Budget roundup
Monday, Jul 14, 2008 - Posted by Rich Miller
* This revelation always gets lost whenever we have big budget “cutting” years…
While many lawmakers decried Blagojevich’s cuts as draconian, Senate Republican budget experts said 70 percent of the slashing simply eliminated increases over last year’s budget.
That still means over $400 million in “real” cuts, with more to come. But it’s not as horrific as has been portrayed. And while people will lose jobs and many programs will be slashed to the bone…
Among Governor Rod Blagojevich’s budget vetoes, the Governor cut $55.129 million from the Illinois Division of Alcohol and Substance Abuse’s treatment system budget and, as a result, DASA will lose an additional $55.129 million from the federal government, too. In effect, the DASA budget will be gashed by $110.258 million from a budget of only $252 million, a 43% whopper of a slash.
…schools are getting a relatively large increase…
The administration pegged the elementary and high school increase at $360 million
* And the constitutional officers are not pleased at all…
“He’s too busy trying to settle scores without realizing what’s at risk than he is trying to find the most effective ways to be fiscally sound,” said [Treasurer Alexi Giannoulias], who has picked apart some of Blagojevich’s political and government policies. […]
[Attorney General Lisa Madigan called] the decrease in her budget “irresponsible” and “politically motivated.” Her staff’s workload has increased dramatically, she said, adding that identity-theft cases alone have increased 2,200 percent since 2003.
“I can’t not have lawyers show up in court,” Madigan said. “There are things that constitutionally and statutorily we can’t say ‘no’ to. We’re not trying to create more work. It comes to us, unfortunately.”
Because she can’t cut staff, her office estimates it will run out of money April 29.
* Meanwhile, the oh so helpful rhetoric continues…
Gov. Rod Blagojevich on Friday accused House Speaker Michael Madigan and Chicago Mayor Richard Daley of conspiring to raise the state’s income tax after next year’s elections. […]
“I think he (Daley) fears Mike Madigan, and I think Mike Madigan has promised him an income tax increase,” Blagojevich said.
Heh.
* As I’ve been telling subscribers, this fight is all about the capital bill…
Blagojevich again touted the $34 billion program at an unrelated Chicago news conference on Sunday.
* And is it any wonder that southern Illinois is so enthused while Chicagoans ain’t exactly thrilled?…
The capital bill would have yielded $1,763 per person to Southern Illinois and only $645 per person for Chicago.
Much of the revenue to fund those projects, remember, will be raised from Chicago area casinos.
* That aforementioned press conference was about this topic, which is designed to (justifiably) make Madigan look bad…
Using his power to rewrite legislation, Gov. Blagojevich proposed Sunday that insurers be required to pay for diagnosis and treatment of autism, a poorly understood disorder in children that can cost families their life savings. […]
Blagojevich added the autism language to House Bill 4225, which mandates coverage of physical therapy for people with multiple sclerosis in public employee health plans. The bill passed the General Assembly this year, while another measure on autism was caught in political cross fire between the governor and legislative leaders.
* Related…
* Governor’s rivals see cuts to budgets
* Quinn: Gov’s budget cuts ‘petty and vindictive’
* Suburban lawmakers say lame-duck tax talk all wet
* No dice to gambling expansion
* How your lawmakers voted on gambling expansion
* Statehouse Insider: Who’s to blame for the budget fight?
* Budget bleak if House and Senate don’t cooperate
* Southland hit by Blagojevich veto pen
* Q&A: House has next move in game of state budget
* State Capitol Notebook: The week that was at the Statehouse
* Froehlich needs new material
* Not Republican or Democrat, just common sense
- Anon - Monday, Jul 14, 08 @ 9:35 am:
Rich, the MS insurance mandate bill is HB 4255
- cover - Monday, Jul 14, 08 @ 9:36 am:
What is the Sun-Times’ source of bill information? House Bill 4225 didn’t go anywhere, and there are no other bills outstanding for which the Governor filed an amendatory veto.
- cover - Monday, Jul 14, 08 @ 9:37 am:
Thanks, Anon!
- montrose - Monday, Jul 14, 08 @ 9:39 am:
I am getting a little frustrated with the idea that any new funding is not a budget cut. Unless there is some magic wand out there that keeps all costs from rising, being flat funded is a budget cut. Is it as bad as a “real” cut? Of course not, but it cannot be dismissed as no big deal. Clearly the Senate Dems that want a pay raise should at least understand this point.
