* I neglected to do a post celebrating St. Patrick’s Day. Not sure why. So, this is for mo chairde…
I go home to my parents, confess what I’ve done
And I ask them to pardon their prodigal son
And when they’ve caressed me as oft times before
I never will play the wild rover no more
* Congresscritter Jan Schakowsky is jumping into the recall fray in Wisconsin. From a letter to supporters…
This Saturday, I hope you can join me for a day of canvassing in Wisconsin! I’ll be leading a contingent from the 9th District to canvass to recall Scott Walker’s allies in the WI State Senate. We’ve all been inspired by watching the working people of Wisconsin stand up for their rights. Let’s lend them a hand and help recall those seeking to roll back our civil rights. I hope you can join us!
Eight GOP Senators have been targeted for recall.
* Meanwhile, over in Indiana, the Republicans are upping the pressure on House Democrats who fled to Illinois…
House Republicans plan to increase the fine for unexcused absences from $250 to $350 a day. And the House Speaker hopes to garnish the wages from House members’ private sector jobs to collect the fines.
No comments because I’m about to close them anyway.
* Roundup…
* Judge temporarily blocks Wisconsin anti-union law
* Ind. Democrats stay away, fighting labor bill: As it stands now, public works projects in Indiana are subject to “project labor agreements” (PLA’s), which favor hiring union workers over non-union workers. Democrats want to keep it that way, but a Republican bill aims to do away with PLA’s.
* Republicans in Ind. Legislature say they’ll work to move bills ahead without House Democrats
* Indiana Republicans fear boycott by Democratic legislators could spread to other states
* $180 million would be less than the appraised value for the Thomson prison, so I’m not sure the facility can be sold, but I guess beggers can’t be choosers…
The Obama White House is being asked by Sen. Dick Durbin (D-Ill.) and Illinois Gov. Pat Quinn to provide a letter with a guarantee that detainees at the military prison in Guantanamo Bay, Cuba, would not be sent to a nearly vacant state-owned prison in Thomson, Ill. the federal government wants to buy.
The letter is intended to address objections raised by Republicans, including Sen. Mark Kirk (R-Ill.), that detainees would end up in the northwest Illinois maximum security facility–even though the Obama White House has backed down from the plan. Republicans are worried there is no promise the matter of transfers would not come up in the future. […]
Quinn said that Kirk brought up at the delegation meeting the need for a guarantee, in writing -barring detainees from Thomson. Quinn said the federal government and the State of Illinois were “very close on price” for the facility, with the tab at about $180 million. Of that, the state would use $60 million to pay off debt to build Thomson and put the rest of the money for capital needs.
That’s $40 million more that the state paid to build it. It was appraised far higher…
Last year, a spokesman for Quinn, Grant Klinzman, said the average of three appraisals of the Thomson prison put its value at just under $220 million.
Mica Matsoff, a Quinn spokeswoman, was asked Thursday after the governor spoke if the state could sell the prison below its appraised value. She did not answer the question directly, saying only: “We are continuing to work with the federal government to determine and evaluate our options on moving forward. Our goal remains selling Thomson Correctional Center to the federal government at a fair price to the state as soon as possible.”
Quinn said: “We are going to seek from the General Assembly higher fees,” from Exelon “to make sure that our Emergency Management Agency has everything it needs to do its safety review job.”
Illinois already conducts its own independent safety inspections — in addition to federal government inspections — but Quinn said “from the moment” he heard about the Japanese nuclear crisis, he wanted to review Illinois readiness. The governor said the Illinois General Assembly is considering a 2 percent increase for inspections but he may want more. The base flat fee Exelon has been paying — about $18 million — has not been increased in more than eight years, Quinn said.
* Gov. Quinn goes to D.C. with words of warning: The governor was particularly worried about potential cuts to Illinois’ scientific research facilities, such as Fermilab and Argonne National Laboratory. Such cuts could cause the state to lose its leading scientists, as well as the potential to advance on technology that would make Illinois the electric vehicle capital of the nation.
The head of the Chicagoland Chamber of Commerce says he wants to make sure video poker machines are installed around Illinois.
