Question of the day
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* I was contacted by an agency the other day about advertising here on the blog. The agency rep. wouldn’t say who his client was, but I got the feeling when talking to him that my site might not be right for him. We’re just a little ol’ highly targeted website.
I don’t sell ads based on the quantity of eyeballs, but the quality. If you want your ad to reach legislators, staff, the executive branch and Statehouse media, there’s no better place to advertise than this website. Period. End of story.
But the general public? Well, I probably do have higher traffic numbers than many media outlets. This site has sorta become a monster. But no advertiser has ever tried reaching a wider audience before. And while a few political campaigns have asked about rates, nobody has ever followed through.
Until now.
* If you’ve seen the center column, you know that we have a new advertiser starting today: Bruce Rauner’s campaign.
I’m not sure what they’re trying to accomplish with the ad, but, heck, pretty much anybody can buy an ad here as long as they can pay for it. And Rauner can certainly afford it. His opponents and all other campaigns are more than welcome to follow suit.
Advertisers know they’re not buying favorable coverage here. Far from it. Sometimes, it’s the only way they can get their messages out without my haranguing them. Maybe Rauner is doing that. I dunno. As we discussed yesterday, Rauner is pushing a big social media thing with his new TV ad campaign, so this is a good way to reach quite a big bunch of folks who spend a lot of time online and are media savvy.
* The Question: Your thoughts about this unusual development?
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*** UPDATED x1 *** OfficeMax react
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* React is starting to come in regarding the loss of the OfficeMax headquarters to Florida. From state Sen. Bill Brady…
State Senator Bill Brady (R-Bloomington) is calling on Governor Pat Quinn to bring the House back to Springfield to pass an incentive package to keep multinational agricultural product processor Archer Daniels Midland (ADM) in Illinois after it was announced on December 10 that the newly merged office Max and Office Depot had chosen Boca Raton Florida as their new corporate headquarters instead of Downers Grove.
“We have to do what we can to keep job creators in the state of Illinois,” said Brady. “The Senate did its job and passed incentives for Office Depot Inc. and ADM. The House adjourned without taking up either measure and now we’ve lost out on the jobs that would be created by having a major corporate headquarters in our state. But this goes far beyond one lost opportunity. The leisurely, passive attitude of the Governor and House sends a powerful message to all businesses in Illinois, that they don’t really feel any urgency to protect jobs and assist employers. Instead, we have to actively foster a business climate that creates jobs for the people of this state.”
The newly formed Office Depot Inc. had sought an EDGE tax credit from Illinois as an incentive to locate their headquarters in Illinois during the spring legislative session. While the incentive passed in the Senate in early December during a one day special session, the house adjourned without taking up that measure. After the tax incentive failed to pass in the Illinois House, Office Depot chose to relocate its headquarters to Boca Raton.
The House also failed to take up a similar measure aimed at keeping ADM in Decatur. ADM announced earlier this year that it was considering relocating its global headquarters after more than 40 years in Decatur IL. While Chicago was among the cities under consideration, it was also revealed that major cities in other states were also trying to woo the agricultural giant.
The incentive package for ADM requires the company to maintain 200 full-time employees at its new corporate headquarters, relocate 100 employees into Decatur from somewhere outside of Illinois within five years and further stipulates that ADM must hire at least 100 new employees every year for five years at the Decatur location to continue to qualify for the EDGE credit. Additionally, the bill requires ADM to establish an internal committee for five years that promotes jobs in Decatur.
“I urge the Governor Quinn to bring the House back to Springfield so we can keep jobs in Illinois,” said Brady. “The House needs to act soon if we want to ensure that ADM does not to follow Office Depot’s lead and leave Illinois. But, more importantly, the Governor and the House Speaker need to wake up to the need to keep jobs and employers in Illinois.”
* House Republican Leader Jim Durkin…
“I am disappointed Office Max has chosen to leave Illinois, and I am concerned about the families who will be impacted by the move and the jobs lost to the region. While there is no guarantee the Office Max decision would have been different had we passed legislation giving them enhanced EDGE tax credits last week, their departure is further proof that we have more work to do in terms of improving our overall business climate and need to revisit criteria for the EDGE program.”
* Rep. Darlene Senger…
State Rep. Darlene Senger (R-Naperville) released the following statement today after Office Depot announced they have chosen Boca Raton, Florida over Illinois to locate their new global headquarters.
This decision comes after the Illinois House Speaker, Michael Madigan, refused to allow debate on legislation that would have allowed Illinois to compete with other states, like Florida, to retain Office Depot and their global headquarters.
“Illinois continues to export jobs to other states and the result for Illinois families is higher taxes, higher unemployment and less opportunity,” Rep. Senger said. “This month, we had an excellent opportunity to improve Illinois’ job climate and keep over 2,000 jobs in Illinois, but Democrat leaders took no action and as a result we will continue to lead the Midwest in unemployment and over 2,000 Illinois jobs will be leaving for Florida.”
I’ll post other statements as I get them.
*** UPDATE *** From the Illinois GOP…
The Illinois Democrats’ Jobs Disaster: Office Depot Edition
CHICAGO – In the latest proof of the Democrats’ toxic business climate in Illinois, Office Depot announced today that it will locate its headquarters in Florida, instead of the current OfficeMax headquarters in Naperville, Ill. As many as 1,600 jobs could be in the balance as a result.
“Pat Quinn and the Democrats’ failure on jobs in Illinois is affecting real people and real families,” said Illinois Republican Party Chairman Jack Dorgan. “The Democrats promised to make jobs a priority, but companies keep leaving, the unemployment rate is unacceptable, and too many Illinoisans still can’t find work.”
