Biz leaders want tax hikes for infrastructure
Thursday, Apr 3, 2014 - Posted by Rich Miller
* From the Herald-Whig…
Higher fuel taxes could help pay for new road construction under a plan proposed by an Illinois transportation group.
The Transportation for Illinois Coalition unveiled the proposal Tuesday in Springfield. Members say it would provide stability and $1.8 billion annually for construction on roads, bridges, railways and airports.
Coalition chairman Doug Whitley said the plan is needed because a five-year capital construction program, Illinois Jobs Now, is coming to an end this year and the Illinois Department of Transportation is funded at a level that only allows maintenance.
Under the group’s plan, the Legislature should raise vehicle registration fees, impose a 4-cent increase in the gas tax, a 7-cent increase in diesel fuel taxes — coupled with the elimination of the state’s commercial distribution fee — and end ethanol credits for gasoline.
That’s an awful big ask.
* WUIS…
The state’s gas tax has stayed the same for more than two decades. This plan would raise it by 4 cents a gallon and 7 cents for diesel fuel. Jennifer Morrison is with the Transportation for Illinois Coalition, which includes business and labor groups. Combined with an increase in vehicle registration fees and a new sales tax on services like auto repair and oil changes, she says the state’s transportation system can avoid total disrepair.
“If we don’t do anything … That would mean one in every three miles would be in unacceptable condition,” she said.
Doug Whitley, president of the Illinois Chamber of Commerce, says without a long term plan, drivers could be in danger. He points to road and bridge failures.
“What happened in Minnesota, what happened in Washington is disastrous and we don’t want that,” he said.
Much more info can be found by clicking here.
* Bruce Rauner’s response…
Rauner also said he wanted the state to spend more on infrastructure improvement, although he also said he didn’t think Illinois’ motor fuel tax would need to be increased.
“I don’t think so today, based on what I’ve seen,” he said.
George Ryan said the same thing in his 1998 bid. Just sayin…
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Question of the day
Thursday, Apr 3, 2014 - Posted by Rich Miller
* From a press release…
Supporters of a bill that would remove criminal penalties for possession of small amounts of marijuana in Illinois released the results of a statewide poll showing strong support for such legislation. The Illinois House Restorative Justice Committee approved the bill last week, and supporters are now calling on members of the House to approve the proposal.
The Public Policy Polling survey shows 63% of Illinois voters support making possession of an ounce of marijuana a non-criminal offense punishable by a fine of up to $100. Only 27% oppose the proposal. The poll found majority support across all reported genders, races, and political party affiliations. The survey, which polled 769 Illinois voters from March 28-30, is available at http://www.mpp.org/ILpoll.
HB 5708, introduced by Rep. Kelly Cassidy (D-Chicago), would eliminate criminal penalties and the possibility of a criminal record for possession of up to 30 grams of marijuana. It would establish a new class of offense called a “regulatory offense,” which would prohibit arrest or jail time, limit fines to no more than $100, and require the ticket to be removed from a person’s record after the fine is paid, which would prevent individuals from losing employment and housing opportunities.
* According to the poll, even 56 percent of Republicans support this concept. Here’s the actual poll question…
Under current Illinois law, it is a criminal offense for a person to possess marijuana, and he or she can be sentenced to up to a year in jail for possessing an ounce of marijuana. Would you support or oppose a change in the law to make it a non-criminal offense to possess an ounce or less of marijuana for personal use, punishable by a fine of up to $100, but without jail time?
* Let’s ask the same question. Take the poll and then explain your answer in comments, please.
online survey
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Rahm’s rocky road
Thursday, Apr 3, 2014 - Posted by Rich Miller
* As you all know by now, there was no progress yesterday on Rahm Emanuel’s pension reform proposal…
The rapid rollout strategy was aimed at giving legislators little time to get cold feet and blunting labor union lobbying against the changes. But several Chicago lawmakers raised concerns, Democrats blamed Republicans for not getting on board, and the blitzkrieg approach failed — at least for a day. […]
Madigan spokesman Steve Brown said the speaker was “still working the roll call” and was trying to achieve bipartisan support for the bill. But many Republicans remained critical, including Senate Minority Leader Christine Radogno, R-Lemont, who mocked Raoul’s explanation that the bill was fast-tracked because Chicago was in the midst of a crisis.
