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* Former GOP state Sen. Steve Rauschenberger officially kicked off his Senate campaign the other day. The complete video is here. At one point during his speech, Rauschenberger slammed House Speaker Michael Madigan for admitting that the General Assembly had passed an unbalanced budget, which would be unconstitutional and a violation of Madigan’s oath of office.
Rauschenberger then made a startling statement…
“We impeached the wrong guy when we got rid of Blagojevich.
“Mike Madigan has been Speaker of the Illinois House for 28 of the last 30 years. He is the architect of the worst funded public pensions in America.”
His statement was followed by a long round of applause.
To refresh your memory, here is a short clip of Speaker Madigan admitting the budget isn’t balanced…
* Rauschenberger’s histrionics aside, I happen to think the attorney general ought to step into this. I mean, it’s pretty clear from the Speaker’s comments that he’s admitting the budget is in violation of the state constitution, which reads…
(a)… Proposed expenditures shall not exceed funds estimated to be available for the fiscal year as shown in the budget.
(b) The General Assembly by law shall make appropriations for all expenditures of public funds by the State. Appropriations for a fiscal year shall not exceed funds estimated by the General Assembly to be available
during that year.
Thoughts?
* Related…
* State’s budget crisis a boon for debt brokering firms: The brokering of Illinois’ unpaid debt is the latest symptom of a budget crisis that threatens to cripple the state’s network of social services. Other states suffering from severe fiscal problems in the recession have taken a variety of austerity measures but have not stopped paying bills as Illinois has.
* State’s bad economy attracts a business: Illinois is in such bad financial shape that a Georgia-based company has targeted social service agencies here in what one social service official called a “payday loan operation.”
* Moody’s downgrades state bonds, revenues continue slide
* Moody’s Investors Service cuts Illinois’ bond rating
* Quinn may sign borrowing bill today
* Ill. governor to sign bill aiding universities
* Our Opinion: Delay judicial appointments until 2011: The Illinois Supreme Court should do the state treasury a favor: Wait until Jan. 1 to appoint replacements for any judge that retires from the bench.
* Wildlife Prairie State Park’s future looks ‘tenuous’: The state’s budget does not include any money for the park in fiscal year 2011, although an Illinois Department of Natural Resources spokesman said they are working with the governor’s office to include “some funding” next year.
posted by Rich Miller
Tuesday, Jun 8, 10 @ 9:22 am
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And just what should the AG do when she steps into this? The legislature can just inflate numbers on the reciept side (which they have done for years). Bing - badda - boom - balanced budget!
Comment by Fed Up Tuesday, Jun 8, 10 @ 9:27 am
RB had to go. MJM should have been next. His departure as majority leader ain’t gonna happen, unless the house goes GOP in Nov. Too bad the electorate has no say in that, at least not directly. Hard to imagine the democratic caucus growing the stones needed to oust him.
Comment by dupage dan Tuesday, Jun 8, 10 @ 9:29 am
I’ve been wondering about the process for addressing the unbalanced budget myself. For starters, it’s not yet a budget, so I don’t think any action can be taken until the Governor acts.
I’m not a lawyer, but I would imagine that someone will have to sue the State over this to start the legal machinations.
Comment by Don't Worry, Be Happy Tuesday, Jun 8, 10 @ 9:31 am
Who didn’t know this months ago?
Illinois, The Land of Mencken: “Democracy is the theory that the common people know what they want, and deserve to get it good and hard.”
Comment by Northsider Tuesday, Jun 8, 10 @ 9:34 am
I guess Rauschenberger likes seeing lots of mail paid for by DPI in his district, really Smart
Comment by I'm Just Saying Tuesday, Jun 8, 10 @ 9:35 am
So Rauschenberger didn’t help pass the 1995 GOP pension law that set up a payment scheduled that was massively backloaded? Had that scheduled asked those who voted for it back in 1995 to sacrifice a bit more in the early years, we’d still be in trouble, but that payment would be a lot less than $3.7 billion and we’d have saved billions and billions in interest by now.
Comment by Michelle Flaherty Tuesday, Jun 8, 10 @ 9:37 am
They have been doing this for years (even under Republican Governor’s) are they going to indict everyone who voted for an unbalanced budget?
Their just admitting it this time…
Comment by Ahoy Tuesday, Jun 8, 10 @ 9:40 am
Glad to see the SGOP staying on message.
Comment by Easy Tuesday, Jun 8, 10 @ 9:47 am
Michael J. Madigan admitted a truth. He admitted that the budget isn’t balanced. It is as though Jacques Cousteau admitted that after a lifetime scuba-diving, he got wet.
