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This just in… Blagojevich calls special session on transit *** Cross does not support closing loopholes *** Blagojevich contradicts self on bailout ***

Posted in:

**** 10:56 am *** I’m hearing the governor has told some legislative leaders that he’s planning to call a special session next Wednesday and Thursday. Topics: Transit and capital plan.

A spokesperson for Speaker Madigan said Madigan will have to wait and see what happens “and then we’ll do whatever is appropriate.” The governor is apparently having a Chicago press conference at the moment.

**** 11:08 am *** Yep. It’s true. Here’s the letter in full. Excerpts….

I am calling the General Assembly into special session next Wednesday, November 28, to pass a long-term funding plan for the CTA and RTA. With the holidays and the next transit “doomsday” fast approaching, we cannot afford more delays. Transit riders that use the CTA, Metra and Pace to get to work and school are relying on you. […]

The transit agencies have indicated that a third, more severe “doomsday” is looming in January. The transit unions have said that if there is no funding resolution by the end of the year, their contract will be in jeopardy. We cannot let history repeat itself. There are not funds available for me to once again unilaterally avoid a “doomsday” for mass transit riders in the Chicago area. The General Assembly must take action soon. That is why I am calling you into special session after the Thanksgiving holiday.

Enjoy your Thanksgiving and the opportunity to gather with family and friends.

Sincerely,

Rod R. Blagojevich
Governor

* 11:35 am - The AP has a story up, but there isn’t much in it, so I’ll just give you the link for now. No need for excerpts.

* 12:14 pm - From a press release…

Two well-known administrators, former Illinois Governor Jim Edgar and longtime University of Illinois President Stan Ikenberry will speak on the topic of School Finance on Thursday, Nov. 29 from Noon-1 p.m. at the University of Illinois College of Law, Max L. Rowe Auditorium, 504 E. Pennsylvania Ave.

**** 1:08 pm *** The second paragraph of the governor’s statement from above says this, in part…

As I have stated before, I support the concept suggested by House Minority Leader Tom Cross, reflected in legislation sponsored by Rep. Skip Saviano, that would redirect revenue from the existing sales tax on gasoline in Cook and the collar counties to the RTA… The revenue could be replaced by closing corporate loopholes that do not benefit the public.

While he doesn’t come out and say it, the guv seems to imply that Cross favors closing corporate loopholes. Asked if that was the case, Leader Cross’ spokesman said, “The answer is no.”

This has been the single biggest problem with the governor’s “plan.” There is no agreement on how to replace that revenue. Until there is a revenue stream deal, there is no plan. Simple as that.

More from Cross’ spokesman…

“We do not support the idea of corporate loopholes, but could go along with possibly some fund transfers, a mild fare increase and small cuts to overall budget.”

**** 1:38 pm *** The Tribune reports this tidbit from the governor’s press conference…

Blagojevich, without offering details, also said he was considering whether he could fund public transit without legislation.

But this is what he wrote in his letter…

There are not funds available for me to once again unilaterally avoid a “doomsday” for mass transit riders in the Chicago area. The General Assembly must take action soon.

Also from the Tribune…

[Blagojevich] poked at unnamed legislative leaders for claiming that they would offer legislation to solve the crisis, but then not acting.

Um, huh?

posted by Rich Miller
Monday, Nov 19, 07 @ 10:55 am

Comments

  1. CaptFax:
    Hey sweetie you forgot to hat tip us for the givig you this world exclusive! What gives!

    Comment by DumberThanYouThink Monday, Nov 19, 07 @ 11:07 am

  2. Opps — we forgot to i.d. a bill — again.
    And we are still talking about corporate loopholes — which has zero backin’

    Comment by DumberThanYouThink Monday, Nov 19, 07 @ 11:12 am

  3. Geez! The One Trick Pony performs yet again to a less than enthusiastic group of subjects.

    Comment by A Citizen Monday, Nov 19, 07 @ 11:22 am

  4. Let’s see if I have this straight….

    We use the GAS TAX to pay for MASS TRANSIT.
    As MASS TRANSIT improves, more people use it.
    More people using it DECREASES GAS PURCHASES.
    DECREASE GAS PURCHASES means less GAS TAX.
    MASS TRANSIT gets LESS MONEY.

    And this is better because……????

    Given the latest with the healthcare scenario, I would bet the MASS TRANSIT deal is DEAD.