“This state is always in a crisis,” Radogno said. “When will it end?”
Not only did a vote sputter in the House, but the Senate wasn’t embracing the pension plan either. […]
Democratic Rep. LaShawn Ford said African-American lawmakers were split on the pension bill, adding that he opposed it because his West Side community had “already paid the cost to the city” with closed public schools.
* This is part of what really went down…
Madigan’s legislation would authorize the City Council to levy $50 million more during each of five years, starting in 2016, to devote toward city pension costs. By year five, that tax levy would stand at $250 million more than today, but Republicans added up all of the revenue collected during that period and dubbed Emanuel’s handiwork as a $750 million property-tax increase that they wanted no part of.
“A $750 million property tax-increase is the last thing we need in Illinois,” said Rep. David McSweeney, R-Barrington Hills, who voted against Madigan’s legislation in committee. “This is outrageous. This is going to kill jobs. I oppose this tax increase.”
During committee, Madigan said he was prepared to amend his legislation to soften the property-tax mandate on the City Council by making it merely an option, not compulsory. That amendment wound up being tacked onto his bill Wednesday afternoon.
The original legislation, crafted by the mayor, ordered the city council to pass the tax hike. No way, man. No way.
* Also…
One House Democrat from the city told Early & Often that no one had formally reached out from the mayor’s staff to make a personal pitch for the bill, an oddity given the magnitude of what Emanuel is asking state lawmakers to do on his behalf in Springfield, particularly if Republicans are MIA on the bill. […]
When it became clear the big lift to pass the bill wouldn’t be shared with Republicans, rank-and-file city Democrats appeared to get cold feet with the property-tax component. Others privately expressed worry about opposition to the bill from the Chicago Teachers Union, which last month nearly unseated state Rep. Christian Mitchell, D-Chicago, in a bitter primary in which his December support for a state pension package became a central issue.
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Beyond the rhetoric
Thursday, Apr 3, 2014 - Posted by Rich Miller
* From Tom Kacich at the News Gazette…
One of the first things he’d do as governor, Republican nominee Bruce Rauner said Wednesday, is appoint a task force to study Illinois’ state and local government structure with an eye toward reducing their numbers and size. […]
Among his top priorities, Rauner said, is to “form a task force immediately on day one. It’s not going to be long-lived. It’s going to be about a six-month task force composed of county (board) chairmen, mayors, city managers and school superintendents, to form a task force with me and (lieutenant governor nominee) Evelyn Sanguinetti with a goal of meeting to talk about how we bring efficiency through the layers of government throughout the state of Illinois. Today our spending problems and our tax problems are not only at the state levels. They’re at the county level, the school district level and the city and municipal level. […]
Asked if he wanted to eliminate 3,000 units of government, he answered, “What we have to look at is, how can we be more competitive and efficient? I can’t name numbers today. I know we have thousands more units and you’ve got to ask yourself, common sense would say, why? We’re not that different than other states. Why do we need 3,000 more units of government than any other states? That doesn’t make sense.”
Although Illinois does have more units of local government than any other state — 6,963 as of June 30, 2012, according to a U.S. Census Bureau report — it has only 1,816 units more than Texas. But Texas is almost five times larger than Illinois and has about twice the population.
Rauner spokesman Mike Schrimpf said Rauner was referring to other Midwestern states, none of which has more than 3,752 units of government (Missouri).
Missouri’s population is half the size of ours, so they actually have more governmental units per capita than we do.
