SUBSCRIBE to Capitol Fax      Advertise Here      Mobile Version     Exclusive Subscriber Content     Updated Posts    Contact
To subscribe to Capitol Fax, click here.
Taxing issues

Monday, May 12, 2014

* As I told you Friday, eleven House Democrats co-sponsored a bill to completely roll back the 2011 income tax hike. One of those House members was Rep. Willis, who now says she’s undecided about making the tax hike permanent

State Rep. Kathleen Willis is “totally on the fence.”

“I’m totally undecided still. I’m talking to the people in my district to see,” the Addison Democrat said.

“I’m talking to the people in my district” more likely means “I’m waiting to hear from the Speaker.”

Freshman Rep. Willis is currently unopposed.

* Rep. Marty Moylan was the bill’s chief sponsor...

“Right now I’m leaning ‘no’ unless there’s some major reason or change of my mind on it,” Moylan said.

Moylan is most probably a “No.” But what he said is still pretty interesting.

* Rep. Carol Sente is still a solid “No” vote

“I was a firm ‘no’ in 2011, and I continue to be a firm ‘no’ on making the temporary income tax permanent. What we really need is bipartisan, long-term economic development plans and major budget reform,” said Sente, who has outlined such plans in a proposal that’s been stagnant in the legislature since March.

* Meanwhile, Kurt Erickson had this to say over the weekend

One theory for how this will all play out began emerging last week. Rather than take the tough vote, Madigan will ask his members to vote for Quinn’s preferred budget — one that doesn’t include the drastic cuts — but not take a vote on making the income tax permanent.

State government operations would continue as they are now. But, come January when income tax rates roll back from 5 percent to 3.75 percent, the state won’t have enough money to continue on its current track.

Such a move would turn the race for governor into a referendum on whether voters want the tax hike to stay permanent.

A vote for Quinn would be a vote for keeping the tax intact, thus avoiding the doomsday budget scenario he and his agency heads have been laying out this spring.

A vote for Republican businessman Bruce Rauner would be a vote for allowing the tax to roll back and the possibility of major cuts in state spending.

Subscribers know my take on that.

* An insightful take

Rep. Elaine Nekritz, a leading Democrat, says members are split on the best approach.

“I’m not making any predictions right now, it’s all in such a state of flux and every legislator I talk to about the budget and what they’d like to see, how they’d like to see it resolved, has a different idea,” Nekritz says. “Until we get 60 that are on the same page, it’s going to be a real challenge.”

* Related…

* Cullerton: Downstate should be wary of political posturing over tax rates: I don’t believe decimating downstate Illinois will make our state stronger. I can only hope others share my view.

- Posted by Rich Miller        

  1. - Walker - Monday, May 12, 14 @ 9:55 am:

    Erikson’s theorized option would be bad government indeed.

    I don’t mind the Speaker working the legislators up to the last minute, but I do mind getting at them by forcing the agencies and the taxpayers to the precipice.

  2. - wordslinger - Monday, May 12, 14 @ 10:01 am:

    –Such a move would turn the race for governor into a referendum on whether voters want the tax hike to stay permanent.–

    I thought that was how it was going to go down in the first place.

  3. - AFSCME Steward - Monday, May 12, 14 @ 10:03 am:

    “One theory for how this will all play out began emerging last week. Rather than take the tough vote, Madigan will ask his members to vote for Quinn’s preferred budget — one that doesn’t include the drastic cuts — but not take a vote on making the income tax permanent.

    State government operations would continue as they are now. But, come January when income tax rates roll back from 5 percent to 3.75 percent, the state won’t have enough money to continue on its current track.

    Such a move would turn the race for governor into a referendum on whether voters want the tax hike to stay permanent.

    A vote for Quinn would be a vote for keeping the tax intact, thus avoiding the doomsday budget scenario he and his agency heads have been laying out this spring.

    A vote for Republican businessman Bruce Rauner would be a vote for allowing the tax to roll back and the possibility of major cuts in state spending.”

    Typical Mike Madigan leadership. Don’t make any tough choices now. Kick the can down the road. Isn’t this how the pensions became such a mess ?