    Comment by Healthcare Worker Monday, Nov 19, 07 @ 11:27 am

  5. Try to avoid excessive use of caps. It makes even a sane argument look crazy.

    Comment by Rich Miller Monday, Nov 19, 07 @ 11:34 am

  6. Rich, does the guv use all caps in his Special Session proclamations?

    Comment by A Citizen Monday, Nov 19, 07 @ 11:38 am

  7. LOL. No.

    Comment by Rich Miller Monday, Nov 19, 07 @ 11:39 am

  8. Healthcare Worker:
    What we really want is statewide tax increases (that what corporate loophole closing is all about) to replace regional road fund money to bailout Chicago bus drivers. Now that really makes sense.
    But you can see from our name that making sense is not on our agenda.

    WhEAhWEA

    Comment by DumberThanYouThink Monday, Nov 19, 07 @ 11:41 am

  9. I’m just curious - does Madigan’s “don’t come to Springfield unless you hear from me” edict still stand?

    Comment by The Elderly Republican Tomato Farmer Monday, Nov 19, 07 @ 11:45 am

  10. Rod wussed out.He called shoulda called it for this coming Wed and Thurs.!

    Comment by Bill Monday, Nov 19, 07 @ 11:46 am

  11. Bill, there’s always Christmas.

    Comment by Rich Miller Monday, Nov 19, 07 @ 11:50 am

  12. Enjoy your Thanksgiving and the opportunity to gather with family and friends.

    Comment by nice touch Monday, Nov 19, 07 @ 11:52 am

  13. Didn’t the state already advance CTA the entire FY08 appropriation as a “grant” and then provided an additional $20+ million resulting from a federal waiver? Threats of “the sky is falling” only work once. Interesting that the Governor chose to point the finger at the legislature by saying “they are relying on you” rather than saying, “they are relying on us”. Once again the Governor has positioned himself to take credit and not share blame. His teflon will turn into calphalon really soon… a few scratches and then it doesn’t take long for the coating to start turning to rust.

    I would love to be a fly on the wall at Speaker Madigan’s Thanksgiving dinner table. I’m guessing there’s a little more love there than Rod will see at Mells’ house.

    Comment by DC Monday, Nov 19, 07 @ 12:02 pm

  14. Rich -

    DumberthanyouThink raises a good point. The most important excerpt from the letter is:

    “I support the concept suggested by House Minority
    Leader Tom Cross, reflected in legislation sponsored by Rep. Skip Saviano, that would redirect revenue from the existing sales tax on
    gasoline in Cook and the collar counties to the RTA….The revenue could be replaced by closing corporate loopholes that do not benefit the public.

    Tom Cross and Skip Saviano ought to be going ape right now that they’ve been linked to a plan to raise corporate taxes.

    Comment by Yellow Dog Democrat Monday, Nov 19, 07 @ 12:16 pm

  15. Speaking of Christmas Rich, has anyone seen that boondoogle Christmas train yet?

    That should make the ridership feel all ‘feel good happy’ while the CTA cries broke and asks us for more money.

    Comment by The 'Broken Heart' of Rogers Park Monday, Nov 19, 07 @ 12:17 pm

  16. Has Patti bought the turkey yet or is she just going to cook guv’s goose? Betcha Dick Mell volunteers to take care of the stuffing. Giblets or no giblets, that is the question.

    Comment by A Citizen Monday, Nov 19, 07 @ 12:32 pm

  17. I don’t know if the free trolley that is currently running on weekends in downtown Chicago is a CTA affiliate, but what a wonderful way to travel around the Loop and to Navy Pier. I visited the city this past weekend and was surprised that this fare-free transportation was in operation. I spent $10 parking at the Plantetarium and spent the entire rest of the day museum-hopping and sightseeing and spending money on admission fees. Very nice for us tourists, I must say. Also, the trolley drivers were exceptionally helpful and personable. I would think this little loss leader would be very good for business. This may not be the thread to rave about this service, but I had to say it somewhere.

    Comment by anonymouse Monday, Nov 19, 07 @ 12:34 pm

  18. The trolleys are funded by McPier, I believe. I always thought it strange that tourists would wait in long lines for the free trolley rather than spending a few cents on a (often empty) city bus which was going the same place. But, that’s just me. Glad you enjoyed it.

    Comment by Rich Miller Monday, Nov 19, 07 @ 12:39 pm

  19. So when we close those evil corporate loopholes, what do you think will happen?

    I can predict a number of things, perhaps the readers can add to the list:

    - won’t generate as much money as many think since so much of commerce comes from the small businesses.