The state approved an expansion of video poker to help pay for $31 billion worth of construction projects. But a lawsuit has held up those plans.
Jerry Roper, with the Chamber of Commerce, said video poker machines are needed to pay for the construction plans.
“The infrastructure bill, which had attached to it, the video poker, so we’d like to see that going forward,” Roper said Thursday. “I think you’re seeing more and more cities and countries pushing the video poker so I think it’s worth the try.”
John Cullerton, president of the Illinois Senate, surprised fans and foes of video gambling this week. He proposed repeal of lawmakers’ wrong-headed decision in 2009 to legalize this predatory pastime — a proven way for cash-hungry governments to separate poor and working-class families from their scarce resources.
We appreciate that Cullerton’s proposal to kill legal video gambling before it begins is part of his push to raise the state cigarette tax by $1 a pack. But whatever his conditions, Cullerton now has proposed the death of video gambling. He owns this mission, and we’ll do what we can to further it. The Tribune news story about his proposal to kill video gambling identified Cullerton as a “powerful Chicago Democrat.” We trust he’ll use that power to get this important job done.
* Mayor-elect Rahm Emanuel is on record opposing video gaming in his city. And Gov. Pat Quinn is open to dumping it…
Quinn, speaking to reporters from seven Illinois print news outlets, was asked about Cullerton’s move. Quinn noted that he signed a law allowing video gambling as part of a deal with Republicans to fund a capital bill. Quinn said he was never “fond” of allowing video gambling.
“I told the Republican leaders I have no love for video gambling,” Quinn said. Quinn said a higher cigarette tax was a “better way” to go than legalized video gaming.
While we do get why Cullerton might want to write off the video gambling element funding the capital plan - Chicago still won’t permit it, at least 60 municipalities have opted out already - doing so at this late date is ill-advised. If nothing else, the Land of Lincoln has been working on rules governing its legality since the measure passed. The oversight agency has 50 new people on the payroll being trained to police these joints, the Chicago Sun-Times reports. It would be just like this state to say, “Oops, never mind,” after expending so much in the way of time and resources in beginning to implement it, but perhaps the Legislature should go off character, for once. (We might add that these machines already operate in many a tavern with under-the-table payouts; this was a way for Illinois to get a piece of the action without encouraging new gambling.)
“People have relied on our representations that we did a deal, the governor signed it and they invested money in this state,” said Senate Minority Leader Christine Radogno, R-Lemont. “Here we are again, yanking the rug out from under people.”
State Sen. Kyle McCarter, R-Lebanon, said it would be wrong to reverse course on video gambling because people have already began to make investments in the business.
* The Question: Keep going with legalized video poker or dump it?
…Adding… Somebody on the opposing side was clearly Freeping our poll late in the day, so it’s been deleted. Happy now, morons?
* I’d seen a couple of stories about it, but I hadn’t really checked out the Illinois Republican Party’s new “Illinois Madness” bracket contest to pick the biggest tax and spend Democrats in the state. From the IL GOP…
Illinois is full of “Tax & Spend” Democrats. But who is the biggest Tax & Spend Illinois Democrat? Pat Quinn? Mike Madigan? John Cullerton? Barack Obama? Or someone else? Welcome to the 2011 Illinois Madness Tournament to pick the biggest “Tax & Spend” Illinois Democrat. Like the NCAA Division I Basketball Tournament, “March Madness,” Illinois Madness features a bracket of 63 Illinois Democrats from every region of the State and a special play-in round between “Flee Party” Wisconsin and Indiana Democrats. Winners of each round are determined by online voting that will coincide with the ending dates of each round of the NCAA Division I Men’s Basketball Tournament. Voters are asked to select the winner of each match based on their answer to the following question: “Which Democrats have done the most to harm Illinois taxpayers?”
Some of these first-round matches are impossible to figure. State Rep. Chuck Jefferson vs. state Rep. Keith Farnham? Cook County Clerk David Orr vs. St. Clair County Board Chairman Mark Kern? Those are even more obscure than the Arkansas-Little Rock/Texas-San Antonio play-in game. These people are unknown even to their constituents. Not even Capitol Fax could dope these out.