Rauschenberger is the kind of guy who would count spaghetti noodles before putting them into boiling water, then count out each one to ensure that every plate had an equal amount. While I agree with his disgust with our State Budget, he seems to be missing bigger points by focusing on details here.
We all knew the budget wasn’t balanced. It hadn’t been balanced in a decade. The Illinois State Budget is a political document, not an accounting document. Naturally, it would offend a guy who thinks like an accountant. The Illinois State Budget should offend anyone capable of addition, paying taxes, or expecting to see efficiencies. The Illinois State Budget should offend anyone living, or yet to be living, because it spends not only what we have earned and will earn - it spends what our children will earn a generation from now.
Roasting the Speaker over the State Budget on the basis of it’s failure to be balanced by hook or crook, accounting gimmick or line is as political a move as claiming that the Speaker should be impeached.
Comment by VanillaMan Tuesday, Jun 8, 10 @ 9:52 am
Two things… as far as I know, the Governor hasn’t signed the budget yet, so no law, no lawsuit.
The ILGA COULD just inflate the numbers, they have great discretion in how they do their accounting (at least as far as the Constitution is concerned). However, CoGFA does produce reports that would likely be considered “authoritative”. More importantly, the ILGA admits that the budget is unbalanced. If you did go to court, you can skip that entire debate about what is or is not an unbalanced budget. The ILGA say it’s unbalanced, so the only question remains is what the court can do about it.
The only real option is to strike the appropriations down as unconstitutional, and that’s the biggest problem with the suit. It’s a nuclear option.
It’s why I’m mostly going it alone and I have very little time and funds to argue a case on my own.
Comment by John Bambenek Tuesday, Jun 8, 10 @ 10:07 am
hmmm, sumpin tells me the AG ain’t gonna bother with what dear old dad….uh the Speaker said.
Comment by RobRoy Tuesday, Jun 8, 10 @ 10:10 am
In the past, they just altered their revenue projections to match up with what they wanted to spend.
Like magic.
The law says “funds estimated by the General Assembly to be available”.
They can estimate whatever they want. That’s how they have always gotten away with it.
Comment by George Tuesday, Jun 8, 10 @ 10:13 am
George is right… the difference is this time they aren’t even bothering to lie about it anymore. When times are good, you can “tweak” the numbers. When times are bad, you can’t get away with it. Too many providers, schools, and state agencies no full well there is no money left. They aren’t even getting their budgeted appropriations.
Comment by John Bambenek Tuesday, Jun 8, 10 @ 10:14 am
Rich — do you really expect the Attorney General to do anything to step in front of the Speaker? Really?
Comment by Jeff Wartman Tuesday, Jun 8, 10 @ 10:24 am
I foolishly thought things would improve when Blago and Emil (Looking for villains? Remember him?) left. Not so much, at least not financially. The idea that the solution is for the AG to investigate her father is nonsense.
Comment by Excessively Rabid Tuesday, Jun 8, 10 @ 10:40 am
I’m shocked Illinois has reached another point where there are conflict of interest issues raised by having the state’s AG be the daughter of the Speaker/chairman of DPI.
Comment by Carl Nyberg Tuesday, Jun 8, 10 @ 10:53 am
I like Steve Rauschenberger, but his critique of Illinois state government seems more like political opportunism when it’s wedded to cheap regionalism.
When the DuPage GOP was calling the shots, was Illinois politics different?
Have the Downstate legislators been consistent voices against bad fiscal practices? Or do they ask, “Where’s mine?”
Comment by Carl Nyberg Tuesday, Jun 8, 10 @ 11:02 am
I foolishly thought things would improve when Blago and Emil (Looking for villains? Remember him?) left.
That wasn’t being foolish. Most expected the same. I guess what we are left with the repeated cynical stand that things don’t get better in Illinois, they just continue to stagnate.
Comment by VanillaMan Tuesday, Jun 8, 10 @ 11:05 am
Constitution? This is Michael Madigan’s state. We don’t need any stinkin’ Constitution!
Comment by Bubs Tuesday, Jun 8, 10 @ 11:37 am
Carl,
I can see why you might “like” Steve Rauschenberger. On many of the pension sweeteners and budgetary gimmicks that were passed by his fellow GOP and Dem legislators, he was often the lone vote against, or one of a handful. So, I would not be so quick to tie him in lock-step to the DuPage mafia of old. And his stances while a legislator give him the earned opportunity to be an “opportunist” now.