    If this strategy is followed, and the extension of the income tax isn’t passed in January, the cuts will have to be even bigger, since the state would be spending as though the tax increase passed for 6 months. Not a good plan.

  4. - Just Observing - Monday, May 12, 14 @ 10:08 am:

    Nekritz is not an Evanston rep. — her district doesn’t even touch Evanston — her main office is in Buffalo Grove. WIUS’ mistake, not Rich’s.

  5. - Walter Mitty - Monday, May 12, 14 @ 10:08 am:

    Steward…. Great points… Not sure if anyone saw the report last week that only one person lost their job from the Federal shutdown…. the speaker could be missing the boat on this too… I think the chicken little act may be getting old… Even though we are a mess… People are weary… This may help Rauner even more…

  6. - truthteller - Monday, May 12, 14 @ 10:12 am:

    Is Cullerton the only Democrat in the legislature?

  7. - The Elderly Man You Used to Love - Monday, May 12, 14 @ 10:17 am:

    There is much to lament about the current state of politics, both at the state and national levels. But it strikes me that the prevailing attitude of “don’t tax me, don’t cut anything” really isn’t contributing to the dialogue in any meaningful way. That’s grade school-level citizenship at best. David Broder used to say that the political polarization in our country will not be broken until the American people resoundingly give a mandate to one of the two parties. Maybe our elected officials aren’t the best, but the people electing them aren’t a whole lot better.

  8. - Grandson of Man - Monday, May 12, 14 @ 10:18 am:

    It’s easy to say no. It’s so much harder to come up with a comprehensive plan. I ask the legislators who say no to come up with a plan, so we can see and evaluate it. I ask that of Rauner also. He wants to be the leader that so many think Illinois lacks. If that’s the case, let’s see some plans, instead of evasion, like telling us later or that he’s still working on it.

  9. - Bill White - Monday, May 12, 14 @ 10:29 am:

    Those who want to “drown all government in a bathtub” benefit from gridlock and have no incentive to offer a workable plan.

    Therefore, vague calls to cut unspecified “waste, fraud and abuse” to balance reduced taxation is all that is needed.

    If any Democratic member of the IL House believes their long term career prospects will be better after a collective failure to extend the 5% income tax, they are fooling themselves. Then again, if 60 “other” members of the IL House vote “Yes” then those who vote “No” can ride for free.

    Maybe this is a game of musical chairs to see which 11 Democrats can vote “No” while still passing the extension.


    I repeat my Ben Franklin riff from Friday, unless Democrats hang together on this, they will surely hang separately.

  10. - Anon - Monday, May 12, 14 @ 10:29 am:

    Is this just more Springfield gamesmanship for show?

    “Oh look, some politicians in Springfield want to roll back the income tax…”

  11. - Westward - Monday, May 12, 14 @ 10:36 am:

    What’s wrong will Illinois politics? Let’s start with this nugget: the implication that so many members of the democratic caucus are “waiting to hear from the Speaker.” So who’s running the joint? Not the people we elect from our districts. Rich has pointed out how unpopular Madigan has become recently, however, members continue to follow blindly knowing these money and staff come re-election time. Minions. That’s who is filling space on the 3rd floor of the Capitol.

  12. - Rich Miller - Monday, May 12, 14 @ 10:39 am:


    Minions are staffers.

    I prefer the Steve Brown term “ducklings” for freshman targets and several others who act like they still are.

  13. - Westward - Monday, May 12, 14 @ 10:49 am:

    Yes, Rich, I stand corrected. You’ve made that reference before. So it’s all about political survival once you’re elected, not about campaign promises.

  14. - Bill White - Monday, May 12, 14 @ 10:49 am:

    Also too, the current IL GOP leadership should be nervous if the 5% income tax extension fails to pass.

    If it does fail to pass, Dan Proft will become the “de facto” leader of the GOP IL House delegation.

  15. - Langhorne - Monday, May 12, 14 @ 11:00 am:

    the “emerging madigan plan” violates the constitutional requirement for a balanced budget, since they know revenues would be insufficient. if they throw in use of fewer line items it invites all sorts of mischief. live for today and to hell with tomorrow. if quinn loses, it leaves rauner w dangerously inadequate funding. it is playing chicken on the railroad tracks.

