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Friday, Feb 27, 2015 - Posted by Rich Miller

* These guys are in Springfield tonight, so you’ll know where to find me

Beautiful in go-go boots, she waltzes to the bar

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Protected: SUBSCRIBERS ONLY - More on the state grant suspensions

Friday, Feb 27, 2015 - Posted by Rich Miller

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Protected: SUBSCRIBERS ONLY - Fundraiser/event list

Friday, Feb 27, 2015 - Posted by Rich Miller

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How can we miss you if you won’t go away?

Friday, Feb 27, 2015 - Posted by Rich Miller

* AP

Former Gov. Pat Quinn says pushing consumer rights and organizing are in his immediate future during his first public appearance since leaving office.

Quinn addressed students and lawyers Friday at a Loyola University School of Law panel on forced arbitration.

The Democrat later told reporters that Republican Gov. Bruce Rauner’s proposed budget is the “worst” he’s seen in Illinois history because it’s unfair to “everyday people.”

There wouldn’t have been a problem in the first place if A) Quinn hadn’t made the income tax hike temporary, or had at least ramped it down in a more responsible manner; or B) Quinn hadn’t signed this fiscal year’s horrifically irresponsible budget into law.

  32 Comments      


Question of the day

Friday, Feb 27, 2015 - Posted by Rich Miller

* Stu Ellis at the Decatur Herald and Review writes about Gov. Bruce Rauner’s proposed elimination of the $1.8 million funding line for agriculture education

The elimination of that line item in his proposed budget apparently was made because his staff could see no need for agricultural education, despite the recommendation by the State Board of Education that the line item be raised to $3 million in the next fiscal year. So called “shared sacrifice” might diminish $1.8 million by several thousand, but it should not lead to total elimination.

The $1.8 million line item stimulates over $11.8 million in net earnings of agriculture education students in their yearly, work-based learning and agri-science projects. It generates another $2.1 million in partial matches from a statewide partnership. It spawns $1.7. million in funds and volunteer hours generated for local school vocational-agriculture programs. It pays for curriculum development that is used by over 50 percent of vocational agriculture teachers nationally. And it provides a pipeline for students to enter agricultural careers.

Elimination of the funds would mean deterioration of the agriculture education network which provides the structure to one of the top vocational programs in the nation. Data collection of programs, teacher information and student achievement will be lost. Professional education opportunities for vocational-agriculture teachers would be eliminated. Program growth would stagnate and would no longer provide employees for an important part of the Illinois economy.

The loss of the agriculture education line item would eliminate $620,000 in incentive grants that go to 321 local agriculture programs taught by 381 teachers at the secondary level. That money provides local programs with funds to meet goals for success and continuation of their program. While a local vocational agriculture program may not close in a school district due to the loss of the incentive grants, it would negatively affect program quality and the number of programs would deteriorate and decline.

* This will have a big impact on local FFA programs

First-year Flanagan-Cornell FFA Advisor Jessica Collins has a reason to be nervous about the upcoming annual auction on March 7. That’s because Gov. Bruce Rauner recently submitted his proposal for the 2016 fiscal budget for Illinois.

Among the proposed budget cuts is the elimination of crucial agricultural education funding. When the Flanagan-Cornell FFA program says it relies on the success of these auctions to fund future activities, nothing could be more truthful.

* From the Twitters…


* The Question: Caption?

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Supreme Court justice ordered to testify

Friday, Feb 27, 2015 - Posted by Rich Miller

* Crain’s

Illinois Supreme Court Justice Lloyd Karmeier has been ordered to give testimony in a civil case that accuses State Farm Insurance of fraudulently concealing the extent of its involvement in his campaign.

Karmeier and State Farm had fought against requiring the justice to give a deposition in the case, which was filed in 2012 in U.S. District Court in East St. Louis and seeks $8 billion in damages. But Judge David Herndon rejected those arguments.

The plaintiffs can question Karmeier under oath “as to his knowledge concerning all aspects of his campaign including his decision-making process for running for the position in the first place and the persons with whom he consulted to make that decision, how the campaign was managed, how the campaign was financed, who was involved in the decision-making and strategy of the campaign,” Herndon ruled yesterday. “Without allowing the inquiry, there will never be light on the facts of this case and the federal rules will be thwarted.” […]

Herndon also granted the plaintiffs’ request to depose an attorney for State Farm, Robert Schultz, who served as a member of the judicial evaluation committee for the Illinois State Bar Association when Karmeier was elected to the Illinois high court in 2004. Schultz now works for State Farm.

Karmeier’s opponent in the election had written a lower court opinion upholding a $1.05 billion verdict against State Farm. After winning election, Karmeier cast the crucial fourth deciding vote to overturn that decision.

There’s whole a lot of smoke in this case, but nobody has yet even come close to proving that a fire actually exists. It’ll sure be interesting to see what he says under oath.

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Chicago downgraded

Friday, Feb 27, 2015 - Posted by Rich Miller

* Greg Hinz

In a blow to Mayor Rahm Emanuel, one of the major bond-rating services today downgraded Chicago’s credit to just two levels above junk, saying the city has not been able to adequately control the soaring cost of worker pensions.

In a statement, Moody’s Investors Service moved city debt to Baa2 from Baa1, and kept the city on a negative outlook. The latter means that there is a likelihood, though not a certainty, that its credit will be further downgraded in coming months.

In response, Emanuel’s office today noted that two other ratings services, Fitch and S&P, have affirmed the city’s credit rating, and characterized the Moody’s view as an outlier “out of step with the other rating agencies, (and) ignoring the progress that has been achieved.”

But the action adds another element of uncertainty for the city and Emanuel just days after the mayor was forced into an April 7 runoff election for a new term.

Moody’s, which also lowered its rating on some sales-tax and water debt, said it acted because of “expected growth in Chicago’s already highly elevated unfunded pension liabilities and continued growth in costs to service those liabilities.”

* Tribune

Even if recent state pension changes survive a court challenge, the ratings statement said, “we expect Chicago’s unfunded pension liabilities — and the costs of servicing those liabilities — to continue to grow, placing significant strain on the city’s financial operations.”