Comment by Six Degrees of Separation Tuesday, Jun 8, 10 @ 11:37 am
Gov. Ryan’s last budget in FY’03, which was approved by Sen. Rauschenberger, was several $billion out of balance. Medicaid bills were simply deferred to make it look balanced.
Is Rauschenberger willing to take responsibility for his own failings as the GOP Senate budgeteer?
Comment by reformer Tuesday, Jun 8, 10 @ 11:44 am
Carl Nyberg - Tuesday, Jun 8, 10 @ 11:02 am:
When the DuPage GOP was calling the shots, was Illinois politics different?
Yes it was different Carl. We had a decent bond rating, we weren’t massively in the hole by $11 billion dollars, we were paying our bills on time…should I go on? It was by no means an ideal system and there were plenty of bad actors. But this Demorcratic controlled era has taken cronyism and financial mismanagement to a whole new level.
Comment by Reality Tuesday, Jun 8, 10 @ 11:50 am
Sounds to me like Rauschenberger is defending Rod Blagojevich.
REEEEAL smart, Steve.
Comment by Yellow Dog Democrat Tuesday, Jun 8, 10 @ 11:52 am
Screen names are often so unintentionally ironic. For instance, “Reality” forgets that there was no massive recessions during the past two GOP administrations, and during the two previous GOP administrations, income taxes were imposed and raised.
Comment by Rich Miller Tuesday, Jun 8, 10 @ 11:55 am
Many times, I have heard or read that Rauschenberger is “really smart” or “very intelligent,” blah, blah, blah. I also heard him say (in 2004) that having Alan Keyes as a Senate candidate was a good thing, as it would force Barack Obama to have to stay in Illinois and campaign as opposed to going around the country campaigning for John Kerry. This Madigan comment is, I suppose, another example of how smart he is.
Comment by paddyrolingstone Tuesday, Jun 8, 10 @ 12:11 pm
Debt brokering firms targeting social services for unpaid state bills? Maybe those brokering firms should target the state as a whole. 16% interest for two months seems like such a fine deal. The state will not pay anyhow, so why not?
Comment by zatoichi Tuesday, Jun 8, 10 @ 12:29 pm
So the AG steps in, a court tosses the unconstitional budget, and the State has no authority to spend money, or to extend the lapse period on the current unpaid bills.
A dirty secret about why we don’t need bankruptcy; The State can not be forced to spend current fiscal income on prior fiscal bills. Once a fiscal year expires, those who are owed money can seek payment from that prior yearsleft over money. No leftover money, no payment (i.e. your bill comes from lapsed or past year approp.
The GA can pass a bill to allocate current money to prior bills by extendng the lapseperiod to allow use of current fiscal year oney, but without tat extension we just solved the 13 billion deficit, we didnt pay it and it is uncollectable.
Not to mention what would happen to our economy if the State stopped spending money etc.
And all that assumes that the court wouldnt interpret the emergency budget act as creating a defacto balanced budget by giving the gov the GA ultimate authority on spending; i.e. the Gov has broad spending permission, but it is only unbalanced if the gov fails to move money around or cut to match income.
Comment by Ghost Tuesday, Jun 8, 10 @ 12:47 pm
The state constitution has no more gravity than posted speed limits on the interstates. People calculate on just how much over they can go. Problem is that exceeding the limit in the budget is cumulative so by now our budget is so far off the radar that the enforcers don’t even give it a second glance.
Comment by Vole Tuesday, Jun 8, 10 @ 12:51 pm
Demorcratic controlled era has taken cronyism…to a whole new level.
That was supposed to be ironic, right?
Ever heard of Len Small, William Stratton, Jim Thompson, Jim Edgar or George Ryan?
For Pete’s sake, Thompson issued and Executive Order which in affect said that only Republicans could have ANY state job.
Do you think George Ryan invented fundraising pyramids in the Secretary of State’s office, or do you think he MIGHT have learned a thing or two from his predecessor, Jim Edgar?
Comment by Yellow Dog Democrat Tuesday, Jun 8, 10 @ 12:53 pm
So does this mean I can begin “doing the rauschenberger” dance again?
He is right, a bit over the top, but Madigan has gotten off scott free, while Rodney took more than his fair share of the blame.