Also, there is new funding out there for either new programs or expansion of programs. These dollars are important too, and while cutting them is not a “real” cut, it has real impacts. For example, there was $4 million vetoed by the governor for new supportive housing units. This money covers the support services for 900 chronically homeless individuals so they can live in stable housing and get their life back together. The money to build and operate this housing has already been committed, but without this new money, the housing cannot open its doors. So, a press release could say this is new money, the reality is that without it, tens of millions of dollars for construction and operating cannot be used. It is never as simple as it seems.
- The Unlicensed Hand Surgeon - Monday, Jul 14, 08 @ 9:41 am:
Speaking of the budget, I was glad to see that the governor spared Amtrak. I’d hate for Rod to be the only state-funded entity that can’t show up on time.
- Princeville - Monday, Jul 14, 08 @ 9:41 am:
What, is Rod seeing visions now? Somebody give him a crystal globe? Has he become psychic?
- Little Egypt - Monday, Jul 14, 08 @ 9:56 am:
Is it true that after Blago gave senior citizens free bus rides, he has now cut the money out of the budget to go to those mass transit districts to offset their loss of revenue from these free rides? If this is true, why isn’t the press all over it?
- SangamoGOP - Monday, Jul 14, 08 @ 10:01 am:
I didn’t think the power to AV legislation provided the Governor with the authority to add langauge to the bill. If that is the case, adding the autism langauge would be unconstitutional.
- GoBearsss - Monday, Jul 14, 08 @ 10:02 am:
Because, Little E, the RTA just got about $500 million from their new taxes.
The Free Rides for Seniors was non-subsidized - transit agencies had to bear the cost, but didn’t mind since they were getting all this new operating money from the transit bill.
- reflector - Monday, Jul 14, 08 @ 10:04 am:
I live in southern Illinois and I only want the Capitol plan if it can be funded sensibly,not the way the governor has proposed.I supported JBT but I do not like the Republicans siding with Blago.They need to stick with MM.
- pro - Monday, Jul 14, 08 @ 10:05 am:
Good job for the gov to give the autism bill another lifeline.
- Cassandra - Monday, Jul 14, 08 @ 10:08 am:
Well, one would like to hear a little less whining from governor-in-waiting Madigan. How about something like, we believe that these cuts may be politically motivated but we will do everything we can to meet our obligations. We are reviewing our
workload now to see if there is anything we can cut or do more efficiently.
But she is a child of Illinois politics after all. Whine whine. More money. Too much work. Overworked staff (like we believe that). Looks like if she takes over things won’t be that different. It would be refreshing to hear a cabinet head say something like we will do our very best to work within the budget the people have given us. And the guv was empowered by us to make these decisions after all (we elected him….twice!).
Like it or not, he represents we the people in these cuts.
And speaking of governors in waiting, Ryan Lizza’s article in the current New Yorker has Obama (along with Rahm Emmanuel) as a major strategist in the first Blago campaign. So don’t be too sure a Prez
Obama will throw him under the bus in favor of, say, a Madigan, in 2010. If he wants the job, that is. Maybe Senator would be less demanding, if less exciting.
- Ghost - Monday, Jul 14, 08 @ 10:09 am:
whats interesting is the schools get a 360
Mill INCREASE (the requirment of Emil Jones for his loyalty, and they say you can’t buy love). Most of the rest got cut back to their previous year spending, BUT the gov carved that 400 mill for the education increase out of the constitutional officers.
I think Madigan actually could sue and prevail against the Gov based upon his abuse of power of making such a blatantly politicaly motivated decision. her funding is back to pre-2003 levels. Of note, her office has generated a lot more money for the State then her budget costs, so technically she is more then self funding her budget.
The Gov’s office which is way above its 2003 levels, plus hides the costs of Staff and equipment in things like the CMS and other agnecy budget, has generated no money for the State etc.
Perhaps the AG should bill the State for its sevices like the “Special’s” hired by the Gov. The Gov spends somthing like 20+ million each year on specials. Get rid of “special’s” and put the Money in the AG budget if he needs to find funding. Those specials generate 0 dollars for the State, unlike L Madigans office which makes billions.
- steve schnorf - Monday, Jul 14, 08 @ 10:11 am:
Rich, it’s a little off the mark to imply that cuts to increased funding aren’t “real” cuts. Some are, some aren’t.