The drop, to a rating of Baa2, could drive up borrowing costs for the city and cause problems with some of Chicago’s current interest-rate swap contracts.

Those problems with the swap contracts could be severe.

* To the Moody’s report

WHAT COULD MAKE THE RATINGS GO DOWN

• Determination by the IL Supreme Court that the State of Illinois’s pension reform package is unconstitutional, which, depending on the court’s rationale, could increase the risk that the city’s own pension reform would be overturned

• Determination by a court of law that the city’s reform of its Municipal and Laborer plans is unconstitutional

• Continued growth in the city’s unfunded pension liabilities

• Growth in direct and overlapping debt

• Narrowing of the city’s financial reserves

Those first three are very likely. That last one is likely, too, if the state takes Chicago’s income tax revenue sharing cash.

Budget proposals have consequences, folks.

  59 Comments      


Today’s number: 4-6 weeks

Friday, Feb 27, 2015 - Posted by Rich Miller

* Sun-Times

Derrick Rose had surgery Friday morning to repair the torn medial meniscus in his right knee. The Bulls said the surgery went well and Rose walked out after the procedure.

Bulls GM Gar Forman said Rose is expected to return in four to six weeks. […]

Unlike his previous two surgeries, Rose was “full weight-bearing” after this one, meaning rehab will begin Saturday.

Many folks thought he was gone forever after his latest injury.

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Protected: SUBSCRIBERS ONLY - Human service cuts and state grant suspensions

Friday, Feb 27, 2015 - Posted by Rich Miller

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Stating the obvious

Friday, Feb 27, 2015 - Posted by Rich Miller

* A Bloomberg story quotes some Illinois’ “debt investors” as saying the state can’t rely solely on budget cuts alone

“I’m very skeptical that his budget will be able to achieve balance by doing what he’s doing,” said Jim Schwartz, head of the municipal credit research team at New York-based BlackRock, which oversees $116 billion in munis. “The best way from his view is let’s cut spending, and I just look at it as very aggressive.” […]

“I don’t think they’re going to be able to get to the level that they need to with budget cuts alone,” said Dan Heckman, a senior fixed-income strategist in Kansas City at U.S. Bank Wealth Management, which oversees $126 billion. […]

Moody’s Investors Service said in a Feb. 24 report that the state’s political landscape will make it tough to enact the governor’s proposals without raising revenue. […]

“There’s going to have to be some balance between revenue enhancements and cutbacks on spending,” said Heckman, whose firm holds less Illinois debt than indicated in its benchmark. […]

“The feeling out there is that they have a lot of room to raise taxes, and theoretically they could,” said Peter Hayes, head of munis at BlackRock. “Eventually there will be some moment, some day of reckoning which makes everybody wake up and say we really need to pass something.”

* Related…

* $167M cuts to DCFS include major foster care program

* Home services program loses millions in Rauner’s proposal

* Social-service agencies fear painful cuts under Gov. Bruce Rauner’s budget plan

* Gov. Rauner proposes hard-hitting budget cuts - University administration prepares response to proposal

* Western to ‘wait and see’ over Rauner’s budget proposal

* Supporting Efforts to Advance Adult Dental Coverage and Access in Medicaid

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*** UPDATED x1 - Double-down *** They really make this too easy…

Friday, Feb 27, 2015 - Posted by Rich Miller

* The same editorial board which defended candidate Bruce Rauner’s refusal to talk specifics about his magic beans budget ideas during the campaign, and has since refused to write about specifics of Gov. Bruce Rauner’s proposed budget cuts, is now demanding to know specifics about Chuy Garcia’s budget ideas.

* And that very same editorial board, which was so unconcerned about specifics during the 2014 campaign and the FY 2016 budget, is now demanding that Mayor Rahm Emanuel get specific and “tell us the whole truth” about how he’ll keep the city’s finances on an even keel.

Care to guess which editorial board that is?

*** UPDATE *** The editorial board doubled down this afternoon with a little ditty entitled: “Emanuel, Garcia: Tell voters how you’ll fix CPS”

We’ve been waiting — along with voters — to hear mayoral candidates tackle the budget issue head on, with specifics. […]

The campaign debate so far has focused on hot-button education issues — charter schools, the closing of those elementary schools, student standardized testing and whether to elect a Chicago school board. All of those are important. But none matters as much as the looming budget crisis.

Hilarious.

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Crain’s: “Market-based” solution is rigged

Friday, Feb 27, 2015 - Posted by Rich Miller

* Exelon argues that its bill to keep its nuke plants open is a “market based” solution. But is it? An analysis by Crain’s is highly skeptical

The measure would slap an electric-bill surcharge of about $2 a month on the average household served by Commonwealth Edison and Ameren Illinois, creating more than $300 million of extra annual revenue to be distributed over the next five years to low-carbon energy sources. Those include obvious examples such as wind and solar—but also nuclear energy, which, unlike coal or natural gas, emits no carbon.

The legislation effectively would funnel most if not all of the $300 million to Exelon’s Illinois nuclear plants, the largest state fleet in the nation. But Chicago-based Exelon, which also owns ComEd, went out of its way to argue that the bill allows low-carbon sources of all types to bid for the special credits to be made available via an auction conducted by the Illinois Power Agency. […]

But the bill places such great limits on bidders other than Exelon’s Illinois nukes that Exelon is highly likely to win most if not all of the credits.

For example, generators with contracts of five years or longer to sell their output can’t bid. That keeps out most existing wind farms and utility-scale solar, which have such contracts. For those few wind farms that sell into the wholesale markets, they’re only eligible if they don’t already have renewable energy credit from Illinois or some other state. That’s a relatively small pool of projects, renewable industry representatives say.

The bill also limits eligible hydro producers to no more than 3 megawatts. The capacity of Exelon’s Illinois plants collectively is more than 11,600 megawatts. There are no nearby clean coal plants to speak of, so those won’t be bidding. […]

Once again, as it has before, Exelon refused to say whether its Illinois fleet as a whole is profitable. (In an analysis, Crain’s showed previously that it is.)

Discuss.

