SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
*** UPDATED x1 *** Rauner team puts on full-court press against pension bill

Friday, Nov 29, 2013

[Before reading this, you might want to take a look at the new pension reform outline post.]

* You’ll recall that Republican gubernatorial candidate Bruce Rauner had this to say the other day about the pension reform agreement reached by all four legislative leaders

Unfortunately, the Springfield insiders have kept Illinoisans in the dark about the details of this bill. We’ve seen politicians do this before and it is rarely a good sign for taxpayers.

Any deal that would rank pension payouts to government union bosses ahead of priorities like education and public safety should cause grave concern and will lead to higher taxes.

* Rauner’s good friend Ken Griffin, who is the richest man in Illinois and has contributed more than $250,000 to Rauner’s campaign, followed up with an op-ed in the Tribune which expounds on Rauner’s talking points

Now our political leaders say they have made a breakthrough. In closed door meetings, hidden from public view, they have drafted legislation that’s intended to show they can get something done. But in this case, getting nothing done would be preferable to the passage of legislation that all but ensures the economic demise of our great state.

The proposed legislation provides for modest reforms of our broken pension system coupled with guarantees that payments to government employee pensions will come before paying for schools, hospitals, parks, police or fire protection. This isn’t a reform, but rather a fiscal death sentence: The state would be stuck with pension funding requirements that squeeze out all other priorities and tie the hands of future leaders.

The bitter truth is that our politicians have sold government employees a fraudulent bill of goods. Absent extraordinary economic growth, our state is going to collapse under the weight of generous pension promises made by union leaders and politicians. And with each passing day, the $100 billion gap between what has been promised and what is provided for grows by roughly $5 million.

Here is where this story will inevitably end: Our state is going to be forced to break its promises to our government employees and retirees. They will receive less than they bargained for. Our state’s taxpayers will see the 67 percent “temporary” tax increase converted into a permanent tax increase. And soon we will hear that even further tax increases are needed to meet our obligations. This is the price we are all going to pay for sending the wrong leaders to Springfield for too many years.

That op-ed does a good job of explaining what Rauner was really talking about. He opposes the proposal because he hates the funding guarantee, believing it would “rank pension payouts to government union bosses ahead of priorities like education and public safety.”

* And the Illinois Policy Institute, which received a $500,000 contribution from Rauner, piled on for good measure

The bill adds a pension-funding guarantee, prioritizing government worker pensions over all core spending. If pensions weren’t already squeezing out core spending enough already, Madigan’s bill adds a pension-funding guarantee to appease the unions. With Madigan’s minimal reforms, this funding guarantee will lock in further tax increases and increase the burden on taxpayers. A vote for this bill is a vote for tax hikes.

Notice how they refer to this as “Madigan’s” bill, when, in fact, the proposal has been agreed to by all four legislative leaders, including the two Republicans.

Some of the rest of the Policy Institute’s analysis is off base. The bill does impose a means test on cost of living allowance adjustments, for instance.

All that’s missing so far is a full-on attack by Reboot Illinois, which is funded by Ken Griffin’s independently wealthy spouse.

…Adding… From Reboot’s executive editor…

Rich: Sorry to disappoint. No attack here:

http://www.rebootillinois.com/?opinion=9129

* Meanwhile, the Sun-Times editorial board warned Rauner to back off

Madigan on Wednesday said Republican gubernatorial candidate Bruce Rauner has been lobbying Republicans to reject the deal because the “funding guarantee,” the clause that obliges the state to make its annual pension payment, is too strong and could hamstring the state.

Hogwash.

Under the funding guarantee, as we understand it and as it has been drafted in other pension bills, the state retains some flexibility, particularly in the event of a financial crisis. And more importantly, the state has a fiscal and moral responsibility to make these payments — its failure to do so helped create this pension mess. The guarantee also could help the state’s credit rating and could help the bill survive a court challenge.

Given the thinness of the argument against the funding guarantee, we fear this is straight politics. Solving the state’s fiscal mess could undercut Rauner’s chances to win either in March or November by giving his opponents a key victory. We reached out to Rauner on this but didn’t get a return call.

* So far, there’s nothing new from the Tribune editorial board on the substance of the proposal, although it did warn the other day - in an apparent preview of one of Rauner’s two main talking points - that leaders should give legislators and the public an opportunity to see the bill before it’s voted on. The Tribune has editorialized in the past against a funding guarantee, however.

*** UPDATE *** From the Illinois Policy Institute…

“We have to pass the bill so that you can find out what is in it.”

Remember when former Speaker of the U.S. House of Representatives Nancy Pelosi said this about ObamaCare?

Well, the Illinois General Assembly is repeating that horrible mistake, and we need your help today to stop them.

Illinois’ legislative leaders announced a pension “fix” right before Thanksgiving. And lawmakers have been called back to Springfield on Tuesday to vote on the measure.

The only problem? No one has seen the bill.

Legislative leaders released an outline of the plan earlier today. We quickly provided a breakdown of the proposal – based on what we know, it delays reform and keeps Illinois in a constant state of crisis.