Comment by Wumpus Tuesday, Jun 8, 10 @ 12:54 pm
Actually Rich, the Ryan administration had to deal with consecutive negative revenue growth years in FY02 and FY03 due in large part to 9/11 contractions. In response they implemented big Medicaid rate cuts and encourage about 18% of the state’s workforce to retire early (which shifted a big burden onto the pension systems, essential deferring liabilities into out years). The Bush administration came in during the first year of Blago and provided about $800 million for enhance Medicaid match and block grant dollars and that helped get him thru his first year. Fund raids and extended GAAP deficits occurred in Blago’s second year after a prolonged session that went into August. Then we had back to back years of short-funding the pensions, which was a Madigan idea to avoid another contentious session heading into the next election cycle. Basically, we gimmicked our way thru the budget for about 6 years. Now, the deficit is so large, that gimmicks won’t suffice anymore. So the big question is what now?
Comment by Budget Watcher Tuesday, Jun 8, 10 @ 12:57 pm
YDD you missed that the US supreme court in Rutan v the epublican party of illinois (a pivotal decision) actually had to declare the GOP selling and rewarding of jobs to GOP contribuors as illegal to try and reign in the conduct
Comment by Ghost Tuesday, Jun 8, 10 @ 12:57 pm
Leaving aside issues of daughters investigating fathers and the budget not being signed yet, ANYTHING that dislodges MM would be a fantastic thing!
Comment by Far Northsider Tuesday, Jun 8, 10 @ 2:48 pm
Rehwinkle = ‘rod and patty paid taxes on every dime’ and ‘hide nothing’
little poke at Brady and Plummer
Comment by Ghost Tuesday, Jun 8, 10 @ 4:31 pm
from the guys who brought you Keyes and who dont have the stones to move away from Jack Roeser, Lauzen,Rauschenberger,Syverson, Fitzgerald and O’Mally the future is now and I’m scared as hell?!
Comment by bwana Tuesday, Jun 8, 10 @ 6:22 pm
One way to save the parks is to share the costs with local governments that benefit from park tourism. If local governments don’t want state parks to close, they’ll step up to the plate and help. Alternatively, save money by organizing local volunteers/students to augment state staff in keeping parks open…what better protection than volunteers who care? Could we save a few million dollars these ways?
Comment by Anonymous Tuesday, Jun 8, 10 @ 6:25 pm
{I happen to think the attorney general ought to step into this.}
HA! Good luck with that one.
The AG has constitutional duty to investigate and prosecute the U of I Admissions scandal; and in the event of a conflict, the duties of her office REQUIRE the appointment of a SPECIAL PROSECUTOR.
She did neither. Instead, she buried her head in the sand, in favor of the APPOINTMENT of an ADVISORY Commission, with no investigatory charter, and no subpoena power, who’s own charter placed a short time limit on the Commissions FINAL REPORT, before the enacting proclamation AUTOMATICALLY DISSOLVED the Commission.
All part and parcel of staying out of the Governor’s race this go around.
One hand washes the other; and everyone’s hands were dirty.
Comment by Quinn T. Sential Tuesday, Jun 8, 10 @ 9:09 pm
If the Speaker is in such a forthright mood, maybe we could ask him how letting universities borrow money which ultimately will have to be paid by the State is any different than the off-balance sheet financing gimmicks used by Enron? Or how issuing 25 year bonds to build roads made of asphalt that will need replacement/repair in 10 years is any different than getting a 30 year mortgage to buy a car, and does that decision have more to do with who’s getting the bond placement and road contracts than good engineering practices? Don’t ask to have the man prosecuted - see what else he’ll say before the truth serum wears off!
Comment by Treeboy Tuesday, Jun 8, 10 @ 10:21 pm
It is really simple actually. Lisa Madigan took an oath when she received her law license and when she took office to uphold the laws and Constitution of the State of IL. Once the Governor signs it, you just file an injunction to prevent the budget from taking effect because it is unconstitutional.
Lisa Madigan is a joke. Any lawyer not interested in a political favor from her knows it. She has to stay in politics because she is not qualified to do anything else. Leave her alone, one less person on unemployment.
Blago and the Madigans are not the problem. The apathy and ignorance of the people is the problems. As long as we keep electing them, they will continue to abuse power and it aint a R or D thing, it is just a D thing right now. One shining example is how Brady and Plummer have continued to get hammered over release of taxes, yet Lisa Madigan’s are not public. To my knowledge Rich is the only one who asked to look at Lisa’s taxes. Why won’t the media (other then Rich)even ask the Madigans the same questions others are getting hammered with? The people are too apathetic to see that the game is being set up by a media the madigans control and legislators whoa re afraid of them. Until we pay attention we will continue to lose.
Comment by the Patriot Wednesday, Jun 9, 10 @ 7:16 am