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

Monday, Jul 8, 2013

* I told subscribers almost two weeks ago that Gov. Quinn was considering this veto. From the Tribune editorial board

Illinois legislators’ lackadaisical approach to pension reform stands in sharp contrast to Gov. Pat Quinn’s urgency. The legislators’ latest slow-pokery, a conference committee, has met all of once and then mostly to lower expectations. The governor, having given the General Assembly a July 9 deadline to pass reforms, noted that the committee waited eight days to convene in public when its members should have been working “round the clock” to get a bill on his desk.

With that in mind, a curious turn of events has us … curious: If legislators blow his deadline, which at this writing looks likely, will Quinn hold them to a pay-for-performance standard? That is, will he veto their salaries — and block their pay, effective immediately?

Imagine their outrage if he did. Wouldn’t that be sweet.

Imagine their instinct to override his veto before their next scheduled payday.

When Quinn threatens “consequences” if the General Assembly doesn’t approve a pension reform bill tomorrow, I think that’s what he may mean. It could also be something else. Subscribers know more.

* Meanwhile

Gov. Pat Quinn says he won’t testify before a bipartisan pension panel Monday, but will send aides instead.

The committee tasked with finding a solution to the nearly $100 billion problem invited Quinn to their Springfield meeting. But Quinn said Sunday that lawmakers know where he stands. […]

Chairman state Sen. Kwame Raoul sent Quinn a letter Friday, which was obtained by The Associated Press. Raoul says actuarial analysis on proposals, including ideas submitted by Quinn’s office, will take time. […]

His office hasn’t discussed the submitted proposals, saying they’re not new ideas.

Actually, as subscribers know, some of them are new ideas. Demanding action without knowing how much that action will save the state isn’t exactly responsible. But this is campaign season, so here we go

Brooke Anderson, a spokeswoman for Quinn, dismissed Raoul’s statement as an excuse. She said lawmakers have been working on the issue for years and have all the information they need to present a plan. “We’ve been providing estimates, working with the actuaries and having these discussions for two years now. The people of Illinois are tired of these excuses and the lack of urgency,” she said. “The governor’s deadline stands. This is an emergency.” Anderson declined to provide details about what the governor’s plans to do if the committee fails to meet the deadline.

Is she on the campaign payroll yet? Just sayin…

* This is one of the things the conference committee is looking at

The… measure, supported by university presidents, would require workers to pitch in an additional 2 percent of their paychecks toward their pensions, which would be phased in over four years. It would also tie annual cost-of-living increases to one-half the rate of inflation instead of the current compounded 3 percent yearly increase.

As is, the plan would apply only to university and community college workers, but lawmakers want to see what impact the proposal would have if applied to workers in three other retirement systems that cover teachers, state employees and lawmakers. They agreed to ask state pension finance experts to crunch the numbers on potential cost savings for the plan, a process that could take several weeks.

Sen. Kwame Raoul, the Chicago Democrat who chairs the committee, said the plan could act as a new framework for legislators to build on as they seek a deal that is not only financially sound, but politically viable.

“It’s not as easy as flipping a switch and this thing is over and we have a consensus,” Raoul said. “Having a plan that solves the problem is only half of the charge. We have to come up with a plan that passes the General Assembly.”

The conference committee meets again today at 3. We’ll have a live blog. Watch for fireworks.

* And check out what the governor told reporters yesterday…

Oh, yeah. It’s most definitely on.

* Related…

* Hybrid Pension Plans Attracting More States, Cities

* Illinois revenue up 6.7 pct in fiscal 2013: Sales taxes were up a tepid 1.8 percent, or $129 million, in fiscal 2013, while federal funding, including Medicaid reimbursements, jumped by $472 million, according to the commission.

- Posted by Rich Miller        


22 Comments
  1. - wordslinger - Monday, Jul 8, 13 @ 10:53 am:

    Blocking pay would be a childish stunt and a breach of the concept of separation of powers.

    No wonder the Tribbies think it’s cool.