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*** UPDATED x1 *** Even more problems for Schock

Friday, Feb 27, 2015 - Posted by Rich Miller

* Drip, drip, drip

Rep. Aaron Schock attended dinner and drinks in 2011 at Windsor Castle, Buckingham Palace and at a swank nightclub London — and never disclosed receiving a single gift on his financial disclosure form.

This past September, the Illinois Republican held a golf fundraiser — the “Aaron Schock Golf Classic” — at Anne Arundell Mannor in Maryland, but never reported a payment for use of the golf course and facilities on his campaign finance forms. […]

On the multi-day trip to London in June 2011, Schock attended several elaborate dinners as the guest of a person invited by the Prince of Wales Foundation. Guests were also given a customized china plate with a personalized inscription on the last day of the festivities.

Schock cannot accept a gift — including food and beverage — exceeding $50 from any source. There is an exception for close personal friends. He would have had to get approval in writing from the House Ethics Committee for any gifts worth more than $250 from personal friends, and he would have had to report accepting a gift on his annual financial disclosure forms. […]

“It is the PAC’s understanding that all required expenses in connection with this event have been paid,” a spokesman for Schock said in a statement. “However, if it is determined at the conclusion of the review that any required expenses remain unpaid, the PAC will make prompt payment. Congressman Schock takes his compliance responsibilities seriously which is why he has initiated a proactive review of this issue and others.”

Schock’s trip to London is also part of his internal audit. His office is reviewing compliance procedures in his official office, campaign and leadership PACs, it has said.

* And if you missed it the other night, click here for the Daily Show’s take.

*** UPDATE *** What kind of a guy bills taxpayers for a $40,000 job to make his office look like Downton Abbey? Sheesh

Illinois Rep. Aaron Schock repaid $40,000 from his personal checking account for redecorations to his congressional office in the style of the TV show “Downton Abbey,” according to financial records reviewed by The Associated Press.

Schock paid $35,000 earlier this month to the owner of the Illinois decorating firm Euro Trash, and $5,000 more on Thursday, the records showed. His official House expense account had previously paid the group for its services.

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It’s just a bill…

Thursday, Feb 26, 2015 - Posted by Rich Miller

* But I like it

State Representative Tom Demmer (R-Dixon) has filed legislation that would give entrepreneurs and startup founders a kick-start into the market. House Bill 3091 allows the use of intrastate crowdfunding, a new investing concept that is capable of generating greater access to capital, allowing for entrepreneurs with ideas to make them into reality.

“Crowdfunding will be the way of the future and is the next step in evolution for startups and small businesses,” said Rep. Demmer. “There are a lot of entrepreneurs out there who have great ideas to start a business, but have no capital. This bill will give those people the opportunity to bring new and innovative business ideas to Illinois.”

The legislation creates an exemption from certain filing and registration requirements under the Act for intrastate securities offerings that meet certain conditions.

“We have to be competitive with surrounding states,” said Rep. Demmer. “Wisconsin, Indiana, and Michigan have already enacted this legislation, while Missouri and Kentucky currently have bills drafted. We have the opportunity to join these states to spur innovation, economic activity, and small-business job creation.”

The legislation is here.

…Adding… Some folks are a bit unclear on this concept. Currently, startups can only legally raise donations through online services like KickStarter. This bill allows contributors to become investors.

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Question of the day

Thursday, Feb 26, 2015 - Posted by Rich Miller

* The third chapter in this extraordinary Illinoisan’s public life is about to come to a close

Winston & Strawn announced Tuesday that former Illinois Gov. Jim Thompson will step down in early 2016 after 25 years with the high-powered law firm. The 78-year-old Republican served four terms as governor before joining Winston & Strawn after he left office in 1991. […]

Winston & Strawn says Thompson, as a chairman, played key roles in its expansion in the U.S. and abroad. Thompson will continue to work as a consultant for the law firm for two years after his retirement.

US Attorney, popular and accomplished four-term governor and then one of the top lawyers in the state.

* The Question: Your fondest Big Jim memory/story?

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What would toys be like without the civil justice system?

Thursday, Feb 26, 2015 - Posted by Advertising Department

[The following is a paid advertisement.]

Since 1974, the Consumer Product Safety Commission (CPSC) has issued more than 850 recalls for toy products, many for hazards like magnets, lead and other dangers hidden in our children’s toys. In the face of such risks, and with so few resources at hand, American parents have come to rely on consumer groups and the civil justice system to serve both as an early warning system and an enforcement mechanism against negligent corporations.

Between 1990 and 2007, 196 children died from choking on toy parts, small balls and balloons. Nearly a quarter of a million children are treated at U.S. emergency rooms for toy-related injuries every year. A series of lawsuits in the late-2000s not only helped remove lead-tainted toys from store shelves, but also helped establish quality assurance programs overseen by the courts. A lawsuit filed by the family of a toddler who died after ingesting tiny magnets brought awareness to the hidden dangers of magnetic toys.

Civil actions by parents across the country have consistently forced corporations and regulators to take action. For more information, click here.

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EXELON 2014 Profits: $236,000/per HOUR and THEY WANT A BAILOUT???

Thursday, Feb 26, 2015 - Posted by Advertising Department

[The following is a paid advertisement.]

While the state budget crisis increasingly hits struggling Illinois families, Exelon demands a corporate bailout. This is exactly the wrong thing for Illinois’ citizens and businesses.

Exelon is a successful, profitable company. While we appreciate success, when they claim they need more of OUR MONEY, it’s time to be skeptical.

EXELON 2014 PROFITS: $2,068,000,000.00

That’s two BILLION with a B. And yet this wildly profitable company is asking US for a bailout while Illinois struggles. So let’s review:

In 2014, EXELON made $5,665,753 per day or $236,073 per hour

When legislators are being asked to slash everything from education to healthcare to mental health services, and when Crain’s Chicago Business says Exelon actually MADE money from its Illinois Nuclear Fleet, how can anyone think having struggling Illinois businesses and families bail out a highly profitable company is a good use of OUR money?

It just isn’t fair.

