needs cooperation from the leaders of both parties.

* And while I agree with the substance of the Tribune’s editorial, this “dismantling Illinois” phrase of theirs is just goofy branding hyperbole

The governor’s core message was spot-on: Runaway pension and Medicaid costs are straitjacketing every other spending priority. We hope he’ll now follow through. Recall that in the past he has abandoned his own demands on lawmakers for budget discipline.

This time, Quinn and legislative leaders have no choice but to deliver. The dismantling of Illinois has only just begun.

* The speech seemed to stir editorial writers throughout Illinois, including at the Sun-Times

But when a state finds itself in such dire financial shape, there are no good fiscal policies, certainly no palatable ones.

Just different degrees of bad.

Consider this: Illinois is expected to pull in an extra $720 million in revenue this year, which sounds pretty good. But the state’s pension bill will jump by $1.1 billion.

If Quinn and the state’s legislative leaders do nothing this year but solve the Medicaid and pension problems, they will go down in Illinois history as great statesmen.

They may also get voted out of office by an angry mob. That’s what happened to Gov. Dick Ogilvie in 1972 after he bravely pushed through the state’s first income tax.

But Ogilvie had his priorities right.

Let’s hope Quinn does too.

* But this was a consistent theme

No one expected good news in this address. We’d say that we were impressed with Quinn’s focus and resolve, but we said that last year and it came to nothing because the governor was insufficiently involved with lawmakers during the legislative session. Clearly, where the big issues of Medicaid and pension reform are concerned, Quinn has adopted a new strategy of collaboration as he prepares for fiscal year 2013. The question now is whether Quinn, in his fourth round of budget crafting as governor, will be a forceful and effective participant and leader in addressing those critical areas.

I also liked Quinn’s words, and I simultaneously wonder whether he’s up to executing his duties.

* The Daily Herald wasn’t its usual shrill self

And he saved his most important assertion for the closing line of the speech: “Loyalty to the common good is far more important in Illinois today than loyalty to your caucus or loyalty to your lobbyist. It’s time to put progress ahead of politics in Illinois.”

It absolutely is. The governor’s speech at last helped us see that he knows what the “common good” is. But we’re not going to know whether anyone has the will to achieve it until we see specifically what achieving it will take.

* And the Peoria paper even took some local job losses in stride

From a parochial standpoint the local hit isn’t that objectionable compared to what some other communities are facing. Peoria’s adult transition center is located on Main Street Downtown and was a controversial matter - nobody wanted it next door - when its location was being debated in the mid-1990s. Peoria will miss the jobs - about 30 of them - and 205 residents will be released into the community on electronic detention, which may alarm some, but in fact they’re out and working now, only spending nights there. Closing it will save the state $4.1 million. Illinois has more government than it can afford. That’s just a fact. One can’t in good faith tell Springfield to cut … everywhere else but here.

More

Alas, he is between a rock and a hard place, though it’s a squeeze of state government’s own making after decades of mindless budgeting on which various special interests were allowed to gorge themselves. It’s diet time. This is a more focused, disciplined budget plan than last year, and Quinn seems more on the same page with legislative leaders. That’s a good start. He told legislators Wednesday they should be prepared to work through the summer, which caused a bit of a ripple. That ought to be incentive enough for them to accomplish something this spring.

- Posted by Rich Miller        


19 Comments
  1. - CircularFiringSquad - Thursday, Feb 23, 12 @ 9:42 am:

    Gotta wonder when someone will demand the foot draggers of the gaming board will be dumped so the video poker program finally begins bringing in some cash. Even PQ has to be humuiliated by these stooges.


  2. - wordslinger - Thursday, Feb 23, 12 @ 9:53 am:

    –The dismantling of Illinois has only just begun.–

    What does that mean, anyway? Or is that just the shell-shock of Zell’s tenure in the Tower talking? Been quite a bit of dismantling going on there since he arrived.


