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*** UPDATED x1 *** This just in… Quinn admin sent out wrong veto message

Tuesday, Aug 23, 2011 - Posted by Rich Miller

*** UPDATE - 6:35 pm *** OK, so, the governor’s press office just called to say that the amendatory veto message they sent out for SB170 which imposed strict conflict of interest standards was e-mailed in error. That’s not actually what the AV does. What the AV really does is not known to me at the moment. So, I deleted the first part of the post.

Oops.

* 5:48 pm - [Deleted content…]

* The other AV was of SB90, which originally removed the requirement that Secretary of State driver facilities have deputy registrars and allows driver facilities to be permanent places for voter registration. From Quinn’s veto message

My specific recommendation is to give voters the right, through binding referendum, to establish a Veterans’ Advocate as an official of local government to coordinate veteran services, act as a liaison between units of government and veterans, and promote measures by which local governments and agencies may assist the veteran population in the areas of job creation, education, housing, health care, and other issues as the Veterans’ Advocate deems appropriate.

The Quinn folks were definitely worried today about the “Indiana took our jobs” story today, so this might be seen as a nice little diversion.

As with most radical amendatory vetoes, these probably will never again see the light of day.

  13 Comments      


Emanuel’s poll shows he has huge job approval rating

Tuesday, Aug 23, 2011 - Posted by Rich Miller

* Democrats close to Rahm Emanuel’s operation have leaked a few poll results from the survey we discussed a bit last week. The poll, conducted for Emanuel August 17-22, is of 600 likely voters. Let’s start with job approvals…

Job approval - 79 percent
Job disapproval - 16 percent

Racial breakdown of the job approval numbers…

Whites
83
14

African-Americans
78
15

Latinos
78
16

Not much to say other than those are pretty darned solid numbers all the way around. Yes, it’s still very early in his term, but engaging Emanuel in a political war would hardly be well-advised at the moment.

* Click the pic for a larger version of the character traits test…

Again, not somebody who can be easily messed with.

* This matches up pretty well with an Anzalone Liszt Research poll taken for the Teamsters Union June 7-12, which gave us a snapshot of his first month in office. From the pollster…

Rahm’s numbers have only strengthened and are now 77% favorable and 13% unfavorable. The biggest movement has been with white voters who have moved from 68% favorable to 79% favorable and whose unfavorable rating of him have dropped from 21% to 12%. I would think that both the 650 new cops on the street and the auterity measures with the budget have moved white voters, although all subgroups made gains.

Anzalone Liszt had Emanuel at 71 percent favorable and 15 unfavorable after the election in late April.

* The history of Gov. Pat Qunn’s approval rating is here.

  14 Comments      


*** UPDATED x1 *** The governor whacks Emanuel again

Tuesday, Aug 23, 2011 - Posted by Rich Miller

* As expected, Gov. Pat Quinn just couldn’t help himself today.

Mayor Rahm Emanuel has said that he wants a Chicago casino to help invest in infrastructure improvements. Hizzoner laid out several serious problems that the casino money would help address

Emanuel today said Chicago’s construction needs go far beyond the $1 billion Quinn said the state infrastructure plan has earmarked for Chicago roads, bridges and mass transit.

“It’s very simple. I think all of you saw the car that fell through. It’s not just a pothole. It’s because the pipes and water system in Chicago, parts of Chicago, a hundred years old,” Emanuel said. “The capital shortfall at CTA alone is in the multi-billions. That doesn’t count what I have to do for the roads, the 25 new schools, the 40 miles of new water infrastructure.”

Quinn, clearly in campaign mode, pivoted on Emanuel’s sinkhole example

“There is a role for municipalities to pay attention,” Quinn said. “We’re not going to have a situation where every community in Illinois that wants to fill its sinkholes or potholes wants a casino. I mean, come on.”

* And then Quinn expanded the playing field and whacked Emanuel on another topic

“They’re reviving the drive, and who do you think is paying for it? The state of Illinois is the big investor in that,” Quinn said, while also taking a swipe and Emanuel for placing his name on construction signs in the city, a practice Quinn banned at the state level.

“My name ain’t on that road, and I don’t want it to be, but the fact of the matter is we’re putting, I think, $300 million into a major endeavor to fix up a thoroughfare in the city of Chicago that needed radical improvement.”

If he was this focused during last year’s campaign, Quinn might have won more than four counties.

*** UPDATE *** Raw audio of the governor’s remarks…

  34 Comments      


Doing the subsidy math, playing jobs politics and some possibly flawed tax suits

Tuesday, Aug 23, 2011 - Posted by Rich Miller

* Indiana handed out several million dollars to take a small manufacturer away from Illinois

Indiana Gov. Mitch Daniels joined executives from Illinois company Modern Drop Forge Tuesday to announce it is building a new facility in Merrillville, Ind.

Daniels said his state has offered Modern Drop Forge an incentive package worth $5.5 million over the next few years. The company will open a new manufacturing facility, creating up to 240 jobs by 2014. […]

Daniels invited the company executives to a mock citizenship naturalization ceremony Tuesday to welcome them to the state.

How cute. A “citizenship naturalization ceremony.” Excuse me, but when, exactly, did Indiana secede?

* Anyway, Indiana’s subsidy works out to just under $23,000 per job, spread out over three years. Then again, Daniels has grossly inflated job creation numbers in the past, so those numbers should probably be taken with a big grain of salt. Indiana has much lower workers’ comp costs than Illinois does, and that was one reason why the company moved

Blue Island Mayor Don Peloquin says in this company’s case, workman’s comp differences alone will save several hundred thousand dollars a year.

