* Besides the fact that the Speaker couldn’t “easily” have replaced Rep. Derrick Smith since there is no legal way to force him off the ballot, I’m not sure what Kass is really getting at here…
If you want to know how cynical and corrupt Illinois politics has become, you should focus on Springfield today.
Because there in the state Legislature, Chicago machine Democrats and their feeble Republican enablers will put on a thrilling anti-corruption show.
They will beat their breasts and make solemn vows about the public trust, they will talk about honest service, and when they’re finished, they will expel one of their own, state Rep. Derrick “Leave It in the Envelope” Smith, the West Side Democrat. […]
The very next day after the primary, Democrats called on Smith to step down. Madigan could have replaced him easily. But Smith declined. So the hearings were held, and speeches were made, and now the Legislature will dump him. Democrats have already lined up a friendly third-party candidate. But once Smith is booted, he’ll need a paycheck, and maybe they’ll find him one if he agrees to withdraw his name from the ballot in November. […]
Democrats weren’t the only ones making speeches. The Republicans were equally noisy, making grand sweeping gestures with their hands, raising their voices, talking tough but helping Madigan do the heavy lifting.
He says elsewhere in his column that this is relatively low-level stuff, but allegedly soliciting and receiving a cash bribe ain’t so low level. He also talks about the big guys going about their business while the little fish are caught, but isn’t that really just an indictment of the US Attorney and the FBI?
The big question I have is does he really think that the Republicans aren’t supposed to help remove Smith from office today?
Do I have that one right?
* You can follow today’s Smith expulsion session by clicking here.
Already slim chances that Friday’s special session of the Illinois General Assembly will result in state pension changes might have vanished altogether Thursday, when Senate Republican Leader Christine Radogno revoked her support for a halfway measure GOP senators previously helped pass.
Top aides to Gov. Pat Quinn said they were stunned by Radogno’s reversal, but they still hope to salvage the pension session. They said they have received positive feedback from credit-rating agencies about the partial pension proposal.
The bill, House Bill 1447, applies only to pension systems covering state employees and legislators, not to those covering downstate teachers, university employees and judges.
Speaking before Republican Day at the Illinois State Fair, Radogno said lawmakers should act to bolster funding for all five systems. She dismissed the idea that approving HB1447 would help the state’s bond rating.
“That’s ridiculous, to think that it would somehow avert a downgrade,” Radogno said.
* Senate GOP Leader Radogno has now allied herself with House GOP Leader Tom Cross and against a couple of key members of her own caucus on pension reform…
Senate Minority Leader Christine Radogno originally voted in favor of HB1447 [which passed the Senate with bipartisan support in May] but backed away from the proposal [yesterday]. “When it was passed, we were pretty clear that we thought that it was inadequate in terms of the fact that it only covered two of the five systems,” Radogno said. She cited concerns over estimates that could put the unfunded liability pension at a higher figure than the oft-cited $83 billion. “That bill clearly is not enough.” Radogno agreed with Cross that passage of the bill in the House could stall efforts at more comprehensive proposals. “The concern is that it will stop forward progress because a lawsuit will immediately be filed, in which case probably the party in power would say, ‘Well, we’ve got to wait until that unfolds and see what happens.’ So it’s just inadequate on too many fronts at this point.”
But not all of her GOP colleagues see it that way. Sen. Bill Brady, a Bloomington Republican, called HB1447 a “half measure,” but he said that if it is the only option that can gain enough backing to pass, he would support it. “Something’s got to be done,” Brady said. “This is the only solution on the table. Rome’s burning, and we need some incremental solution for this problem.” Brady does not share Cross’ and Radogno’s concerns that passing the bill would freeze efforts to reform the other systems. “I would argue that if we pass this, it will lead to passage [of reform] in the other systems.”
Sen. Matt Murphy agreed. “For those that say that it’s not enough and passing this doesn’t qualify as real reform, I agree wholeheartedly.” However, Murphy, a Palatine Republican, said he doesn’t think passing HB 1447 would hurt the reform process, and he said he would support it. “Personally, I don’t think the fact that we pass some pension reform means anybody thinks we’re done. I don’t think we’re done with just this bill, and I don’t think it takes the pressure off to solve the rest of the problem,” he said. “I think you can take what you can get now and then don’t slow the momentum. Use it as a springboard to finishing the job on the other systems.”