  2. - Norseman - Monday, Jul 8, 13 @ 10:54 am:

    The hearing room should be packed to the rafters.


  3. - low level - Monday, Jul 8, 13 @ 11:02 am:

    So, Madigan should have dropped everything and gone to the meeting, or gotten a cell phone, or whatever nonsensical dribble it was last month… but now, given over a week’s notice, and having had the time to campaign and make a bad appearance at the Hawks rally, our governor isn’t available to appear at the committee hearing.

    If its going to be a Daley-Quinn race, I might be sick.


  4. - Norseman - Monday, Jul 8, 13 @ 11:16 am:

    “Ian Howe: You know the key to running a convincing bluff? Every once in a while you got to be holding all the cards.”

    Anyone think that Quinn is holding any cards?


  5. - Michelle Flaherty - Monday, Jul 8, 13 @ 11:22 am:

    At least the Tribune is consistent in ignoring the constitution.

    Article IV, “The Legislature”:
    SECTION 11. COMPENSATION AND ALLOWANCES
    A member shall receive a salary and allowances as provided by law, but changes in the salary of a member shall not take effect during the term for which he has been elected.
    (Source: Illinois Constitution.)


  6. - Bill White - Monday, Jul 8, 13 @ 11:22 am:

    From one of the links:

    === Chairman state Sen. Kwame Raoul sent Quinn a letter Friday, which was obtained by The Associated Press. Raoul says actuarial analysis on proposals, including ideas submitted by Quinn’s office, will take time.

    Still, Quinn reiterated his deadline, telling reporters Sunday that there’ll be consequences if it isn’t met. His office says analysis should have been done earlier. ===

    Does this mean Pat Quinn wants the pension issue settled WITHOUT actuarial analysis? Even if the analysis should have been done earlier, that isn’t an excuse to make decisions based on guesswork or astro-turfed hyperbolic hysteria.


  7. - siriusly - Monday, Jul 8, 13 @ 11:27 am:

    The Governor is sometimes politically off, but this anti-NRA stuff is home run juicy red meat for him to use in a primary election. I think this is good for him.


  8. - walkinfool - Monday, Jul 8, 13 @ 11:30 am:

    How accurate does the financial impact estimate have to be, as long as it’s substantially more than SB2404, in order to pass something worthwhile? Cannot we get an estimate to within roughly $10 Billion right now, given what we already know? That’s good enough to commit to implementing a solution.

    To say any proposal must be equal or better than SB1 fiscally, is a position that should be softened in this final stage.


  9. - wordslinger - Monday, Jul 8, 13 @ 11:33 am:

    Michelle, the Tribbies operate in a different world.

    In their world, you can tank your employees ESOP, fire scores of veteran employees, spend four years dodging and shorting your creditors in bankruptcy, award your execs big bonuses, then a few months after coming out of bankruptcy borrow nearly $3 billion to buy TV stations.

    Forgive them if they think you can do whatever you want, whenever you want, without consequences.


  10. - Downstater - Monday, Jul 8, 13 @ 11:34 am:

    Why isn’t more consideration being given to hybrid plans? The leadership seems not to be capable of thinking outside the box. If a test was given concerning basis economics and finance, a vast majority of the legislators would fail miserably.


  11. - DoubleD - Monday, Jul 8, 13 @ 11:49 am:

    Does anyone else find it ludicrous that a 30 to 40 year problem must be solved immediately?…Geez I wonder why government can be so effective given its responsibility to the political over the best course and most logical course of action.


  12. - Secret Square - Monday, Jul 8, 13 @ 12:03 pm:

    “If its going to be a Daley-Quinn race, I might be sick.”

    If it’s going to be a Daley-Quinn race with the winner facing Bruce Rauner, I might pack up and move :-)


  13. - Secret Square - Monday, Jul 8, 13 @ 12:11 pm:

    “will he veto their salaries — and block their pay, effective immediately? Imagine their outrage if he did. Wouldn’t that be sweet.”