Today’s announcement by Office Depot is the latest in a line of business leaving or moving jobs out of Illinois for better-run states, including Kenall Manufacturing and Jimmy John’s. Illinois’ business climate has also meant rumors and uncertainty for workers at businesses including StateFarm, Caterpillar, and Archer Daniels Midland, among others. And that trend is likely to continue, with states like Wisconsin, Indiana, and Texas activelytrying to recruit businesses to relocate headquarters and employees.
Illinois’s state unemployment rate is 8.9 percent, the fourth worst of any state, and well above the national rate of 7.0 percent.
In 2013, Illinois ranked 3rd worst on CEO Magazine’s list of “Best and Worst States for Business,” and 13th worst on Forbes Magazine’s list of “Best States for Business.” Both rankings are worse than they were in 2010, when Gov. Pat Quinn took office.
In 2010, Gov. Quinn and the Democrat-controlled General Assembly forced through a 46 percent increase in the corporate income tax rate, making it the fourth highest in the country, along with a 67 percent income tax hike.
“The Democrats have done severe, lasting damage our state’s business climate,” Dorgan said, “and Illinois is desperate for a change in leadership.”
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Money report
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* Sen. Kirk Dillard’s gubernatorial campaign just reported receiving $44,400 from his running mate Jil Tracy’s lt. governor campaign fund. Dillard also recently transferred $40K from his Senate fund to his gubernatorial fund.
Aside from those contributions, Dillard and Tracy have reported raising a combined $121,870 since November 1st.
Treasurer Dan Rutherford’s campaign has reported raising $80,519 since November 1st. His running mate has reported raising $1K in cash.
Sen. Bill Brady has reported raising just $23,800 for one of his campaign funds and none for the other since November 1st. His running mate Maria Rodriguez has reported raising $10,500.
After raising some money in October, Gov. Quinn has reported just $2,500 in contributions since November 1st. Paul Vallas doesn’t have an active committee as of yet.
* Bruce Rauner, on the other hand, reported raising over $2.6 million since November 1st. Rauner has raised $6 million since he started his campaign fund. His term limits PAC has reported raising another $900K.
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* From S&P…
Standard & Poor’s Ratings Services revised its outlook on Illinois to developing from negative. In addition, we affirmed our ‘A-’ rating on the state’s general obligation (GO) bonds outstanding. A developing outlook indicates that we could raise or lower the rating during the two-year outlook horizon.
“The change reflects the consensus reached on pension reform, which we believe could contribute to a sustainable path to fiscal stability,” said Standard & Poor’s credit analyst Robin Prunty. “Although we view the consensus achieved by Illinois on this difficult issue as positive from a credit standpoint, the developing outlook reflects the implementation risk — legal and budgetary — associated with various provisions of the pension reform, as well as the overall structural budget challenges facing the state,” added Ms. Prunty.
At the same time, Standard & Poor’s assigned its ‘A-’ rating and developing outlook to Illinois’ GO bonds, series of December 2013.
In addition to normal budget pressures facing the state, the statutory reduction of current personal and corporate income tax rates on Jan. 1, 2015, highlights a difficult budget climate over the next two years.
If pension reform moves forward and the state takes credible action to achieve structural budget balance beginning in fiscal 2015, we believe a higher rating would be warranted.
Conversely, if the pension reform is declared unconstitutional or invalid, or implementation is delayed and there is a lack of consensus and action among policy makers on the structural budget gaps and outstanding payables, we believe there could be a profound and negative effect on the state’s budgetary performance and liquidity over the two-year outlook horizon.
While a developing outlook is unusual for a state, it reflects the magnitude and scope of pension and budgetary issues facing Illinois.
If this thing is declared unconstitutional and there’s no immediate “Plan B” on the table, the bond houses are gonna freak, as S&P made perfectly clear today.
Of course, we could’ve had a “Plan B” measure included in the pension bill, as Senate President John Cullerton agreed to do well over a year ago. But Speaker Madigan, the Chicago newspaper editorial boards and the Civic Committee were all against that idea. I’ll never fully understand why, either.
* From a press release…
Governor Quinn issued the following statement regarding today’s announcement that Standard & Poor’s ratings agency has improved its outlook on the state of Illinois’ bonds from “negative” to “developing.”
This is the first positive movement for Illinois bonds in years and is the direct result of the bipartisan, comprehensive pension reform legislation that Governor Quinn signed into law last week. On Friday, Moody’s called the new pension reform law a “credit positive” and said it “may be the largest reform package implemented by any U.S. state.”
“I am pleased the ratings agencies are recognizing that Illinois is moving in the right direction,” Governor Quinn said. “As I’ve always made clear, one of the many reasons to resolve Illinois’ pension crisis was the negative impact it had on our bond rating, which cost taxpayers more money to finance critical repairs and improvements to roads, bridges and schools.
“This improved outlook will be the first of many positive developments towards a revitalized and stronger Illinois,” the Governor said.
Fitch retained its “negative” outlook the other day.
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* From a press release…
Renewing his efforts to help Illinois get smart on crime, State Rep. Mike Zalewski has introduced a larger package of bills to address shortcomings in Illinois’ criminal laws from juvenile sentencing and theft to gun and drug crimes.
Zalewski, D-Riverside, fervently worked through a number of concerns about Senate Bill 1342, known as the mandatory minimum sentences bill for gun felonies. He won rare support for his changes from the National Rifle Association and gun-rights legislators but ultimately the bill remained in the House at the conclusion of the General Assembly’s veto session.