Legislators wrestling with the pension problems today are getting hammered by payment increases dictated by a law passed in 1995. Back then, Republican majorities in both chambers wanted to shore up the pension system, whose assets had dipped to only 54 percent of the money required to meet its obligations. So they passed a plan to return the pension systems to a 90 percent funding level over 50 years.
But the 1995 plan laid out a gradual path, and for 15 years the state’s payment increased only slightly. The bills started growing steeper in 2010, in the immediate aftermath of the Great Recession. Kelly Kraft, a Quinn spokeswoman, says leveling out the “ramp” must be part of a comprehensive deal to get pension payments under control.
State officials have deviated from the 1995 plan several times. For example, during former Governor Rod Blagojevich’s first two years in office in 2003 and 2004, the state issued pension obligation bonds and invested the borrowed money in the market, counting its projected profits as those years’ pension contributions.
Under Quinn, the state borrowed money for two years to make the pension payment. Now it has to pay those loans back, with interest, while also finding money for the ramped up payments.
Ralph Martire, executive director of the Center for Tax and Budget Accountability, a group that advocates better services for the poor, argues that worker benefits are not the root of the problem. The normal cost of providing pensions, he says, actually decreased slightly this year.
The real problem, Martire says, is that lawmakers skimped on pension payments for decades. They kept taxes low and provided more services than they could afford by depositing IOUs instead of cash into the pension funds. Now those IOUs are coming due. “In Illinois,” Martire says, “it isn’t a pension crisis. It’s a debt crisis.”
A bipartisan report from earlier this year shows that about 44 percent of the debt is because lawmakers and governors didn’t pay enough into the retirement funds over the years — sort of like skipping payments on a 401(k).
About 22 percent of the problem comes from poor investment returns, especially recently during the recession. About 9 percent is because of increases in benefits over the years.
The other 25 percent stems from a variety of other factors.
* You can follow the special session on pensions today by clicking here.
* One of the things we always watch during the Democrat and Republican State Fair days is who shows up to float their names for higher office. Nobody did that during the Democratic affair Wednesday because of the massive AFSCME protest. But there were some hopefuls at Republican Day…
Senator Dillard and at least three other elected officials at the state party convention say Pat Quinn’s latest political trouble is another reason for them to consider running for governor in 2014.
“Certainly what happened yesterday has me even more focused on whether I will run statewide again,” Dillard said.
“Let me just say bluntly, it’s an option that’s out there,” said Illinois Treasurer Dan Rutherford.
“I’m certainly going to take a very serious look at it after the first of the year,” said Sen. Bill Brady, (R) Bloomington.
“If there’s an interest in me running, I’m interested in helping the state turnaround,” said Sen. Murphy.
But party chairman Brady said it was too early to think about 2014.
“Every Republican should concentrate on getting Republicans elected this November,” said Brady. “There’s plenty of time to think about 2014.”
Kazillionaire Bruce Rauner didn’t show up. Rauner is considered a likely gubernatorial prospect, as is Congressman Aaron Schock, who also wasn’t around.
“I haven’t heard any speaker drowned out by boos, but I haven’t heard a lot of excitement out there either,” said Rodney Davis, the party’s nominee in the 13th Congressional District, which includes part of Springfield.
“Hey, who wants Republican victories in November?” he asked. That generated a round of cheering and applause.
* Dave Dahl used dead air to craft a pretty funny intro to his report about the general lack of enthusiasm…
On Thursday, the state GOP put a bull’s eye on Madigan, the House speaker and chairman of the state Democratic Party. Party loyalists hoisted signs that read “Save Illinois. Fire Madigan.”
A leprechaun also wandered about during the rally, carrying a sign that said, “Madigan stole my poto’ gold.”
“The message you need to drive home to … each one of your precinct workers, to everyone you talk to in the next 83 days is that a vote for any Democrat in the state of Illinois is a vote for Mike Madigan,” Brady told the crowd. “He’s been down there 42 years. He’s taken us to the brink of financial collapse. The problems we face today are his problems, and it’s time for Mike Madigan to go.”
House Republican leader Tom Cross called on Madigan to “quit the games” that have led to deadlock on comprehensive pension legislation that would rein in costs of a state retirement system hurtling toward a $93 billion debt by next summer.
“I think Mike needs to look in the mirror and accept the fact that he’s been here for 40 years, and every single problem we have has his fingerprints on it,” said Cross, who has been in the House since 1993. “We all need to act like adults, quit the politics and get this done.”