  16. - 47th Ward - Monday, May 12, 14 @ 11:01 am:

    Even Rauner has softened his stance on this, saying the 5% tax rate should be phased out. That’s a heck of a lot different than allowing it to sunset.

    So far, from what I’ve seen and heard, Jim Durkin is 110% behind Bruce Rauner. If all of that is true, that Rauner doesn’t want the tax to expire immediately and that Durkin will help advance Rauner’s interests this session, then a compromise is certainly possible.

    Or I’m just an optimist. If Madigan can’t get 60 votes to keep it permanently at 5%, surely they could find 60 votes to lower it in phases over the next four years.

  17. - Todd - Monday, May 12, 14 @ 11:06 am:

    So what is the differance between this budget idea and a 6 month budget?

    And did everyone forget about Rep. Costello’s NO?

  18. - Bill White - Monday, May 12, 14 @ 11:12 am:

    Also too, what John Cullerton said / wrote.

  19. - Norseman - Monday, May 12, 14 @ 11:14 am:

    Langhorne, true but when has that stopped them before.

  20. - Anon - Monday, May 12, 14 @ 11:46 am:

    If Rauner is elected and the doomsday budget kicks in, downstate districts with state institutions surely would feel the pain. Apparently their Republican representatives would rather see their districts suffer than take the risk of voting for a permanent extension.

  21. - Ghost - Monday, May 12, 14 @ 11:58 am:

    Langhorne - technically its not unconsitutional, but what it does mean is that different agencies would either have to close thier doors completly when they run out of money, or do massive layoffs and service cuts to eck by on what money they have left if there is no cash on hand to go with the approps.

  22. - A guy... - Monday, May 12, 14 @ 12:02 pm:

    Rep. Willis is hedging and she has NO opponent. What does that say about the rest of them who do? That was a carefully scripted response on her part. And short. Just like they write them in …..’s office.

  23. - muon - Monday, May 12, 14 @ 12:03 pm:

    Passing an unconstitutional budget has precedent in a gubernatorial election year. One needs look no further back than 2010.

  24. - Yellow Dog Democrat - Monday, May 12, 14 @ 6:53 pm:

    1) it is not unconstitutional.

    The difference between a six month budget and a what I would call a “placeholder” budget is probably about four and a half months.

    My bet is that agencies would start to run out of money mid-May, using their discretionary budget power agency directors could prolly add a week or two, but I were a governor trying to pass a tax hike I would send out layoff notices in early March effective May 1.

    Once workers hit the sidewalk, you will have maximum effect.for a month right up to the budget and tax vote.

  25. - Just The Way It Is One - Monday, May 12, 14 @ 7:59 pm:

    The Democrats just need to bite the bullet, do the right thing, and pass it. Then tout the $500 PROPERTY Tax Cut/Rebate coming to all Homeowners, and urge the Leaders to cut those Checks in advance around Labor Day.

    Even PONDering the potential of any inevitable BR “Doomsday Budget” of Draconian Cuts if, God forbid, he was to squeak-in, to our Kids’ Education, and across the Board, is utterly repulsive otherwise…!

  26. - zatoichi - Monday, May 12, 14 @ 9:39 pm:

    How does a half year budget solve anything? Education going to give half year contracts and hope for the best? Human service groups (who might have 2-3 months in the bank) going to decide which programs continue while moving back to 8 month payments? Some local providers by me (with over 100 FTEs) are seeing $400,000-$500,000 insurance costs kicking starting Jan 1. Easy to talk about state layoff notices, but the vast majority of services are done at the local community provider/school level. And the hundreds of thousands of people they deal with will go where when the bucks stop? And those same local providers will surely get a free banking pass for mortgages and loans for salary payments right?

Sorry, comments for this post are now closed.

* Reader comments closed until Monday
* TrackBill update
* Caption contest!
* It's worse than we thought
* Question of the day
* Long-term debt is not short-term debt
* Today's quotable
* Yesterday's blog posts

Visit our advertisers...