“They’re looking at dollars. If it costs this much here under the workers comp law, when they go to Indiana, they drop it by 30 or 40 percent. They save that much money,” Peloquin said. “There’s very little a local mayor can do.”

* Illinois’ higher costs of doing business means that our subsidies probably have to be higher. For instance, Motorola’s state subsidy to remain in Illinois works out to about $44,000 per employee spread out over ten years. Even so,Mayor Emanuel just announced 200 new subsidy-free jobs for Chicago. Most of Emanuel’s job announcements, in fact, have involved no subsidies.

* Gov. Pat Quinn said he offered an incentive package to Modern Drop Forge, but no luck

Illinois Gov. Pat Quinn said he wanted Modern Forge to stay in Illinois and the state made a “generous” offer to the company to stay, but Quinn said it’s the company’s choice to leave.

* Meanwhile, Quinn was on Chicago’s South Side today, touting a new public works project that will benefit Ford, which is also kicking in some cash

A new construction project on the Southeast Side will alleviate the frustration of motorists caused by lumbering freight trains — and create 1,200 new jobs, officials say.

The $146 million project will lower the intersection of 130th Street and Torrence so two new bridges carrying the Norfolk Southern railroad tracks can pass over it, Gov. Pat Quinn announced Tuesday morning. The streets and the tracks currently intersect, resulting in hours of delays for about 32,000 motorists a day, officials said. […]

The project is partially funded by Ford Motor Company, which has an assembly plant nearby that regularly experiences 20-minute delays as employees and trucks carrying goods wait for trains to pass.

“Every minute counts,” said Ford spokeswoman Mary Culler. “We cannot be competitive without state-of-the-art infrastructure.” […]

The state of Illinois is paying $64.8 million of the price tag, and Norfolk Southern, federal government, city and Northern Indiana Commuter Transportation District are contributing as well.

* The Quinn administration is doing everything it can to tout new jobs today, including this IDES press release…

The Illinois Department of Employment Security (IDES) and Aon Corporation (NYSE:AON) have come together to place more than 100 job seekers in good-paying jobs at the Chicago-based professional services firm. The collaboration highlights Governor Pat Quinn’s efforts to grow jobs and connect qualified job seekers with ready-to-hire employers.

“Aon is a leading Illinois company, and a perfect match for Illinois’ highly skilled workers,” said Governor Quinn. “This is a great example of how our state and private businesses can work together to connect businesses, workers and jobs.”

“We sought the assistance of the Department of Employment Security to help us identify qualified and talented candidates, and they exceeded our expectations in a quick and efficient manner,” said Greg Besio, Aon’s chief human resources officer.

Working with the IDES’ Employment Services division, Aon was able to hire benefits advisors to work out of its Aon Hewitt office in Lincolnshire. The temporary employment is expected to last through mid-December and pay between $17 and $20 an hour.

* In other business-related news, both the RTA and the City of Chicago filed lawsuits today against Kankakee and Chanahon over lost sales tax revenue. The governments are upset that these small towns have allowed sham sales tax havens to be set up, which the towns profit from. Here’s the mayor’s press release…

The City of Chicago today filed a lawsuit in the Circuit Court of Cook County seeking damages from the City of Kankakee, Village of Channahon and three brokers over a sales tax kickback scheme that is diverting sales tax revenue from the City of Chicago.

“Companies are gaming the system and cheating Chicago’s taxpayers,” said Mayor Emanuel. “I have to be the voice for the taxpayers and I will not tolerate this.”

The City alleges that Kankakee and Channahon have attracted a large number of corporations and an enormous amount of revenue by offering Illinois retailers kickbacks of sales tax revenue if they purport to process their retail sales through brokers set up in those municipalities. The brokers “accept” sales in Kankakee and Channahon on behalf of the retailers. Although this practice was prohibited by the Illinois legislature in 2004 but both municipalities continue to enter into such arrangements.

This practice is so profitable that Kankakee and Channahon now lead the state in annual retail sales per capita at $78,000 and $62,000 respectively—tenfold the per capita sales of Chicago and roughly double the per capita sales of municipalities that are home to major retail shopping malls.

I get the part about the ridiculous sham sales offices designed to avoid the Chicago-area’s high sales taxes. The state definitely needs to get rid of those.

But Kankakee does a lot of business with out of state companies which have no Illinois facilities and need a local sales tax nexus. Those out of state agreements are certainly inflating the tax receipt numbers used by Chicago. I may have more on this in a little while, so check back.

Chicago’s lawsuit is here. The RTA’s lawsuit is here.

  10 Comments      


Question of the day

Tuesday, Aug 23, 2011 - Posted by Rich Miller

* A couple/tree weeks ago we rated the job performance of Gov. Pat Quinn, Mayor Rahm Emanuel and House Speaker Michael Madigan. Let’s continue our work.

* The Question: On a scale of one to ten, with one being the worst and ten the best, how would you rate Senate President John Cullerton’s job performance? Take the poll and then explain your answer in comments. Thanks.


  38 Comments      


Knocking Down the Profit Margin Myth

Tuesday, Aug 23, 2011 - Posted by Advertising Department

[The following is a paid advertisement.]

SB 1652 Does NOT Guarantee 10% Profit

Myth: Opponents of SB 1652 have falsely claimed that the bill locks in guaranteed utility profit margins.

Here’s the Truth: SB 1652 sets a “target” profit margin of 10.25 percent return on equity. This is lower than the national average for utilities over the last 10 years and would be the second lowest ROE that the ICC has given ComEd in the last 30 years.