    If the veto also includes cutting off the salaries of legislative branch employees, e.g., district and Springfield office staff and employees of various legislative agencies, I don’t think it would be very “sweet” at all (since I’m one of them). Many of these people work long/irregular hours, particularly during session, for considerably less than executive branch employees make; are not unionized; and had no say in the power dispute at hand.


  14. - PublicServant - Monday, Jul 8, 13 @ 12:19 pm:

    It must be “solved” immediately because the emergency looks like less and less of an emergency every day that passes. In the end, raising the revenue to pay your bills, and avoid “borrowing” even more in the future, is what is needed. Soon the courts will confirm that, and it doesn’t take a constitutional scholar to read and understand the plain language of the pension clause of the Illinois Constitution, or the Contracts clause of the US Constitution.


  15. - DoubleD - Monday, Jul 8, 13 @ 12:28 pm:

    Agreed Public…and I certainly hope the Martire plan gets some serious traction. We do not have to be at 100 percent funded to make this work.


  16. - Raymond - Monday, Jul 8, 13 @ 12:35 pm:

    === In their world, you can tank your employees ESOP, fire scores of veteran employees, spend four years dodging and shorting your creditors in bankruptcy, award your execs big bonuses, then a few months after coming out of bankruptcy borrow nearly $3 billion to buy TV stations. ===

    Then there’s the $225 million in back taxes:

    http://www.nytimes.com/2013/06/21/business/tribunes-clever-tax-strategy-now-spells-trouble.html?pagewanted=all&_r=1&


  17. - anon - Monday, Jul 8, 13 @ 12:46 pm:

    You don’t have to be a university president to figure out that their plan for employees to pay more and get less won’t pass the constitution regardless of what the actuaries say.


  18. - Anonymous - Monday, Jul 8, 13 @ 12:53 pm:

    It wouldn’t shock me if it ends up being the rank-and-file state employees rather than the GA who will feel the brunt of the Governor’s “consequences” if they don’t send him pension reform by midnight tomorrow (e.g., reduction/item vetoes to state agency budgets,etc.).


  19. - Anon - Monday, Jul 8, 13 @ 1:46 pm:

    I find it interesting that the University Presidents are pushing this plan. Perhaps it is time to look at their retirement plans. Many of them receive yearly retirement annuities. For example Poshard from SIU receives an annual annuity of $55K and Thomas from WIU receives a annual $25k annuity Other Presidenta such as Peters and Maimon receive “retirement enhancements” of 84K and $31K respectively. This data is available thru the IBHE (http://www.ibhe.org/pa96266/search.aspx). FY 13 data is not yet available.

    So, the University Presidents are protected but their employees??????


  20. - DanL60 - Monday, Jul 8, 13 @ 2:29 pm:

    Regardless of what gets passed, isn’t it going to be challenged in the courts?


  21. - RNUG - Monday, Jul 8, 13 @ 2:56 pm:

    DanL60 @ 2:29 pm:

    If it is diminishment to current retirees and employees, yes, it will be challenged.

    If it is raising revenue (taxes) to actually pay what is already owed and can’t legally be avoided, it will only be the taxpayers screaming … and they have no legal status to sue. There only recourse is the ballot box.


  22. - Sir Reel - Monday, Jul 8, 13 @ 3:24 pm:

    When the dust settles and this crew comes up with something, I will have to stop telling people I am retired with a defined benefit pension because at that point “defined” will be meaningless.


Sorry, comments for this post are now closed.