That Jefferson vs. Farnham thing is pretty easy. Jefferson voted for the income tax hike, Farnham voted against it. Jefferson advances. Orr’s budget is being cut more than Kern’s, so Kern advances.
In the Spend, Spend, Spend Region, State Senate President John Cullerton is the favorite. Cullerton is a rookie in the leadership. He’s not capable of raising taxes as high as Quinn or Madigan.
Cullerton’s Senate passed bill containing an income tax hike and a sales tax on services two years ago. The Senate also passed a cigarette tax hike. None of those bills have been able to pass the House. Also, the Senate set its revenue forecast $1 billion higher than Madigan’s House. Cullerton would be the favorite there.
Welcome to the 2011 Republican Invitational Tournament, the 32-team field filled out by those not invited to the Big Dance.
We start out in the George Ryan Regional.
Here are the match ups from top to bottom.
No. 1 seed Judy Topinka takes on play-in game winner, which pits the Illinois Policy Institute against Wisconsin Gov. Scott Walker.
No. 4 Mark Beaubien vs. No. 5 seed Skip Saviano
No. 3 seed Christine Radogno vs. No. 6 seed John Shimkus
No. 2 seed Mark Kirk vs. No. 7 seed Pat Brady
Moving on to the Dan Duffy Red Light Regional
No. 1 seed Adam Andrzejewski vs. No 8 seed John O. Jones
No. 4 seed Sam McCann vs. No. 5 seed Kyle McCarter
No. 3 seed Dale Righter vs. No. 6 seed Dan Duffy
No. 2 seed Chris Lauzen vs. No. 7 seed Shane Cultra
In the Where’s Jim Edgar? Regional
No. 1 seed Bill Brady vs. No. 8 Jason Plummer
No. 4 seed Jim Oberweis vs. No. 5 seed Carole Pankau
No. 3 seed Steve Rauschenberger vs. No. 6 seed Jim Ryan
No. 2 seed Kirk Dillard vs. No. 7 seed Dan Proft
and finally, in the Alan Keyes Regional …
No. 1 seed Dan Rutherford vs. No. 8 Ron Stephens
No. 4 seed vs. Bob Schillerstrom vs. No. 5 seed Peter Roskam
No. 3 seed Dan Cronin vs. No. 6 seed Tim Johnson
No. 2 seed Tom Cross vs. No. 7 seed Chapin Rose
* Former Illinois Attorney General Ty Fahner has penned an op-ed for the State Journal-Register on pension reform that is completely devoid of any specifics whatsoever. Instead, he spends most of his time dismissing Eric Madiar, the chief legal counsel to Senate President John Cullerton who penned a well-researched 76-page report on why it would be unconstitutionally illegal for the state to reduce pension benefits for current public workers. Most of Fahner’s piece is rhetoric, and here’s the heart of his argument…
It is our opinion, legally and politically, that it is possible to amend the retirement benefits for current public employees on a prospective basis that honors what already has been earned while reducing future costs. What is not an option is for Madiar and those he represents to be in denial and say there is simply nothing the legislature can do to resolve the state’s financial crisis. The legislature certainly can address this issue and, more importantly, they must address it for the good of everyone in Illinois. It is a great excuse for the faint of heart to say they would do something about the state’s financial crisis — but they could not vote for something constitutionally barred.
They have stolen from our pension system and owe it billions of dollars. they need to pay back the state pension system.
As I’ve made abundantly clear, I abhor the escalating national attacks on teachers and other public employees as ignorant and needlessly vengeful nonsense. A frightened, aging, underwater middle class is at war with a subset of itself in the wake of a global economic meltdown caused by a handful of fantastically corrupt financial institutions. The widespread fear and loathing is wholly understandable. The target of that scary ire isn’t.
But comments like the one posted above drive me more than a little crazy.
* It’s a given that the General Assembly and the governor have shorted the pension systems almost since the systems were created. From the Senate Democratic pension funding analysis…
At the time of the [1970 Illinois Constitutional] Convention… The five State pension systems had an aggregate funding ratio of 41.8%… the five systems currently have a combined funding ratio of 39%.