    - corporations will move to a more favorable tax climate, taking jobs with them, which will decrease the wage related taxes going to the state and increase the social welfare costs for services needed for the unemployed.

    - Shareholders will have fewer dividends and stock price might dip, causing a reduction of income taxes paid to the state.

    Anyone have a clue where the breakeven point is?

    Comment by plutocrat03 Monday, Nov 19, 07 @ 12:43 pm

  20. “…Anyone have a clue where the breakeven point is?…”
    I think it was just a day before guv took office for the first term. Business has been “On Guard” ever since - and justifiably so.

    Comment by A Citizen Monday, Nov 19, 07 @ 12:47 pm

  21. Broken Heart- just to clarify the situation, the CTA holiday train was prepared by CTA employees who all volunteered their time to prepare and operate the train. In addition CTA employees donated money for food baskets to be given to those in need during the time the holiday train is run on the routes throughout CTA’s system. In spite of these tough fiscal times CTA employees are still trying to help others. Maybe it is time for the Guv and General Assembly to help CTA. After all this is the holiday for giving!

    Comment by Spirit of Christmas Past Monday, Nov 19, 07 @ 12:49 pm

  22. “Spirit of Christmas Past,” you point out a huge problem with this transit debate. Way too many people have strong opinions based on false assumptions. More than almost any other state issue I’ve ever seen.

    Comment by Rich Miller Monday, Nov 19, 07 @ 1:01 pm

  23. Rich, this is progress.

    If this was this past July, he would have called it for the Friday after Thanksgiving.

    You have to give credit where credit is due.

    Comment by GoBearsss Monday, Nov 19, 07 @ 1:07 pm

  24. “Until there is a revenue stream deal, there is no plan. Simple as that.”

    I don’t agree. The State has a long time to figure out the revenue stream. The RTA does not have that time.

    Comment by GoBearsss Monday, Nov 19, 07 @ 1:09 pm

  25. Rich, the problem is that everyone is an expert on transit.

    … because they ride it everyday, or know someone who once did.

    Comment by GoBearsss Monday, Nov 19, 07 @ 1:13 pm

  26. Rich, the problem is that everyone is an expert on transit.

    … because they ride it everyday, or know someone who once did.

    Or observe transit in action from their cubicle on wheels.

    Comment by Six Degrees of Separation Monday, Nov 19, 07 @ 1:41 pm

  27. I hope they can make a deal. But the Governor’s plan/Cross’s proposal makes no sense unless there is some agreement how to replace the gas tax revenue. There isn’t.

    Maybe a Ghost of Cristmas Past will visit Blago over the holidays and he will have a change of heart whne confronted with the end of all his political aspirations, if he vetos the Hamos plan in January.

    The governor is desperate to avoid vetoing the Hamos plan which will easily pass the House in January and probably will pass in the Senate because Emil Jones will be unable to stall a vote after it passes the House.

    Personally, if they can’t reach a deal, I’m looking forward to the political fallout when all “heck” breaks out if Jones refuses to call the Hamos bill in January or if Blago vetos it, as he is promised to do.

    Comment by Captain America Monday, Nov 19, 07 @ 1:42 pm

  28. ===Or observe transit in action from their cubicle on wheels.===

    Or think they know what a bill states without even glancing at it.

    Comment by Rich Miller Monday, Nov 19, 07 @ 1:43 pm

  29. Am I correct in saying that although the Guv specified a day, he neatly did not specify a time?

    I think that is too funny if that is the case.

    Comment by Big Red Monday, Nov 19, 07 @ 1:55 pm

  30. Rich - don’t you know the rule?

    “Vote the title”

    Comment by GoBearsss Monday, Nov 19, 07 @ 1:56 pm

  31. Rich,

    You may want to link to this presidential ad running today in Iowa

    http://www.youtube.com/watch?v=EjYv2YW6azE

    Comment by SouthernILRepub Monday, Nov 19, 07 @ 1:56 pm

  32. That would be Iowa presidential, not Illinois at all.

    Comment by Rich Miller Monday, Nov 19, 07 @ 1:57 pm

  33. It has humor factor…

    Comment by SouthernILRepub Monday, Nov 19, 07 @ 2:00 pm

  34. Gov attacks Daley again:

    “I continue to resist those efforts to raise taxes on people,” he said. “The easiest thing in the world is to join the cavalcade of those who just got re-elected last year and raise every tax in sight on the people. That’s easy. In three years, they won’t remember what they did, but it’s the wrong thing to do.”