Since the session ended a month ago, Zalewski has worked through opponents’ concerns and developed this package of bills to take head on complaints that the mandatory minimum sentences approach would not address broader problems in Illinois’ penal system. The new bills would:
* Clarify that a factor for the charge of aggravated unlawful use of a weapon is if the person charged committed a crime as a juvenile that would draw a forcible felony charge if it had been committed as an adult, rather than any felony
* Increase the threshold for being charged with retail theft under state law from $300 to $500, with full repayment required to the merchant
* Increase the threshold for enhanced penalties from being charged with theft from $500 to $1,000
* Expand the possible use of electronic monitoring devices when suspects are released on bail or their own recognizance
* Require defendants to be released on their own recognizance when charged with possessing less than 1 gram of heroin or cocaine, or less than 10 grams of marijuana
“I’m still committed to seeing our state put the worst of the worst behind bars when they intend to commit serious crimes with guns,” Zalewski said. “But I also recognize we have to get smarter on crime, not just tougher. I’m hopeful these changes will spur a good discussion about how we can ease the burden on our swamped prison system while making sure that we’re putting those who need such serious punishment behind bars.”
The I-bonds for small possession is promising. Too many people are allowed to languish behind bars because they can’t make bail.
Your thoughts?
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The best and the brightest
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* Somebody must have one heckuva sponsor…
A $110,000-a-year Illinois prison official with a lengthy criminal history returned to the state payroll despite “writing and responding to hundreds of lewd and inappropriate emails” on the taxpayers’ dime and “falsifying” his application for a previous state job, records show.
Xadrian R. McCraven’s “state email account revealed hundreds of non-work-related emails that included highly sexualized content; were demeaning towards women; were related to a personal romance or relationship; or were regarding miscellaneous personal business,” state inspectors wrote in explaining McCraven’s firing last year from the Illinois Department of Children and Family Services.
McCraven, 44, of Chicago, sued DCFS to get his job back last year. But U.S. District Judge John W. Darrah rejected his claims in March, records show.
Still, Gov. Pat Quinn’s administration struck a settlement with McCraven and his union, the American Federation of State, County and Municipal Employees.
McCraven could have amended his lawsuit but instead withdrew the suit shortly after Darrah’s ruling. In June, he then dropped a union grievance and accepted a 10-day suspension, got six months of back pay and was transferred to the job he now holds as senior adviser to the chief of parole with the Illinois Department of Corrections.
Asked to explain why McCraven was allowed to stay on the state payroll, the Quinn administration cited the potential financial costs of losing a grievance case.
* More…
In his August 2000 ruling, Keys wrote that the police department background investigation found McCraven was known “to be a drug dealer, gang member and supplier of guns to other gang members.”
In 1987, McCraven was convicted of disorderly conduct, and he pleaded guilty in 1989 to illegal possession of a handgun, according to Keys.
In 1994, McCraven began working as an officer for the Chicago Housing Authority Police Department. Then, in 1998, he was charged with domestic battery, accused of assaulting his former fiancee, and was found guilty of reckless conduct, the judge wrote.
McCraven was fired by the CHA in August 1999 for “violating department general orders forbidding unjustified physical attacks on or off duty” and bringing discredit on the department, Keys wrote. McCraven had argued his “discharge was reversed” and that he was to be reinstated by the department, which disbanded in October 1999.
In 2000, McCraven went to work for DCFS as a child-protection worker.
In 2003, his name appeared in a once-secret database of thousands of politically connected candidates for jobs, transfers or promotions that was kept by then-Gov. Rod Blagojevich’s administration, records show. […]
Fernando E. Grillo, that agency’s director at the time, was listed as McCraven’s political sponsor for an IDPR job, according to the Blagojevich database, which misspelled McCraven’s last name as “McGraven.”
Grillo says he doesn’t remember sponsoring McCraven for a job but says he’d met McCraven years before through his involvement in community groups, including a church group in Humboldt Park.
OK, so he had a Blagojevich sponsor, but DCFS first hired the guy under George Ryan.
Weird.
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More Golden Horseshoe Awards
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* The Golden Horseshoe Award for Best State House Staffer - Non Political goes to Heather Weir Vaught…
There were a number of staffers who had their hands in landmark pieces of legislation passing the House this year, but just one who had a vital role in all of them. Heather Weir Vaught has been at the Speaker’s side throughout all the year’s most important votes. She is equally capable and comfortable explaining complex issues to an entire caucus as she is to individual members who might need some extra help.
During an especially ambitious legislative year, the winner of Best House Staffer should be the committed individual consistently at the center of the State’s most important legislative achievements.
I fully agree and she was amazing this year.
* Runner-up is Brandon Nemec…
How many re-writes of CC did he do exactly? 5,326? He was always there to explain a 100+ page bill to members… supporters, opponents, and Todd. His fingerprints are all over that bill. MJM wouldn’t have given it to anyone but the best. No one else comes close in my opinion.
* Honorable mention must be made of Tyler Hunt, who was the subject of a persistent House Democratic commenter campaign…
Tyler has been around the capitol for many years and handles a great deal of subject areas for the House staff. He handles the appropriations committee with the most agencies and does it in an organized fashion. On top of that, an extremely nice person
* The Golden Horseshoe Award for Best State Senate Staffer - Non Political goes to Eric Madiar…
He’s been a go-to authority in the legislature on issues surrounding the constitutionality of pension reform and telecommunications while managing a staff of outstanding lawyers who were also nominated for this award.
While pensions didn’t play out the way he would have liked, his professionalism leading to the law’s passage is to be admired. Sure, lawyers are supposed to be able to argue both sides but rarely do they have to publicly pivot as much as Eric did for the sake of compromise.
As for his staff, Madiar has empowered his troops to take on complex issues offering guidance when requested but the independence to make decisions. That’s led to successful negotiations on guns, gays and Mary Jane – not too shabby.
* Runner-up is Caitlyn McEvoy…
Not only did she work on the concealed carry legislation this past year with grace I admire - she also handled the gay marriage bill as well. Hands down she deserves the award in my book.
Congrats to all.
