SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
CapitolFax.com
To subscribe to Capitol Fax, click here.
Unclear on the concepts

Tuesday, Jan 21, 2014

* Sen. Kirk Dillard unveiled a proposal yesterday to lower the state’s gasoline sales tax by 3 percentage points and then using the remaining 2 percent state sales tax to fund a $1 billion capital program for roads and bridges

“This will save a typical family in Illinois nearly $200 a year while also putting people to work on road and bridge projects that are in dire need of repair,” Dillard said in a press release.

OK, first of all, in nominal dollars, Illinois’ gross state product was $644 billion in 2012. So, a $1 billion construction project represents just 0.16 percent of GSP. Not a lot of relative growth from something like that.

More importantly, though, the plan would cut state coffers by $550 million (including the $100 million taken out of circulation for capital projects). How would he cover that hole? By “growing the economy,” Dillard told reporters yesterday.

Sorry, but hope ain’t a plan.

* Then there were the contradictions

“Illinois has two taxes on gas and I propose, using, getting rid of the second one — as I long have,” said Dillard, who noted the state also has a 19-cent per gallon tax on gasoline. […]

Dillard in the past has recommended shifting revenues from the sales tax on gasoline to replace the use of video poker money as a source for state bond-funded public works projects. On Monday, he said video poker was in Illinois to stay.

Dillard is finally getting closer scrutiny from the Chicago media, and it ain’t great. Natasha Korecki points out a few in her most recent column and ends it this way

When the Sun-Times asked Dillard whether rumors were true that he was thinking about voting against the pension bill to keep the possibility open for union support, Dillard was adamant: “I always supported pension reform,” he said then. “I can’t imagine I wouldn’t be [in support].”

He then voted against it.

So taking it all into account is Dillard’s clout issue just “one story”?

Maybe.

But if he isn’t careful, doubts about his credibility may begin to look like a “perpetual pattern.”

* Not to mention that Dillard and two of the other three Republican candidates definitely want the state income tax to sunset on schedule, which blows a $3.6 billion hole in state revenues the first full year of implementation, according to the governor’s budget office.

With that in mind

[Sen. Bill Brady], the only GOP candidate for governor who supported a new law in December curbing state employee pension increases aimed at closing the state’s $100 billion unfunded liability, also said the measure’s passage would mean the scheduled reduction in the state’s income tax rate should go on as scheduled in January 2015.

“It will save us at least $1 billion or $1.2 billion in the first year, which lets the income tax go away,” Brady said.

Only in Fantasyland is that even remotely true.

- Posted by Rich Miller        


28 Comments
  1. - Chicago Cynic - Tuesday, Jan 21, 14 @ 9:50 am:

    Dillard is imploding. Brady and Rutherford are invisible. Is it any wonder why Rauner is leading?


  2. - wordslinger - Tuesday, Jan 21, 14 @ 10:00 am:

    Geez, how long has Dillard had to get this gas tax story straight? The Trib really put the wood to him.

    I think Cinci has confused the issue at least half a dozen times here trying to explain it.

    Cowboy up, dude, and take a personal interest in your business.


  3. - Anon - Tuesday, Jan 21, 14 @ 10:01 am:

    The backlog of state bills and the projected budget deficit (Quinn says it will be $16.2B by 2016) makes it irresponsible to further reduce state revenues. What happened to the conservatives who believed in paying their bills on time and to balanced budgets?


  4. - William j Kelly - Tuesday, Jan 21, 14 @ 10:01 am:

    Now if only Dillard would learn a lesson from rauner and figure out a way to make 32million on some gas company deal that goes bad. Then he would be ahead in the polls and have everyone eating out of his hands!


  5. - Demoralized - Tuesday, Jan 21, 14 @ 10:06 am:

    Growing the economy is a popular refrain from people who want to lower taxes, but don’t want to truly address the revenue problem it creates. I don’t believe in the cut taxes, increase revenue theory anyway, but if you do you have to at least acknowledge that there will be a time period where you are taking in less revenue. It’s simple math.


  6. - Linus - Tuesday, Jan 21, 14 @ 10:09 am:

    - Only in Fantasyland is that even remotely true. -

    Absolutely. And it will remain enormously important for news media to start (or continue!) laying-out the full set of facts for readers and listeners: Even with recently passed pension reforms, the state’s budget is going to steer far more sharply into trouble if the income-tax increase is allowed to expire on schedule.

