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Taxes and budget stuff

Wednesday, Mar 14, 2007 - Posted by Rich Miller

The Post-Dispatch does some fact-checking on the governor’s new TV ad promoting his gross receipts tax…

The ad is also reminiscent of Blagojevich’s earlier campaign commercials in that it engages in what some would argue is a selective presentation of facts.

The ad implies that the scant income taxes often paid by major corporations are all they pay. In fact, those companies’ biggest tax expenses often are property, sales and other taxes.

It also implies the proposed new business tax plan would decrease residential property taxes, but there is no provision in the plan to do that. The ad also implies that the new tax would address the state’s pension crisis; however, that is part of a different Blagojevich plan, involving leasing the state lottery and restructuring debt.

I’m not sure if this was posted yesterday, but Treasurer Giannoulias expressed some serious reservations about the governor’s gross receipts tax this week…

“Our pension system needs help, obviously,” Giannoulias said Monday at a Statehouse news conference. “Health care for everybody would be great. I just, I want to make sure the GRT didn’t place too much of a burden on the consumers at some point. … I want to look at it a little more.”

Giannoulias also wondered about the effect the tax would have on businesses.

“We definitely don’t want businesses leaving the state of Illinois,” he said.

And the governor told the Associated Press that voters shouldn’t be surprised that he is now proposing a huge tax increase and flatly stated that the gross receipts tax was the only way that schools would get more money…

“This gross receipts — this tax fairness proposal is very much along the lines of what I did for four years. It’s just a bigger, bolder version of it,” Blagojevich said.

In a 45-minute interview, Blagojevich said he’s not sure how much his plan would shrink the gap between the state’s richest and poorest schools, but he warned education advocates that his plan is the only way schools will get more money. […]

The governor said education advocates should back his plan as the only way schools will get more money.

“I’ll never raise the income tax or sales tax. So if we’re going to put money in our schools, this is it. This is the only game in town,” he said.

Finally, the Tribune reports that Gov. Blagojevich isn’t finding a lot of Statehouse support for his proposed gaming tax increase.

       

12 Comments
  1. - Number 8 - Wednesday, Mar 14, 07 @ 6:43 am:

    Rich, if you werent sure if you posted the Alexi story yesterday, couldnt you have just looked? I mean its your blog afterall, right? I could see if you said, “in case you missed this yesterday,” but your attempt to be coy in causing the governor a death by a thousand cuts is a bit disingenuous, dont you think?


  2. - zatoichi - Wednesday, Mar 14, 07 @ 7:15 am:

    “This gross receipts — this tax fairness proposal is very much along the lines of what I did for four years. It’s just a bigger, bolder version of it,”
    Why wasn’t this a tag line or a commercial in the pre-election ads? Don’t recall hearing anything like this at that time. Must have been in the planning stages then to come out as quickly as it has now.


  3. - Truthful James - Wednesday, Mar 14, 07 @ 7:19 am:

    If a GRT is theonly arrow in the Governor’s quiver (let’s not think of reducing waste and fraud, that’s for the saps), perhaps he might look at the rate in Ohio.


  4. - VanillaMan - Wednesday, Mar 14, 07 @ 9:47 am:

    Who did the governor speak to before proposing his Annual Budget? Did he contact any other statewide officer? Did he contact the leaders in the General Assembly? Did he call Daley?

    How about one of our senators? Maybe a US Rep? How about A businessperson? A priest? The guy who landscapes his yard? ANYONE?

    From what we are discovering, it appears that Blagojevich didn’t contact anyone necessary to make his proposals pass into effect. Instead he make TV commercials, created a committee to buy TV air time and ran commercials presenting his ideas - BEFORE he contacts the people he needs support.

    What is going on?

    Did anyone working for Rod Blagojevich recommend he try doing his job traditionally? You know, get staffs together, discuss options, compromise? We have a long history of government that meets challenges when governors meet with their counterparts in the General Assembly.

    How in the world can anyone work with a governor who shuns his own team and instead runs to the nearest microphone and starts name calling and pleading with voters to support him?

    He is LOSING IT!


  5. - Little Egypt - Wednesday, Mar 14, 07 @ 10:57 am:

    “selective presentation of facts” Blago? Who would have guessed that? More of the same to all of you who voted him back into office and shoved him down our throats.


  6. - YNM - Wednesday, Mar 14, 07 @ 12:41 pm:

    Hold on a minute … I’ve heard two criticisms of Blago the past couple of days and I just want to make a couple of general observations. First, what campaign doesn’t use a selective presentation of facts? I don’t know anyone who has pushed for a certain position that hasn’t employed the tactic of selective presentation. Secondly, people have jumped Rod’s case because he’s borrowed lines from other leaders in recent speeches. Really? That’s what we’re gonna get on someone about? What good leader has not borrowed from others? I’m all about people debating the merits of his proposal and the issues involved, but could we at least stick to the actual issues rather than the superficials that do nothing but prove he’s like any other politician/elected leader/campaigner.


  7. - Little Egypt - Wednesday, Mar 14, 07 @ 12:44 pm:

    YNM - BUT HE’S SUPPOSED TO BE DIFFERENT!!!!!! No more business as usual. He was going to change things in Springfield. Yeah right.


  8. - GettingJonesed - Wednesday, Mar 14, 07 @ 1:04 pm:

    Anyone notice “Uncle Amrish” in the Trib? A belatedly great story.


  9. - Cassandra - Wednesday, Mar 14, 07 @ 4:37 pm:

    One of the most striking aspects of the GRT is the widespread uncertainty over exactly how much money communities will get over and above what they are getting now from the state in school funding, what criteria will be used in the distribution, and how, precisely, the guv will guarantee property tax reductions for all (if any).

    Apparently he doesn’t know either—and doesn’t even want to take a run at it.

    This is not good government. Time to bring John Filan and aides out of the back room to answer some questions and give us some scenarios.

    Otherwise, nobody should vote for it. Too many unknowns.


  10. - A Citizen - Wednesday, Mar 14, 07 @ 6:01 pm:

    We never should have allowed Blago to play with matches and run with scissors. Now no one is safe. Is there anyone who can rein him in ? Patti? Mell? Emil? Madagain, ah yes, the Madagains. Oh yes, and maybe Fitz the Impaler.


  11. - State Worker w/ MBA - Wednesday, Mar 14, 07 @ 8:12 pm:

    I saw the “Uncle” story in the Tribute. If Amy refers to him in public as her uncle I wonder what knid of birthday present she got from him.

    Also have wondered since the beginning of this story was in the Trib about the office of the company that was ghost billing being completely cleaned out shortly before it was raided. Appears to me that someone got tipped off to the impending raid and destroyed the evidence.


  12. - Gregor - Thursday, Mar 15, 07 @ 6:36 am:

    “…very much along the lines of what I did for four years. It’s just a bigger, bolder version of it,” Blagojevich said.

    -Oh, you have no idea how very true that is.


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