* Now, on to today’s categories…
* Best campaign staffer - Senate Democrats
* Best campaign staffer - Senate Republicans
As always, intensity matters much more than the number of votes. So, please fully explain your nominations. Also, please nominate in both categories if possible. Thanks!
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Meh
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* Yesterday morning, Gov. Pat Quinn’s campaign sent this e-mail to supporters…
Dear Friend,
Last week, we achieved an important victory in Springfield that will ensure a brighter economic future in Illinois.
Since taking office, I have pushed for comprehensive pension reform to restore fiscal stability to our state.
While there were no easy solutions to a fiscal crisis that was 70 years in the making, something had to be done in order to ensure retirement security for hard-working employees.
On Friday, Moody’s said that this reform package “may be the largest reform package implemented by any U.S. state.”
I’m proud that we worked together in a bipartisan way to do the right thing.
The pension crisis was the biggest fiscal challenge Illinois has ever faced and getting this done is a historic win for the people of Illinois.
Let’s keep moving forward.
Sincerely,
Governor Pat Quinn
* As with all of his campaign’s blast e-mails, there were two buttons underneath the letter, one to volunteer and another to contribute…
* And yet…
It appears Gov. Pat Quinn is seeking to transform last week’s move to overhaul the state’s pension systems into some quick campaign cash.
With the ink barely dry on a new law that changes retirement benefits for state workers, the Democrat from Chicago sent out a fundraising solicitation to supporters Monday asking them to donate to his re-election campaign.
* And…
Gov. Pat Quinn went without a paycheck for months to make the point that lawmakers needed to pass a pension reform bill. Now he’s seeking to make sure the successful effort will pay off for his re-election bid.
Meh.
Much ado about almost nothing.
* Here’s what a “real” Quinn fundraising e-mail looks like…
There’s a big difference.
* Meanwhile, state Sen. Mike Frerichs sent this e-mail to supporters last week…
As Capital Fax reported, my likely Republican opponent, Tom Cross, a long time proponent of gouging our public sector workers, voted against pension reform not because he’s switched his position, but instead to curry favor with far right extremists like Bruce Rauner, Ron Gidwitz, Ken Griffin, and Ty Fahner who blame all of the state’s ills on our middle class and public sector workers.
n my mind, that’s the worst kind of politics. I’m asking for your help in fighting back.
This quarter is quickly wrapping up and I need to report a strong fundraising total to ensure that the moneyed elite–who Ken Griffin recently said “actually have an insufficient influence” in our political process–won’t buy the Treasures’ office by outspending me.
First, it’s Capitol, with an “o.”
Second, Fahner was for the bill, not against it.
Third, Frerichs also voted against it.
Fourth, it’s “Treasurer’s office,” not “Treasures’ office.”
* Frerichs also sent out a fundraising e-mail just minutes before he voted against the pension bill…
Original Message ——–
Subject: It’s Official: I’m On The Ballot
Date: Tue, 3 Dec 2013 17:17:08 -0500 (EST)
From: Mike Frerichs
Reply-To: info@mikeforillinois.com
Friends,
Candidates for political office had until 5pm yesterday to file petitions to appear on the ballot, and at 5:01pm it became official: I am the only Democrat to officially file for the Treasurer’s office while my likely GOP opponent has a contested primary to contend with.
This is a huge development for our campaign. It means that the money we raise now can go towards defeating my Republican opponent in November and winning the Treasurer’s office back for working families in Illinois.
Help Democrats take back this office by donating $5, $10, or $15 today.
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More disinformation
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* Regarding the pension reform bill…
“This bill continues to pay cost-of-living adjustments, or COLAs, to five- and six-figure pensioners,” [Ben VanMetre, a senior budget and policy analyst with the conservative-leaning Illinois Policy Institute] wrote.
Wow. Imagine that. Retirees with a $10,000 a year pension are still getting some form of cost of living increase? How horrible!
And “six-figure pensioners” are actually taking a big whack on their COLAs. Huge, even.
* More…
“Illinois’ faux pension reform bill is being heralded by many as real ‘fundamental reform’ but the minor changes being proposed are not significant or ‘extreme,’” wrote John Northdurft, director of Government Relations for the Heartland Institute.
“The fundamental problem with the current pension system in Illinois is the unsustainable ‘defined-benefit’ pension plan system, which goes practically untouched by the proposal except for a few minor tweaks to retirement age and COLAs.”
Defined benefit plans are actually sustainable in states that haven’t skipped or shorted payments. Also, check out IMRF’s status here. Why is that fund in such decent shape? Because municipalities outside Chicago have been forced to make scheduled payments. Chicago has been given a pass, with predictable results.
…Adding… I meant to post this e-mail and forgot…
Rich,
I hope you’re doing well, and have enjoyed the holidays, so far.
I wanted to provide some clarification- from your post on Friday: “The proposal says that ‘Mayor Emanuel has privately expressed the need for 401(k)-style changes to truly achieve reform.’”
This is accurate. He has expressed it privately, of which we became aware (and no, we did not become aware of this from any candidate for office).
The main contents of our grant proposal have been the core of much of our work for many years, of which you are well aware.
Members of our team did have a meeting with the Mayor’s staff on Sept. 30 to discuss this topic, which was long after we submitted that grant proposal.
The mayor faces very difficult challenges on how to solve the city’s financial crisis. The only way out, other than massive tax increases, is 401(k). In fact, the only way for current workers to collect what is vested and ensure existing retiree checks don’t start bouncing is to convert to a 401(k)-style system for current workers. That remains true with the state and it is true for the city – as it is with most state and local governments around the country.
Finally, here are links to Rahm’s public statements on the matter of 401(k) choices:
Please feel free to contact me directly if you have any questions.