    And that means billions of dollars of cuts in education, health care, public safety, etc.

    And that - in turn - demands specific answers from politicians who would let this happen: Where, precisely, would you cut? And by how much?

    If you propose “cutting waste,” tell us: Exactly what waste? What’s the price tag?

    Letting candidates continue to slide on such details is tantamount to malpractice by those who report the news as well as by voters who say they base their ballot-box decisions on the facts and demand “the truth” from politicos.

    And - the choir has been preached to, yet again.


  7. - In the Middle - Tuesday, Jan 21, 14 @ 10:14 am:

    Puzzling.

    So, we’d lose $3.6 billion but supposedly gain $1.2 billion and that means we can sunset the state income tax?


  8. - 47th Ward - Tuesday, Jan 21, 14 @ 10:19 am:

    The best part of the Tribune story is at the bottom. Teens from the Mikva Challenge asked the candidates what their favorite TV show was. Brady answered Bonanza and Rutherford said Sea Hunt.

    I haven’t laughed that hard in a long time. Good stuff.


  9. - Ahoy! - Tuesday, Jan 21, 14 @ 10:22 am:

    So Dillard supported raising the gas tax before he was for lowering the gas tax to magically create new revenue? I buy it.


  10. - Frank - Tuesday, Jan 21, 14 @ 10:25 am:

    While we’ve all spent a lot of time this campaign season comparing Bruce Rauner to Mitt Romney for all the obvious reasons, we’ve missed the similarities between Romney and Kirk Dillard.

    Both made their reputations as moderate problem solvers. Both recognized that would be a hindrance to their primary campaigns. Both ran from their past political positions in order to avoid being disqualified by conservative voters.

    Romney went so far as to come out against his signature accomplishment as governor — healthcare reform. Dillard has, throughout this campaign, tied himself in knots trying to reconcile his current conservative posturing with past positions on major issues (see minimum wage.)

    They’re certainly not the first pols to run to the right in a Republican primary while planning on shifting to the center in the General. But there is only so much flip-flopping and parsing a candidate can engage in without completely straining their credibility.


  11. - ejhickey - Tuesday, Jan 21, 14 @ 10:25 am:

    “What happened to the conservatives who believed in paying their bills on time and to balanced budgets? ”

    some of us are still here and recongize the need for higher , not lower , taxes. for example illinois needs to start taxing all forms of retirement income.


  12. - langhorne - Tuesday, Jan 21, 14 @ 10:45 am:

    “bettin’ on em don’t make em win.” thats what my dad taught me at arlington park. a very important lesson that applies in most areas of life. dillard is a disappointment. he was supposed to be the tested and ready guy for the job. instead he is floundering all over the place.

    brady, i-almost-won-so-i-will-win-this-time, has standard conservative jargon and little more.

    did they ask their favorite tv show from the early 60s? bonanza was sponsored by rca to sell color tvs. thats why little joe would ride across the beautiful scenery to get help. i cant remember if sea hunt was in color or black and white. sheesh. talk about out of touch.


  13. - wordslinger - Tuesday, Jan 21, 14 @ 10:55 am:

    47, “Bonanza” I can almost understand. It ran for 16 years and has been in reruns forever.

    “Sea Hunt” requires some explanation, I think. It only ran four years and hasn’t seen much in syndication.

    Did you ever notice that in “Bonanza” the main characters almost always wore the same clothes in every episode, year after year? They filmed scenes from multiple episodes at the same time, so they couldn’t mix it up for continuity.


  14. - 47th Ward - Tuesday, Jan 21, 14 @ 11:08 am:

    Bonanza. The story of a middle aged man and his middle aged sons.

    When a teen asks you what your favorite television show is, you might want to list something that aired in his or her lifetime.

    I really liked Voyage to the Bottom of the Sea when I was a kid (and it was old then too), but I’d probably say Seinfeld or the Simpsons if asked.

    Still, both Brady and Rutherford answered truthfully. Dillard said Chicago Tonight. Said it with a straight face too, from the WTTW studio.

    Pander much Kirk?


  15. - unspun - Tuesday, Jan 21, 14 @ 11:11 am:

    Maybe Dillard contradicted himself to save his running mate the trouble of doing it? He’s desperate and trying to latch on to any populist idea that may gain traction…


  16. - Wensicia - Tuesday, Jan 21, 14 @ 11:25 am:

    Dillard lost all credibility when he decided to pander to the far right. He hasn’t been called out on it much in the media or by the other candidates because he’s polling so low. But, I suppose you could call his low marks payback for his about face or new positions on many issues.