But it can still be reduced in the following ways:

    1. ICC disallows costs during the annual rate proceeding. The ICC retains authority to disallow utility costs. Today, the ICC routinely disallows tens of millions of utility costs in every rate case and has authority to do so under SB 1652.
    2. Utility fails to meet new performance standards. SB 1652 contains comprehensive performance metrics and a utility’s ROE is reduced if it fails to meet targets. These include performance on reliability and customer service.
    3. Lower than expected demand on the system. During an abnormally cool summer or poor economic conditions, demand falls and revenues contract. This drives down the amount of revenue collected by the utility resulting in less income.

There are no guarantees of profits in 1652. For more information on all the benefits of grid modernization, visit www.SmartEnergyIL.com.

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Protected: SUBSCRIBERS ONLY: This just in…

Tuesday, Aug 23, 2011 - Posted by Rich Miller

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*** UPDATED x1 *** Budget office: Tax hike not causing layoffs

Tuesday, Aug 23, 2011 - Posted by Rich Miller

* After falling for 16 straight months, Illinois’ unemployment rate has risen each of the last three months. Could January’s income tax hike have caused this? Nope, says the governor’s budget office

Kelly Kraft, a spokeswoman for Quinn’s budget office, said there is “no connection” between the tax increases and the unemployment increase.

Others aren’t so sure

Shattuck said the tax increase, and Illinois’ overall business climate, are part of the uncertainty employers hate.

“That’s why there are so many businesses hoarding cash; they want to be able to pay the bills,” Shattuck added.

We actually gained 1,100 manufacturing jobs in July, according to the state. Mining, information and financial activities jobs all rose as well.

One reason the unemployment rate kept rising is that 5,500 government jobs disappeared in July. “Trade, Transportation, & Utilities” jobs dropped by 7,900 and “Leisure and Hospitality” jobs fell by 6,700. We also lost 4,300 construction jobs and 4,100 jobs in “other services.”

* But the reality is, the people who run most businesses are not exactly flaming liberals, and they ain’t happy

A company based in the south suburbs is expected to announce Tuesday that it is relocating, taking 250 Illinois jobs to Indiana.

After 96 years in Blue Island, the Modern Drop Forge Co. is reportedly moving 30 miles east to Merrillville, Ind.

“The taxes are very high and Illinois is not friendly to business anymore,” said one employee with the company.

Sources say Indiana Gov. Mitch Daniels will announce Modern Drop Forge Co., which makes precision tools and metal components, including for Harley Davidson motorcycles, is the latest Illinois company to be lured away by lower taxes and business costs.

* Indiana has been particularly aggressive at recruiting our companies

The Hoosier State’s Economic Development Corp. launched its “Illinnoyed” campaign, putting 15 billboards up along the state line. It also had an online advertising campaign through Crain’s Chicago Business; EDC spokeswoman Katelyn Hancock said she was told it was the third-most successful online campaign in Crain’s history.

Thirteen businesses representing about 1,000 jobs have committed to moving from Illinois to Indiana this year as a result of the marketing campaign, she said, and she expects more to come.

“Our efforts are still being reaped,” she said. “It takes a long time to relocate.”

Indiana’s unemployment rate also clicked up a bit in July, but its rate is 8.5 percent, a full point below ours.

…Adding… With a hat tip to a commenter

Over the year, 24 states experienced statistically significant changes in employment, 23 of which were increases. The largest increase occurred in Texas (+269,500), followed by California (+189,600), New York (+106,600), and Ohio (+74,100). The only state with an over-the-year statistically significant decrease was Indiana (-28,300). [Emphasis added.]

Illinois gained 51,100 jobs in the same period.

* Meanwhile

Archer Daniels Midland Co. is closing a soybean processing facility in Galesburg immediately.

Decatur-based ADM issued a statement late Monday confirming the facility would close, according to WGIL Radio. The closure will cost Galesburg 31 jobs.

ADM says it expects a number of those jobs to be transferred to a different facility.

Oy.

It’s been one hit after another for that town.

* Back to taxes

Shattuck said this summer’s legislative hearings into Illinois’ business climate may provide enough stability to convince employers in Illinois to start hiring.

“We’re trying to come up with ways to advance the business climate without costing the state any money,” Shattuck said. “But if we’re going to lower the tax increase that means other incentives have to go away. But which ones?”

*** UPDATE *** From a press release…

Mayor Rahm Emanuel announced today that EMC Corporation will open a new office and add 200 new jobs in Chicago over the next two years, as the city’s technology sector gets an added boost from a leading provider of information infrastructure and cloud computing technology.

“I am pleased to announce that EMC has decided to open a new office here in Chicago, and to create 200 important jobs for Chicagoans,” said Mayor Emanuel. “EMC is a global leader in information technology, and will drive forward Chicago’s technology economy and presence in this space.”

The new office in Chicago is expected to be open by the end of the first-quarter 2012, and will support EMC’s numerous Chicago-based customers.

* Related…

* Olin Brass says law helps their business

* The Murky Future Of The Workers’ Comp Reform Law

* Food prices could rise as corn harvests suffer

* Survey: Small raises for salaried workers in 2012: After increasing salaries by 2.6 percent this year and last year, companies are planning a 2.8 percent bump in 2012, benefits and human resources consultancy Towers Watson reported Monday.