Just say no to the Exelon Bailout.

www.noexelonbailout.com

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Dueling press releases

Thursday, Feb 26, 2015 - Posted by Rich Miller

* From the Exelon folks…

A bipartisan group of legislators, along with business, labor and community leaders, today announced their support for legislation creating a state Low Carbon Portfolio Standard that establishes Illinois as a national leader in efforts to reduce carbon emissions with minimal consumer impacts.

Introduced in both the Senate as SB 1585 and the House as HB 3293, the legislation would help reduce carbon emissions, increase renewable energy and maintain affordable, reliable electricity for consumers and businesses. In addition, the measure will ensure continued operations of the state’s nuclear power plants, which are responsible for nearly half of all electricity produced in Illinois. The market-based solution is modeled after findings from a recent HR 1146 report prepared by four state agencies that analyzed the economic, environmental and reliability impacts of premature nuclear plant closures in Illinois.

Under the proposed legislation, certain electric utilities would be required to purchase low-carbon energy credits to match 70 percent of electricity used on the distribution system from qualified sources, which include solar, wind, hydro, nuclear, tidal, wave and clean coal. The legislation includes safeguards to protect consumers similar to those for Illinois’ other clean energy programs. For example, a consumer price cap would limit the impact to a 2.015 percent annual increase compared to 2009 rates, or about $2/month for the average Illinois residential electricity customer, less than the increase customers would face if the nuclear plants close early. In addition, if wholesale electric prices exceed a certain level, any excess revenues would be rebated to all Illinois electric customers on their bills.

* The opposition responds…

AARP Illinois and the BEST Coalition are urging state lawmakers to reject legislation written by Exelon Corporation lobbyists that would increase electric bills in order to bail out Exelon’s nuclear plants. Introduced Thursday, Exelon’s “Low Carbon Portfolio Standard” would force ComEd and Ameren customers in Illinois to pay hundreds of millions of dollars in additional charges on their electric bills.

The legislation is opposed by many groups including AARP Illinois and the Better Energy Solutions for Tomorrow (BEST) Coalition, a grassroots coalition advocating for smart energy policy in Illinois.

“This bill rewrites Illinois energy policy to increase costs for public and private entities statewide and benefits only Exelon,” said Steve Davis, Legislative Co-Chair for Illinois Association of Wastewater Agencies, a BEST Coalition member. “Policy like this will increase the cost of doing business in Illinois and make Illinois less competitive.”

“Exelon made more than $2 billion last year, and here they are begging for a bailout on the backs of working Illinoisans,” said Bob Gallo, AARP Illinois State Director. “This bill would increase rates for older adults living on fixed incomes, working families and small businesses in order to pad Exelon’s profits. We will work on behalf of our 1.7 million Illinois members to urge legislators to vote ‘no’ on this bill.”

An analysis by Crain’s Chicago Business in 2014 found that Exelon’s Illinois nuclear fleet is profitable. Despite seeking a bailout, Exelon has refused to disclose any data to verify its claims that the company’s Illinois nuclear plants are suffering unsustainable losses. In recent earnings announcements, Exelon CEO Chris Crane stated “Exelon had a strong year, both operationally and financially…our generation fleet and utilities continued to perform at high levels.”

“It’s unfortunate that Exelon has chosen to scare local communities by threatening to close Illinois nuclear plants when in fact those plants are profitable and about to get a huge infusion of additional ratepayer money from struggling Illinois consumers and businesses. Exelon simply does not need a bailout,” said Dave Lundy, spokesman for the BEST Coalition. “Exelon claims they’re not asking for a bailout. But you know what they say about a duck. If it looks like a bailout and acts like a bailout and quacks like a bailout, it’s a bailout.”

Even if Exelon has financial issues with its Illinois nuclear fleet, which is contrary to publicly available information, those issues will be resolved when Exelon begins receiving hundreds of millions more ratepayer dollars each year because of changes in grid regulation pushed by Exelon. Additionally, a recently approved rate increase for Exelon’s subsidiary ComEd took effect in January 2015 that will increase ComEd revenue by approximately $232 million.

The groups also have a fact check that you can read by clicking here.

* Crain’s tries to sort it out

The new low-carbon credits would establish a revenue stream between $200 million and $300 million, or perhaps more, according to sources who have been briefed. That would aid operators of existing plants like Exelon’s that are seeing revenues decline due to persistently low natural gas prices. Wholesale power prices correlate strongly to natural gas costs, particularly now with gas accounting for a greater percentage of power generation in the regional grid in which Exelon competes.

DISTRIBUTION COSTS INCLUDED

Utilities would be charged with collecting the surcharge for generators like Exelon on the portion of the electric bill that covers distribution costs. That would be a marked contrast with the set-aside for renewables, the cost of which is embedded in the part of the bill that covers the cost of energy itself.

That distinction has crippled the effectiveness of the renewable law. The Illinois Power Agency is supposed to ensure that increasing percentages of consumers’ electricity come from clean sources. But with a majority of households getting their power from suppliers other than Commonwealth Edison or other utilities, the IPA has been unable to spend much on renewable purchases.

In recent years, renewable energy companies have pushed for a change in the law to have the money collected via distribution charges the same way Exelon is proposing to collect the new funds for low-carbon sources. But those bills died, largely due to opposition from politically potent Exelon and its Chicago utility, ComEd.

…Adding… From the Illinois Clean Jobs Coalition…

“There is only one comprehensive energy bill that costs less to consumers, promotes a cleaner environment and will create tens of thousands of new jobs in every part of Illinois — that’s the Illinois Clean Jobs bill. Introduced by Sen. Don Harmon and Rep. Elaine Nekritz with bipartisan support, when fully implemented the Illinois Clean Jobs Bill will create 32,000 new clean energy jobs per year by growing renewable energy and raising energy efficiency while giving Illinois a greater set of tools to help consumers, including the option of market-based strategies to reduce carbon pollution.

“The Illinois Clean Jobs Bill sets a long-term clean energy policy that creates jobs — rather than sunsetting soon, missing opportunities to create jobs and raising the risk that consumers will again be asked to pay more in just a few short years.