Illinois House Minority Leader Tom Cross, R-Oswego, said GOP leaders and voters are united because of dissatisfaction with Democratic leadership, from the Illinois Capitol to the White House.
“I look at what’s going on in our races, and we’ve got a lot of folks from the far right to the middle and the left that are working with us. People are disgusted with what’s going on. This is all about finances, about the budget, about the pension,” Cross said.
* And this prediction about Democratic-leaning public employee union members staying home on election day would be more accurate if it wasn’t a presidential year. But they may skip over some down-ballot races…
“I think the protest you saw yesterday is representative of larger anger throughout the state of Illinois with the failed policies of Mike Madigan and Pat Quinn,” said Pat Brady, chairman of the Illinois Republican Party.
Party leaders acknowledged it may be difficult to get union members to vote Republican, although they promised to reach out to organized labor, but they predicted frustrated union members will stay home instead of working hard for Democratic candidates.
* Related…
* Same-sex marriage advocates seek support at state fair
Illinois’ jobless rate rose to 8.9 percent in July as the government and leisure and hospitality sectors combined to shed more than 12,000 jobs.
The July rate was up from 8.7 percent in June, but down sharply from 10.1 percent in July 2011, the Illinois Department of Employment Security said Thursday. It marked the second consecutive month that the rate has increased. […]
Over the month, the state lost a net of 7,100 jobs. The largest cuts came from governments, 7,900 jobs; and leisure and hospitality, 4,300 positions.
Those losses were partially offset by gains in trade, transportation and utilities, which added 3,000 positions; professional and business services, 2,800 jobs; and manufacturing, 1,700 jobs.
The drought may be impacting some of the unemployment numbers, according to the AP.
Although the state’s unemployment rate has been below 10 percent since October, its so-called underemployment rate has been in the double digits for nearly four years. That rate was 16.5 percent in the second quarter of this year, which is an average of the four most recent quarters of data. It was as high as 18 percent in mid-2010.
According to the U.S. Bureau of Labor Statistics, the federal office that oversees the collection and computation of the country’s labor force data, the official unemployment rate captures only those people who are out of work and have looked for a job in the last month. The underemployment rate, on the other hand, captures those people plus those who are working part-time but desire full-time work as well as those who want a job but have not looked in the last month because they are discouraged over their job prospects.
The broader measure, sometimes called the “true” unemployment rate by critics of the government’s more narrow definition, provides a better sense of what improvements still need to be made in the job market, said John Lewis, formerly an economist with Northern Illinois University who now owns a consulting firm in Sycamore.
* And suburban foreclosures are still a big issue…
In June, one of every 155 housing units in Kane County and one of every 254 housing units in DuPage County received a foreclosure filing, according to realtytrac.com. That’s higher than neighboring Cook County, where the rate was 1 in 277; the state of Illinois, where 1 in 355 units was foreclosed; or the entire country’s rate of 1 in 666.
DuPage is the state’s wealthiest county with a median household income of $76,581, according to the most recent U.S. Census. That’s more than $20,000 above the median household income in either Cook County or Illinois, and nearly $25,000 more than the median household income in the U.S. […]
Olson said DuPage County has kept a higher foreclosure rate as people lost jobs, lived off their savings and are now running out of money and going into foreclosure because they can’t find new employment.
Mary Keating, director of community services for DuPage County, also said the problem was related to employment — or lack thereof.
“Ultimately, a lot of the foreclosures are really about job loss.” she said.
Olson’s experience with the DuPage Homeownership Center supports Keating’s claim. She said 65 percent of loan modifications and re-defaults on mortgages the center has seen are due to unemployment or underemployment.
Friday, Aug 17, 2012 - Posted by Advertising Department
[The following is a paid advertisement.]
ComEd is grateful to the Illinois lawmakers who have supported a Resolution that calls upon the Illinois Commerce Commission (ICC) to stay true to the statutory directives and intent of the Energy Infrastructure Modernization Act (EIMA).
This House resolution, passed out of the Public Utilities Committee last month by a vote of 22-1, strongly urges the ICC to consider reversing its ruling on key issues in ComEd’s first Formula Rate filing under the new law. By denying the recovery of actual costs – in contradiction to the legislation — the ruling results in a revenue shortfall for ComEd that would be more than $500 million over five years and put the entire smart grid initiative in grave jeopardy.