* Union agrees to pay cut in Lyric Opera contract

* Google takeover pays off for Motorola employees, too

* Ford, Toyota to work together on hybrid trucks

* Quinn names interim superintendent of Lottery

* LaHood: Rail plan going to be ‘right’ for Springfield

* Plan to reuse prescription drugs stuck on final hurdles - Legislation stalled by concerns about safety, liability

* Landmarks Illinois leader stepping aside Nov. 1

* Fitch Downgrades N.J. Bond Rating: New Jersey has skipped or greatly reduced its payments into the pension fund, contributing to the unfunded liability. The new law requires the state to make its payments, which currently total more than $3 billion a year, but is phasing the requirement in over seven years. This year’s pension payment, one-seventh of the total, was about $500 million.

* S&P replaces president after U.S. downgrade

  20 Comments      


Here we go again

Tuesday, Aug 23, 2011 - Posted by Rich Miller

* The back and forth sniping between Mayor Rahm Emanuel and Gov. Pat Quinn just won’t end. You already know the background. Here’s the latest

Emanuel said he wants the money a casino would generate to pay for major, job-creating infrastructure projects around the city, including modernizing antiquated underground water pipes that damage streets when they burst. Chicago, he said, can’t count on Washington or Illinois lawmakers to come up with all the necessary money.

“There is no other place but the casino to make the investment in Chicago’s economic competitiveness,” Emanuel said at a City Hall news conference touting his accomplishments as he marks his 100th day in office this week. […]

The governor’s office shot back at Emanuel after the mayor made his comments Monday, pointing out that Chicago has been the recipient of infrastructure projects because of a statewide capital construction program that Quinn championed.

“Gov. Quinn does not think that the state or the city can gamble its way to prosperity. He has led with other ways to keep the region competitive and put more people to work, most notably the capital plan, which is serving as the largest infrastructure investment in city history and has provided more than $1 billion for Chicago school, road and other local projects to strengthen our economic recovery,” Quinn spokeswoman Brooke Anderson said. [Added another paragraph because some people were getting the wrong idea about Emanuel’s comment.]

It’s like the governor’s office is in campaign mode. Never let a statement go unanswered.

The risk here is that Chicago ends up with its casino, but the mayor is still very unhappy. An unhappy mayor is not something that the governor will want to deal with. Such a situation will lead to all sorts of legislative and media problems. Chicago legislators could be pulled off Quinn’s initiatives in retaliation, for instance, and the Chicago media almost always takes the mayor’s side against any governor.

* And this may not abate any time soon. Check out Gov. Quinn’s media event plans today…

Governor Pat Quinn will announce a major Illinois Jobs Now! capital construction project that will improve regional transportation and create jobs in Chicago.

Yeah. Just rub it in some more, governor.

Sheesh.

Call a truce, willya?

  32 Comments      


Could Thome come back to the White Sox?

Tuesday, Aug 23, 2011 - Posted by Rich Miller

* Jim Thome has reportedly been placed on waivers by the Minnesota Twins. The Cleveland Indians and the Philadelphia Phillies are reportedly interested in picking him up. Thome played for both teams. The Tribune speculates that the White Sox might also be interested

Although they haven’t publicly said anything, the White Sox could be another team with interest in Thome.

Manager Ozzie Guillen has said he regretted letting Thome go late in the 2009 season. Thome went to the Dodgers, then signed with the Twins before the 2010 season.

Because he’s a fully vested veteran, Thome has a no-trade clause, which means he has the right to approve a potential trade and can reject claims from any teams that might seek to claim him off waivers.

The Minneapolis Star Tribune reported Monday that if any major league team claims Thome on waivers, the Twins have until Wednesday to seek a trade instead. If the Twins don’t receive a trade offer they deem worthy enough, they can pull Thome off waivers and reinstate him to the team.

Thome, who hails from the Peoria area, hit his 600th home run last week. Gov. Pat Quinn is reportedly considering declaring a “Jim Thome Day” soon.

What do you think? Should the Sox try to get him back?

…Adding… Considering how shabbily the Cleveland fans treated Thome after he came to Chicago, I really hope they don’t get him back. Those bums don’t deserve him.

  26 Comments      


Protected: SUBSCRIBERS ONLY - Supplement to today’s edition and a campaign roundup

Tuesday, Aug 23, 2011 - Posted by Rich Miller

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Protected: SUBSCRIBERS ONLY - Today’s edition of Capitol Fax (use all CAPS in password)

Tuesday, Aug 23, 2011 - Posted by Rich Miller

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*** UPDATED x2 *** Rutherford heads to China on gubernatorial quest

Monday, Aug 22, 2011 - Posted by Rich Miller

* If it hasn’t been obvious to you that Treasurer Dan Rutherford is openly plotting a move up the political ladder in 2014 (likely to the governor’s office), even after reading his endless stream of Tweets about all the towns he’s visited since the start of the year, then this story might help

State Treasurer Dan Rutherford, a globetrotting businessman during his tenure as a vice president with ServiceMaster, said he’s paying for his own flight to Beijing.

“My 25 years of experience in the private sector working on international business makes me especially optimistic about the benefits of this trip. I will be given several opportunities to represent Illinois to Chinese businesses with the hope of our state’s economy becoming the beneficiary,” Rutherford said in a prepared statement.

The 13-day trip comes as Gov. Pat Quinn prepares to make a similar visit to the Far East with an eye on selling more Illinois products in China and Japan.

Quinn, who will be gone for 12 days beginning in mid-September, will make stops in Beijing, Shanghai and Hong Kong in China and Tokyo, Japan.

Apparently, this is something of a “me too” trip since Quinn is heading to China next month. According to the AP, the Chinese People’s Institute for Foreign Affairs is paying for Rutherford’s expenses, excluding his flight.