The new Constitution was supposed to remedy this problem by sternly warning legislators and governors that they couldn’t both over-promise and underfund. They did it anyway.
But while there’s no disputing that the funds were shorted, the inflammatory rhetoric about “theft” is just that: Inflammatory rhetoric.
Do you think they just pocketed all those billions? C’mon. The reality is that almost all that diverted pension money went where almost all state government money almost always goes: Education, health care and public safety
* But aside from the gross and willful historical ignorance, this constant selfish refrain about past grievances completely ignores the problem of what we need to do now. Frankly, their approach is downright childish. “Just pay what you promised!” they scream, as if there’s some magic money pot that’s been deliberately hidden by the powers that be, which, if found, would instantly solve all problems without any sort of pain.
I got a news flash for you people: That magic money pot doesn’t exist.
* This pervasive and churlish attitude also completely ignores what happened in January. Just about every dime from January’s personal income tax increase will be spent next fiscal year on pensions and pension debt service. (By FY 2014, every dime of the personal and corporate tax hikes will be eaten up by pensions and pension debt service, plus some.)
In other words, every working person in Illinois has been ordered to hand over the equivalent of a week’s pay so that the state can satisfy its pension obligations next year. But attempts to deal with this painful, overwhelming burden are met with a firewall of self-centered hostility.
What would you have the state do? Should school funding be slashed, grandmas kicked out of nursing homes and hospital doors locked just so we can make pension payments? Or perhaps we should enact yet another income tax hike?
* Please, spare us the grotesque fits of whining and crying. Quit petulantly stomping your feet, grow up and get in the game. The taxpayers of Illinois have just been forced into a major concession in this decades-long battle. It’s your turn now. Participate.
A bill that would have abolished the 50 percent tuition waivers that go to the children of public university employees is on hold after opponents included what the sponsor called “a poison pill.”
Senate Minority Leader Christine Radogno, R-Lemont, decided to avoid a full Senate Executive Committee vote on the legislation (SB 1318) Wednesday evening after committee members voted down an amendment that would have allowed current employees to continue to enjoy the benefit.
But the committee then voted to adopt a second Radogno-requested amendment to ban the long-controversial General Assembly scholarships.
The result left Radogno with a bill guaranteed to get plenty of “no” votes; she opted not to call it for a vote in committee.
“The way they would not allow the amendment on the bill that would make it prospective, I don’t think it’s fair to pull the rug out from people who were counting on it,” she said after the committee meeting. “But as a policy, going forward, these (employee tuition) waivers don’t make sense. Wisconsin doesn’t offer them. Iowa doesn’t offer them. Only four states even offer them in statute.”
So, it’s not fair to “pull the rug out from people” when it comes to tuition waivers, but it’s A-OK to do that with pension benefits for current government employees? The Senate Republican budget proposal wants to save $1.35 billion by doing just that. Odd.
Thursday, Mar 17, 2011 - Posted by Advertising Department
[The following is a paid advertisement.]
Illinois utility companies are pushing for radical changes that put automatic utility rate hikes into state law.
Here’s the TRUTH about the legislation:
TRUTH – The bill would eviscerate consumer protection by eliminating traditional rate case reviews and mandating an automatic annual rate increase for all utility expenditures.
TRUTH – It would allow ComEd, Ameren, Peoples/North Shore Gas, and Nicor Gas to decide what “modernization” means - allowing utility companies to raise rates to pay for technology investments without regulatory or public review of costs or benefits.
TRUTH – It would put Illinois in the unique position of eliminating the ICC’s obligation and duty to balance the interests of consumers with that of utility companies.
TRUTH – Their promised investments are not significant over a 5-10 year period, are not clearly identified, have no enforceable performance standards, and no penalties for noncompliance.
AARP strongly opposes HB 14 the “Automatic Electric and Natural Gas Rate Increase” bill.
Illinois consumers and businesses simply cannot afford guaranteed profits for utility companies and the elimination of long standing and proven regulatory policies!