* But there’s no doubt that Illinois has far too many local governments. And a task force has already taken a close look at the problem. The bipartisan Local Government Consolidation Commission was created in 2011 and released its findings yesterday. From its summary…
By reviewing reports from around the country conducted on the topic of local government and consulting with experts who worked on such reports, the Commission realized that simply reducing the number of local governmental units does not necessarily result in a reduction in costs to the taxpayer. Current findings suggest that successful models of cooperation and consolidation in local government aim to achieve greater economies of efficiency and increase the effectiveness of government at all levels. When the goal is improving the efficiency of service while maintaining service quality and controlling costs, cooperation proves much more successful than efforts focused on reducing the number of local governments in an area.
Additionally, findings suggest that cooperation and consolidation must be approached on a case-by-case basis, as different local units of government have different needs. Working on a case-by-case basis allows cooperation and consolidation advocates in government to better understand the needs and reservations of the residents within the district. Residents often take pride in where they live, changes to the structure and operation of their government must be approached with open communication between all involved parties. Open communication can allow all sides to be aware of the other’s stance, making the end result more acceptable to all. As votes are often required to actually consolidate, working towards a result voters support is essential. [Emphasis added.]
* The commission worked very closely with DuPage County Board Chairman Dan Cronin, who has made headway into reducing the number of governments in his county. Cronin is a Rauner supporter, so perhaps the candidate could reach out. Back to the commission’s report…
As a result of the findings, Chairman Cronin recommended that there be greater oversight by the county with regard to special districts to which the county appoints members. Counties currently do not have the authority to affect these special districts without state action. Most local districts come into existence through local referendum and can only be undone by local referendum. Chairman Cronin believes that if the County had greater control over these special districts, they would be able to put in place better practices and hopefully find ways to save taxpayer dollars.
* And a bill has not only been filed, but has cleared the House. From Rep. Jack Franks…
Additions to Illinois’ nearly 7,000 units of local government will come to a stop under legislation passed through the House on Wednesday by state Rep. Jack D. Franks, D-Marengo.
“Illinois stagnant economy is hindered by local government intrusion into taxpayers’ pocketbooks and lives,” Franks said. “The addition of layer after layer of local government in our state is similar to a gambler who, after losing hand after hand, continues to bet more in the hopes that, on the next hand, he will hit the jackpot. To me, the lesson here is very clear – when you’re in a hole, stop digging.”
House Bill 3251 places a four-year moratorium on the Illinois General Assembly’s authority to create any new units of local government. However, it does allow a government body to be created as a result of the consolidation of two or more pre-existing units.
The Local Government Consolidation Commission, chaired by Rep. Franks, also released its final report Wednesday. The report details the meetings, findings and recommendations of the commission, and represents research and work toward building a consensus between the many members on addressing the excess of local government bodies in Illinois.
The commission’s recommendation to grant various municipal governments the authority to annex, consolidate or dissolve has been filed by Rep. Franks as House Bill 5785. That measure awaits a vote of the full House following passage by the Counties and Townships Committee.
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Fun with money
Thursday, Apr 3, 2014 - Posted by Rich Miller
* Approximate projected net cost of the Democratic plan to mail $500 property tax “rebate” checks to every homeowner before the November election: $700 million.
* Approximate projected net revenues from House Speaker Michael Madigan’s 3 percent tax surcharge on income over a million dollars, which is all earmarked for education: $1 billion.
Couldn’t they just give schools another $700 million and forgo creating a top state income tax rate of 8 percent?
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Caption contest!
Thursday, Apr 3, 2014 - Posted by Rich Miller
* From the Illinois Senate Republican Fan Page on Facebook…
Sen. Bivins listens intently as his democratic colleague explains legislation in the Criminal Law Committee.
Tim is one of the funnier guys in the General Assembly. So, maybe we should have a little fun with him today…
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* Gov. Pat Quinn is out on the circuit today…
GOVERNOR’S PUBLIC SCHEDULE
**Thursday, April 3, 2014**
CHICAGO – Governor Pat Quinn will visit DePaul University to discuss his plan to make higher education more affordable and accessible by doubling the state’s investment in the Monetary Assistance Program (MAP) over the next five years.
Quinn is also planning stops in Urbana and DeKalb.