“We look forward to reading Exelon’s proposed bill more closely. But mostly, we look forward to discussing this issue in the months ahead, and we will continue to urge lawmakers to join their colleagues from both parties who have sponsored the bipartisan Illinois Clean Jobs Bill to enhance our environment and to create 32,000 new jobs per year.”

They also have a video. Click here.

  18 Comments      


Hello, I must be going…

Thursday, Feb 26, 2015 - Posted by Rich Miller

* From the Illinois Policy Institute’s news service

Illinois’ new Governor is sending a strong message to his cabinet, saying they have a moral obligation to report problems to his office. During a cabinet meeting at the capitol Wednesday afternoon Governor Bruce Rauner said the challenges facing Illinois are enormous and he encouraged department heads to look outside the box for solutions. Rauner says the team he’s put in place must report to him things previous executives may not have wanted to hear.

“You have a strong feeling in your heart as what’s right, you say so. You do not hold it back. And if you see something going on that you know is wrong you have a moral obligation to say so and bring it up. Don’t hold it back, bring it up. Let’s fix it. I can’t fix a problem I don’t know about. And I want to empower you. I’ve got your back. We’ve got to break some china, we’ve gotta change some things.”

Rauner said he wants his cabinet members to bring their disagreements forward so they can work through the problems facing the state. He also reiterated that he wants to reward employees who find taxpayers savings. The Governor says his job is to make his cabinet more effective and that in two years the state will be on a different trajectory.

* Tribune

Gov. Bruce Rauner on Wednesday convened what was billed as the first meeting of his Cabinet, telling agency leaders that they’ll be asked to do more with less, but that he’s willing to “take the arrows” along the way.

“I wish this year was going to be all happy, and you know, happy feet. This is not going to be a happy feet year,” Rauner told the group of about 50 officials gathered in a Capitol meeting room. “This is going to be pretty rough, but we’re going to get through it. And I tell you, in 24 months we’re going to be on a very different trajectory as a state.” […]

“I’ve got your backs,” Rauner said. “You do what’s right, you take tough decisions, you do what you know in your heart is in the best interest of the people, I will protect you. I will work for you. I will make sure you get support, and in time, resources.”

Rauner spoke for about 10 minutes with cameras rolling but then left the meeting, which was taken over by his deputy governor, Trey Childress.

* WUIS

At the end of his nearly ten minute, unscripted speech, the officials applauded. Then Rauner took off — more meetings, he said.

What the cabinet talked about next is hard to say.

Upon exciting, one of the attendees said they’d just been “instructed not to talk to the media.”

* Give the governor credit for generating positive media coverage of that dog and pony show. And ordering his cabinet members to keep quiet meant that nobody stepped on his message.

But, geez, that whole thing was nothing but a bunch of empty staged hype. Have a look

I want to listen. Come to me with your problems. I’m here for you, except I gotta split without taking any questions. Now, turn off the cameras and be quiet while my guy tells you what’s what.

  85 Comments      


Digging into the mayoral numbers

Thursday, Feb 26, 2015 - Posted by Rich Miller

* Our old pal Scott Kennedy looks at the mayoral results

* In majority AA wards (by census) Emanuel (42%), Garcia (26%), Wilson (22%), Walls (6%), Fioretti (5%). In wards with an AA majority 32% of the vote went to candidates that will not be in the runoff so it will be interesting to see where these voters fall.

* In majority Hispanic wards (by census) Garcia (52%), Emanuel (37%), Fioretti (7%), Wilson (3%), Walls (1%). Only 11% of this vote went to candidates not in the runoff.

* In wards with a white majority (by census) Emanuel (52%), Garcia (34%), Fioretti (10%), Wilson (4%), Walls (1%). 15% of this vote went to candidates not in the runoff.

* In wards with no majority (by census) Emanuel (49%), Garcia (35%), Fioretti (9%), Wilson (5%), Walls (1%). 15% of this vote went to candidates not in the runoff.

* Reminder, the “2011” numbers in my tracker were reconfigured to match the current ward maps. In the majority AA wards the 2015 numbers for Emanuel were about 12-20 points lower than 2011.

* It was harder to draw conclusions about the Hispanic majority wards, some showed Emanuel improvement (10/13/14/31), others big drop (22/25/33/35).

* In only a very few wards did Emanuel improve over his 2011 numbers but somehow in the 13th ward he did almost 15 points better. Interesting.

* It appears that 19 aldermanic races are headed to an April runoff (2, 7, 10, 11, 15, 16, 18, 20, 21, 24, 29, 31, 33, 36, 37, 41, 43, 45, 46). So while the overall numbers were Emanuel (45%), Garcia (34%), Wilson (11%), Fioretti (7%), Walls (3%), if my math is correct in just the 19 wards that are headed to aldermanic runoff the numbers were Emanuel (46%), Garcia (31%), Wilson (12%), Fioretti (8%), Walls (3%). The Mayor did slightly better than average in these 19 wards but there is also 23% of the vote in these 19 wards that went to candidates that won’t be in the runoff so it will be interesting to see where those voters fall. Obviously these 19 wards are likely to have higher turnout in April than the wards without Aldermanic elections.

Speaker Madigan didn’t work his 13th ward for any of the mayoral candidates four years ago, but he pushed hard for Emanuel this year, which explains hizzoner’s much-improved result. I’m told, however, that Madigan’s captains had to practically beg for sign placements. That wasn’t in any way an easy get for an organization which is accustomed to easy gets.

* More

There has been a lot of attention given to the fact that turnout last night was significantly lower than four years ago, which is true, however that year was a bit of an outlier and this year’s numbers track pretty closely to the 2007 and 2003 Chicago Municipal elections:

With some valid late arriving vote by mail ballots left to be counted the total votes in the Mayor’s race last night currently stands at about 466K (very close to my projection last night) and a participation rate of a little under 33% on about 1.4 million registered voters. You can see that over the last four cycles the number of citywide registered voters has stayed within a band of 30,000 so it’s held pretty flat. The total vote last night held remarkably similar to 2003 and 2007. In other words last night’s election was nothing special, wasn’t a big turnout like 2011 and wasn’t a horrible one either, it just tracked well with other recent elections with an incumbent Mayor.

