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*** UPDATED x1 - Quinn reaction ***Topinka: No legislative paychecks without an appropriation or court order

Thursday, Jul 25, 2013 - Posted by Rich Miller

* From a press release…

Illinois Comptroller Judy Baar Topinka made the following statement Thursday after a legal review of the Governor’s Amendatory Veto of legislative salaries:

“After the Governor used his Amendatory Veto to remove the budget line items for lawmaker salaries, I asked my staff to conduct a legal review and determine the appropriate course of action. That review included discussions with the Governor’s legal staff, Legislative legal staffs and the Attorney General’s Office. While there is conflicting opinion on this matter, I believe the case of AFSCME vs. Netsch provides the most pertinent guidance. In that case, the court ruled that the Comptroller could not pay state employees without an appropriation.

“This situation is different in that it involves two, co-equal branches of government, and that distinction may well be considered by the Court down the line. But at this point in time, the Attorney General has advised that these payments cannot be made without an appropriation or court order.

“It is my deep hope that this matter is resolved expeditiously either by legislative action or court intervention. Given the serious precedent that is being created, I look forward to receiving additional guidance from the judicial branch.

“By way of Editorial comment, let me be clear: this is no way to run government. Threats, blackmail and inertia may be good theater, but it makes us look ridiculous and takes away from our ability to get things done. It is time for leaders to lead.” [Emphasis added]

It’s almost certain that the General Assembly will have to take this one to court, and that means somebody’s gonna have to actually file a hugely unpopular lawsuit.

…Adding… Raw audio of JBT’s presser…

Click to listen

*** UPDATE *** From Gov. Pat Quinn…

“Today Comptroller Topinka properly recognized and adhered to my line-item veto of appropriations for legislative salaries.

“By doing so, she followed the express provisions of the Illinois Constitution.

“Legislators should not be paid until they enact comprehensive pension reform.

“In addition, I’ve also asked the comptroller to withhold my own paycheck until this important reform is achieved.

“Pension reform is the most urgent priority facing the state of Illinois.

“Nobody should be paid until the job gets done for taxpayers.”

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*** UPDATED x1 - RTA sides with Dillard ***Daley proposes RTA revamp

Thursday, Jul 25, 2013 - Posted by Rich Miller

* From a Bill Daley press release…

In the wake of a growing scandal at Metra and the apparent inability of the Regional Transit Authority (RTA) to effectively oversee public transit in the six-county area around Chicago, Democratic gubernatorial candidate Bill Daley called for sweeping changes of the public transit structure in Illinois, essentially eliminating the RTA as we know it and investing the savings to hold down fare increases and restore service cuts for Metra, Pace and CTA riders without raising a dime in new taxes.

“The RTA spends over $33 million per year and does not provide a single ride for anyone in Illinois. It has morphed into a bureaucratic Frankenstein that must be completely rethought, and in many ways, eliminated,” said Daley.

Daley offered four principles that he will use to reorganize transit policy:

Eliminate redundant operations by getting rid of RTA operations already performed by other government agencies and invest as much as $33 million in savings to hold down fares and restore service cuts

Retain RTA’s strong bond rating by keeping its tax and bonding functions independent so the State of Illinois’ bad credit rating downgraded multiple times under Governor Quinn does not raise borrowing costs for public transit

Make Metra board more accountable to the Governor

Create a single fare card for all three service agencies and increase ease of integration for riders

Daley questioned the need for the existence of the RTA as currently structured. “The RTA claims to be the agency that makes Metra, Pace and CTA all work together, yet we still don’t have a single fare card you can use on all three systems. They spend $33 million per year and no one can tell me what they actually accomplish,” said Daley.

While Metra, Pace and CTA have all had to cut staff, reduce service or raise fares, RTA payroll has grown steadily.

* Suburban Republican reaction was expectedly suspicious…

But state Sen. Kirk Dillard of Hinsdale, who is seeking the Republican nomination, says the solution to what ails Metra is not to abolish the RTA but to strengthen its powers over both Metra and the CTA. With Democrats completely running Springfield and now perhaps moving in on the RTA, “I hope this is not a plot to grab more money for the CTA (from the suburbs) while Metra is in chaos,” Mr. Dillard said in a phone interview. […]

Abolishing the RTA has won the support of some civic groups, such as Metropolis Strategies. But others have pointed out that eliminating the RTA has been a long-time wish for the CTA and Chicago City Hall.

Mr. Dillard clearly alluded to the latter in his interview.

“The RTA, while imperfect, still somewhat guarantees the funding equity between the CTA and the suburbs,” he said. If its oversight of Metra has been inadequate, the solution is to give it “more power for the RTA, CTA and Pace, and not only in spending but hiring . . . The CTA clearly needs oversight.”

Thoughts?

*** UPDATE *** RTA ]RTA Chairman John Gates appears to side with Dillard via press release…

We hope that the Clifford matter can be the catalyst for something the RTA has long supported: greater authority to provide more extensive oversight of the service boards (CTA, Metra and Pace) and the authority to enforce compliance with RTA oversight.

I hope to have the support of all elected officials from the six county region, especially those who have appointing authority to the RTA board, in our efforts to remedy those statutory deficiencies so that we can ensure the Northeastern Illinois region area has an efficient, well-managed and world-class transit system.

27 Comments

Question of the day

Thursday, Jul 25, 2013 - Posted by Rich Miller

* According to a friend of mine, this t-shirt is popping up in New York City, where Christine Quinn is running for mayor…

Let’s repurpose it for our own use.