* In other quasi-campaign stuff, Fox News picked up a story that has received pretty much zero coverage in Illinois, and for good reason

Maybe the Fox folks don’t know that this guy is not even close to being a journalist. Or maybe they do and decided to ding Dick Durbin anyway. Either way, kudos to Jim Anderson of the Illinois Radio Network for not giving in to this “activist” during a media availability.

*** UPDATE 2 *** I just talked to Paul Green, who runs these City Club things. The press conferences have not ever been part of the official City Club lunchtime events. They’re mainly informal gatherings at the Maggiano’s bar.

No longer. From now on, the pressers will be held as part of the City Club festivities and, henceforth, the club will require that reporters show credentials. Security will also be present.

The public Q&A, however, will pretty much proceed as it always has.

[ *** End Of Update 2 *** ]

* Meanwhile, Finke says the State Fair political days should be held every other year

If the state’s two major political parties decided to drop their special days at the Illinois State Fair in non-election years, would anyone care? Would anyone notice?

It’s been a tradition since forever that Democrats and Republicans each gather for one day at the fair. When an election is coming up, those rallies can be mildly entertaining. Candidates for offices will show up to get some face time with the crowd and media. You can generally count on one or more speakers to deliver a stemwinder to rev everyone up to get out the vote. There’s a general sense of enthusiasm around the place.

Compare that to Governor’s Day and Republican Day this year. It was like everyone was just going through the motions. We’ve always gathered at the fair one day a year, and the fair is on, so let’s get it over with. […]

It’s just that last week’s political days were sort of blah. If they were only held every other year, maybe they would seem a little more special.

Yes, this year’s events were boring and mostly news-free (although I found plenty to write about by ignoring the speeches and working the crowds and the receptions). But, as I’ve said before, that’s because we have no statewide election next year (the first time this has happened since 1999). Some of the bigger crowd turnouts I’ve seen have been in the off-years before a gubernatorial or US Senate election, when tons of primary candidates descend on the fairgrounds. So, switching to a biennial event doesn’t really make any sense.

* Count Sen. Kirk Dillard in for the 2014 governor’s race

Asked if he’s thinking about running for governor that year, Dillard gave a quick “yes.”

“I’m going to take a swing down to Williamson County, and I’ll be at the DuQuoin State Fair,” Dillard said. He said even if he doesn’t run statewide, he’ll continue to travel because “I love this state.”

Dillard finished just 193 votes behind state Sen. BILL BRADY, R-Bloomington, in last year’s gubernatorial primary, when more than 750,000 votes were cast. Seven candidates were on that ballot, and Dillard said party and business community leaders should try to avoid such a wide open and expensive contest. […]

“What bothers me most is wasting millions and millions of dollars that Mr. McKenna and others made us waste that Bill Brady could have used to win the governorship,” Dillard said.

* This is just one problem that former state Rep. Mike Boland will have to deal with in the congressional primary

For example, while serving as a state representative, Mike Boland gave scholarships to the daughter of his largest individual campaign contributor.

She gave $15,891 to Boland’s campaign in 2005 and 2006, and her daughter received a free ride to Western Illinois University. After two years, she transferred to the University of Illinois at Urbana-Champaign, and her scholarship from Boland followed.

Boland, who left the Legislature earlier this year, now is seeking the Democratic nomination for the 17th Congressional District.

* McHenry County State’s Attorney Louis Bianchi says he’s running for a third term. You will recall that two corruption cases brought against Bianchi were both tossed out of court by a judge this year

During trials in March and earlier this month, the special prosecutors offered so little evidence that Winnebago County Judge Joseph McGraw–appointed to hear the politically charged cases–acquitted Bianchi before he even presented a defense.

But Bianchi said his decision to seek a third term wasn’t prompted by a desire to repair his image following his legal struggles.

“The satisfaction is already there. I’ve been vindicated,” Bianchi said. “I don’t need another four years for that.”

Instead, Bianchi said if he’s re-elected he wants to continue with programs he instituted during his tenure, including stepped up efforts to collect unpaid fines and court costs, as well as a diversion program that allows first-time offenders to clear their records through public service work and education.

* No comment

Republican Tom Pliura, a doctor and lawyer from LeRoy, is running against state Rep. Chapin Rose, R-Mahomet, for the GOP nomination in the 51st Senate District, which stretches from McLean County to the Indiana border.

Pliura, who has not previously held elective office, showed his inexperience as a campaigner during a stop at the state fair Thursday. He was wearing a Cubs hat, thus alienating all of the Cardinals and White Sox fans in the district.

*** UPDATE 1 *** Comedian Katie Halper has made a pretty good video mocking Congressman Joe Walsh for his alleged failure to pay child support

* Roundup…

* Editorial: Gerrymandering and the 1st Amendment

* 10th District Democratic Candidates Clash at BBQ

* Balkema Launches Exploratory Bid for U.S. Congress

* Aurora alderman Kifowit to run for state legislature

* Glenn Nixon to take on Lisa Dugan

* Nasty GOP Primary likely in 25th Senate District

* Blackberry Township supervisor announces run for 25th District seat

* Tracy, Hammond announce candidacies in newly drawn legislative districts

* Elected officials rally to save West Side post offices

* Candidate training offered September 9th in Joliet

* Video: Lauzen Announcement at 17th Annual Porky Picnic

  65 Comments      


Question of the day

Monday, Aug 22, 2011 - Posted by Rich Miller

* From a Post-Dispatch story about the clash between organized labor and Gov. Pat Quinn over Quinn’s halting of contractual wage increases for unionized public employees

“We welcome them. They can stay as long as they want,” Quinn said of the [fleeing Wisconsin Democratic senators] in a February interview on MSNBC’s “Hardball with Chris Matthews.” Quinn in the interview lambasted anti-union sentiment in general, and his fellow governor Walker personally, accusing him of waging “a war on workers.”

