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Cullerton talks taxes, says he has pension bond votes - Madigan talks constitutional amendment

Tuesday, Jan 4, 2011 - Posted by Rich Miller

* Senate President John Cullerton talked to reporters after a meeting today between himself, Gov. Pat Quinn and House Speaker Michael Madigan. He didn’t say much, but did say they’re looking at various versions of an income tax hike

Senate President John Cullerton, D-Chicago, emerged from the meeting with Quinn and House Speaker Michael Madigan, D-Chicago, and said discussions are centering on a variation of a tax hike bill previously approved by the Senate, but stalled in the House. That bill raised the income tax by 66 percent.

“They are talking about trying to get the votes to pass an income tax, a variation of that out of the House,” Cullerton said. “Whatever it takes to pass an income tax (increase) is what they are talking about now.” […]

“It would be helpful to get some support from the other party,” Cullerton said. “We have a huge deficit we are trying to overcome. We are going to try to work on this today. If we have to come back and meet later, we will have to do that as well.” […]

Cullerton said he thinks the public understands the need for a tax hike.

“We have to pay our bills. We have to make sure out bond rating is improved and people see that going forward we can pay our bills,” Cullerton said. “If people look at it from that perspective, I think it is something they would accept.”

Cullerton said the governor has been meeting with Republicans about the tax hike ideas. He also said that the Senate would address school reform sometime in the new spring session if it can’t be done this week.

* Cullerton also confirmed a report in this morning’s Capitol Fax that he believes he now has enough votes to pass the $3.7 billion pension bond plan. The Senate fell one vote short during the spring session after the bill passed the House, and Cullerton said he has lined up enough Republican support to approve the legislation. The state doesn’t have the cash to make the pension payments, so the pension funds have been paying benefits out of assets for months.

* Cullerton video


* Meanwhile, House Speaker Madigan talked to reporters today after he testified in favor of yet another constitutional amendment which would require a three-fifths vote to increase state and local pension benefits. Check back in a few for video of that discussion.

…Adding… From an AARP press release urging rejection of Madigan’s TABOR legislation…

As a matter of policy, AARP opposes fixed, arbitrary, rigid caps on revenues and spending. Such constraints lead to vital services being shut down or severely diminished, and prevent states from responding to changing economic conditions – from recession and plant closings, to emergencies in public health, natural disasters, or terrorism.

HJRCA61 would impose such rigid and arbitrary caps on spending, making it impossible to meet new social and economic goals mandated by the courts or the federal government; it would tie the hands of elected officials – who have been chosen to make decisions about taxes and spending; and it would cut out citizens from fiscal policymaking – putting vital matters on auto pilot.

AARP has strongly and successfully opposed similar measures in states across the nation, from Oregon, to Maine, Washington, and most recently Florida where our members were instrumental in defeating a constitutional amendment. Even after a measure similar to HJRCA61 was passed in Colorado, the citizens of that state repealed it once they saw the devastating effect it had on the critical services they rely on, and on their very own livelihoods.

Recent studies have shown that HJRCA61 would lock Illinois’ current human services underfunding into the constitution, worsening an already critical situation for thousands of providers and millions of Illinoisans who need those services.

* Related…

* Rep. Hays enjoying brief stint in Black’s old office

* Blunts and other smokes in the legislature

* Illinois Republicans plan Reagan-themed fundraiser

       

19 Comments
  1. - Anonymous - Tuesday, Jan 4, 11 @ 1:24 pm:

    Off topic - circuit court ruled in Rahm’s favor.


  2. - wordslinger - Tuesday, Jan 4, 11 @ 1:28 pm:

    Is the GOP leadership just going to sit this one out? Isn’t it the duty of the party in opposition to put pencil to paper and offer an alternative proposal?


  3. - zatoichi - Tuesday, Jan 4, 11 @ 2:12 pm:

    ‘Even after a measure similar to HJRCA61 was passed in Colorado, the citizens of that state repealed it once they saw the devastating effect it had on the critical services they rely on, and on their very own livelihoods.’ That sums up the entire argument. When the locals start getting really whacked personally, then real effort to solve the financial problems will start. Everything else is just a simple hope a bandaid succeeds when stitches are needed.


  4. - Rich Miller - Tuesday, Jan 4, 11 @ 2:14 pm:

    Colorado’s TABOR wasn’t repealed. It was watered down a couple-three times.


  5. - Fed up - Tuesday, Jan 4, 11 @ 2:14 pm:

    So Quinn lied to the voters of Illinois when he said he wanted to raise the income tax to 4%. Now safely past the election he wants to double the increase to 5%. How very shocking Quinn going back on his word


  6. - Small Town Liberal - Tuesday, Jan 4, 11 @ 2:29 pm:

    Thanks for the hyperbole, Fed Up. That Quinn really is a sharp politician. He took the incredibly popular position to raise taxes 1% during the election, and only now will he gun for that extra percent. I bet he laughs himself to sleep at night thinking about how he really pulled one over on Illinois.