  17. - PoolGuy - Tuesday, Jan 21, 14 @ 11:47 am:

    actually Illinois’ GSP (or state GDP) was $695 billion in 2012. not questioning your numbers Rich, just not sure of Wiki’s figures since they appear to be BEA numbers also.

    http://www.statista.com/statistics/187863/gdp-of-the-us-federal-state-of-illinois-since-1997/


  18. - Anonymous - Tuesday, Jan 21, 14 @ 12:03 pm:

    “…so they couldn’t mix it up for continuity.”

    Interesting. Or so that they had the flexibility to mix and match scenes to come up with an entirely new episode without a lot of additional filming? (Unless that’s what you said?)


  19. - DuPage - Tuesday, Jan 21, 14 @ 12:36 pm:

    Lower the tax on gasoline, that will add money to the state treasury.
    Sounds like a true/false question on a third grade math test. Right next to 2+2=5


  20. - Upon Further Review - Tuesday, Jan 21, 14 @ 12:37 pm:

    I have always felt it was lousy that Illinois taxes the same gallon of gasoline twice.


  21. - Ghost - Tuesday, Jan 21, 14 @ 12:46 pm:

    It occurs to me that if the state can use its pice powers to avoid constitutional obligations; then clearly it can use police powers to avoid mere contractual obligations. We have no debt problem, just pass a bill saying we won’t pay our overdue bills due to our fiscal problems under our police powers. After all if the state constitution doesn’t protect rights beyond a declaration of police powers, that includes contractual rights. State fiscal problem solved. We could withhold those fees from companies handling our investments; cancel repaying bonds. Pice powers can rescue us from all debt, if the court upholds it on pensions, there is no obligation we can’t skip out on. Yeah us!


  22. - Statesman - Tuesday, Jan 21, 14 @ 2:29 pm:

    It will be a fine day when the primary field is whittled down. That day can’t come soon enough!


  23. - walker - Tuesday, Jan 21, 14 @ 2:39 pm:

    Whenever Brady mentions a number, remember your elementary school arithmetic.


  24. - Think About It - Tuesday, Jan 21, 14 @ 2:41 pm:

    Common everyone….the point with Dillard is simple….we are paying some of the highest taxes on gas in the country. At least he’s putting some policy out there. Has anyone else? I”d rather he throw it out there and at least try and get our economy back on the right track.

    And speaking Rauner….why didn’t he clout his daughter into his own school “Rauner College Prep”. It’s her family legacy. What….that school isn’t good enough for her either! Unbelievable!! Displace a child who qualifies when she could go to the school with his name on it. His school suddenly isn’t good enough. That tears a big hole in his campaign, now, doesn’t it?


  25. - Anonymous - Tuesday, Jan 21, 14 @ 2:44 pm:

    “…pice powers…”

    Dearest Ghost, are you talking about rupees or pitchforks, is it your beloved keyboard, or am I just being entirely daft right now?


  26. - Demoralized - Tuesday, Jan 21, 14 @ 4:34 pm:

    ==I”d rather he throw it out there and at least try and get our economy back on the right track.==

    And put state government deeper in the red.


  27. - wordslinger - Tuesday, Jan 21, 14 @ 11:48 pm:

    You have to respect a guy like Bill Brady.

    Agree with him or not, at least you know what you’re getting.

    The guy is not a phony, like some.


  28. - econ prof - Wednesday, Jan 22, 14 @ 9:07 am:

    If the state would drop the gasoline tax to mirror border states (like Missouri), I think you would see sales tax revenues sky-rocket in border communities. I choose to fill up in Missouri, where gasoline is 24 cents/gal cheaper. Missouri has a plethora of gas stations and truck stops along the border, with parking lots full of cars with Illinois license plates.


Sorry, comments for this post are now closed.