A rehearing on these issues is under way. We commend the ICC for taking additional time to study the matter and consider new evidence. We remain hopeful that they will recognize that the EIMA was created to provide the predictability that will enable utilities to make the long-term investments required to meet the needs of customers and the demands of a digital 21st century economy.
We worked at an accelerated pace through the first half of this year, creating hundreds of new jobs and new opportunities for Illinois businesses in the process. While we remain committed to the 10-year, $2.6 billion EIMA program, the revenue reduction has already forced us to delay the deployment of key initiatives, including the installation of smart meters. We are hoping, of course, that the rehearing will enable us to get the program back on track, but to do that, the integrity of EIMA must be upheld.
The eight roll-call votes the group looked at in each chamber include both spending and taxation questions, as well as hot-button social questions.
For instance, the eight House votes used include ballots on requiring state workers to contribute to their retirement health benefits, boosting the state’s income tax rate and limiting eligibility for Medicaid. Also included were votes on expanded legal gambling and an anti-bullying measure designed to protect gay students that ACU argues infringed on religious beliefs.
Anyhow, the group gave nine lawmakers perfect grades, including Sens. Bill Brady and Christine Radogno, the former GOP gubernatorial nominee and Senate Republican leader, respectively.
A couple of dozen others got 80 percent ratings — including, by my count, only three Democrats, including Sen. Mike Jacobs and Rep. John Bradley.
Among leaders, Ms. Radogno’s 100 percent compared to a 25 percent awarded to Senate President John Cullerton, a Democrat.
But in the House, the ratings were pretty close, with GOP Leader Tom Cross’s 57 percent actually trailing Speaker Mike Madigan’s 63 percent. [Emphasis added.]
* Cross’ votes that went counter to the ACU…
SB 1849 Gambling Expansion. This bill would greatly expand casino gambling in Illinois with 5 new casinos and slot machines at six race tracks. The bill was opposed by liberal Governor Pat Quinn as not meeting the minimum ethical requirements for such an expansion. ACU agrees with Governor Quinn and opposes this bill. The bill passed the House on May 23, 2012 by a vote of 69-47.
SB 2194 Tax Increase. This bill would increase the state cigarette tax by $1.00. ACU opposes these regressive tax increases and opposes this bill. The bill passed the House on May 25, 2012 by a vote of 60-52.
HB 5290 Anti-bullying Law. This bill mandates local school districts implement anti-bullying policies without protections asked for by pro-family groups for an opt-out provision regarding programs that teach against a student’s or parents’ religious beliefs. ACU supports religious freedom protection in these laws and opposes this bill. The bill passed the House on March 28, 2012 by a vote of 61-49.
Cross was also absent on this vote…
HB 4085 Amd. #3 Abortion Regulations. This was a so-called “poison pill” amendment to a bill requiring that women seeking an abortion be offered, but not be required, the right to see an ultrasound of the unborn child. The amendment would require all patients to be offered the right to an ultrasound for any medical procedure, such as kidneys, liver, gallbladders and the like. ACU supports the bill and opposes this amendment. This hostile amendment failed to pass the House on March 29, 2012 by a vote of 36-66. No vote was allowed on the bill itself.
* Madigan got on the wrong side of the ACU with these votes…
SB 1566 Fee Increase. This bill increased the driver license fees by 2 percent, putting the fee over $100 for the first time. Revenue would be used to replace cuts to the Park and Conservation Fund already passed. ACU opposes this type of budget sleight-of-hand and opposes this bill. The bill passed the House on May 31, 2012 by a vote of 61-56.
HB 5007 Medicaid Expansion. Despite the Medicaid reductions in the budget, this bill allows Cook County to begin covering 100,000 uninsured adults and begin a pilot program for single individuals. ACU opposes Medicaid expansion and opposes this bill. The bill passed the Illinois House on May 24, 2012 by a vote of 62-55.
HB 5290 Anti-bullying Law. This bill mandates local school districts implement anti-bullying policies without protections asked for by pro-family groups for an opt-out provision regarding programs that teach against a student’s or parents’ religious beliefs. ACU supports religious freedom protection in these laws and opposes this bill. The bill passed the House on March 28, 2012 by a vote of 61-49.
* The Question: Do you agree with the ACU that Speaker Madigan has a more conservative voting record than Leader Cross? Take the poll and then explain your answer in comments, please.