“The people who teach our kids, who plow the snow off our interstates, those are working men and women and they deserve a decent pay and decent retirement,” Quinn said. “What Gov. Scott Walker’s doing in Wisconsin is just plain wrong.”

Some in the Illinois labor movement now view that interview with irony and bitterness — even to the point of comparing Quinn, unfavorably, with Walker.

“Whatever you think of what Scott Walker did … at least he changed the law (to do it). Pat Quinn is just ignoring the law, to flout collective bargaining rights,” said Anders Lindall, spokesman for the American Federation of State, County and Municipal Employees (AFSCME) of Illinois.

* The Question: Is it fair to compare Gov. Pat Quinn to Gov. Scott Walker this way? Take the poll and then please explain your answer in comments.


  55 Comments      


Bishop says Illinois politicos “at war” with Catholics

Monday, Aug 22, 2011 - Posted by Rich Miller

* Peoria’s Catholic Bishop Daniel Jenky is not happy at all that the state has refused to contract with Catholic Charities for adoption and foster care services. In fact, he’s pretty darned upset

Bishop Jenky pointed out that religious accommodations have been granted in states such as New York and Rhode Island regarding their establishment of civil unions. His Aug. 18 statement expressed sadness that “important elements of the political establishment in the state of Illinois are now basically at war with the Catholic community and seem to be destroying their institutions.” [Emphasis added]

Um, wow.

* In other news about religion and state, Secretary of State Jesse White is not happy about a new Illinois law that allows him to issue state identification cards without photos. The proposal was pushed to benefit the Amish, who have religious objections to photography

“How do you use this document as a form of identification?” White said during an interview at the Illinois State Fair “You match the name with the face. I don’t see how that could take place without a picture.”

State Rep. Adam Brown, a Decatur Republican, pushed for the legislation during the spring legislative session. He said Amish leaders in Central Illinois wanted the exemption because of religious convictions about having their pictures taken. […]

Brown said he wants to work with White and the Illinois State Police to move forward with the idea. He has suggested the state police develop a separate, nonpublic database for Amish and other religious groups that could be called up to verify people opting against getting the pictures on the ID cards.

“I think an internal system could work very well,” Brown said. “We’ve also discussed using fingerprints. We definitely want to build safeguards into it.”

Thoughts?

  31 Comments      


Chicago to sue Downstate tax havens

Monday, Aug 22, 2011 - Posted by Rich Miller

* As we’ve discussed several times before, several businesses have opened up “sales offices” in Downstate counties to avoid paying high local sales taxes in Cook and DuPage counties. Chicago, Cook County and the RTA defeated a bill earlier this year which would codify these havens into state law, but they failed to pass their own bill to kill the practice entirely. A Downstate judge ruled against the state’s efforts to collect unpaid sales taxes earlier this year, but the state is appealing.

Things are really heating up

Chicago Mayor Rahm Emanuel’s office said late Friday that the city plans to file a lawsuit early next week against Kankakee and Channahon. “There is money that should be going to Chicago that is going to other cities,” said Chris Mather, a spokeswoman for Emanuel. […]

Just how much money is at stake is hard to track. Kankakee, which observers think has the largest program, reported paying companies about $125 million in sales-tax rebates between 2002 and 2010, but if those sales had taken place in higher tax venues, they easily could have generated double or triple that amount. […]

Within the next week, as many as eight suburbs that are home to Plass Appliance & Furniture showrooms are expected to jointly send a letter to the Revenue Department, asking for a ruling on the company’s routing of sales through Channahon, said Martin Bourke, village administrator for Bloomingdale, a DuPage County suburb.

The retailer stopped paying taxes to Bloomingdale in January 2008, and the village estimates it has lost nearly $100,000 in that time. Plass executives did not respond to requests for comment.

* In other business/tax related news, Crain’s editorializes against state tax incentives for big companies

The sale of Motorola Mobility Holdings Inc. to Google Inc. is interesting in many ways, not least for what it tells us about the effectiveness of state tax breaks for big employers.

The message: Subsidies such as those Illinois granted Motorola earlier this year count for little in an age of rapid-fire corporate consolidation. Corporate executives who negotiate tax breaks in exchange for promises to keep jobs in the state can easily turn around and sell the company to a buyer who places less value on the subsidies.

Gov. Pat Quinn gave Motorola generous payroll tax breaks in return for continuing to employ thousands in the state. A few months later, the Motorola execs who negotiated that deal agreed to sell their company to a California-based acquirer with little reason to care about Illinois jobs. Moving or eliminating those jobs might make financial sense to Google, even if it means sacrificing the subsidies. After all, Google is much bigger than Motorola, with different strategic objectives.

I don’t necessarily disagree. I do wonder, however, what the publication’s editorial board would’ve written had Motorola Mobility announced it was moving away earlier this year.

* Meanwhile, is the exodus to exurbia dead? It appears so, at least for now

Between 2000 and 2010, Kendall was the fastest-growing county in the United States, with a growth rate of some 110 percent, according to the Census Bureau. In the Chicago area, Kendall was not the only faraway land of big dreams. Population soared, too, in distant suburban Kane, Will and McHenry Counties. Even in DeKalb County, tall-corn country nearly halfway to Iowa, newcomers were drawn by visions of castles on a cul-de-sac.