  42 Comments      


Caption contest!

Thursday, Feb 26, 2015 - Posted by Rich Miller

* From the Twitters…


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*** LIVE *** Session coverage

Thursday, Feb 26, 2015 - Posted by Rich Miller

* Watch the bouncing balls via ScribbleLive

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Today’s quotable

Thursday, Feb 26, 2015 - Posted by Rich Miller

* For whatever reason, Gov. Rauner repeated his claim yesterday that a fix for this fiscal year’s problems was just days away. He was promptly disabused of that notion, however

Gov. Bruce Rauner said again Wednesday that he is very close to reaching an agreement with legislative leaders to give him emergency powers to plug holes in the current state budget.

However, a spokeswoman for Senate President John Cullerton, D-Chicago, said there are still “major issues” that must be resolved with the administration before the Senate will cede power to the governor to rearrange the current spending plan. […]

“To a large extent, the governor is asking for us to simply trust him,” [Cullerton spokeswoman Rikeesha Phelon] said. “That is a relationship that is going to have to be built.”

After Rauner’s budget speech last week, House Speaker Michael Madigan, D-Chicago, said an agreement with Rauner on giving him emergency budget powers was days away. On Wednesday, Madigan spokesman Steve Brown referred to that statement, but he added, “No one has defined how many 24 hour segments that is.”

Emphasis added for obvious reasons.

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Protected: SUBSCRIBERS ONLY - Supplement to today’s edition

Thursday, Feb 26, 2015 - Posted by Rich Miller

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

Thursday, Feb 26, 2015 - Posted by Rich Miller

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Madigan, school groups renew call for millionaire surcharge

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* You don’t usually see Speaker Madigan issue long press releases about legislation, but he did it today…

Pointing to the need for greater assistance for schools across Illinois, House Speaker Michael J. Madigan on Wednesday released a statement on his plan to increase state funding for elementary and high schools:

“With the rollback of the temporary income tax increase on January 1, we are facing new budget-making obstacles. According to the bipartisan Commission on Government Forecasting and Accountability, the rollback is expected to result in a loss of nearly $5 billion in state revenue each year. With lower revenues, many state services will be in very precarious financial positions.

“Schools in Illinois need greater financial support to ensure our children can compete in a global economy. This is why I am renewing my call for a constitutional amendment requiring a 3 percent surcharge on income over $1 million, with the extra revenue devoted to schools across the state on a per-pupil basis. This change, filed as House Joint Resolution Constitutional Amendment 26, would result in about $1 billion in additional funding for Illinois students, or about $530 in additional funding per student, per year.

“When this question was put to voters in a referendum last November, the results on Election Day were clear. Statewide, nearly 64 percent of all those voting on the referendum believed this surcharge should be implemented. Across Illinois, from Cook County to the collar counties, from northern Illinois to our southern-most counties, voters overwhelmingly voted in favor of requiring a 3 percent surcharge on millionaires. More than 40 counties supported the referendum with at least 60 percent of the vote, and 100 counties supported the measure with at least 50 percent of the vote.

“When I first offered this proposal in 2014, we knew then that Illinois schools needed greater financial support. The tax increase rollback has amplified our schools’ financial shortcomings. As tough as budget decisions have been for many years, they are now much more difficult. This proposal is not a complete solution to our education funding issues, but it is a fair and equitable way to help make sure Illinois schools receive needed funding to help prevent higher property taxes, teacher layoffs, larger class sizes and the loss of scholastic programs and classes.”

* The release followed a press conference by school groups…

A coalition of statewide education advocates on Wednesday called on state legislators to support House Joint Resolution Constitutional Amendment 26, a proposal that would require a 3 percent surcharge on income over $1 million, to direct needed additional funding for K-12 schools. The members released the following statements:

“Every Illinoisan has a stake in ensuring that more investment goes to the classroom, so students get the support they need from their teachers and schools can offer the world-class opportunities that we know can change lives,” said Dan Montgomery, President of the Illinois Federation of Teachers, a statewide union of over 100,000 teachers and public employees. “Rather than ask more from those who can least afford it, it’s time that the wealthiest Illinoisans contribute their fair share to fund education. Although this amendment isn’t the entire solution to the greater revenue crisis in Illinois, it is an important element for improving one of the worst school investment records in the nation. Last November, Illinois voters overwhelmingly approved this proposal and today, we call on all legislators to put the actual policy up for a vote.”

“The state’s Education Funding Advisory Board (EFAB) has determined that the cost of providing every student an adequate education is $8,899 per pupil, yet the Rauner budget proposes $5,782 per pupil,” said Cinda Klickna, President of the Illinois Education Association. “It is illogical to believe we can allow revenue sources to disappear and continue to provide a quality education to our students. That’s bad math. Our children are being cheated out of their birthright – the opportunity to receive a high quality education. The Illinois Education Association strongly supports this amendment because it is a step toward ending the inequality that occurs when the support a school receives is determined by a student’s ZIP code.”

“Since 2009, state revenue funds for K-12 education have decreased by nearly $1 billion,” said Matt Brue, superintendent of Porta Community Unit School District #202 in Petersburg. “We appreciate the priority placed on K-12 education in the recent budget discussions, but are supportive of a comprehensive, long-term fiscal and tax policy plan. A component of this plan should include an additional tax imposed on the highest income earners.”

“We commend this proposal’s focus on increasing investment in education,” said Jessica Handy, Government Affairs Director for Stand for Children Illinois. “Schools have lost hundreds of millions of dollars in the last five years, which hurts the education that our children receive and the professionals in the classroom. Stand for Children supports increased early childhood education opportunities, equitable funding, and support and accountability for all types of public schools – but these strategic investments at their core depend on having adequate funding for our education system.”

“This proposal is an important first step toward restoring the millions that have been cut from K-12 education in recent years,” said Robin Steans, Executive Director of Advance Illinois. “While not a complete solution to our education funding concerns, this proposal can start to move our students and schools toward an adequate base level of funding. Money alone will not improve education or close achievement gaps, however, money matters. Illinois ranks as one of the most regressive states nationwide in how it distributes state funds to schools. We also suffer from some of the nation’s largest achievement gaps between low-income students and their peers. A more equitable funding formula, in tandem with the proposal in HJRCA 26 for increased revenue, would begin to open the doors of opportunity for all Illinois students.”