* Rep. Derrick Smith (D-Chicago) will almost assuredly get booted out of the House tomorrow…
For the first time in more than a century, House lawmakers on Friday will try to expel one of their own.
Back in 1905, rookie Democratic Rep. Frank D. Comerford, of Chicago, angered colleagues by suggesting the General Assembly was up for sale like a “public auction.” They took umbrage, saying Comerford “besmirched the good name and reputation of this General Assembly.”
Now rookie Democratic Rep. Derrick Smith of Chicago faces expulsion on allegations he took a $7,000 bribe, a charge that arose from a federal sting in which authorities said they caught him on tape accepting $100 bills from a campaign aide working undercover for the FBI.
Comerford won back his seat in the very next election with a groundswell of grass-roots support, eventually becoming a respected judge.
Smith faces a much more difficult path. He has Friday’s expulsion vote, with many lawmakers saying Smith likely will be tossed from the House. Either way, he then faces a federal criminal trial, probably within the next year.
* State Senate Republican candidate Jim Oberweis is accused of using a handicapped parking space when he plays golf at his country club…
“I was recently told by a Republican business leader who sought me out that Jim Oberweis has handicapped plates on his car,” Pierog said. “He plays golf five or six times a week at the Aurora Country Club.”
Serious charges. It didn’t take much effort to find corroboration.
“I’ve seen him — he parks in all the handicapped spots,” said a member of the Aurora Country Club, who didn’t want his name used. “He says he has a bad back, but he plays golf all the time. I find it offensive.”
Of course, there could be valid explanation — maybe he can swing a club but not walk a block. Maybe they’re his wife’s plates. Hoping to find out, I phoned the Oberweis campaign, repeatedly over two days. No reply. Though I can’t imagine why. I’m a fair fellow — true, I have lingering resentment against Oberweis for demonizing immigrants in his bald but failed attempts to achieve public office. But that was years ago. Perhaps he’s reformed.
State Sen. Suzi Schmidt is asking that the order of protection against her be modified so she can help care for an elderly neighbor recovering from hip surgery.
However, attorney David Del Re of Waukegan opposed the move because he said it would allow Schmidt to be within 100 feet of his clients who claim they have been stalked and harassed by Schmidt.
Both sides will argue the issue in front of Lake County Circuit Judge George Strickland on Aug. 22.
The trial against Schmidt is expected to take place on Oct. 10.
Schmidt pleaded not guilty in June to charges stemming from what authorities say was the harassment of the neighbors for more than two years over an alleged romantic affair involving her estranged husband.
I heard a little more about that federal subpoena issued to Ald. Ed Burke’s City Council Committee on Finance, first reported by the Chicago Tribune this morning.
The subpoena came after Mr. Burke declined to voluntarily disclose to City Inspector General Joseph Ferguson records about the $115 million-a-year workers’ compensation program his panel administers. That already had been reported.
After Mr. Burke rejected the IG’s request, he picked up the phone and called the U.S. attorney’s office. At least that’s what everyone assumes.
But I’m reliably told that the two offices already were jointly working on a probe of the program. When Mr. Burke said no to Mr. Ferguson, Mr. Ferguson’s partner — federal investigators — just invoked their own authority to demand records.
I further hear that the probers have not been examining any specific individual or claim of misconduct but are more interested in the overall question of why expenses for workers’ comp run so much higher in Chicago than they do in other locales.
Some might call that a glorified fishing expedition. But if costs truly are way out of line here, some quite interesting questions arise, given how many precinct captains, family members and political pals are on the city workforce.
* On to the Scribble Live-enabled coverage. BlackBerry users click here. Everybody else can just kick back and watch. We’ll be posting more videos to this feed today as well…
“Somebody who retired in 1992 from state employment with a $60,000 pension today under the current rules has $120,000 — and we just cannot afford this,” Gov. Pat Quinn said.
Prompted by some commenters, I surfed to MoneyChimp.com’s online compound interest calculator…
* I asked the governor’s communications director about this. Her e-mailed reply…
* Also, Fred Klonsky ran a letter from a suburban public school teacher at his blog…
Dear Governor Quinn,
I just saw you on the news using that word “reform” again. But what really got my attention was I heard you make the claim that a person who retired in 1990 with a pension of $60,000 would have a pension worth over $100,000 today. That’s a pretty sensational talking point you’ve got there! But just like your use of the word “reform” rings hollow, you might want to reexamine this talking point. Here’s why from a teacher’s perspective:
It is entirely probable that a teacher retired in 1990. I’m sure many did. These teachers certainly could have earned their full pension even as they retired in 1990. Although not all teacher retiring in 1990 earned their full pension, I’m sure many did. To earn a full pension, they probably started inspiring Illinois’ children in their classrooms beginning in 1955, or 35 years earlier. Of course these teachers would probably be around 87 years old now, if they are still fortunate enough have lived that long.