Matt Paprocki
Senior Director of Government Affairs
Illinois Policy Institute
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Illinois losing headquarters
Tuesday, Dec 10, 2013 - Posted by Rich Miller
* The company had asked for a state tax incentive, but legislators took no action. Most believed the company was going to Florida anyway. From a press release…
Office Depot, Inc. (ODP), a leading global provider of office products, services, and solutions formed by the merger of Office Depot and OfficeMax, today announced that it has chosen Boca Raton, Fla. for its global headquarters.
The decision is the result of a thorough evaluation that took into account a number of important factors, including the cost to operate each headquarters location, lease obligations and sublease considerations, tax implications, government incentives, ability to add associates and incorporate functions in the current space, and people-related costs.
“Selecting the headquarters location is a critical step toward integrating our two companies,” said Roland Smith, Chairman and CEO, Office Depot, Inc. “Both Florida and Illinois have many positive attributes, but our analysis concluded that Boca Raton provides the best platform for us to achieve planned synergies, leverage assets to drive improved profitability, and launch a compelling vision for the future.
“We appreciate the significant efforts from legislators in Illinois and the generous support we have received from the State of Florida, Palm Beach County, and City of Boca Raton,” Smith added. “We would like to thank Florida Governor Rick Scott, Illinois Governor Pat Quinn and the countless others involved in providing the information necessary for us to make this important decision.”
The Company will remain in its current 625,000-square-foot corporate campus located at 6600 North Military Trail in Boca Raton, which has ample space to accommodate associates who will relocate from Illinois.
ADM has said it will soon make a decision on the location of its new global headquarters. That company also wants a tax break to open the HQ in Chicago.
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Pot, meet kettle
Monday, Dec 9, 2013 - Posted by Rich Miller
* Illinois Review…
State Senator Kirk Dillard is getting heat from the Champion News blog over contributions he and his senate campaign made to Barack Obama’s 2009 inauguration committee. Dillard, as well as several other Republican federal and state lawmakers, joined the January 2009 DC celebration and attended the Illinois State Society’s exclusive inaugural ball. Those expenses show up on Dillard’s filings with the Illinois State Board of Elections.
Champion News, which is owned by Jack Roeser (who serves on Bruce Rauner’s campaign committee), argues the recorded inauguration expenses contradict Dillard’s assertion that he never contributed to Barack Obama’s presidential campaign.
And check out the Rauner campaign’s react…
Rauner contributed to how many Democrats over the years? He made Rahm Emanuel how many millions? He helped devise a scheme to get how much campaign money to Speaker Madigan’s candidates through Stand for Children’s Illinois PAC?
And now he’s mocking Dillard for contributing a few hundred bucks to the presidential inauguration committee? Last I checked, Obama was every American’s President.
Sheesh.
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Sen. Kirk has surgery
Monday, Dec 9, 2013 - Posted by Rich Miller
* From a press release…
The office of U.S. Senator Mark Kirk (R-Ill.) today released the following statement:
“Saturday morning Senator Mark Kirk went to Northwestern Lake Forest Hospital with stomach pains. Doctors determined that, due to the fact that he had gall stones, his gall bladder needed to be removed. This morning Senator Kirk underwent a successful surgery to have his gall bladder removed and is resting comfortably. His doctor expects a quick recovery.”
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Rauner unveils several new short ads
Monday, Dec 9, 2013 - Posted by Rich Miller
* Bruce Rauner’s campaign has a new Christmas themed ad called Snow Globe…
* Rauner has released several more 15-second ads. From his campaign…
Bruce Rauner today launched a new interactive, multimedia ad campaign across television, mobile and digital platforms, including Facebook and Twitter. The effort builds on Bruce’s theme of hammering the special interests running state government and engages Illinoisans ready to shake up Springfield.
The campaign’s website, HammerAndShake.com, features seven :15 videos. In the first phase of the campaign, two of the videos are running in heavy rotation on television as well as receiving substantial digital promotion. Illinoisans are asked to vote on which video should be the next to go on TV.
The campaign is also being heavily promoted on social media.
* They’re all pretty clever. Hammer…
* Lunch…
* Light…
* Table…
* Boom…
* Shake…
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It’s not a reception, but bring a toy!
Monday, Dec 9, 2013 - Posted by Rich Miller
* The Illinois Chamber, Illinois Bankers Association and the Chicagoland Chamber are holding a fundraiser for a couple of state legislators next week. From their e-mail…
Wednesday, December 18, 2013
2:30 pm to 4:00 pm
**or immediately after Rich Miller’s Annual Lunch Reception**
I’m already starting to get questions about my “reception.”
* Just to be clear, I’m not having a “reception.” I’m giving a speech to the City Club of Chicago, and it has nothing to do with that biz fundraiser, which will be in a different part of Maggiano’s.
The speech sold out a long time ago, but I think there may be a few seats available. Call Paul Green, or click here to get on the waiting list.
* The occasion is the City Club’s second annual “Christmas with Rich Miller.” This time around, we’re asking people to bring toys and/or gift cards to the event. The toys should be appropriate for children ages 3-5. If you bring a gift card, please make sure the store is child appropriate.
The toys and gift cards will be donated to Lutheran Social Services of Illinois’ early childhood program. The group serves families in poor areas of Chicago.
From LSSI…
LSSI’s mission is to create a stimulating learning environment that promotes social competency and school readiness for preschool age children who are academically and economically at risk. Their goal is to strive for excellence at every opportunity and at all times by empowering, strengthening and supporting families. The development of meaningful and resourceful community partnerships assist in providing quality services for children.
* So, please bring a toy with you next Wednesday. And if you can’t make it, you can click here to donate to Lutheran Social Services of Illinois. Thanks!
And, yes, I’ll be reminding you of this again before the event, so you might as well donate today and get it over with.