“Our districts, like others throughout the state, are struggling to maintain a high level of education, while experiencing ongoing proration of General State Aid and multiple-year cuts to their budgets,” said Diane Rutledge, Executive Director of the Large Unit District Association, which represents 55 of the largest school districts in the state. “More than two-thirds of the school districts in Illinois are in deficit spending. Although we do not believe HJRCA 26 is the sole solution to education funding, we do appreciate this effort to identify new revenues for education. This is one piece to the school-funding puzzle. As educators, we will continue to work towards adequate funding and equitable distribution for all of the students in our state in order to complete the puzzle.”

Discuss.

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*** LIVE *** Session coverage

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* Oops. I forgot to post this. Sorry about that. Follow along with ScribbleLive

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Rauner goes back on offense

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* AP

Gov. Bruce Rauner is asking farmers to help him go after troublesome lawmakers and protect those who support his agenda for reshaping Illinois.

The Republican governor told attendees at an Illinois Farm Bureau conference on Wednesday that lawmakers who oppose reform create enemies among farmers and within the business community.

Rauner wants famers to help him “protect the good ones and go after the bad ones” as he pushes for legislation in line with his agenda over the coming months. His plans for Illinois include freezing property taxes, hiring more prison guards, increasing school funding and cutting billions in state spending.

He also said “We’ve got some corrupt politicians and some government unions bosses and some inside lobbyists that run the government for their benefit, not for your benefit, and I’m gonna break up that system.” He closed by saying “If we don’t get involved together, the bad guys stay in charge.”

* The governor also issued a long, full-throated defense of his “right to work” plans. Have a listen…

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Question of the day

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* Bruce Rauner is to ____ as Rahm Emanuel is to _____ ?

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Schock lawyers up after apparent oppo dump

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* Check the last line in this story excerpt

Rep. Aaron Schock has hired two prominent Washington defense attorneys and a public relations firm to respond to the swirling controversy and a potential ethics probe over how he has financed his lavish lifestyle.

The move by the embattled Illinois Republican comes amid continuing questions about his use of campaign and office accounts to pay for pricey travel and accommodations. His office has refused to respond to specific questions from POLITICO, including issues raised over the past week about a trip he took to London nearly four years ago as part of an annual event featuring Prince Charles.

Schock has hired William McGinley and Don McGahn of the Washington law firm Jones Day to lead his legal team. Veteran GOP communications operatives Ron Bonjean and Brian Walsh are helping manage his response, according to sources close to the matter. […]

The trip, which included events organized by the nonprofit Prince of Wales Foundation, was not an official government trip and was not reported as a gift. Schock’s office would not say whether he paid for it. If he personally covered the cost of the trip, Schock would not be required to disclose it.

The London trip was discovered as part of a cache of documents obtained by POLITICO detailing several years of Schock’s personal, political and governmental travel.

A “cache of documents obtained” is obviously a euphemism for “Oppo dump.” This sure looks to me like a generated piece, which wouldn’t be the first time Schock was hit with one of those lately.

* And if the AP really did come up with this idea and spent the time necessary to do the research all on its own, then good for the AP. But being on the receiving end of some pretty clever oppo over the years, and knowing the existence of a “cache” of travel-related oppo, I am a tiny bit skeptical that this was a purely original concept

Illinois Rep. Aaron Schock, a rising Republican star already facing an ethics inquiry, has spent taxpayer and campaign funds on flights aboard private planes owned by some of his key donors, The Associated Press has found. There also have been other expensive travel and entertainment charges, including for a massage company and music concerts.

The expenses highlight the relationships that lawmakers sometimes have with donors who fund their political ambitions, an unwelcome message for a congressman billed as a fresh face of the GOP. The AP identified at least one dozen flights worth more than $40,000 on donors’ planes since mid-2011.

The AP tracked Schock’s reliance on the aircraft partly through the congressman’s penchant for uploading pictures and videos of himself to his Instagram account. The AP extracted location data associated with each image then correlated it with flight records showing airport stopovers and expenses later billed for air travel against Schock’s office and campaign records. […]

The AP found that Green’s plane traveled to at least eight cities last October in the Midwest and East Coast, cities where Schock met with political candidates ahead of the midterm elections. His Instagram account’s location data and information from the service FlightAware even pinpointed Schock’s location on a stretch of road near one airport before Green’s plane departed.

* And then right on cue comes the liberal-leaning CREW outfit

Under scrutiny for lavish spending, Rep. Aaron Schock R-Ill. has been hit with a third ethics complaint on Wednesday from CREW — Citizens for Responsibility and Ethics in Washington — a watchdog group whose concerns often trigger further investigative inquiries.

The complaint comes a day after Schock asked his lawyers to conduct an internal audit of spending from his government and political accounts.

In a release, CREW said it “asked the Office of Congressional Ethics (OCE) to investigate whether Rep. Schock broke House rules in light of new evidence that the congressman improperly used taxpayer money and campaign funds to rent private, non-charter flights for travel.

* Bob Dylan seems appropriate here

Someone’s got it in for me,
they’re planting stories in the press
Whoever it is I wish they’d cut it out
but when they will I can only guess

* I’m not trying to diminish the fix that Schock has gotten into here. I’m just marveling at how so much of this coverage seems to be directed from Democratic sources above. That recent DCCC mailer in Schock’s district shows it has a budget for this little project.

So is this just some DC-style harassment “fun,” or is it something more? It could be either one or even both, but it’s probably not too difficult to use your imagination to see the ultimate hit that could be coming here. The Democrats could very well be working up to something, or at least churning the waters until that something is finally pried loose and Schock is forced out or so badly damaged that the wildly successful fundraiser and GOP media star is rendered ineffective.

Or, maybe it’s just “good government.”

Yeah, right. DC is so all about the good government thing.

* Before closing, I should say that strict compliance with our comment code will be enforced on this post. Don’t get yourself banned for life. It ain’t worth it.