  7. - Fed up - Tuesday, Jan 4, 11 @ 3:08 pm:

    STL Face it Quinn lied. When a member of Quinns administration stated to a reporter that a increase to 5% was necessary during the campaign Quinn came out and said an increase to 4% was all he wanted. Quinn has flip flopped so much he probably doesn’t even remember where he started on most issues.


  8. - Grandson of Man - Tuesday, Jan 4, 11 @ 3:27 pm:

    The banning of blunts (cigar wrappers) used to roll cannabis will do nothing to reduce or stop cannabis consumption, so what’s the point of making them illegal?

    As far as the state income tax increase, politicians need to stop fearing voters and pass the increase, as in my opinion, the benefits in revenue will far outweigh the cost. The last tax increase was done, I believe, in the early 1980s. I would like to still pay 1980s prices for everything else.

    Even though I believe that a state income tax increase is needed, that doesn’t mean that I don’t support budget cuts. I support a streamlined government that audits very well and doesn’t waste money. Rep. Harris told me last year that this will do nothing, however, to offset the budget crisis. He said the state can’t nickel-and-dime its way out of the crisis.

    I also support the creation of new jobs for revenue, which should be popular with people on both sides of the political spectrum.


  9. - downstate hack - Tuesday, Jan 4, 11 @ 4:18 pm:

    Grandson, You stated:
    As far as the state income tax increase, politicians need to stop fearing voters and pass the increase, as in my opinion, the benefits in revenue will far outweigh the cost. The last tax increase was done, I believe, in the early 1980s. I would like to still pay 1980s prices for everything else.

    Don’t forget that taxes are a percentage. As wages increase as they have since 1980, so has revenue from taxes.


  10. - Plutocrat03 - Tuesday, Jan 4, 11 @ 4:35 pm:

    To paraphrase an old move line,,

    If you raise the income tax, they will spend it

    … And not on the most important things


  11. - Keyser Soze - Tuesday, Jan 4, 11 @ 4:38 pm:

    The voters will have long memories on this one.


  12. - Ben Gazzara - Tuesday, Jan 4, 11 @ 4:47 pm:

    No they won’t.Four years from now the same names will be controlling things.


  13. - Anonymous - Tuesday, Jan 4, 11 @ 4:49 pm:

    “The voters will have long memories on this one.”

    Doubt it.


  14. - Sue - Tuesday, Jan 4, 11 @ 4:50 pm:

    It should be mandatory for every member of the legislature and Governor’s office to read today’s WSJ editorial declsring what a mess Illinois is facing and the low probability our elected leadership will do anything to tackle it other then raising taxes- as the paper sais, we deserve the leadership we elected


  15. - Bill - Tuesday, Jan 4, 11 @ 5:29 pm:

    Not one incumbent who voted for the last tax increase in the 80s lost the next election. Sure there are a lot of the usual loudmouths with their usual threats but most of us just want the state to pay its bills, provide needed services, avoid waste, fraud, and corruption and do the right thing for all citizens. We are willing to pay if the state is well run. Past legislatures and governors got us into this mess and this legislature and governor have to get us out of it. Its time to pony up.


  16. - Smoker #1 - Tuesday, Jan 4, 11 @ 5:47 pm:

    Sue….count me out on that comment. I didn’t vote for the incuments. Ugh.


  17. - Anonymous - Tuesday, Jan 4, 11 @ 6:57 pm:

    Let’s see, more taxes, got their civil unions, more bonds, more borrowing. Did I miss the ‘cut spending’ announcement? They did cut the free rides, right? right? anyone out there? John; Mike?


  18. - Grandson of Man - Tuesday, Jan 4, 11 @ 7:10 pm:

    downstate hack,

    You’re right–my bad. The income tax in 1984 was proportionate to 1984 earnings. Sorry about that. I still believe that due to the severe budget crisis, which resulted in providers not being paid, borrowing, low government staffing and cuts in state services for the severely-disabled and children, the income tax needs to be increased.

    Sen. Steans tried to move progressive tax legislation a few years ago, but she told me last year that there was little support–especially in that the constitution has to be amended.


  19. - Fed up - Tuesday, Jan 4, 11 @ 8:12 pm:

    Grandson maybe if everytime madigan, cullerton Quinn Emil jones and blago passed a new program they also passed a funding plan we wouldn’t have a budget crisis but since they love to keep passing programs without funding sources we will keep having budget crisis’s.


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