* Schilling endorses LaHood
* Reader comments closed for the weekend
* Duckworth to announce on Monday
* Rauner mulls selling Thompson Center
* Question of the day
* It's just a bill...
* *** UPDATED x1 *** Brown: Exploring an exploratory committee is "under review"
* Rauner administration denies union report of progress on fair share suit
* *** UPDATED x2 - Durbin out of the running? *** Illinois Republicans react to potential Durbin elevation
* Is a new era finally dawning in Illinois?
* Meanwhile, in Opposite Land...
* Good morning!
* 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

          
        * Pebble Time concludes Kickstarter campaign, pledges exceed $20 million
        * Profits almost doubled for ZTE last year
        * Mysterious Huawei Honor handset pictures leak
        * Verizon starts pushing out Lollipop update for the Galaxy S5… Again!
        * The Week in iPad Cases: Build your library with book-style cases from Pad & Quill and Portenzo
        * The HTC One M9+ has its design showcased in latest leak
        * Book club: Beating up Apple execs over their book picks

        * Angie’s List Halts Expansion Plans to Protest Indiana’s “Religious Freedom” Law
        * For some strange reason, Periscope users are obsessed with your fridge
        * Curb Overspending by Establishing a “No Return Policy”
        * Guess How Many Women Made the Forbes Midas List? (It’s Worse than You Think)
        * DashCast Streams Dashboard-Style Web Pages to Your Chromecast
        * Use “Collection Management Policies” to Curate Your Collectibles
        * Re/wind: The Ellen Pao Verdict, Facebook’s F8 and More

        * 'Athletic' Sale makes progress during simulated game
        * 'Athletic' Sale makes progress during simulated game
        * Quintana powers through, locks down A's after first
        * Semien faces White Sox, praises good friend Johnson
        * White Sox not concerned about two key bullpen members
        * Williams remains optimistic for White Sox season
        * Quintana powers through, locks down A's after first

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


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

        Archives
        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


        * A pro-labor mayor for Chicago?..
        * Effingham native Schultz brings entrepreneurial.....
        * Chuck Sweeny: Don't hide behind Amtrak's skirts.....
        * Rauner OKs compromise plan to fix budget hole; .....
        * Area joblessness is down, but so are jobs..


        * 12-year-old shot to death in Quincy
        * Chicago's retired Cardinal George readmitted to hospital
        * Chicago universities study astronaut on 1 year space mission
        * Bison to graze at Midewin National Tallgrass Prairie
        * Nation's biggest nuclear firm makes a play for green money
        * Chicago's Thompson Center could get price tag
        * Bison to graze at Midewin National Tallgrass Prairie
        * University of Oklahoma unveils racist chant probe findings
        * Bradley names Brian Wardle its 14th basketball head coach
        * Ferry reopening between southern Illinois, western Kentucky

        * Effingham native Schultz brings entrepreneurial spirit to state agency
        * Rauner's 'right-to-work' proposal focus of larger debate on business climate
        * Irresistable force, immovable object on business reform
        * Rauner considering appraisal of Chicago's Thompson Center
        * Budget-patching deal dips into various state funds
        * Comptroller Munger expedites funds to child care providers
        * Lawmakers' budget deal raises concerns over burial costs
        * Former Congressman Schilling making 'special announcement' Saturday in Peoria
        * Illinois Army National Guard member, cousin arrested for allegedly supporting Islamic State group
        * Senate passes plan to fix $1.6B budget hole

        * Chicago likely to get sacked by NFL draft
        * Would Cat be better off at half the size?
        * Is Mondelez the next takeover target?
        * Guess which carmaker is Chicago's favorite
        * Don't mention the “U” word around Rauner


          * Emanuel and Garcia scour city for votes
          * Cops: Woman dies in crash after husband drove car off closed bridge
          * Prosecutors: 7-Eleven robber told investigators 'I was just trying to feed my family'
          * Angie's List put expansion on hold, citing new Indiana law
          * Man fatally shot after argument over woman at South Loop lounge
          * Wrigley rooftop owner indicted on fraud charges in alleged $600,000 scheme
          * 12-year-old boy shot to death in Quincy
          * Bison to roam Midewin prairie again
          * Prosecutors: Man shot victim in head, stood over him and fired 8 more times
          * 1 fatally shot, 2 wounded in South Side shootings