* From the Bruce Rauner campaign…
Quinnocchio Goes To College
- Quinn’s History on MAP Grants Doesn’t Match His Rhetoric –
Quinnocchio predicts that when Pat Quinn meets with DePaul University students this morning about MAP grants he won’t tell them about his previous cuts to the program. […]
Quinn Eventually Signed A Budget That Actually Cut MAP Funds For FY2013. “The budget he signed last month cuts MAP funds by 4 percent, according to the Illinois Student Assistance Commission.” (Christopher Wills, “Quinn Signs Bill Ending Legislative Scholarships,” The Associated Press, 7/11/12)
Funding For Needy Illinois College Students Was Just $370.8 Million In FY2013 - When Adjusted For Inflation, That Is The Lowest Funding Level For MAP In More Than A Decade. (Table 2.0a, 2013 Illinois Student Assistance Commission Data Book, Accessed 3/27/14)
Only 37.4% Of Eligible Students Who Applied In FY2013 Received A MAP Grant - The Lowest Proportion Of Applicants To Receive Grants Since FY1999 At Least. (Table 2.0a, 2013, Illinois Student Assistance Commission Data Book, Accessed 3/27/14)
Quinn Cut MAP Funding In Half In 2009
Quinn And General Assembly Democrats Slashed MAP Funding In Half In The Initial FY2010 Budget. “About a quarter of Illinois’ college students depend on the so-called MAP grants. But lawmakers and Gov. Pat Quinn decided earlier this year, in the midst of a state budget crisis, to fund only about half of the $440 million program — enough to get students through the first half of the school year.” (Jodi. S. Cohen, “College Funding Program On Empty,” Chicago Tribune, 10/11/09
* Rauner was in Champaign County yesterday and talked about the need for more spending on higher education…
“Under Pat Quinn’s administration state support for the (University of Illinois) and other universities has been cut. That’s wrong. We should be increasing our investment in education. Education’s the most important investment we can make together as a community.”
He also said he’d undertake a closer review of university spending as governor.
“Much of the spending at the University of Illinois and in other universities has grown very highly in the administrative cost structure whereas spending inside the classroom and on research hasn’t necessarily kept pace. I’d like to see us re-prioritize, invest in the classroom for the students and invest in the research and the potential economic development and be more efficient in the administrative layer.”
Thoughts?
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Propeller heads?
Thursday, Apr 3, 2014 - Posted by Rich Miller
* Tribune…
Mayor Rahm Emanuel [yesterday] dismissed a state task force report that called for one mega mass transit agency combining the CTA, Metra and PACE as written by “propeller heads.”
The characterization came today when the mayor was asked if the single transit agency is a good idea.
“No, and in capital letters. Let me just be really clear: This is what happens when you lock up a lot of propeller heads in a room for a short period of time. First they say we have an unaccountable, nameless, faceless bureaucracy. Hold on, we’d like to replace it with the new version of a unaccountable, nameless, faceless bureaucracy,” Emanuel said after today’s City Council meeting.
“I’ve had my views on the importance of being a propeller head. I think I’ve given you my views of that. It is a non starter with this,” the mayor added.
* But the Tribune editorial board was quite impressed with the recommendations this week…
•There’s no strategic plan to expand the transit system or increase ridership. The CTA, Metra and Pace aren’t working together to make buses and trains more accessible and convenient. The “legacy system” is still Loop-centric, while other employment corridors are woefully underserved. Only 12 percent of suburbanites can get to work on mass transit in less than 90 minutes.
•Capital spending is all about catch-up. There’s a $20 billion backlog just to bring the system into a “state of good repair,” according to the Regional Transportation Authority, which is supposed to provide oversight for the three transit agencies but — here’s another task force finding — doesn’t. Transit spending is based on returning revenue to where it was raised, not on building a system that serves the region.
•Much of this can be blamed on an entrenched “culture of division.” The system is governed by four boards, with 47 members appointed by 21 elected officials. Instead of thinking regionally, board members defend the parochial agendas of the politicians who appoint them.