* Reader comments closed for the weekend
* No pension bump for Stermer, MJM still not persuaded on special session
* SUBSCRIBERS ONLY - More comptroller stuff
* 1:30 comptroller announcement expected - Stermer appointed, says he will resign January 12th
* SUBSCRIBERS ONLY - Comptroller stuff
* Golden Horseshoe Awards
* Bears open thread
* More adventures in misgovernance
* Question of the day - Golden Horseshoe Awards
* Petulance all around
* 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

          
        * Galaxy S6 evidence, Sony Xperia Z4 leak, Lumia Denim & more – Pocketnow Daily
        * Deezer update: lyrics you can read or sing-along to
        * Rovio updates Angry Birds Epic RPG with player vs player gameplay
        * Google confirms NVIDIA Tegra K1 as Project Ara SoC option
        * Looney Tunes make a comeback on mobile devices with new game
        * Samsung Galaxy J1 tipped as upcoming entry-level Android
        * Oppo R5 review: Thin is an understatement

        * Lian-Li O Series: Thin and Slek Wall-Mountable Chassis
        * Xbox One VR Kit In The Pipeline (Rumor)
        * Sony Teaser Video On What To Expect At CES 2015
        * Tesla Set To Kick Off Model S Battery Swap Pilot Program
        * Upcoming Lenovo P70t Looks Set To Be A Marathon Runner
        * Quebec City Mayor Picks Up More Than CAD$20,000 Tab In Data Roaming Charges
        * Minecraft Creator Purchases Mansion For $70 Million

        * Terrerobytes: Future of Cuban baseball complicated on both sides
        * White Sox sign George Kottaras to a minor league deal
        * Kottaras to join White Sox with Minor League deal
        * Loss of Draft picks viewed as good trade for White Sox
        * Windy City revival: Cubs, White Sox revamped for '15
        * ZiPS projections underscore White Sox's riskiest bets
        * AL Central looking like one powerhouse division

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


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

        Archives
        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


        * Latest Illiana tollway step a heartbreaker to some..
        * Quinn Appoints Stermer as Comptroller..
        * Quinn names Jerry Stermer to succeed Topinka as.....


        * Quinn signs bill increasing juror pay
        * Home confinement ordered for ex-pharmacy officials
        * Illinois law nixes deadline for asbestos lawsuits
        * Gov. Quinn names comptroller to replace Topinka
        * Some gray wolves to be returned to endangered list
        * St. Charles students expelled after computer hack
        * Rauner calls Illinois comptroller appointment 'appropriate'
        * 1 thing even Rahm can't fix: Da Bears
        * AP Interview: Killeen sees UI as economic asset
        * SIUE sending plants to space for research project

        * Quinn signs bill increasing juror pay
        * Quinn names longtime aide Jerry Stermer comptroller until Jan. 12
        * Quinn signs law to nix deadline for asbestos lawsuits
        * Quinn to name comptroller replacement this afternoon
        * Madigan says T-Mobile settlement shields consumers
        * Quinn calls legislature back to Springfield to approve special election to replace Topinka
        * Audit: DCFS loses track of runaways
        * Audit: Illinois fails to monitor runaway kids
        * Chicago couple convicted of stealing state grants

        * Rauner already showing he misses Topinka
        * It's not you, it's me: Wintrust finds a new lender
        * Leadership Greater Chicago chief David DeCoursey dies at 66
        * FDA approves AbbVie combo hepatitis C treatment
        * These halls are really decked out for Christmas


        * Lakeview pot dispensary on hold; Tunney opposes Halsted location
        * Despite community pleas, CPS puts Dyett HS out for proposals
        * Quinn to appoint new Illinois Comptroller today
        * Gov. Quinn appoints longtime aide as Illinois comptroller
        * Watch: President Obama's year-end press conference
        * Rewriting the Sony cyberattack script
        * time for new course in Cuba
        * Are Rahm's numbers creeping up? New internals show him near 50
        * Obama guidance, press schedule, Dec. 19, 2014. Press conference
        * A whole lot of nothing from the City Council


        * Barrington woman, teammate win Season 25 of 'Amazing Race'
        * 1 dead, 12 injured in daytime Chicago shootings
        * High school student among 2 charged with Joliet murder
        * Stolen Northwestern Memorial Healthcare computer had information of 2,800 patients
        * Two more Chicago pot dispensaries get zoning approval
        * Bail set at $2 million in Willowbrook strangulation
        * Two charged with stealing Salvation Army donation bucket
        * Jury duty pay increase coming next year
        * Lyons man accused of promoting prostitution on Backpage
        * Indiana stage collapse survivors settle for $50 million: lawyers