* OK, now we have some real numbers to look at. The Senate Republicans held a press conference today to outline the cuts they’d like to make to the budget to put it into balance. You can read the Senate GOP’s new plan by clicking here. The Sun-Times has a good overview…
Items on the Republican chopping block include cutting $1.3 billion in Medicaid costs by tightening eligibility for health-care programs like All Kids and FamilyCare, which were both signature initiatives under impeached, ex-Gov. Rod Blagojevich.
The GOP also proposed cutting school spending by 10 percent — or $725 million. The group expressed openness to freezing state-aid payments to school districts, scaling back poverty grants and trimming increases Quinn favors on early-childhood programs.
Radogno expressed support for state pension givebacks from existing workers that she said could yield $1.35 billion in savings for the state. Among them are requiring current employees to pay more toward their pensions, imposing the same pension reforms that went into effect Jan. 1 on new hires to the current workforce and setting up a 401(k)-style retirement program to which the state would provide a 6-percent match. […]
Other cuts Radogno and her caucus sought took aim at the state prison system, including ending $7 million in compensation to inmates that they can use to purchase “candy, cigarettes and cable TV.”
They want to stop funding the Illinois Arts Council, which is chaired by Shirley Madigan, wife of House Speaker Michael Madigan (D-Chicago), because the cash-strapped agency has “essentially suspended” the awarding of grants to artists and art organizations yet continues to have a full-time staff.
Take actions to reduce state payroll expenses. Options include:
• A statewide state government hiring freeze (Governor Quinn’s budget adds 950 headcount) which could save $50 million (although new headcount at the Dept. of Corrections should be considered to reduce overtime costs);
• Eliminating pay for three (of 13) state holidays each year such as election day (suggested by Taxpayer Action
Board); and
• Foregoing scheduled pay raises next fiscal year, FY12 (pay freeze was suggested by the Taxpayer Action Board). The labor contract includes minimum 5.25% pay increases in FY12, when coupled with estimated average 2.5% step increases on top of the base increases this amounts to almost 8% increases scheduled for next year. Foregoing those increases for one year could save almost $230 million GRF. Targeted Savings: $300 million
I’m not sure how you can freeze pay and change holiday pay when 95 percent of state workers are covered under a union contract.
Review the over $6 billion that local governments receive in revenue sharing from the State of Illinois. They receive around 6% of income tax receipts, over half of all gas tax receipts, 20% of sales tax receipts on items other than food and drugs, 100% of sales tax receipts on food and drug purchases, and 100% of revenues from the Personal Property Replacement Tax. A $300 million reduction represents around 5% of those revenues. This approach has been suggested by many groups including the Governor’s Taxpayer Action Board, the Illinois Policy Institute and the Civic Committee. Targeted Savings: $300 million
* The Senate Republicans have pledged to put 15 votes on these cuts. Senate President John Cullerton responds…
“We applaud the Senate Republicans for coming to the table with suggestions on how to mend our fiscal crisis. It’s nice to hear them say something other than ‘no.’ Nevertheless, their efforts must go beyond more than press releases and photo ops. Releasing a list of possible cuts shouldn’t be the end of their participation in the budget process. I hope that this is just the beginning.
“To that end, I am reserving a series of appropriations bills for their use in hopes that they will use this opportunity to fully engage in the appropriations process. I believe that their proposals and commitment can be the base line for discussion on what we all agree is a necessary process of cutting waste and creating efficiencies.”
Finally, game on.
*** UPDATE 1 *** Unlike Senate President Cullerton, Gov. Quinn had some harsh words for the Senate Republicans today…
On Senate Minority Leader Christine Radogno’s call for $6.7 billion in cuts to his budget proposal, Quinn said the “apostles” of “draconian cuts” end up hurting the economy and job growth.
“I’m not listening to them,” he said, saying money for health care, human services and public safety were important.
Sheesh. Was that really necessary? I mean, what’s the harm in just listening to them? It’s gonna be a long four years, campers.
*** UPDATE 2 *** Quinn’s office just called to say that he is not ruling out dialogue with the Senate Republicans, but that he was “reassuring” reporters about how he won’t cut education by that much and slash vital programs.