  3. - Honestly - Thursday, Feb 23, 12 @ 9:55 am:

    It seems like the logical approach would call for repaying the the money borrowed from employees’ pensions before benefit levels can be rationally attacked. Contrary to what the Tribune says, I haven’t seen any evidence that benefit payments have caused the pension deficit. The Tribune and Civic Federation seem to be taking a deadbeat approach to this problem without any deference to logic or common decency.


  4. - PublicServant - Thursday, Feb 23, 12 @ 9:57 am:

    –The dismantling of Illinois has only just begun.–

    -What does this mean anyways?-

    Ask Ty Fahner. They’re in his pocket.


  5. - TCB - Thursday, Feb 23, 12 @ 10:11 am:

    Good work from the PJ-Star. That is a very refreshing approach by a local newspaper & its statements like that which will help the Governor & leaders gather up the votes needed to enact real savings in this year’s budget.


  6. - TCB - Thursday, Feb 23, 12 @ 10:14 am:

    –The dismantling of Illinois has only just begun.–

    -What does this mean anyways?-

    I assume they are referring to the large list of closures which are shrinking the size of Illinois’ government? Who knows….. its very poorly worded, if not deceiving.


  7. - mark walker - Thursday, Feb 23, 12 @ 10:19 am:

    The Tribune editorial board’s true colors shine through. They’re not interested in fixing Illinois state government; they’re interested in tearing it down, without any plans to rehab it.

    In the 1860’s they called Lincoln a “traitor”. During the Great Depression they spoke of the “Bolshevik Democratic Party” nominating the “communist Roosevelt”. They haven’t changed much.

    Why do we ever take their editorials seriously? I know, because they are read by a few subscribers and political types.


  8. - reformer - Thursday, Feb 23, 12 @ 10:23 am:

    Just how much room is there for “dismantling”?

    IL already has the fewest state workers per capita of any state.

    IL already spends less per capita than 42 other states.

    IL already provides a smaller percentage of state funding for education than any state.

    In short, IL state government is relatively lean and low-spending.


  9. - Me (anonymous) - Thursday, Feb 23, 12 @ 10:36 am:

    –The dismantling of Illinois has only just begun.–

    -What does this mean anyways?-

    This is the dawning of the Age of Austerity.
    Let the sun shine in!

    Time for a little counterculture in Springfield.


  10. - Louie - Thursday, Feb 23, 12 @ 10:42 am:

    Stop the Spending! Stop the Spending! Stop the Spending! The proposed budget calls for more spending, while the state is broke.
    Quinn is playing politics with the pension issue by wanting to force school districts to pay for pension costs, asap. Why not a plan to phase in this in. Actually, local districts should pay for these costs and then the local boards may be more aware of actual costs to local taxpayers.


  11. - Grandson of Man - Thursday, Feb 23, 12 @ 10:44 am:

    The Sun Times editorial says its favorite part of the budget address includes “taking a chop at future pension benefits for state employees.” The editorial simultaneously states the editorial board “won’t like it,” meaning pension reform.

    The editorial board apparently doesn’t agree with shifting part of the pension cost to school districts, except in that it may ultimately cause taxpayers get fed up with paying the cost. The language is negative: “School districts will never stop doling out employee pensions…,” as if the pensions are merely handouts.

    I don’t like the language of the editorial. Even though it’s very difficult to amend the state constitution to change the tax structure, nowhere did I see a proposal to raise taxes on wealthier earners.

    I watched part of Chicago Tonight yesterday, and a guy named Ralph Martire proposed flattening out the pension ramp by amortizing pension debt over many years. Whether this can work, I don’t know, but if it can, it should be included in any fair-minded plan.


  12. - Shock & Awww(e) - Thursday, Feb 23, 12 @ 10:48 am:

    Much better than last year. The budget PQ submitted last year was so disconnected and out-of-touch with reality it was shocking. Both parties realized that and basically cut him out of the proces. Last month’s state of the state address (while not a budget speech) also struck many as a bit disconnected and off-key.