        * Listen to State Week - December 19, 2014
        * Quinn Picks Budget Chief To Be Temporary Comptroller
        * 'Uber-gentrification' a force in Chicago's West Loop
        * Durbin leaving Congressional roommates behind
        * Worries rise in Russia as ruble falls
        * Improviser finds purpose in Chicago police mental health crisis trainings
        * Chicago 'petcoke' handler says it'll enclose piles
        * Waukegan woman seeks to trademark 'I can't breathe'
        * Obama re-establishing US relations with Cuba
        * Teaching hospitals hit hardest by medicare fines for patient safety


        * Sen. Dick Durbin: Clean water access bill honors Simon
        * Charles Krauthammer: How to fight the lone wolf
        * Quote of the day: Saturday, Dec. 20, 2014
        * Quinn signs bill increasing juror pay
        * Quinn names longtime aide Jerry Stermer comptroller until Jan. 12
        * Quinn signs law to nix deadline for asbestos lawsuits
        * Madigan says T-Mobile settlement shields consumers
        * E.J. Dionne: Chuck Schumer: Take two
        * Esther Cepeda: The rainbow that isn’t
        * Raoul, Righter, Nekritz, Sandack: Clarifying privacy, eavesdropping bill


        * Top Five Things To Do This Weekend: Where we add Scrabble to the wintry mix
        * Holiday tournament pairings for area boys, girls
        * Friday's prep highlights: Trimble sparks SJ-O
        * SIUE sending plants to space for research project
        * Braggin’ Rights Game has colorful history
        * Diminutive senior plays big role in Chargers win
        * Quinn signs bill increasing juror pay
        * HS Boys Basketball: Judah Christian vs Tuscola
        * HS Basketball: Centennial at Urbana 12-19-14
        * Illinois weather summary 12-19-14


        * AP sources: Peavy, Giants agree to 2-year deal
        * AP sources: Peavy agrees on deal with Giants
        * Austin Dodge leads Southern Oregon to NAIA title
        * Utah State, UTEP set to meet in New Mexico Bowl
        * Bob Simpson, co-developer of Saffir-Simpson scale, dies

        * Congresswoman Talks Improved Relations wit...
        * Energy and Commerce Rivals Battle to the Wire
        * Bost Readies to Join Congress
        * Ribbon cutting planned for Evans VA Clinic
        * VA facility named in honor of Evans
        * Bright Side: Cheri Bustos visits Galesburg...
        * Bost to resign early from state house, hea...
        * Prosecutor files charge against DNA in Bab...
        * Galesburg veterans facility named in honor...
        * Illinois Rep. Mike Bost flips his lid over...

        * Measure proposes national park considerati......
        * Senator Durbin Says ECMC's Push For Mandat......
        * Durbin Talks About Terror Attacks...

        * Senators Durbin, Kirk Join In Support Of S......
        * North Korea Hack Should Prompt Terror Desi......
        * Sen. Kirk wants to show 'The Interview' at......
        * Sen. Kirk 'disappointed' in Sony, vows to ......

        * AFSCME and other city unions sue over Rahm’s pension cuts.
        * Rahm privatizes.
        * Trailer: Chicago Public Schools: Closed
        * The Beachwood Radio Sports Hour #30: The Must-See Bears!
        * Potential Higher education College students Must Know These Tips
        * Chicagoans Hold Vigil For Victims Of Violence And Police Brutality
        * For Our Fallen Vigil In Chicago
        * Federal $10.10 Minimum Wage Would Benefit 25 Million Workers, Study Finds
        * Quinn Appoints Budget Director Jerry Stermer As Illinois Comptroller
        * Chicago Mayoral, 24th Ward Candidates Court West Side Voters At Local Forum


        * Governor Quinn Appoints Jerry Stermer as Illinois Comptroller
        * Governor Quinn Calls Legislative Special Session - Governor Urges Legislature to Set Up 2016 Special Election for Comptroller
        * Governor Quinn Announces Illinois’ Unemployment Rate Hits New Low - Illinois’ Economic Comeback Continues; Unemployment Rate Falls to Lowest Level in More than Six Years
        * Illinois Ranks #1 in Volunteer Rate Among the Country’s 8 Largest States - 2.57 Million Illinoisans Give $7.2 Billion in Service
        * Law Enforcement, IDOT Make Final Push to Save Lives in 2014, Roadside Safety Checks Planned Over Holidays - New Episode of “The Driving Dead” Premieres Friday as Holiday Travelers are Reminded to Drive Sober and Buckle Up




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