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Rich Williamson
Monday, Dec 9, 2013 - Posted by Rich Miller
* From an e-mail…
I am very sorry to let you know that our friend and [GOP] National Committeeman, Rich Williamson, passed away yesterday. As you all know, Rich loved his family, his country, and his party, and we will miss his wisdom and wit.
I am told the tentative details of the arrangements are: visitation on Friday from 3:00pm – 7:00pm at Scott Funeral Home in Wilmette, and the funeral will be held on Saturday at 2:00pm in Kenilworth. More details will be forthcoming.
…Adding… Press release…
Illinois GOP Mourns Rich Williamson (1949-2013)
CHICAGO – The Illinois Republican Party is mourning the passing of Rich Williamson, the Republican National Committeeman for the Illinois GOP since 2010. Williamson served as chairman of the party from 1999-2001, served three presidents in senior Foreign Service roles, and was the Republican nominee for U.S. Senate in 1992.
Illinois Republican Party Chairman Jack Dorgan urged all Illinoisans to keep Williamson’s wife and children in their thoughts and prayers.
“Rich was a true friend, and a great diplomat,” Dorgan said. “He loved his family, loved his country, and loved this party.”
The Illinois Republican Party will announce additional details regarding arrangements when they become available.
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Question of the day
Monday, Dec 9, 2013 - Posted by Rich Miller
* The Tribune takes a look at the impact of the temporary tax increase sunset 13 months from now…
At the end of next year, what was billed as a temporary income tax hike will by law drop to 3.75 percent unless lawmakers and the governor decide to continue it.
Oddly, the income tax would be cut in the middle of the state’s budget year. That gives planners a bit of a cushion, though the expiration of the tax hike still is estimated to take $2.2 billion out of state coffers for the final six months of the budget year that starts July 1. […]
The should-it-stay-or-should-it-go tax hike question is likely to be a big issue in the race for governor. The fate of the tax hike will have a major impact on whoever is sitting in the governor’s office come 2015. That’s supposed to be the first full year of a lowered income tax and legislative budget forecasters predict a $4.8 billion loss in revenue. It’s a tough number for even the biggest budget cutter to hit.
The politicians in Springfield have a few paths: Pass a half-year budget. Stick money in lump sums rather than line items so dollars are harder to track. Tell voters the candidate for governor who wins the November election should get to shape his budget. Delay payment of more bills and so forth.
Maybe even “all of the above.”
* The Question: If a Republican is elected governor next year, what do you think he’ll do about the tax hike sunset? Take the poll and then explain your answer in comments, please.
survey tools
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Today’s numbers
Monday, Dec 9, 2013 - Posted by Rich Miller
* Bloomberg has an interesting piece about last week’s pension reform bill vote which focuses on opposition by southern Illinois Republicans…
“I wasn’t going to ask them to walk the plank politically,” [House Republican Leader Jim Durkin] said. “I erased them from the equation. They have a lot of Republican union members down in those districts.”
Thirty-three of those 54 counties south of Interstate 72 lost population in the last census. In some legislative districts in the region, government jobs represent 20 percent of the employment, according to Rob Paral and Associates, a Chicago-based research group that analyzes census data.
“In some of those districts, the state is the major employer,” Durkin said. “That’s part of the problem.”
In the region, 50 of the counties went for Republican presidential candidate Mitt Romney in the 2012 election.
Illinois isn’t unique in this regard. In fact, counties with higher proportions of local and state government workers as a share of their total workforce skewed toward Romney last year, U.S. Bureau of Labor Statistics data compiled by Bloomberg show.
Among the roughly nine in 10 counties where data was available, local and state workers represented 14.2 percent of workers on average. Romney won 81 percent of the counties above that level.
* And here’s a related and very interesting nugget from Greg Hinz…
I think Mr. Rauner’s would-be peers in Springfield learned something about his style last week—particularly when, after pretty much accusing the GOP leadership of selling out to unions with “an insider deal crafted behind closed doors,” he showed up at Mr. Durkin’s fundraiser as if nothing had happened. Just bidness, I guess.
* Related…
* Pension reform solution further complicates University faculty recruitment and retention
* Unions may leave Quinn, other pols off donation list after pension vote
* Unions Boxed Into Corner on Pension Reform Vote
* GOP, Dems now face pension vote fallout in 2014
* Tom Cross: Why I voted against pension reform bill
* Erickson: Different perspectives on pension reform votes
* Finke: Illinois pension reform ain’t over yet
* Brady pleased with media reaction to his pension reform vote
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Absolutely beyond the pale
Monday, Dec 9, 2013 - Posted by Rich Miller
* We all know that newspaper comment sections are often vile cesspools of hatred and bigotry. But check out this letter to the editor regarding gay marriage which was actually published by the Champaign News-Gazette…
If it were known that these lawmakers would be the ones who would have turned homosexual-marriage into law, they probably would’ve been drowned at birth.
PAUL MASON HAYES
Urbana
The News-Gazette’s contact info is here, just in case you wanna let them know how you feel about their decision to publish that monstrosity.
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* Since many corporations pay little to no state taxes, a growing number are asking for EDGE credits, which allows the companies to pocket state withholding taxes. But that requires legislation for each deal, and that means legislators are put on the spot. So, at least one state legislator thinks the executive branch ought to be given the authority…
Sen. Thomas Cullerton, a Democrat from Villa Park, said the process needs to be made “more palatable” for corporations by ending the practice of executives publicly testifying on why they need the money. One possibility might be to give the department the authority to decide which companies can keep employee taxes if the companies have little or no state tax liability.
Chris Mooney, director of the Institute of Government and Public Affairs at the University of Illinois, said “corporate big shots” are not used to being peppered with questions when seeking tax breaks. “They are not happy about that,” Mooney said. “It’s sort of embarrassing for them.”