Now real estate experts say these far-flung housing developments are among the hardest hit by the housing downturn. In Yorkville, with a population of about 18,000, at least 10 subdivisions sit unfinished, with little sign of development soon.

“The Chicago region has been one of the hardest-hit markets in the country,” said Erik Doersching, the executive vice president of Tracy Cross & Associates, a real estate analysis firm in Schaumburg. “And the outlying areas are the most impacted.”

In 2009 and 2010, the top foreclosure rates in Illinois were in Kendall, Kane and Will Counties. On the new suburban frontier along the farthest fringes of the Chicago region, where cheap land and rising prices once triggered a rush of buyers, some newer developments have become ghost towns in places like Yorkville, Frankfort, Sugar Grove and Hampshire.

* And speaking of exurbia, a proposed toll hike would put us above some states, but not too far out of line with the rest of the country

Currently, the tollway, which encompasses 286 miles of road, charges about 3 cents a mile for I-PASS customers in passenger cars.

On average, drivers in passenger cars using electronic tolling on the 157-mile Indiana Toll Road also pay about 3 cents a mile. On the 241-mile Ohio Turnpike, the toll average is 4.2 cents a mile, while further east, the Pennsylvania Turnpike charges 7.7 cents a mile and the 138-mile Massachusetts Turnpike levies 9 cents a mile.

The Illinois tollway’s average would go to 6 cents a mile under the new proposal, but an individual’s cost increase could depend on his or her specific commute. The tollway’s plan proposes toll hikes of 35 cents at 40-cent plazas, 45 cents at 50-cent plazas, and increases at ramps ranging from 15 cents to 45 cents.

So, that would mean an I-PASS customer commuting daily from Arlington Heights to Lombard on I-355 and using tolled access ramps would pay $1.35 more a day, or $337.50 a year, assuming two weeks of vacation.

* Related and a roundup…

* Ominous lack of news on McPier labor talks

* Morris raises good questions in debate over tollway tolls

* Press Release: Governor Quinn Signs Bill to Reduce Transportation Costs for Illinois Businesses - New Law Modifies Truck Weight Limits to Increase Efficiency on Short Trips

* Kadner: This man doesn’t like deal that cuts electric rates

* Darin: The Smart Grid - A Better Forecast For Reliable Power and Clean Energy Jobs

* Regulators unfairly revoking medical licenses, lawsuits charge

* State health insurance decision up to judge - Otwell to rule by October on challenges by insurance companies

* Illinois scientific surveys hit funding roadblock

* State cuts in writing and cursive requirements worry some suburban parents

* University Center of Lake County copes with 66% funding cut

  18 Comments      


Gov. Quinn’s office says Mayor Emanuel didn’t tell the truth

Monday, Aug 22, 2011 - Posted by Rich Miller

* Last week, Mayor Rahm Emanuel said that Gov. Pat Quinn told him to lay out his plans for using the money from a Chicago casino

Earlier this week, Emanuel ticked off the wish list of projects he intends to build with casino cash. It includes: 40 miles of roads and water mains; 25 new schools; 45 renovated CTA stations; 20 miles of new rail; 150 buildings to be made more energy efficient.

The mayor also talked about the other side of the equation: the steady “withdrawal” of state and federal funding that has created the infrastructure crisis.

The pressure tactic didn’t work with Quinn, who accused the mayor of “putting the cart before the horse” and spending casino cash he doesn’t have.

On Thursday, the mayor fired back on that point, too. Emanuel argued that he had shared the wish list with Quinn — and it was the governor who encouraged City Hall to make it public.

“I told him beforehand that this was how I was gonna use the money, and he asked me to lay it out specifically, which I’ve done,” the mayor said.

* But the Tribune reports that the governor’s office is saying they never asked the mayor to do any such thing

Quinn’s office denied the mayor’s contention that the governor had asked Emanuel to release a spending list for gambling proceeds.

* Heck, the two offices can’t even agree on how many times they’ve met this summer

Since the Legislature adjourned at the end of May, Emanuel has met with Quinn as few as three times or as many as five, depending upon which side is counting. The controversial casino legislation passed by lawmakers this spring has come up during each meeting, both sides acknowledge.

* And the mayor’s office was apparently not pleased with this Quinn comment, either

The governor’s office also pushed back by saying Quinn wouldn’t make a “rush to judgment” and approve the [casino] measure in light of the “parking-meter fiasco,” a reference to Daley’s unpopular long-term lease of the city meters.

The reference to the parking-meter controversy was viewed unfavorably in the new mayor’s shop. A frustrated Emanuel said he “will not allow Chicago’s future to be held hostage because the state obviously has other financial issues and their resources have been drying up over the years.”

* Related…

* Rahm says he’s ‘having a blast’

* Chuck Sweeny: Despite Pat Quinn’s delay, Rockford will get casino

* Quinn signs law on CPS closings and construction

* CPS Faces ‘Fiscal Calamity,’ Budget Watchdog Warns

* Civic Federation praises new school budget — but adds a big ‘but’

* Civic Federation backs CPS tax hike, changes to teachers’ pension needed

* Benefits of Merit Pay Unclear

  17 Comments      


*** UPDATED x1 *** Regional superintendents sue to get paid

Monday, Aug 22, 2011 - Posted by Rich Miller

*** UPDATE *** Read the lawsuit by clicking here.

[ *** End Of Update *** ]

* Gov. Pat Quinn said last week that he was still working on a solution to the crisis he created when he vetoed out the appropriations for regional superintendents’ salaries. But the superintendents filed suit on Friday, saying that they have exhausted all options with the governor.