Generally, new programs aren’t, and increased capacity in existing programs aren’t. On the other hand, agencies’ personal services expenditures go up by fairly predictable amounts each year because of union contracts and pay plans. Not having increased funding to cover those costs are “real” cuts.
Program changes last year that have to be annualized this year, unfunded, those are “real” cuts. Enrollment increases in “no decline” programs (eg Medicaid) that aren’t program expansions cause “real” cuts.
It ain’t simple. That’s part of the problem.
- steve schnorf - Monday, Jul 14, 08 @ 10:19 am:
SangamoGOP; that should be a very interesting subject. Madigan has traditionally refused to even consider what he believes to be unconstitutional amendatory vetoes. In this case, if the House doesn’t accept, the autism coverage is gone. Probably good news to insurance companies, but not to many individual citizens and their families. One of those trick bags the current environment keeps creating.
- wordslinger - Monday, Jul 14, 08 @ 10:24 am:
I find it odd that the governor is calling out Daley. Is that calculated? If so, is it supposed to have some downstate and/or GOP appeal?
I would think he had enough trouble on his hands with Madigan.
- GoBearsss - Monday, Jul 14, 08 @ 10:32 am:
Actually, Ghost - Office of the Governor budget is down to $8 million from $11 million in FY02.
Not “way up”. Sorry.
- Ghost - Monday, Jul 14, 08 @ 10:37 am:
Go Bearss, what about all the CMS money and office of the Gov staff people who are paid from other State agency budgets? Its not down if you shift your costs to another budget.
- plutocrat03 - Monday, Jul 14, 08 @ 10:50 am:
Why is it that the press prepares it stories from the press releases of pandering politicians rather than from the real documents?
The FY 2009 Budget is projecting new general fund revenues 1.7 Billion larger than in FY 2008. That is a 4.6% increase over the previous year.
The story of the budget crunch is less an issue of insufficient new revenues and the need to ‘cut’ spending than an issue of politicians growing their spending plans beyond the revenues.
- Cassandra - Monday, Jul 14, 08 @ 10:53 am:
The schools, like pensions/retiree health care, are the elephants at the budget tea party. Other items shrink or stay the same and they get bigger and bigger. Not that increases in appropriations will mean anything more than increases in teacher and administrator salaries, unconnected to actual student learning. And retiree pensions/health care…well, did we really envision a world in which state (and, to be fair, local and federal) pensioners get ever richer in retirement while the rest of us have to live off our shrinking 401k’s and savings, while paying higher taxes to support those pensioners. Maybe we Illinoisians are just too generous, but I suspect we just haven’t been paying attention. Time to start, before the next tax increase, which is surely going to be proposed in the next few months. We have proven to be quite pluckable up to this point, no reason for the pols not to pluck again.
- Phineas J. Whoopee - Monday, Jul 14, 08 @ 11:02 am:
Well if Lisa Madigan is looking to blame someone for her budget being cut she should start with her father. He is the one who orchestrated it.
Then again, this is all part of MJM’s plan to make the Governor look out of control, vindictive and incapable of governing. Everyone has their part to play in MJM’s strategy including the employees who have to lose their jobs.
It is a cold hearted strategy but effective.
- wordslinger - Monday, Jul 14, 08 @ 11:05 am:
==Then again, this is all part of MJM’s plan to make the Governor look out of control, vindictive and incapable of governing.==
Phineas J. Whoopee, you’re a (comic) genius!
- iPhone - Monday, Jul 14, 08 @ 12:28 pm:
As far as Phelps and Forby go, I can not fathom why they are on the side of Rod. Don’t they know who dishes out payback cold, and effectively to boot? It’s MJM, not Rod.
- Budget Watcher - Monday, Jul 14, 08 @ 5:40 pm:
GoBearss,
It’s disingenuous to claim the Governor’s Office budget has declined…the truth is that the G’s Office simply bills executive branch agencies for their operations using interagency memos to memorialize the arrangements.
- wordslinger - Monday, Jul 14, 08 @ 9:52 pm:
iPhone, twenty years ago plus, Madigan had Gary LaPaille carry David Phelps in a papoose. He was the most protected legislator in the GA.
Not the sharpest knife in the drawer. Quite a singer, I understand.
- steve schnorf - Monday, Jul 14, 08 @ 10:33 pm:
I think everyone should know they play hardball, like a lot of other people in politics around here do.