* The Question: Agree or disagree: Anybody but Pat Quinn? Take the poll and then explain your answer in comments, please.

survey services

78 Comments

AFSCME spokesman explains why a probe is needed

Thursday, Jul 25, 2013 - Posted by Rich Miller

* The story about members of the Civic Committee apparently trying to jaw down the state’s bond rating is picking up a little traction. Illinois Radio Network…

Anders Lindall of the American Federation of State, County and Municipal Employees believes those business leaders were attempting to force Illinois into making steeper cuts on state workers’ pensions.

“These powerful CEOs and lobbyists are going behind closed doors to try and drive down the state’s credit rating,” said Lindall, “and drive up the state’s borrowing costs.”

Lindall says an investigation is warranted in case any members of the committee stood to profit from higher interest yields that would result from a lowered bond rating for the state.

“They may very well themselves own Illinois bonds,” Lindall said. “If that’s the case, then by pushing to drive down the state’s credit rating and drive up costs to taxpayers, they’re funneling more money into their own pockets.”

I just don’t know if this is a legal scandal. It’s not like these guys did this to pad their pockets off profits from the bonds, if they even had any. Maybe there was some incidental overlap, but was that their intent? Highly doubtful.

Their intent was to punish Illinois taxpayers in order to force pension reform. That may not be a crime, but it’s still unconscionable.

39 Comments

Will Quinn’s veto actually delay reform?

Thursday, Jul 25, 2013 - Posted by Rich Miller

* It’s more than just possible that Gov. Pat Quinn’s veto of legislative salaries actually slowed down the pension reform process. Legislators don’t like to be pushed around by a governor, and they appear to be in no rush to finish up talks…

“I think we’re well into mid-August before we’d be in a position to present something to the General Assembly,” said Sen. Bill Brady, R-Bloomington. “It’s not going as fast as we’d like. I imagine most of the members of the committee would say it’s not going as fast as they’d like.”

“I think we’re still making steady progress, but we’re not ready to unveil a plan,” said Sen. Daniel Biss, D-Evanston. “To be perfectly honest with you, that week of the [State Fair] isn’t totally (out of the question). I don’t think this process is going to be driven by any deadline the governor chooses to make up off the top of his head. The concept of shooting for mid-August isn’t the craziest thing in the world.”

After holding a series of public hearings, committee members have been meeting privately in working groups to go over details of a reform plan. Those groups met last Friday and again on Monday. In addition, members have been speaking with each other outside the confines of meetings either of the committee as a whole or as working groups. […]

Nekritz said “it feels like weeks left” before the committee will agree on a plan. […]

“I’m not doing pension reform on that basis [of no pay for lawmakers],” Nekritz said. “We want to do this on a schedule that works for getting pension reform done, not somebody else’s schedule.”

No way do they want the finished product to look like a win for Pat Quinn. Subscribers know more about what’s going on with the legal process.

33 Comments

Behind the derisive laughter

Thursday, Jul 25, 2013 - Posted by Rich Miller

* State and national media have been getting a kick out of kicking Ald. Joe Moore this week…

In a case of only-in-Chicago political timing, the White House announced Monday it would honor Ald. Joe Moore as a “pioneer for political reform,” the same day the veteran City Council member revealed he has spoken to FBI agents about allegations he improperly paid two aides he fired.

The accusations involving the ex-employees surfaced in a report from Legislative Inspector General Faisal Khan, one of several cases of alleged aldermanic wrongdoing the council’s watchdog highlighted.

* The award ceremony was hastily canceled…

In a report released Monday, Khan said Moore fired a woman in 2009 after she complained about political work being done in his ward office in violation of city laws. The report says Moore paid the woman $8,709 — the equivalent of 3 1/2 months’ salary — and told her not to speak to anyone about political activities in the ward office.

The report also states that Moore, who has long been considered a progressive voice on the council, fired his chief of staff in 2007 and paid him $13,497 more than he should have based on the number of unused sick days the chief of staff could have accumulated.

Khan indicated that his office forwarded the information to the FBI and the Cook County state’s attorney. Moore said he spoke to FBI agents in May and they told him he was not a “target” in their investigation.

* The political work allegation is pretty weak. The fired woman fed the e-mail which she claims got her fired to NBC 5…

“I was like, ‘Joe, I was watching your back,’” Sullivan said, insisting she was shocked when she was fired after raising the allegations. To prove her point, the former aldermanic employee provided an email she said she sent to Moore at the time, warning him of the political work she saw taking place.

“I just helped our intern with a constituent issue,” she wrote Moore in November of 2009. “And found our volunteer at the front desk putting mailing labels on a big flyer for Toni Preckwinkle.”

“This really concerns me,” she continued. “I fear that one day we’ll have a reporter at that front door, and THEN what? … You don’t need a scandal over something so completely avoidable!”

Again, pretty weak sauce. Not within the boundaries of the law, of course, but a single unpaid volunteer affixing mailing labels for another candidate isn’t really prison-time stuff.

* But here’s Moore’s problem. Local law doesn’t allow for severance pay…

The Legislative Inspector General’s office declared there was no provision in the city codes for employees to be paid severance.

“[Sullivan] continued to get full time salary and full time benefits,” said Kelly Tarrant, Khan’s chief of staff. “That’s ghost payrolling.”

The report found that a former chief of staff in Moore’s office had also benefitted from similar largesse two years before Sullivan. Khan demanded that Moore repay the city more than $22,000.

“Heck no,” said Moore, asking why the inspector general’s office never allowed him to provide his version of the episode.

Moore claims the fired woman was “toxic” to the office environment. Maybe so, but he should’ve checked the law before he paid her off because people have gone to prison for ghost payrolling. And, obviously, it’s never a good thing when the FBI comes calling.

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