* The problem with Sen. Cullerton’s idea is the state’s economic development agency loves EDGE credits, while another agency says there’s no proof that they work overall…
“We have calculated that EDGE, over its history, has produced $8 in private investment for every $1 in credit,” [Dave Roeder, a spokesman with the Department of Commerce] said.
The state has pledged nearly $800 million in EDGE incentives since it was created in 1999.
A 2009 report by the Department of Revenue found that there is no reliable way to measure the impact of the tax incentives program on employment because it is unclear what the net effect of favoring certain firms and industries over others has been on the longer-term employment prospects of Illinois.
What do you think?
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More Golden Horseshoes
Monday, Dec 9, 2013 - Posted by Rich Miller
* The winner of the Beth Hamilton Golden Horseshoe Award for Best House Secretary/Admin. Assistant is Jody Aiello…
Jody Aiello assistant for Greg Harris and Michelle Mussman. Somehow Jody keeps everthing running and Rep. Harris where he needs to be.
Last session she had her hands full with the Marriage Bill along with calls from people opposing closures and budget related meetings, appropriation hearings and meetings. I don’t think she has ever had a bad day, at least she never shows it if she does.
She defines multi-tasking and does it with a smile on her face while under pressure from tons of lobbyist and advocates wanting a meeting with Rep. Harris. She is a true pro and a pleasure to work with.
I wouldn’t have wanted her job this year. Can you imagine the phone calls she got? Oy.
* Runner-up is Kristin Milligan…
Quite simply, she’s the best, Kristin’s always helpful to the throng of people hanging out in 314. She’s hard-working, loyal and goes above & beyond for her members.
* The winner of the Golden Horseshoe Award for Best Senate Secretary/Admin. Assistant is Anita Colvin-Barth…
She works her tail off to keep up with one of the most notoriously difficult members, Kotowski, and she does it without so much as a peep. Plus, I’m pretty sure she has the record for fastest stair climb from 1-M to the floor.
* Runner-up is Abby Walsh…
Abby Walsh is one of the hardest working assistants, covering both Brady’s Bloomington and Springfield offices. She maintains a pleasant attitude even when things get crazy, and always greets everyone she encounters with a smile. To top it off, she’s very stylish!
* And this is also worth remembering…
I know Rich wants names, but this has been an unusual year and ALL of the legislative secretaries deserve some credit. Anyone within earshot of a legislative office knows the phones have been ringing off the hook most of the year. First gay marriage, then the concealed carry bill, then gay marriage again, then pensions, then gay marriage again, then pensions, etc. The legislative secretaries have been brutalized by many of the people calling because they are the first line of defense against the crazies. They put up with a tremendous amount of crap from many of the people who call (constituents don’t usually call to say “thank you”).
Agreed.
* The Golden Horseshoe Award for best bartender goes to Adam at No Name Bar…
Most importantly, he pours a good drink. But on top of that, he’s good company (knows when to engage, when to ignore), he knows a ton about a ton, and he always keeps the popcorn machine running.
* Our runner-up received just one nomination, but how could I ignore this?…
The best bartender is Louie at Gab’s. The guy is like 75 years old, still there 2 - 3 days a week. If you have a questions about local politics, he has the answer. If you have a question about the old ‘mob’ and he isn’t under some ‘non-disclosure’ agreement, then he will give you the answer. If you want to know what any old timer drinks, he has the answer. He doesn’t know state politics as well as some of the others here but that is why you can catch the Trib people there eating pizza and boozing.
* We didn’t get enough nominations for best waiter/waitress, so I’m gonna discontinue that category. There wasn’t a ton of interest last year, either.
* The Golden Horseshoe Award for best bar goes to Boone’s Saloon…
It’s a great place to hang out after dinner, because you’ll find plenty of Statehouse types. I had one of the more memorable experiences of my entire career there Tuesday night. A fascinating evening, which makes this vote pretty easy.
* Runner-up is the Globe…
The best bar is still the Globe, especially now that it’s back in its former space and freshly renovated. So many legislators and lobbyists stay at either the Hilton or Lincoln, the Globe is the nicest, most upscale and conveniently located bar downtown. No chance of a DUI when you leave, since you’re either taking the elevator or walking across the street to get home. There are always lots of important people there and the set up lends itself to some quiet conversations and discretion.
Congrats to all our winners.
* OK, now let’s turn to today’s categories…
* Best State Senate Staffer - Non Political
* Best State House Staffer - Non Political
As always, this is about intensity far more than the number of votes a nominee receives. So, please, make extra sure to explain your vote or it could be disregarded. Thanks!
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A takeover bid
Monday, Dec 9, 2013 - Posted by Rich Miller
* My weekly syndicated newspaper column…
By now, it should be self evident that Bruce Rauner has locked up pretty much all the big money in the Republican primary race for governor. Last week’s pension reform vote provides even more evidence.
Rauner has built an impenetrable fortress of high-dollar campaign contributors. Ron Gidwitz, long known in GOP circles for being the gateway to bigtime cash from the wealthy, has fully joined in, as has the richest man in Illinois Ken Griffin.
Gidwitz was with Sen. Kirk Dillard in the 2010 gubernatorial primary, but Gidwitz and Rauner have sucked up so many dollars - including over $250,000 from campaign fundraising committee member Griffin and lots more from Griffin’s friends - that Dillard hasn’t been able to raise any cash from rich people he’s known for years, even decades. Dillard’s financial predicament has become so desperate that he voted against last week’s pension reform bill in the obvious hope that he can now raise some dough from public employee unions.