    Yesterday’s speech struck a sobering tone, appropriate and necessary under current conditions. This year offers cause for hope. Now let’s hope he sees some of this through.

    As always, the devil will be in the details.

    The transition plans he submits relating to his proposed closures may serve as Exhibit A. The JDC/TPMHC plans offered thus far are sorely lacking but some CGFA members are (thankfully) forcing and ensuring some improvements. If nothing else, they’re better than the “plan” (or complete lack of one) hastily submitted last year.

    Again, signs of improvement and cause for hope.

    We’ll see if PQ take a cue from that and offers thorough transition plans for the rest of these closures.

    Regardless, let’s hope he surprises us and sees some of these things through. Otherwise this speech becomes nothing more than a 30-minute glimmer of false hope that reality has finally set in.

    Let’s go, PQ! You can do it!


  13. - Rich Miller - Thursday, Feb 23, 12 @ 10:49 am:

    ===Why not a plan to phase in this in.===

    Actually, that is the plan. Pay attention, please.


  14. - reformer - Thursday, Feb 23, 12 @ 11:09 am:

    == The proposed budget calls for more spending. == Spending in the operating budget will decline for the second year in a row. It will shrink by more than $400 million.

    What’s going up is the pension payment, based upon the payment schedule established by Republicans in 1995. That was a measure they used to claim credit for.


  15. - Louie - Thursday, Feb 23, 12 @ 12:05 pm:

    ===Why not a plan to phase in this in.===

    Actually, that is the plan. Pay attention, please
    Thanks for the clarification.
    Some of us have real jobs and don’t have time to review all the details of the plan. Hoping you would provide those, as that is your job.


  16. - PublicServant - Thursday, Feb 23, 12 @ 12:15 pm:

    The Republicans are also saying that the cost of pensions is rising astronomically, which is purposely misleading. As you said reformer, it’s the payment in the pension ramp bill that is increasing astronomically. What needs to be modified is the pension ramp. The payments need to be spread out. But the refrain has always been (1) that is just kicking the can down the road, and the state won’t pay anyway, and (2) we’ll be in worse shape because the actuarially calculated interest on the pension debt will cause the pension debt to be higher that it would otherwise be if we had stuck to the pension ramp.

    Why not, I ask, restructure the debt with PoBs which will (1) smooth out the payments of past missed-state-payment indiscretions, (2) not allow the state to wiggle out of making its payments, and (3) save the state debt-service money in the long run?


  17. - TCB - Thursday, Feb 23, 12 @ 12:32 pm:

    @ Servant -Why not, I ask, restructure the debt with PoBs which will (1) smooth out the payments of past missed-state-payment indiscretions, (2) not allow the state to wiggle out of making its payments, and (3) save the state debt-service money in the long run? -

    That should’ve really been done 16 months ago when the market was low. Had we done that, we would’ve likely had a some serious investment gains right about now.

    However, given the low interest rates right now, it still isn’t a bad idea.


  18. - wishbone - Thursday, Feb 23, 12 @ 3:56 pm:

    Its time to rethink the money wasted on enforcing victimless crimes. Gambling, prostitution, and most drugs should be legalized and taxed. Fewer prisons and cops needed, and those remaining can focus on real crime that hurts people. Never happen, of course. The nanny state always wins.


  19. - Peggy R/Southern - Thursday, Feb 23, 12 @ 8:24 pm:

    Yes, let us begin dismantling Illinois! I should hope that Quinn et al have better ideas than sticking it to the taxpayers again to prop up the dependent class who could care for themselves. Cut medicaid & the pensions, for the love of Pete!

    As for educational spending, local districts charge high property taxes. The state alone doesn’t fund education. Don’t worry, we’re spending plenty in our district. Teachers in such districts get their due and then some.


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