          * With GOP votes, Indiana House approves religious objection bill
          * After spending scandals, Rep. Aaron Schock says goodbye
          * Legislature to consider Madigan plan to fill state budget gap
          * Rauner signs into law compromise plan to fix budget hole
          * Where can a politician wield more influence? Chicago's City Council vs. Illinois' Statehouse
          * More people moved away from Illinois last year than any other state
          * Flamin' Hot Cheetos top Chicago Public School vending machines
          * Flamin' Hot Cheetos top some Chicago Public School vending machines
          * Flamin' Hot Cheetos top Chicago Public School vending machines
          * ACLU: Chicago police make more stops than New York at its peak


          * Effingham native Schultz brings entrepreneurial spirit to state agency
          * Rauner's 'right-to-work' proposal focus of larger debate on business climate
          * Rauner considering appraisal of Chicago's Thompson Center
          * Phil Eaton: Illinois can't arrest, treat or bury its way out of heroin epidemic
          * Charles Krauthammer: The GOP racing form: First edition
          * Quote of the Day: Saturday, March 28, 2015
          * Budget-patching deal dips into various state funds
          * Comptroller Munger expedites funds to child care providers
          * Lawmakers' budget deal raises concerns over burial costs
          * Former Congressman Schilling making 'special announcement' Saturday in Peoria


          * Best of Fred, No. 19: Birth of a program
          * The hunt is on
          * Week ahead looks wet, mild — and maybe even snowy
          * Egg hunts have same goal: The prize inside
          * Gifford Gets More Trees
          * Route 9 traffic diverted by accident
          * They just want to play: Special Olympians square off in Belleville soccer tournament
          * Special Olympians square off in Belleville soccer tournament
          * Mahomet-Seymour vs Urbana Baseball
          * ‘Smelled it, tasted it, felt it’: VFW leaders remember Vietnam at Belleville event


          * Keep the sofa ma, but have you joined Facebook?
          * Glenbard East cruises past Addison Trail
          * UConn wins in a rout; Dayton continues improbable run
          * Bartlett goes 2-2-1 in Tennessee
          * Staal, Faulk score in 3rd, lead Hurricanes past Devils 3-1

          * Rep. Barr Introduces Taking Account of Bur...
          * Former Congressman Schilling making 'speci...
          * Question of the day
          * Knox County Health Department receives $1 ...
          * Kelly develops ag platform for diverse dis...
          * Hultgren: Rooting out Medicare and Medicai...
          * Special election to be held to replace US ...
          * Post office named for Champaign County's 1...
          * Bustos announces health center funding
          * Obama Operatives Try to Sway Israel's Elec...

          * Schumer's Challenges Before Becoming Dem. ......
          * After 5 terms, Reid sets retirement...
          * Parker: Wacko birds continue nesting in U.......
          * How Chuck Schumer rose to the top of the U......

          * Tammy Duckworth to Challenge Mark Kirk for......
          * US Senate threatens Iran with new sanctions...
          * Brown supports bill to reduce OB-GYN short......
          * Chuck Sweeny: Poll shows most support Gov.......
          * Illinois’ GOP Seat In Jeopardy As Democrat......

          * The desperate panderer.
          * My dinner with Rahm.
          * Scientism in the Age of Obama
          * Stantis: Budget Bandaids
          * Illinois Congressman Luis Gutiérrez shouted off the stage at USC
          * Chicago Road Rage Caught on Camera
          * Vote daily to help Jirak get REALTOR® Magazine award
          * Opportunity Race: RPAC postcards support Giarrante re-election
          * Schilling looking at bid to succeed Schock
          * Corbett among eight honored by Illinois Jaycees


          * Governor Rauner Takes Bill Action
          * Nominating Petitions Available For Illinois Commodity Board Seats
          * Health Matters: 2015 Illinois Minority Health Efforts - Creating & Sustaining Healthy Communities
          * ‘Text First, Talk Second’ Often Best Way to Contact Loved Ones When Disaster Strikes - IEMA Encourages People to Have Plan for Communicating with Family Members, Friends during Emergencies
          * New Illinois Server Training Law effective July 1 - State currently offering FREE responsible beverage server classes




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