Search This Blog...

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

Search the 98th General Assembly By Keyword

        * Twitter Experiments With Engagement Stats Directly In Tweets
        * Wicked Lair: Tower Defense and Dungeon Building mash-up
        * We’ll Get Our First Look At Windows 10 Consumer Features In January
        * Insecurity blanket: iOS has antivirus makers feeling left out
        * Google breakup resolution passed by European Parliament
        * First Android One phone arrives in UK
        * LG shuffles executives, new head of mobile appointed

        * Windows 10 Consumer Features To Be Unveiled At An Event In January
        * New LG Tablet Will Challenge The Surface Pro
        * NVIDIA Shield LTE Receives Android 5.0 Update
        * Syrian Electronic Army hacks websites via Gigya’s login service
        * This 12,000 DPI Logitech Gaming Mouse Comes With a $50 Steam Gift Card
        * EU Lawmakers Urge Regulators to Break Up Google
        * The 50 Free Apps We're Most Thankful For

        * Catching up with Tadahito Iguchi
        * White Sox ACE program helps send players to college
        * Additional 2005 fan-favorite players added to '15 SoxFest
        * White Sox introduce Adam LaRoche and their plans for him
        * White Sox plan for contention a work in progress
        * White Sox officially announce LaRoche deal
        * Red Sox seize offseason driver's seat with signings


        Main Menu
        Pundit rankings
        Subscriber Content
        Blagojevich Trial
        Updated Posts

        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


        RSS Feed 2.0
        Comments RSS 2.0


        * Let's give thanks for aldermanic elections..
        * Lisa Madigan appeals ruling that KO'ed pension law..

        * Woman's body found near Whiteside county jail
        * VSU chief financial officer to leave for new job
        * Collinsville man guilty of murder in fatal wreck
        * 3 arrested in Chicago during Ferguson protest
        * Clemency for man wrongfully jailed for 1991 murder
        * Illinois doctor fined over medical marijuana slip
        * Archbishop praises Obama's action on immigration
        * Firefighters rescue 4 boa constrictors from fire
        * Illinois AG files notice of appeal in pension case
        * Holiday travelers greeted by cheap gas, storms

        * Illinois attorney general files notice of appeal in pension case
        * Quinn grants clemency to 126 ahead of holiday
        * Illinois gives $4.5M food banks for modernization
        * State begins accepting fracking applications
        * Debt rating agencies weigh in on state pension ruling
        * Lisa Madigan to ask Illinois Supreme Court to consider pensions
        * Rauner tackles transition agenda
        * Attorney general warns of immigration scams
        * State pension changes ruled unconstitutional; appeal to Illinois Supreme Court next
        * State to refund $60 million in retiree health care money

        * Most BP oil spill claims handled correctly, McGladrey says
        * Illinois AG Madigan files notice of appeal in pension case
        * Congressmen sound alarm over anti-Asian Carp move
        * Motorola Mobility loses bid to extend antitrust law reach
        * Chicago business activity is growing—but at a slower pace

        * Obama 2014 Thanksgiving menu: Turkey, Ham, six kinds of pies
        * Obama guidance, press schedule Nov 27-30, 2014 Thanksgiving break
        * Charity event looks like turkey tokenism
        * Decatur Classical parents want to expand into old Stewart building
        * Cupich: More must be done to ‘repair our broken immigration system’
        * Norman Schoer, viola player with Grant Park Orchestra and Lyric Opera, dies at 103
        * Charity event looks like turkey tokenism
        * Lisa Madigan appeals ruling that KOed pension law
        * Lisa Madigan appeals ruling that KO'd pension law
        * Chicago’s overnight parking ban begins Monday

        * Thanksgiving Day Parade kicks off at Congress and State
        * Woman, 31, found shot dead in Gary alley
        * Crash-and-grab burglars hitting high-end stores in suburbs and Chicago
        * Ferguson protester in Chicago charged with felony
        * Flurries, cold expected for Thanksgiving
        * Crash-and-grab robbery in North Austin
        * Woman hospitalized after Blue Island crash
        * 3 Ferguson-related protesters arrested in Chicago
        * Oak Lawn insurer wants out of $3M award in cop shooting
        * Judge reassigned after failing to follow contempt rules, officials say