They’re looking for an audio clip. Stay tuned.
*** UPDATE 3 *** From the governor’s press office…
We appreciate the Senate’s effort to identify additional savings. The challenge, however, is not coming up with myriad possibilities. As we examine their proposals, we must look at their consequences. If Illinois were to implement the cuts proposed today, Illinois would miss out on millions Illinois taxpayers have sent to DC in taxes; legal action would be taken against the state for violations of funding statutes, and conflicts of interest would be codified into state agencies; and economic recovery efforts that are creating jobs would be halted in their tracks.
Under the Governor’s leadership, Illinois is on the road to economic recovery. Announced today, after 13 months of straight declines in unemployment, Illinois’ unemployment rate is under 9 percent for the first time in two years. We lead the Midwest in job creation, and the Governor’s comprehensive plan to create jobs and economic growth is bearing fruit.
The Governor has cut spending at historic levels to help restore fiscal stability to Illinois, but spending reductions must be made carefully and with research to properly asses their impact. The Governor has asked for two years for realistic, responsible proposals for budget reductions. His team has been implementing budgeting for results, to look strategically at all programs to identify unnecessary state spending.
Senate Republicans advocate missing out on millions of dollars of federal matching funds – simply abandoning taxpayer money that should return to Illinois to help its citizens. Their proposals – including nearly $1 billion in cuts to education, $650 million loss in federal Medicaid match, and deep cuts to public transit services affecting 2 million people per day – will devastate our economy, infrastructure development, workforce training programs, and put thousands out of work.
We continue to welcome good-faith efforts to identify and reduce unnecessary state spending. We continue to invite all four caucuses to meet with us to discuss the serious challenges of stabilizing our budget and creating jobs for today and tomorrow, as well as the important and ongoing discussions regarding payment of the state’s overdue bills.
* Related…
* VIDEO: Sen. Minority Leader Radogno on budget cuts
* House committee passes gambling expansion bill: Illinois race tracks would be allowed to have slot machines, riverboat casinos would pay lower taxes and be allowed to buy more gaming positions under a gambling expansion bill that cleared a House committee this morning.
* The group For a Better Chicago ran an ad in New Jersey recently touting Illinois’ more favorable business climate. It’s next target is Wisconsin…
It’s been Scott Walker’s mantra since he started campaigning for governor: “Wisconsin is open for business.” But a new ad in the Wisconsin State Journal challenges that claim.
A half-page ad lists reasons why Illinois is “better” than Wisconsin. Reasons include a better tax environment for business, a higher quality workforce, and a stronger economy.
Initial reactions?
“That’s cute,” said Wisconsin’s Lieutenant Governor Rebecca Kleefisch.
This is the same group that is now picking favorites in aldermanic races. Click the pic for a better view…
An Illinois company that makes items for trade shows is moving to Wisconsin, Gov. Scott Walker announced Thursday.
Catalyst Exhibits, Inc., will be moving from Crystal Lake to Pleasant Prairie, Wis., and bringing with it 105 jobs, the governor said. It will occupy a 144,000-square-foot facility and invest $2.5 million in the state, Walker said.
Catalyst Exhibits is a trade-show marketing company whose clients include TiVo, Siemens, Abbott Labs and Nokia. […]
Walker said the company will receive a $500,000 state grant to relocate to Wisconsin and the Kenosha Area Business Alliance is providing a $1.25 million low interest loan for building renovations.
*** UPDATE *** The unemployment rate dropped here last month…
The state of Illinois’ jobless rate fell to 8.9% in February, marking the 13th straight month of decline.
The February figure is 0.1 percentage point lower than January’s rate and 2.2 points below February 2010, according to preliminary figures released Thursday by the Illinois Department of Employment Security.
The last time the state had a jobless rate below 9% was in February 2009.
* New front in ‘Amazon tax’ war: The state and a business group are teaming up to offer options to web merchants who were dumped by Amazon.com and Overstock.com after the state moved to force them to collect sales tax from their Illinois customers. With an assist from the Illinois Department of Commerce and Economic Opportunity, an affiliate of the Illinois Retail Merchants Assn. has set up an Internet site that will allow former Amazon and Overstock “affiliates” to directly connect with other retailers and keep their traffic up. Among those participating: Barnes & Noble, Best Buy, Sears and Home Depot.