But even if they started teaching in 1955, and were 87 years old, and still alive, a teacher retiring in 1990 with a pension of $60,000 probably doesn’t exist. Why?
To have earned a full pension, this 87 year old former teacher would have had to have earned $80,000 a year. As a teacher. In 1990.
(To all the teachers reading this: please be respectful in your guffaws.)
I don’t profess to know all the salaries paid in the state to teachers in 1990, but I think you’d be hard pressed to find a school district in Illinois that paid $80,000 to their teachers in 1990. Maybe an administrator, or a north-shore district possibly. But it would be a very rare teacher indeed. I remember my first contract around this time was for $19,000 a year.
After all, that was 22 years ago. The Dow Jones index was below 4000. Gas cost around $1.40. The Cosby show was cool. You know – back in the day. Kind of like back in 1991 when Illinois legislative salaries were $37,270 a year. Today their salary is $67,876 plus additional compensation for any committees they chair or serve on. And that’s just for a six-month legislative session.
So if a legislator retired in 1990 and had a $60,000 pension that would be a very sensational talking point! But it would be a myth too.
So Governor Quinn, with all due respect, fix the real problems Springfield keeps ignoring. Stop the corporate give aways. Revise TIF districts. Reform Illinois’ regressive flat income tax system.
The pension for a member of the State Employees’ Retirement System who also receives Social Security averaged $25,390 in 2011. The pension for those who do not averaged $28,740.
* Meanwhile, the Union League Club of Chicago wants the governor to keep calling legislators into special session until the pension issue is resolved. From a press release…
Should tomorrow’s special session of the Illinois General Assembly fail to resolve the fiscal crisis caused by the underfunding of the state’s five pension funds, the Union League Club of Chicago has called on Governor Pat Quinn and the General Assembly’s legislative leaders “to make the pension issue their top priority and to keep the legislature working in special sessions as long as necessary.”
In a resolution circulated this week to the Governor and all members of the General Assembly, the board of directors of the 133-year-old Club whose members are 5,000 men and women business, professional and civic leaders who primarily are Illinois residents, addressed the need for comprehensive action to address the “extraordinary fiscal crisis due in large measure to the underfunding of public employee pension liabilities.”
“All citizens of Illinois are looking to the state’s leadership to resolve this matter promptly. We expect meaningful action to restore the solvency of the state’s five pension systems,” said Guy F. Arvia, Club president.
While the resolution notes that the Club endorses no one plan over others to resolve the crisis, it calls on the state’s leaders for “fair and equitable action to be taken now.”
Noting the consequences of failure to resolve the fiscal crisis now, the Union League Club’s resolution predicted that the “good name and credit of the State of Illinois may suffer disastrous consequences in global credit markets, severely limiting our state’s ability to finance its operations and capital needs.”
Just for the record, I’m a member of the ULC, but I didn’t vote on this resolution. If I had voted, I would’ve cast my ballot as a “No.” I’d rather not waste my August going to meaningless special sessions.
* As I already told you, I participated in the State Fair celebrity harness race again yesterday. I “showed.” I’ve never won that race, but I’ve always finished in the money.
* The CREDO SuperPAC has a new survey of the 8th Congressional District race conducted by Public Policy Polling…
* Of the questions asking whether stuff that Joe Walsh said would make them more or less likely to vote for him, here’s what appears to be the strongest response…
Illinois Gov. Pat Quinn calls outspoken Rep. Joe Walsh “the worst congressman in America.”
The Democratic governor didn’t mention Walsh by name Wednesday, but he was talking about congressional candidate Tammy Duckworth’s opponent. She’s running against Walsh, a Republican from McHenry.
The Walsh campaign quickly hit back, calling Quinn “the worst governor in the country presiding over a state with 8.6 percent unemployment and a massive unfunded pension liability.”
Quinn, spokeswoman Erin Rapp said, “should spend more time focusing on how to solve Illinois’ fiscal crisis and get Illinoisans back to work rather than share his unwarranted opinions on the congressman.'’