Dillard’s vote is even more bizarre when you realize that he voted against a union-negotiated pension bill back in May and twice voted in favor of House Speaker Michael Madigan’s pension reform bill in May and June. He really had no choice last week. It was sink or swim time. Whether a gubernatorial candidate can win a 2014 Republican primary with union backing remains to be seen, but it appears highly unlikely from this vantage point. If Dillard does win any public worker union endorsements, Rauner can then whack him with a “pay to play” charge and beat him over the head for taking “big government union boss” dollars.
The same goes for Treasurer Dan Rutherford. The treasurer isn’t facing a gubernatorial campaign cash crisis like Dillard, but he hasn’t been able to raise the big bucks to compete with Rauner, who is reporting new six figure contributions almost every day. Rutherford said not long ago that a pension reform bill should be passed so that its constitutionality could be litigated in the courts. Last week, Rutherford sided with the unions and said that he opposed the bill because he believed it to be unconstitutional.
For three solid years, state Rep. Tom Cross constantly insisted to his caucus that pension reform absolutely had to be passed, even though the majority of his members sided with the unions. That split eventually became so bitterly intense that Cross could no longer effectively continue as House Republican Leader.
Yet, when push came to shove, Cross voted “No.”
Huh?
Well, he could’ve gone for the easy newspaper endorsements and the “regular” Statehouse money, but Cross knows that his best fundraising year as House GOP Leader came in 2010 - when Ken Griffin and his independently wealthy wife Ann contributed huge dollars to his cause and helped him raise even more money from their super-rich friends.
A “Yes” vote could’ve meant no Griffin cash for Cross (Griffin penned a recent Chicago Tribune op-ed slamming the pension bill with Rauner campaign talking points and his wife reportedly made several phone calls to House Republicans last week). So, Cross went with the money.
US Sen. Mark Kirk has been courting the Griffin’s and their bank accounts for several years. One of Kirk’s top political guys is now working for Rauner. So, in retrospect, Sen. Kirk’s aggressive statement opposing the pension bill last week should’ve been no surprise. But it sure as heck freaked out a lot of legislative Republicans, particularly in the House. Twenty-two House Republicans voted for Speaker Madigan’s pension bill in May, but just 15 voted for a similar bill last week that had been negotiated by their own newly elected Leader, Rep. Jim Durkin. Sen. Kirk’s opposition was crucial to that precipitous decline.
Speaker Madigan claimed last week that Rauner had made a “political mistake” when he tried and failed to “blow up” the process and kill the pension bill.
Governmentally, Rauner’s behavior was appalling. It showed that he would be a needlessly confrontational and even irresponsible governor. But this was no political loss. Instead, it officially heralded a new era in GOP politics.
Ken Griffin told the Tribune last year that the ultra wealthy “actually have an insufficient influence” on politics. And now, Griffin, Rauner and the rest of the ultra-wealthy are making a big play to take over the party and then the governor’s mansion. Everybody else had better pay attention.
Thoughts?
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* My Sun-Times column…
We’re about to find out just what sort of state we really live in.
Actually, we already pretty much know.
Going back as far as the 1940s, Illinois has neglected to fully fund its public employee pension plans.
The problem eventually got so bad the state’s Constitutional Convention delegates inserted an air-tight guarantee that pension benefits could never be “diminished or impaired.” The brand new Constitution was approved by voters in 1970. Illinoisans were officially informed that the pension clause was “self explanatory.”
The idea was to scare legislators and the governor into fully funding the pension systems and prevent them from expanding already unaffordable benefits.
The Constitutional Convention delegates wanted to specifically warn the state’s powers that be that they’d never be able to one day turn around and decide that not enough was paid into the funds and too much was promised out of the funds, so benefits had to be cut.
It didn’t work.
At all.
The pension funds were never given enough state money. Benefits were expanded almost every year, sometimes more than once.
And then just last week the General Assembly approved and the governor signed into law a bill that did exactly what the Constitutional Convention delegates specifically tried to prevent. They reduced unaffordable, unfunded pension benefits.
Things finally got to the point where taxpayers were on the hook for $380 billion in pension fund payments over the next 30 years. The pension systems’ unfunded liability had grown to $100 billion.
Our legislators and governors had some partners in this debacle. Unions pushed hard for some very big benefit hikes, including a compounded annual 3 percent increase for all retirees that has wound up costing a fortune. If the unions had pushed half as hard to actually fund those benefit sweeteners, things might be different today.
The new law slashes benefits, particularly that annual cost-of-living adjustment. A Sun-Times editorial described it this way: “The bill kicks ordinary working people — secretaries, clerks, teachers and the like — in the teeth.”
Unbelievably, there are those who think the new law doesn’t go nearly far enough. Republican gubernatorial candidate Bruce Rauner said the law merely slaps “a small bandage on an open wound.”
Rauner would go further. He’d freeze all pension benefits where they are today. No cost-of-living adjustments ever. So, if your retirement income is now $30,000, it’ll be $30,000 15 years from now, regardless of inflation.
Rauner would also put all current workers into 401(k) plans — the same plans that most private employees participate in, and the same plans that many are now worried are so inadequate that we appear heading for a national poverty disaster among the elderly.
Rauner tried to kill the bill last week. The man who reported making $53 million last year tried his cynical best to incite class warfare and turn the less fortunate against the bad public employees and retirees. His ploy didn’t work. The bill was already so harsh that few were willing to go any further.
The court cases will begin soon, and that’s when we will discover what sort of state this is.
We’re going to soon see whether a plain language constitutional provision is enough to stop exactly the outcome that the drafters were specifically trying to prevent two score and three years ago.
I can see how some of this new might survive. There is some wiggle room, particularly on cost of living adjustments. The constitutional drafters debated whether to specifically protect benefits against the ravages of inflation and decided against it. But it couldn’t be more clear what those drafters were trying to do, and the new law sure looks a lot like it.
Discuss.
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