* Huge number of foreclosures has made the system a mess, and it could get worse
Rep. Randy Ramey said Tuesday that he knows his plan to bring Arizona-style immigration laws to Illinois almost certainly won’t be called for a vote this year.
“I have been requesting,” the Carol Stream Republican said. “Been denied.”
Ramey’s proposal, like the one approved in Arizona, would give police more authority to look up someone’s immigration status, a move that could lead to deportation of an illegal immigrant.
Provides that for any lawful stop, detention, or arrest made by a law enforcement official where reasonable suspicion exists that the person is an alien unlawfully present in the U.S., a reasonable attempt shall, where practicable, be made to determine the immigration status of the person.
* The Question: Do you agree with this provision? Explain fully and please take a very deep breath before commenting. Also, do your very best to stick to the question. I’m not at all interested in reading long, nasty rants about illegal immigration. You’ll just be deleted or banned, or both.
Thursday, Mar 17, 2011 - Posted by Advertising Department
[The following is a paid advertisement.]
Most agree that Illinois needs to modernize its electric grid to meet the demands of the digital age. Forty-four states ─ and even Guam ─ have some type of Smart Grid investment program in process. But Illinois is stalled. To stay economically competitive, we must catch up.
But grid modernization in Illinois is stalled by an outmoded regulatory process that discourages exactly the kind of long-term, comprehensive planning that’s needed to get modernization done.
The Energy Infrastructure Modernization Act (HB 14) proposes a better system for setting utility rates. It provides even more transparency and accountability than current regulation with more frequent regulatory review and new performance metrics to keep utilities accountable.
Some have suggested that modifying regulatory oversight is synonymous with reducing regulatory oversight. That’s simply not true. HB14 is not about less regulation it’s about smarter regulation.
Every resident and business in Illinois will benefit if lawmakers, regulators, utilities and consumer groups can come together over the next few weeks to develop a policy path that drives modernization of our grid, while protecting consumers as strongly as ever.
* Our “reform” governor has had problems explaining this appointment, so he caught a break when she bowed out yesterday…
A former lawmaker is resigning from a job that Democratic Gov. Pat Quinn gave her only days after she voted for his 67 percent tax hike, the governor’s office confirmed today.
Former Rep. Careen Gordon withdrew her name from consideration for an $85,886-a-year spot on the Illinois Prisoner Review Board. Quinn had nominated her for the position, but her ability to win confirmation in the Senate was in doubt.
Critics charged the timing between her vote on the tax hike and her appointment by Quinn were too cozy. Both Quinn and Gordon have said there was no connection.
Patti Blagojevich said Wednesday that there is no difference between what her husband is accused of and the alleged deal between Gordon and Quinn.
“Here’s somebody who…made a vote to get herself a job. And on the other hand, you talked about jobs, investigated things with your lawyers. Discussed things and never took any action but you’re under indictment for pretty much the same thing,” said Patti Blagojevich on the radio.
“She may be correct. It’s pay for play,” said [Pat Brady, Illinois Republican Party chairman].
Political reformer Dawn Clark Netcsh disagrees.
“If you are going to tell the governor you can never appoint someone who is in office at one time, who might have voted the way you thought was the right way to vote, that’s absurd. I don’t find that to be an example of what we thought to be pay to play,” said Netsch.
Being caught trying to allegedly shake down a children’s hospital CEO for a contribution in exchange for releasing state funding is just a bit different than this. Also, Blagojevich was caught on tape talking about out and out trading a US Senate appointment for jobs for himself and his wife. Despite the obvious appearance problem, there is no evidence at this time that either Gordon or Quinn were that explicit. Rod Blagojevich was a crass crook. He’s also a convicted liar.
In late October, she told The Daily Journal: “At this point now, I can’t ask the people who live in my district for more money until the state of Illinois shows that they are good at money management. I haven’t voted for a tax increase and I have showed I won’t vote for a tax increase until we show that.”