* Related…
* Joe Walsh Doubles Down On Radical Islam Comments
* Quinn Calls Walsh “Worst Congressman in America”: Erin Rapp, a Walsh spokesperson, brushed the criticism aside, telling Chicagoist that Walsh “completely agrees with Gov. Quinn that there is no place in Illinois for hate crime and religious intolerance.”
* VIDEO: Rep. Walsh Response to Homegrown Radical Islamic Terrorism
Republicans plan an Illinois State Fair rally that promises to be much calmer than the one held by Democrats.
Union protesters called Democratic Gov. Pat Quinn a liar and booed throughout his short speech Wednesday. They feel betrayed by his efforts to cancel raises, cut jobs and reduce retirement benefits.
Republicans don’t face the same type of internal conflicts. They’re largely united behind the idea of cutting costs and reducing pensions without shifting any of the expense to local school districts.
Republicans are not at all unified behind a single pension reform plan. Plenty of Republicans represent districts with large pockets of AFSCME members, more than a few represent college towns, and they all have lots of public school teacher voters.
They do seem united against the Democrats’ cost shifting plan, but even House GOP Leader Tom Cross said the other day that local school districts ought to pay for something…
Cross: School districts need to stop practice of giving raises at the end of careers. They need to absorb costs when they do that.
*** UPDATE 1 *** From a Pat Quinn press release…
“Today, as Illinois republicans rally at the State Fair, I urge them to rise to the occasion to pass comprehensive pension reform in Illinois.
“At the end of the spring session, republican leaders, who have long advocated for fiscal responsibility, supported a similar proposal that is now being sponsored by Rep. Elaine Nekritz. To ease republican concerns, we have extended the phase-in period to allow school districts and universities to assume their own negotiated salary costs over 12 years. This extended phase-in period will ensure that school districts and universities are responsible for their compensation packages, while preventing property tax increases.
“The statutorily-required pension payments guaranteed under the 1995 ramp make it very clear: inaction on pension reform is the greatest threat to property taxpayers.
“This fiscal year, the General Assembly cut education by $210 million. These cuts impact our students, while placing tremendous pressure on our school districts, universities and property taxpayers.
“Universities have indicated, in a public letter, that they support the Nekritz proposal and are willing to accept the phased-in cost realignment.
“Without comprehensive pension reform, Illinois is on track to spend more on pensions than education by fiscal year 2016. This is an unsustainable path that will not only shortchange our children when it comes to quality education, but also make the problem worse. Illinois’ unfunded liability will grow to $92 billion next year without bold action.
“Tomorrow, republicans and democrats have an opportunity to be honest with the taxpayers of our state. I urge them to put politics aside, rescue Illinois from empty promises that led to skyrocketing pension costs and pass comprehensive pension reform.”
*** UPDATE 2 *** Oops. I should’ve put this story here earlier…
House Speaker Michael Madigan called on Republicans Wednesday to do their “fair share” to help advance a partial solution to Illinois’ $83 billion pension crisis and warned a plan on Friday’s House agenda won’t pass with Democratic votes alone.
The Southwest Side Democrat’s statements cast further doubts on a package that Senate President John Cullerton (D-Chicago) favors but that House Republicans basically have ruled out.
House Minority Leader Tom Cross (R-Oswego) has balked at the Senate-passed proposal expected to be voted on Friday. It would roll back pension benefits for members and retirees in two of the state’s five retirement systems, a move Cross has said is not “comprehensive” enough.
Even though House Democrats hold a 64-vote majority in the House, Madigan insisted that he would not put 60 Democratic votes on the Cullerton plan, which would be enough to pass it in the House and send it to Quinn, and that Republicans would have to embrace the Senate plan for it to pass.
“I think there should be fair share. This is a very contentious issue, very complex, very difficult, and everybody should be involved in working on the problem, not looking for political excuses to avoid doing heavy lifting on a difficult issue,” Madigan said.
Madigan also seemed to put the onus on Quinn to pressure Cross to get behind the pension plan on Friday’s special-session agenda.
Quinn, meanwhile, intends to call all four legislative leaders together for a meeting Friday before the special session and sidestepped any mention of the Cullerton bill when talking Wednesday with reporters.