The task force recommends transitioning to a single oversight board — but not the RTA. A 2008 transit reform bill, passed mostly to address the CTA’s chronic budget emergencies, was intended to give the RTA the teeth to force the transit boards to work together, the report notes. The RTA was supposed to develop a strategic plan and to set and enforce performance standards. That didn’t happen. “The agency’s lackluster response to the new authority given to it in 2008 does not inspire confidence,” the task force report says. It also criticizes the RTA for employing Madigan’s son-in-law as its chief of staff.
Members of the new board would be appointed by local governments and the state. Candidates would be vetted by an independent panel to guard against cronyism and conflicts of interest. They wouldn’t be salaried — until recently, they qualified for state pensions — and they could be removed more easily if, for example, they signed off on another hush-money severance deal.
Discuss.
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The times are changing
Thursday, Apr 3, 2014 - Posted by Rich Miller
* Check out this roll call…
Sen. Iris Martinez, D-Chicago, proposed a bill permitting minors with seizure disorders, including epilepsy, to take a derivative of medical cannabis. It passed 49-5 in the Senate and goes to the House. […]
Sen. David Luechtefeld, R-Okawville, whose grandson has as many as 100 seizures in a day, said he was torn about the bill because was concerned about the long-term side effects of marijuana on children.
Martinez responded that the marijuana extract given to seizing children had “no real side-effect,” especially compared to the FDA-approved drugs already on the market for epilepsy. She said that where current drugs fail to cut down on the number of seizures a kid has, marijuana oil has been proven to significantly reduce seizures “in an enormous way.”
But Sen. Tim Bivins, R-Dixon, said he wouldn’t vote for the bill because it didn’t specify how the medicine would be taken. Bivins said he opposed the idea of allowing kids to smoke the drug.
Sen. Mike Jacobs, D-East Moline, came to the defense of the bill, saying the important thing is that marijuana actually works at reducing seizures.
Luechtefeld ended up voting for the bill. Sen. Bivins voted “Present.”
Voting “No” were Republican Sens. Bill Brady, Kyle McCarter, Christine Radogno, Dale Righter and Chapin Rose.
But twelve Republicans voted “Yes.”
Twelve.
Progress is being made, folks.
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Support clean energy: Fix the RPS
Thursday, Apr 3, 2014 - Posted by Advertising Department
[The following is a paid advertisement.]
The Illinois renewable portfolio standard (the RPS) was passed into law in 2007 and requires 25% of the state’s power to come from clean sources by 2025. The RPS made Illinois a leader in renewable energy development between 2008 – 2012. Yet a glitch in state law has broken the RPS, halting renewable energy development and leaving Illinois behind as the market grows.
Maintaining a strong RPS is #1 priority for growing clean energy businesses in Illinois. Legislation now pending in the General Assembly would fix the RPS and jumpstart billions of dollars of clean energy development.
Click below to meet Illinois clean energy workers and find out more about the important role this industry plays in our state’s economy. Let’s make Illinois a clean energy leader again – support the RPS fix!
WWW.CLEANJOBSILLINOIS.COM
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Credit Unions - Protecting consumers during times of need
Thursday, Apr 3, 2014 - Posted by Advertising Department
[The following is a paid advertisement.]
Credit unions live out their ‘People Helping People” philosophy everyday and truly in times of disasters. The cooperative structure of credit unions, not their size or range of services, is the reason for their tax exemption – and why nearly three million Illinois residents call them home. Owned and democratically controlled by the people who use them, credit unions help members reach day-to-day financial goals and provide unwavering support during crucial times. After finding itself at the epicenter of the November 17 tornadoes, CEFCU’s Washington branch immediately served as a command center. The next day, the credit union donated $100,000 to the local Red Cross and collected funds at all Illinois member centers. Staff also contributed personal funds. Recognizing that the security of personal financial information was potentially compromised, CEFCU offered one free year of credit monitoring to all members impacted by the storms. CEFCU also established a response team for comprehensive member service, hosted a homeowner seminar, waived fees, rushed check orders, replaced debit and credit cards overnight at no charge, and opened its Washington branch two Sundays to provide extended service hours. People before profits – the one credit union principle that remains constant – and highly valued by their members.
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