It’s likely that a bill will not appear until late Monday. That means legislators will only have a few hours to digest a complicated piece of legislation dealing with the most critical fiscal issue in Illinois before voting on it.

We’ve been down this road before. We know where it leads. We need your help right now to mount a full-scale campaign to make sure that this bill – negotiated in secret, agreed on in secret and being drafted in secret – gets to see some daylight before legislators vote on it.

Please help us today – let’s demand to see the bill!

In liberty,

Jonathan Greenberg
Vice President of External Relations

P.S. Illinois taxpayers and government workers can’t afford pension “glitches.” Lawmakers should refuse to pass a pension bill to find out what is in it. We need your help right now to block a backdoor pension deal.

All of the links lead to a fundraising page which asks people to “Donate today and help us block Madigan’s backdoor pension deal!”

Perhaps not coincidentally, I received a blast e-mail earlier today from an e-mail address which made it appear as though it were sent by Gov. Pat Quinn. The e-mail provided a link to a clever little YouTube video that “thanks” Illinois Republicans for cooperating with Democrats on the pension bill

- Posted by Rich Miller        


No Comments

Be the first to comment.

Sorry, comments for this post are now closed.


* Reader comments closed for the weekend
* Question of the day
* *** UPDATED x1 - Rauner response *** This just in... Illinois Supreme Court denies Rauner appeal
* They need a rich "white knight"
* Johnson finally backs Davis... So does Joan
* Schneider throws Quinn under the bus
* Wincing before the hit
* Inspector general's IDOT probe places no direct blame on Quinn
* Today's number: 57 percent
* *** UPDATED x2 - Not totally clean - Some questions answered *** Stories raise unanswered questions about IDOC policy
* *** UPDATED x1 - Schneider campaign responds *** US, Illinois Chambers launch TV hit on Schneider
* Reaching into the past for today's gotcha moment
* New DGA YouTube video ties Rauner to Romney via outsourcing
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* This just in... Unions file motion to "gut" the state's pension case
* 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

          
        * Brazilian retailer comes out with new Moto X+1 listings
        * Apple Opens Battery Replacement Program For Affected iPhone 5 Units
        * Samsung teases Galaxy Note 4 handwriting features
        * HTC Nexus Tablet date, Windows 9 date, Gear 3 leaks & more – Pocketnow Daily
        * Guess which smartphone took these photos (Vol. 6) (Update: answer within!)
        * Three fun things to do with the Xiaomi Mi4 (Video)
        * For The First Time, The Majority Of Opera Software’s Revenue Came From Mobile Ads

        * Vine Introduces New Camera: This Week in Social Media
        * OnePlus Giving Away 10,000 Invites In A New Contest
        * Apple iPhone 6 Schematics Leaked From Apple Supplier
        * HTC Nexus 9 Tablet To Launch in October (Rumor)
        * Apple Started iPhone 5 Battery Replacement Program
        * Moto X+1 and The New Moto G Spotted At A Brazilian Retailer
        * Oppo Find 5 Will Not Get The Android 4.4 KitKat Update

        * White Sox recall infield prospect Sanchez
        * Abreu's 33rd homer not enough for White Sox
        * Shortstop Anderson debuts at Double-A
        * Carroll, White Sox look to end Yankee Stadium hex
        * Abreu's 33rd homer not enough for White Sox
        * Replay confirms play at plate; Yanks nail runner
        * Abreu happy to see fellow Cuban Castillo in bigs


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

        Archives
        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


        * Section of Interstate 70 named for Jerry Costello...
        * Supreme Court won't take up term limits appeal..
        * Libertarians survive petition challenge in Illi.....
        * IDOT hiring abuses report critical of Gov. Quin.....


        * Rauner dealt double blows over Illinois ballot
        * 8 gang members indicted on racketeering charges
        * Church cautions schools on ice bucket challenge
        * Rauner says Board of Election action a Quinn win
        * 2 parolees charged in suburban Chicago standoff
        * Supreme Court won't take up term limits appeal
        * Cardinal George to get experimental cancer drug
        * Report: State agency broke hiring rules for years
        * Sen. Warren disavows PAC urging run for president
        * United flight to Chicago makes emergency landing

        * State employee unions want expedited ruling in pensions suit
        * November ballot certified without term limits question
        * Supreme Court won't take up term limits appeal
        * Rauner dealt double blows over Illinois ballot
        * IDOT broke hiring rules for years, report finds
        * State Rep. Poe faces 3-week stem cell procedure in Texas
        * IDOT cuts positions following questions on hiring
        * Authorities investigating powdery substance at Illinois State Library
        * Powdery substance mailed to Illinois State Library deemed non-hazardous
        * Term-limit backers seek Supreme Court intervention

        * Chicago execs join in ice bucket challenge
        * McDonald's testing mozzarella sticks with marinara sauce
        * Watch where Michael Madigan tries to boost turnout
        * Supreme Court spikes term limits appeal
        * IDOT broke hiring rules for years, state report says


