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Property tax relief, upset reporters and more budget roundups

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* On Wednesday, the governor told me during an interview that if state Sen. James Meeks wanted property tax relief included in his education proposal, then he would make it happen. Meeks had told me earlier that if he couldn’t get property tax relief included then he would seriously consider attempting to block the governor’s gross receipts tax plan. Here are some Blagojevich quotes that I provided to subscribers

“Absolutely. That is the type of constructive input that we are looking for.” […]

“We discussed whether we should maybe be a little less ambitious with the school funding and provide property tax relief. We netted out on more for school that would naturally relief the pressure on local governments. But if Rev. Meeks and others are interested in putting a property tax relief component in there, count me in.”

* Blagojevich refined the idea a bit more when talking to the Tribune’s editorial board yesterday…

Blagojevich told the Tribune’s editorial board that he was “very interested in trying to develop” a more targeted property-tax relief plan that would help poor districts that can’t raise enough local money for their schools.

* The governor hasn’t spoken to reporters in months, and several scribes made their displeasure known during a media availability in Chicago…

“Oh, come on, give me a break. For four years, I’ve been talking to you guys every single day,” Blagojevich said […]

A Chicago reporter continued to press Blagojevich on why he has not taken a question for such a long time in his home base. Blagojevich cited the media’s interest in the presidential bid of U.S. Sen. Barack Obama and the re-election of Chicago Mayor Richard Daley. […]

The governor’s remarks underscored his strained relationship with the media. Many believe Blagojevich is trying to avoid questions about federal investigations of his administration, but several policy issues also have taken center stage since the governor cut off access. Chief among them may be the soaring electric bills some have received since a decade-old rate freeze expired in January.

* My intern Paul put together this roundup of budget stories…

* Governor ready to fight for education spending plan

* Veterans not ignored in Governor’s budget

* More questions on state budget plan

But as Blagojevich stirred support in Chicago, questions mounted at the Capitol. Key business groups representing oil companies, homebuilders and farmers all said the governor’s new tax would drive up their costs and consumers would pay more.

* Will your wallet suffer under the gross receipts tax?

* Governor expecting funds fight

* Blagojevich tries to sell state on budget plans:

The governor was once again portraying business owners as selfish tax dodgers Thursday. But, as CBS 2 learned, that’s not always the case, especially when dealing with small businesses. […]

[Chicago] schools would get about $2 billion more over the next four years.

* Blagojevich’s new budget plan become dinner topic

* Governor’s budget includes project for Metro East

* Governor set to campaign for tax plan

* Editorial: Governor’s rhetoric getting in the way

* Sun-Times Editorial: Governor pens promising budget, but will legislature sign on?

* Editorial: Against gaming expansion, little upside in taxing losers

* NEW Kadner: Voliva’s mythic battle for school funding

* NEW Blagojevich Budget gets mixed reviews

* NEW Budget breakdown for state agencies

posted by Rich Miller
Friday, Mar 9, 07 @ 8:14 am

Comments

  1. I have never seen a politician pander to so many different groups in one shot before. How many groups are addressed/promised something in this budget?

    Comment by Papa Legba Friday, Mar 9, 07 @ 9:05 am

  2. To what extent can the Legislature control the taxing activities of local communities including local school districts.

    Merely giving communities more money for schools doesn’t guarantee that they will use the money to reduce property taxes.

    I believe that true, universal property tax relief would require very specific legislation…if the Legislature even has that much control over how local communities tax their residents.

    Blago was a little too blithe in assuming that the GRT=more money for schools=lower property taxes. It’s not a sure thing.

    Gotta watch him.

    Comment by Cassandra Friday, Mar 9, 07 @ 9:37 am

  3. How is this for propert tax relief.

    1. Eliminate the right of school districts to collect property taxes.

    2. Establish a permanent property tax replacement fund to receive state revenues and distribute them to each District in an amount equal to the last levy.

    3. Approve al school board budgets at the State level.

    Comment by Truthful James Friday, Mar 9, 07 @ 11:56 am

  4. Truthful,

    I think that would wind up taxing the poor to pay for the rich. Wealthier districts have chosen to tax themselves highly so they can have world-class schools. I see nothing wrong with this, but draw the line at asking every other district to pay for it.

    Comment by cermak_rd Friday, Mar 9, 07 @ 12:55 pm

  5. Cermak…

    Interesting thought, Depends on the source of revenue. I thought perhaps that it might be a good use of all the expeced 750 revenues. If every school got a flat amount, the higher yield from the so called wealthy would seem to be subsidizing the poorer Districts.

    Saw a quote I wondered about:

    For the state to net 617 Mil from the riverboat taxes, the gamblers have to lose 1.7 Bil. It seems clear to me that it is not the wealthy who are gambling but rather the poor and middle class.

    Interesting, if true.

    Comment by Truthful James Friday, Mar 9, 07 @ 1:03 pm

  6. The wealthier probably should subsidize the poorer ones. After all, someone has to pay for the schools in poorer areas and if revenues aren’t sufficient in the area itself, the state has to protect the rights of the students to a free public education.

    And of course it’s the poor and middle classes gambling on river boats, though I would guess more frequently the middle class, poverty tending to limit the amount of money one can ante. The suburban professionals are too dang busy to frequent such places and the truly rich have the Riviera and Vegas at their disposal.

    Comment by cermak_rd Friday, Mar 9, 07 @ 1:58 pm

  7. Anybody who wants the state to fund education totally should have their head examined. Any money that lands in Springfield get used for something else. Do you really want the GA to determine how much money your school district gets to spend? What are you nuts?

    Blogo has already shown that money designated by law can be swept into the general revenue fund on a whim. Just imagine that the general revenue fund comes up short - hairdo sees that money and steals to to fund his new pet project.

    Comment by Huh? Friday, Mar 9, 07 @ 4:22 pm

  8. Again, I think it is critical that taxpayers, especially Chicago and collar suburban taxpayers understand that there will NOT be automatic property tax relief simply because the GRT will provide more money for schools across the state.

    Not only is the funding formula unknown, but in addition, the mere fact of additional funding will not result in property tax reduction just because the governor says it could. He’s right, it could. But local taxing bodies would have to decide to forego additional monies and that would be hard for them to do. Plus many suburban communities are filled with parents who moved there specifically to take advantage of the schools. When the kids leave school, they’ll leave the community. They have no problem voting up the taxes because they have no long term interest in the community. But those folks vote for those tax-raising school funding proposals in droves. The clueless don’t vote and these parents take advantage of that, as do local school unions and bureaucracies.

    Taxpayers interest in property tax relif should be very, very skeptical of assertions that the GRT will result in lower property taxes.

    Comment by Cassandra Saturday, Mar 10, 07 @ 10:26 am

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