In a telephone interview Saturday [after her vote for the tax hike], she said: “The income tax increase signed by the governor goes farther than that. The money has to go to pay bills, with no new programs. There also are spending caps (2 percent per year) and the provision is if the increase goes over that the tax increase is null and void.
“Over the next two years, there will have to be a minimum of $800 million in cuts each year to meet that spending cap.”
That explanation is a heck of a lot more plausible than Blagojevich’s excuses. It still stinks, but this is no “Pay to play on steroids.”
* It’s really getting difficult to take the Senate Republicans seriously…
An effort to repeal the 66 percent Illinois income tax increase approved earlier this failed in a Senate subcommittee Wednesday.
Sen. Matt Murphy, R-Palatine, sponsored the measure, which was defeated 2-1 in a subcommittee where Democrats had the majority. […]
The brief committee debate pitted Senate President John Cullerton, D-Chicago, who contended that repeal would mean legislators would have to cut an additional $7.2 billion from the budget, versus Murphy, who called the tax increase “a job-killer.”
“You would not need to cut $11 billion. The number would not be that high,” said Murphy, who later suggested that undoing the tax increase would require $8 billion to $9 billion in budget cuts next year.
OK, let’s do some math. Last week, the SGOPs said this…
“We have determined after careful review that in order to reverse the course, we’re going to have to make additional cuts of between 4 and 6 billion dollars to what the governor has proposed,” said Senate Minority Leader Christine Radogno (R-Lemont).
So, replace the approximately $7 billion in expected revenues from the tax hike with budget cuts. Then, add the $4-6 billion in additional cuts that Murphy and his colleagues said are absolutely needed to balance next fiscal year’s budget and you get $11-13 billion. That’s a bit different than the “$8 billion to $9 billion” in cuts that Murphy said yesterday would be needed to balance the budget. Also, without that income tax revenue, more bills won’t be paid this fiscal year, which will make the hole next year even bigger. Maybe $2-3 billion bigger. So now we’re talking up to $16 billion in cuts.
Matt Murphy is one of my favorite legislators, but he needs to get his numbers straight.
* Meanwhile, I told subscribers about this the other day…
The Illinois Senate’s revenue estimate is $1 billion more than the number the Illinois House approved as the ceiling for state spending in the next fiscal year.
The Senate arrived at its projection of almost $34.3 billion by taking the nearly $34.9 billion estimate from the legislature’s Commission on Government Forecasting and Accountability (COGFA) and trimming away about $600 million in revenues that would require a break from the federal tax code. The General Assembly has not approved the change needed for those revenues to be realized.
The House has opted for a more conservative estimate of almost $33.2 billion. Gov. Pat Quinn estimates the state will have almost $34 billion to spend on next year’s budget. Quinn’s projection also includes money from the proposed change to the tax code.
COGFA Director Dan Long said the commission’s estimate is more than Quinn’s because of a timing issue with revenues from the recent income tax increase. Long said that some of the money from the increase expected in the current fiscal year will not actually come in until FY 2012. He said the shift is not reflected in Quinn’s numbers.
* Other numbers stuff…
* College Illinois managers say prepaid tuition fund is stable - Plan projected to have 31 percent shortfall, according to news report
* House committee decides where state money will go: The general revenue fund is estimated by the House to have $33.2 billion available for fiscal year 2012. Of that, 28.742 percent would go to elementary and secondary education, 5.158 percent is for general services, 8.761 percent for higher education, 50.361 percent for human services and 9.978 percent for public safety.
* GOP senator: Cigarette tax not needed for capital project: Gov. Pat Quinn’s office also does not appear worried about a work stoppage this summer. Spokeswoman Kelly Kraft said building new roads and buildings is helping to bring in money by putting people to work.
* State should fold on video gambling, Cullerton says - Illinois should end controversial plan even before it gets off the ground, Senate president says
* Cigarette tax hike advances in Illinois Senate: “People have relied on our representations that we did a deal [on video gaming], the governor signed it and they invested money in this state,” said Senate Minority Leader Christine Radogno, R-Lemont. “Here we are again, yanking the rug out from under people.”