I’ve asked for a copy of the lawsuit, but haven’t received it yet. I’ll post it when I get it

The Illinois Association of Regional Superintendents of Schools said it had no choice but to take the dispute to court after trying for weeks to reach a compromise with Quinn. “We have exhausted all options in working with the governor’s office,” said Bob Daiber, president of the association and regional superintendent for Madison County. […]

“Having missed three consecutive pay periods has generated real hardships on association members that face mortgage payments, property tax bills and monthly cost of living expenses,” Daiber said in a statement. The lawsuit says one superintendent is now on an unspecified form of welfare.

The lawsuit, filed in Sangamon County Circuit Court, points out that the General Assembly created the offices in 1975, replacing what until then had been county superintendents. It argues Quinn doesn’t have authority to block the salaries of duly elected public officials. Even if the money specifically earmarked for their salaries is vetoed, the lawsuit claims, the State Board of Education must pay the salaries out of other funds.

* More

The lawsuit argues that it is unlawful for the state to refuse to pay the regional superintendents’ salaries. The State Board of Education is required to pay salaries that are set by law, the suit says.

“It’s not up to us to create a law to pay ourselves,” Anderson said. “The law already exists, and we’re carrying out the responsibilities we’ve been elected to do, but we’re not being paid.”

Regional offices serve many functions, and Anderson said some of the major ones her office is responsible for are providing professional development and training for teachers, providing assessments to educators for certification and certificate renewal, acting as compliance officers and monitoring school compliance, conducting GED testing and assisting students and families through homelessness assistance and truancy programs.

Defendants listed in the lawsuit filed Friday include Quinn, Superintendent of Education Christopher Koch, members of the State Board of Education, Quinn budget director David Vaught and state Comptroller Judy Baar Topinka, while plaintiffs include Shannon Fehrholz, assistant regional superintendent for Sangamon County, whose husband is serving with the National Guard in Afghanistan, and Monte Newlin, regional superintendent of Clay, Crawford, Jasper, Lawrence and Richland counties, who has said he was forced to apply for food stamps to feed his wife and triplets because he has no income.

* My syndicated newspaper column is about the regional superintendents

Way back in 1981, Gov. Jim Thompson got into a fight with the Illinois General Assembly over who should fund the salaries of county state’s attorneys.

By law, Illinois was on the hook for two-thirds of those salaries. Thompson originally proposed paying all of the state’s share, then decided that locals should pick up the tab and not the state. The General Assembly negotiated a deal with the governor to pay 80 percent of the required funding. But Thompson turned around and vetoed the entire appropriation.

The state’s attorneys all of a sudden weren’t getting paychecks and threatened to sue, county governments were enraged at having this financial hardship dumped on them, and the General Assembly worked itself into an uproar over Thompson’s decision to break their deal. Caught between a rock and a hard place, Thompson made an unprecedented move and simply declared that he’d “unvetoed” the appropriation. Democratic Comptroller Roland Burris announced that he would recognize the “unveto” as legitimate and go ahead and pay the state’s attorney salaries.

The premise was that since the General Assembly had not convened since the original veto and, therefore, hadn’t yet entered Thompson’s veto into the record as received, the original appropriation veto wasn’t completely official. The state’s attorneys were paid and all was forgotten.

Does this sound familiar to you?

It should.

Gov. Pat Quinn has put himself into the same trick box as Big Jim did all those years ago.

Quinn has tried to get rid of state funding for regional superintendents of schools for at least the past two years.

There are good arguments on both sides of this issue. The regional superintendents say they are mandated by the state to carry out a long list of specific statutory duties. Some districts find their work highly beneficial.

Another argument is that the superintendents are a needless layer of bureaucracy. When Cook County’s regional superintendent was abolished, hardly anybody noticed the difference, except for the money saved.

Quinn’s position is that regardless of whether these superintendents are needed or not, local taxpayers ought to be picking up the tab for their salaries. They are local elected officials, after all. And like countywide state’s attorneys, they ought to be paid for with local cash so the state can concentrate on using its resources elsewhere; especially since federal education funding has drastically declined since President Barack Obama’s stimulus program ended.

But once again, Quinn lost the argument with the General Assembly. The Legislature provided $11.3 million in state funding for the salaries of regional superintendents and their operating budgets.

Then, in a surprise move, Quinn vetoed all that state funding out of the budget.

No regional school superintendents have been paid since the state’s fiscal year began July 1st. The uproar has been as loud as it was predictable.

So, it may be no surprise to learn that a Thompsonesque unveto “solution” now is being pushed by some folks to solve the crisis that Quinn created. Quinn, some say, should just realize he made a mistake and undo his veto.

The push comes after the latest plan to resolve the situation fell flat on its face.

The Quinn administration wanted the Illinois State Board of Education to use its personnel budget to pay the regional superintendent salaries. Comptroller Judy Baar Topinka agreed to pay the salaries through the board if the deal could be cut, but the state board refused, worried that it might not be legal and that even if it was, the General Assembly wouldn’t replenish their already slashed personnel budget when the Legislature reconvenes this fall. Nobody really expects Quinn to follow in Thompson’s footsteps, however. Unlike Quinn, Thompson was never accused of being a chronic flip-flopper. And despite Thompson’s established precedent, Quinn would be mercilessly hammered in the media for making such a move. Plus, even with all the flipping and the flopping, Quinn absolutely hates to admit to being wrong.

The governor said last week that he was still looking for a way out of the problem, preferably through local funding. But that may have to wait until the late October legislative session. It’s a heck of a long time to live without a paycheck.

Discuss.

  28 Comments      


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