        * Karen Lewis credits dad with influencing her populist platform
        * Eight accused of racketeering, drug-running in Indiana
        * Cardinal George to participate in research trial of new cancer drug
        * Prosecutor: Harvey hostages threatened, one woman sexually assaulted
        * Boy, 3, shot in head on  W. Side
        * A new heart, a deeper love
        * Emanuel alters eligibility rules for firefighters entrance exam
        * IDOT political hiring is setback for Quinn
        * Kids pay the price for weak oversight of charter schools
        * Attorney indicted on charges of soliciting perjury in drug case


        * Boy shot inside residence on West Side
        * Jackson Jr.'s political fund fined nearly $18,000 for missing reports
        * Cops: Tracking device leads officers to phone store robbery suspects
        * Libertarian Party remains on Illinois ballot this fall
        * Rauner term limits question won't appear on November ballot
        * Ex-cop could face prison for violating probation
        * Cardinal George testing new cancer drug
        * 2nd charge in Antioch inappropriate touching case
        * Heavy rain shuts down Eisenhower for third time this summer
        * U. of I. defends pulling job offer over tweets critical of Israel


        * IL Supreme Court Won't Hear Term Limit Question Before Ballot Deadline
        * Gone Fishing: Harsh winter brings lake temps down, but not for long
        * Race, Cops & Traffic Stops
        * Listen to State Week - August 22, 2014
        * In Wake Of Ferguson, Rally Planned In Springfield
        * WUIS Education Desk: Springfield Mayoral Candidates Talk District 186
        * Unions Ask For Quick Ruling On Pensions
        * Report Says IDOT Broke Hiring Rules For Years
        * CPS students scramble for new school after Concept charter opening delayed
        * Illinois Takes First Step Toward Drafting Greenhouse Gas Plan


        * State employee unions want expedited ruling in pensions suit
        * Rodney Davis: Congress trying to aid college debt battle
        * Charles Krauthammer: Stopping the worst people on earth
        * November ballot certified without term limits question
        * IDOT broke hiring rules for years, report finds
        * Our Opinion: Another life saved by CPR
        * Esther Cepeda: Misreading our demographics
        * E.J. Dionne: Ferguson divides us less than we imagine
        * Richard Kaplan: Additional Rauner tax-return disclosures probably won’t reveal much
        * State Rep. Poe faces 3-week stem cell procedure in Texas


        * Documentaries on Herrin history set to air
        * Climate marchers arrive Sunday in Davenport
        * German man evicted for squeaky swing set sex prop
        * Gang member Rice guilty of murder try
        * Suspicious object turns out to be Star Wars toy
        * Colorful visitor
        * County forgives $2.4M in bad speed-camera tickets
        * Un-bee-lievable: 50,000 bees living in NYC ceiling
        * City says no profiling on noise law
        * Open Line


        * Jackie Robinson West playing in U.S. final today
        * Seahawks embarrass the Bears
        * White Sox waste Abreu's homer, lose to Yankees
        * Palatine Street Fest continues through Sunday
        * Trestman wants to see Jeffery ‘stack years together'

        * Statement by Representative Jan Schakowsky...
        * Legislation proposes mandating 24/7 nursin...
        * Statement by Representative Jan Schakowsky...
        * Farm Antibiotic Restrictions Proposed - Al...
        * Jan Schakowsky: Tom Marino's Response to '...
        * Telling Nancy Pelosi to do research is sex...
        * Schakowsky blasts Marino for 'sexist' atta...
        * Schakowsky: Marino's attack on Pelosi was ...
        * Dem: Attack on Pelosi was 'sexist' - The H...
        * How I failed to live on the minimum wage -...

        * Section of Interstate 70 named for Jerry C......
        * Homeless veterans project hits snag...
        * Homeless veterans project hits snag...
        * Homeless veterans project hits snag...
        * Lawmakers React to Iraq Journalist Death...

        * Senator Kirk Applauds New Life-Saving Stro......

        * Alleged Red Light Camera Bagman Cooperating With Feds
        * Whatever Floats Your Boat
        * Unrest in the Midwest
        * Possible Karen Lewis Super PAC Being Discussed
        * Report: State Agency Broke Hiring Rules For Years
        * We Are One Coalition Urges Circuit Court To Expedite Pension Suit
        * Supreme Court Won't Take Up Term Limits Appeal
        * CTU boss Karen Lewis officially files to run for Chicago mayor
        * Study: TSA Full-Body Scanners Photograph Genitals, But Miss Guns, Explosives, Knives
        * Appellate Court rules against term limits, effort heads for IL Supreme Court


        * Quinn Said He Was Stopping Patronage Hiring In 2010; He Was Actually Expanding It
        * Rauner: Quinn patronage scandal reminds us why we need term limits
        * Governor Quinn Announces New Class of Illinois State Police Cadets - More Cadets to Protect and Serve Communities Across Illinois
        * ICYMI: Term limits amendment — and citizens — lose
        * IDOT Teams Up with “Walking Dead” Star to Drive Down Fatalities in Illinois - Innovative New Labor Day Ad Campaign to Target Young Males; Law Enforcement to Crack Down on Drunk, Unbelted Drivers




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