* For those of you who’d like to actually listen to Gov. Pat Quinn’s State Fair speech in its entirety, you can watch this video, provided by our good friends at BlueRoomStream.com. The governor’s remarks begin at about the 14-minute mark…
* But the only people who could actually hear the speech were those with electronic access to his microphone. This is Part 1 of what everybody actually heard yesterday…
* Democrats booed by unions at State Fair: Congressman Danny Davis, who was with Quinn, said state Democrats treat unions better than Republicans. “If they think they’re going to get more consideration from that group than they get from Pat Quinn and Mike Madigan and John Cullerton, I don’t know what planet they’re living on,” Davis said.
* Protesters boo top Democrats at Illinois State Fair: Raucous protests by members of the American Federation of State, County and Municipal Employees, angry about proposed wage and pension cuts, hounded the Chicago Democrat all day. They taunted the governor as he entered the annual Democratic County Chairmen’s breakfast Wednesday morning and later as he chomped on a pork chop on a stick in the Pork Patio. The spectacle resulted in one of the shortest Governor’s Day rallies in recent memory.
* Governor’s Day at the State Fair just not Quinn’s day: “Thank you for that warm, warm welcome,” the governor said, sarcasm dripping from his voice. His speech was interrupted by cheers for a union-sponsored plane overhead, pulling a banner that read “Gov. Quinn — Unfair to Workers.” … During his remarks, he insisted the people of Illinois were “with me” and took it directly to his pension-reform critics, almost waving a figurative middle finger at the union-dominated crowd. “I inherited a lot of problems that I didn’t create, but I’m here to repair and resolve them, reform them. And there may be some people perhaps in this audience even who aren’t pleased with some of those decisions, but I want to ask the people of Illinois today: Do you think it’s right that in 1992, some state worker who retired on a $60,000 pension — that’s 1992 and a $60,000 pension — that 20 years later, under the current pension rules that need to be reformed, that very same person is getting $120,000 from the taxpayers? I think most taxpayers and parents in Illinois, particularly those who are concerned about education, want to make sure we invest more money in education of our children and our students in Illinois than we put into the pension piggyback for retired state workers,” he said.
* Unions spoil Quinn’s day at state fair over pension: Not exactly the picture of unity the party sought to project on Democrat Day at the state fair. The protest provided a vivid display of the high political stakes surrounding an election-year special legislative session Quinn has set for Friday on reforming public employee pensions that could result in financial pain for government workers. Organized labor is a vital political constituency in the Democrat-controlled state. But the unionized show of force, which included workers wearing green shirts that featured messages like “Pensions are a promise” and “Governor Quinn’s Illinois, the new Wisconsin” resulted in Democrats cutting short their afternoon program at the fairgrounds. The governor left via a back exit.
* Illinois workers heckle Democratic governor over pension cuts: “They claim Illinois is broke and they blame it on us,” Roach said. “But no one’s talking about the hundreds of millions given to corporations. State employees are made out to be the villains. We’re made out to be greedy, overpaid, underworked - the cause of the problem. But that’s just not the case.”
* Video: Illinois public pension protest: State employees in Illinois say they want their state jobs and state pensions, but also say the government needs to figure out how to pay for them.
Thursday, Aug 16, 2012 - Posted by Advertising Department
[The following is a paid advertisement.]
ComEd is grateful to the Illinois lawmakers who have supported a Resolution that calls upon the Illinois Commerce Commission (ICC) to stay true to the statutory directives and intent of the Energy Infrastructure Modernization Act (EIMA).
This House resolution, passed out of the Public Utilities Committee last month by a vote of 22-1, strongly urges the ICC to consider reversing its ruling on key issues in ComEd’s first Formula Rate filing under the new law. By denying the recovery of actual costs – in contradiction to the legislation — the ruling results in a revenue shortfall for ComEd that would be more than $500 million over five years and put the entire smart grid initiative in grave jeopardy.
A rehearing on these issues is under way. We commend the ICC for taking additional time to study the matter and consider new evidence. We remain hopeful that they will recognize that the EIMA was created to provide the predictability that will enable utilities to make the long-term investments required to meet the needs of customers and the demands of a digital 21st century economy.
We worked at an accelerated pace through the first half of this year, creating hundreds of new jobs and new opportunities for Illinois businesses in the process. While we remain committed to the 10-year, $2.6 billion EIMA program, the revenue reduction has already forced us to delay the deployment of key initiatives, including the installation of smart meters. We are hoping, of course, that the rehearing will enable us to get the program back on track, but to do that, the integrity of EIMA must be upheld.