    Dumb.

    Comment by A naughty moose Monday, Nov 19, 07 @ 2:02 pm

  35. The “Hamos Bill” isn’t the “Blagojevich Bill”.
    It’s all about Governor Chuckie’s ego and Illinois is getting to small to accomodate Governor Chuckie’s ego.

    Comment by Pepperdine Alum Monday, Nov 19, 07 @ 2:08 pm

  36. Our IL Governor could learn how to govern by studying what & how Gov Huckabee improved AR with a hostile legislature.

    Comment by North of I-80 Monday, Nov 19, 07 @ 2:31 pm

  37. If this were a Governor from another state. I could find this guy very funny. It’s obvious he doesn’t take this Governor position serious.
    He seems to get a kick out of humiliating people. You gotta think most of what he says is a big joke. Because nobody is that clueless.

    Comment by Lula May Monday, Nov 19, 07 @ 2:40 pm

  38. Ha-Ha!!

    Anyone else notice that Cross’s spokesperson didn’t mention expanding gambling?

    Comment by Yellow Dog Democrat Monday, Nov 19, 07 @ 2:46 pm

  39. “I don’t agree. The State has a long time to figure out the revenue stream.”

    Hey, Go:

    This sounds a lot like where we are heading with healthcare. Let’s spend it, then try to figure out where the money is going to come from. The Guv has spent 45% of his authority through only 33% of the year for Medicaid.

    With the predictions of a slowing economy, all of this is only going to get worse. The Guv needs to figure out a way to pay for all of this other than his tired old “close coporate loopholes” strategy. But he has never let the truth get in the way of a good press pop.

    Comment by True Comparison Monday, Nov 19, 07 @ 3:09 pm

  40. Just wondering about another senate bill. any chance of the ethics bill getting passed or are my Il. taxs to be considered a donation to employee E. Jones whole family.

    Comment by FED UP Monday, Nov 19, 07 @ 3:34 pm

  41. I expect to see guv unroll a new initiative that will pay not only its own way but all the other great program initiatives he can dream (or nightmare) up - to wit: The State of Illinois Mint! Backed by the full faith and credit of the state. The time has come as there appears to be no other way that allows guv ALL the credit (pun intended).

    Comment by A Citizen Monday, Nov 19, 07 @ 4:02 pm

  42. I could be wrong that the 3% of the sales tax that Walmart keeps was an incentive to get Walmart to build.

    Also did I hear blago complement somebody’s haircut? What a dope.

    Comment by Huh? Monday, Nov 19, 07 @ 5:20 pm

  43. For corporate loopholes? Isn’t that like being for robbers?

    Comment by Huh? Monday, Nov 19, 07 @ 5:43 pm

  44. Blagojevich’s plan has no chance of success. The 1/4 of 1 cent sales tax hike is the only way to go.

    Put another way, 0.25 of 1 cent. That is not a lot to pay to save mass transit.

    This gas tax plan will go noplace without something to replace the money. Blago has proposed something that will not pass to replace it. Rather than lead and find something that will pass the legislature, he will go on issuing press releases and appearing on t.v. blaming others for his inability to lead.

    Comment by some former legislative intern Monday, Nov 19, 07 @ 6:32 pm

  45. Hey no one noticed that I screwed up health care services…Tee Hee….they all worried about the silly special session…And I get away with blaming Madigan for not calling the Hamos bill when he did…Tee Hee…. Those silly Chicago reporters…And tell the SpinSiters or their BoyToys to yell at Dring for not backing our gambling plan. Wyma, order more tee (hee)with the new slogan!

    Comment by DumberThanYouThink Monday, Nov 19, 07 @ 7:36 pm

  46. Of course he can fund transit without legislation. Heck, he can fund ANYTHING without legislation, right?

    Comment by Bookworm Monday, Nov 19, 07 @ 8:10 pm

  47. Rich, can you please mark DumberThanYouThink, I mean Mr. WT Rush, as spam?

    We know he’s your friend, but I really think he is trying to push his CafePress store or something…

    Comment by John Monday, Nov 19, 07 @ 10:10 pm

  48. So, what happened to the balance of the ninety-one million dollars that Blago promised a while
    back to avoid “Doomsday”? Since the budget is not
    balanced, it really only existed in the Springfield fantasy-land, anyway but I’m curious.

    Comment by Esteban Tuesday, Nov 20, 07 @ 9:02 am

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