        * Let's Talk Kids - "Love Is Love"
        * LLCC Offers Variety Of Community Education Classes
        * Incoming U of I President Speaks To Springfield Audience
        * Another Year Of "Messiah" For Springfield Choral Society
        * Fumée Gypsy Project Plays At WUIS
        * New Exhibit On Lincoln's "Undying Words"
        * Locals Organize For Vigil In Response To Ferguson
        * Illinois Hunters Kill 52,000 Deer Over The Weekend
        * Pension Ruling "Credit Negative," But No Ratings Change
        * Tim Landis: Foreclosure Sales, CIPS Icehouse and Heritage River Trail

        * Our Opinion: Help combat hunger this holiday season
        * Eugene Robinson: On replacement, caution urged
        * George Will: Thanks, or something
        * Quote of the Day: Nov. 27, 2014
        * Illinois attorney general files notice of appeal in pension case
        * Quinn grants clemency to 126 ahead of holiday
        * Illinois gives $4.5M food banks for modernization
        * Michael Gerson: The big ‘but’ on immigration
        * Quote of the Day: Nov. 26, 2014
        * State begins accepting fracking applications

        * News in brief 11/27/14
        * YWCA Holiday Helpers program begins
        * Blue Sky Vineyard: A Tuscan hideaway in Southern Illinois
        * Illinois health officials offer turkey safety tip
        * Williamson County budget approved
        * Goodfellow Fund helps young, seniors to independence
        * Area history, Nov. 27, 2014
        * This day in history: Nov. 27, 2014
        * Edgar County hunters top results for first deer season
        * Main route to shopping includes prospect for crashes

        * Suspect arrested after Elk Grove Village robbery
        * Things Constable family (with 3 teen boys!) are grateful for
        * The new Black Friday: Shopping kickoff has evolved, expanded
        * Will helps Prospect repeat at York
        * Girls basketball scoreboard: Wednesday's results

        * Representatives Schakowsky, Gutierrez and ...
        * Gutiérrez warns of GOP 'fear campaign' aga...
        * Dem Rep. to Columnist: Stop Comparing Blac...
        * Opponents of deportation relief are scarin...
        * Rep. Gutierrez: Executive Action Questions...
        * Democrat Congressman Insists Obama Is Goin...
        * Democrat to GOP: 'Roll up your sleeves' an...
        * On Sunday, Rep. Luis Gutierrez (D-IL) said...
        * Chicago immigration rally calls on lawmake...
        * November 23: Durbin, McCaul and Brooks The...

        * We Blew It On Obamacare, Top Democrat Admi......
        * Senate committee to hold civil rights hear......

        * Chicago Tribuen: Squeeze a stalling Iran t......
        * Obama headed for defeat on Iran sanctions...

        * #HappyThanksgiving from The Sixth Ward blog!
        * In Chicago the race is on. It’s easy as ABC.
        * Lisa Madigan files her appeal.
        * The Better Government Association continues to spread the lie about public employee pensions.
        * Happy Thanksgiving. “My idea,” says Rahm.
        * Chicago parents demand answers from Emanuel after sex ed lessons revealed
        * Happy Thanksgiving
        * We're Grateful To Live In Uptown, And For You
        * Will Thanksgiving meal someday come at shopping mall food court?
        * No TIF Funds Will Be Used If Stewart School Reopens As Decatur

        * Governor Quinn Announces Investment to Help Regional Food Banks Better Serve Those in Need - Governor’s Investment Will Ensure Lower Cost and Higher Efficiency for Services Reaching Nearly 2 Million Illinois Residents
        * Governor Pat Quinn Takes Clemency Action
        * Governor Quinn Statement on Abner Mikva Receiving Nation’s Highest Civilian Honor
        * Department of Insurance Announces Multi-State Settlement with Symetra Life Insurance and Symetra National Life Insurance Company - Illinois will share part of a $1.2 million penalty against Symetra Life regarding Life Insurance policies
        * Avoid Foodborne Illness This Holiday Season

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