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Stop the satellite TV tax

Wednesday, Feb 25, 2015 - Posted by Advertising Department

[The following is a paid advertisement.]

The cable industry is asking lawmakers to place a NEW 5% tax on satellite TV service. The satellite tax is not about fairness, equity or parity – it’s a tax increase on the 1.3 million Illinois families and businesses who subscribe to satellite TV.

Satellite Tax Will Hurt Illinois Families and Small Businesses

    • Satellite TV subscribers will see their monthly bills go up 5%.
    • This tax will impact every bar, restaurant and hotel that subscribes to satellite TV service, which will translate into higher prices, decreased revenues, and fewer jobs.
    • Rural Illinois has no choice: In many parts of Illinois, cable refuses to provide TV service to rural communities. Satellite TV is their only option.

Satellite Tax Is Not About Parity or Fairness

    • Cable’s claim that this discriminatory tax is justified because satellite TV doesn’t pay local franchise fees could not be further from the truth. Cable pays those fees to local towns and cities in exchange for the right to bury cables in the public rights of way—a right that cable companies value in the tens of billions of dollars in their SEC filings.
    • Satellite companies don’t pay franchise fees for one simple reason: We use satellites—unlike cable, we don’t need to dig up streets and sidewalks to deliver our TV service.
    • Making satellite subscribers pay franchise fees—or, in this case, an equivalent amount in taxes—would be like taxing the air. It’s no different than making airline passengers pay a fee for laying railroad tracks. They don’t use; they shouldn’t have to pay for it.

Tell Your Lawmakers to Stop The Satellite TV Tax

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Rauner’s first bill puts him in a trick box

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* Finke

Two months after it passed the General Assembly, a bill has finally been sent to the governor that gives electric utilities, including Ameren, two additional years to recover costs of upgrading delivery systems.

The bill is now in the hands of Gov. Bruce Rauner who has until early April to decide whether to sign or veto the bill that provides rate increases to Ameren and Commonwealth Edison for installing smart-grid technology.

Rauner’s office issued a statement Tuesday saying only that the bill is under review.

The bill extends until 2019 a law that allows the two utilities to raise rates according to a formula. An original version of the bill called for the legislation to expire in 2017 which would have required the utilities to make a case for why it should be continued.

* Vinicky wrote about this yesterday

This is the first bill to reach Rauner, who has never before held elected office, and it’s hard to tell what he might do with it. Proponents of the measure say an updated, high-tech “smart grid” will make the state more attractive to businesses. Utilities ComEd and Ameren are also powerful lobbies. But a new governor — particular one who has advocated for lowering taxes — may also not want the first piece of legislation he signs into law to be one that consumers could view as an electric rate hike.

Not to mention the potential legal issues, given the measure’s carryover from the 98th General Assembly to the 99th.

“It’s pretty much unprecedented, the situation that we’re in now. I think it’s very much a legal gray area. Maybe even a dark gray area,” says Citizens Utility Board director David Kolata. He says that CUB may consider legal action should Rauner sign the extension into law.

That most certainly does pose an interesting question. Can a governor sign a bill that was passed during a previous General Assembly under a previous governor?

* Meanwhile

Community leaders have added their voices to the debate over the future of the nuclear power station in Clinton and two sister plants which face the risk of closure according to their owner, Exelon Nuclear.

Clinton Mayor Carolyn Peters joined the mayors of Morris, Oregon, East Moline, Braceville and Marseilles in letters sent to Gov. Bruce Rauner and top legislators like House Speaker Michael Madigan, D-Chicago, stressing the importance of the plants to their cities and towns.

In their letter to Rauner, they warn of the economic fallout that would follow the closure of Clinton or the other plants in Ogle County and Rock Island.

“Illinois nuclear facilities provide thousands of good jobs; the kind of jobs you can support a family on…,” the mayors say in a letter dated Feb. 4. “Part of the upcoming debate in Springfield should focus on what these plants mean to their host communities. From our firsthand perspective, we can tell you that Illinois’ nuclear facilities are essential to helping our communities thrive.”

There’s no doubt that these are good jobs. There’s also no doubt that those communities depend on the taxes generated by the nuke plants.

But the question is whether the GA ought to be stepping in here. I’m not convinced either way yet.

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Martin’s Story: A Medical Error Changed Everything

Wednesday, Feb 25, 2015 - Posted by Advertising Department

[The following is a paid advertisement.]

My name is Donna Harnett. My eldest son’s life was destroyed the moment it began as a result of a medical error.

Martin’s disabilities were severe. He was a quadriplegic. He didn’t walk and was unable to talk. He wore diapers.

The doctor who delivered Martin was a teaching physician at a prominent hospital in Cook County. My case against him was not the first; there were several others with similarly disastrous outcomes. Despite the other lawsuits, the doctor retained his license to practice and was not listed on the Illinois Department of Financial and Professional Regulation website as ever being disciplined.

Let me tell you about this lawsuit lottery winner’s life. Martin had at least one doctor appointment per week. He received physical therapy, not only at home but also at school every week. He was unable to socialize with others. He couldn’t run or play with his brothers. His existence consisted of laying or sitting in a wheelchair, completely helpless.

Martin passed away at the age of 14. I would give it all back if I could just have had my son as he should have been.

The Illinois Trial Lawyers Association fights to ensure all citizens get equal footing in the courtroom. To learn more about Martin, click here.

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Ventilator blues

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* Gov. Bruce Rauner barnstormed Illinois for days after delivering his State of the State address. That hasn’t happened since the budget address. He just hasn’t been out there stumping and he’s not making himself available to the media.

He’s changing that up a bit today with a safe audience speech, a public appearance and a cabinet meeting. But there will be no talking to reporters. Here’s today’s official schedule…

Daily Public Schedule: Wednesday, February 25, 2015

What: Governor Addresses Illinois Farm Bureau
Where: Crowne Plaza Springfield
3000 S. Dirksen Pkwy., Springfield
Date: Wednesday, February 25, 2015
Time: 10:00 a.m.
Note: No additional media availability.

What: Governor Attends IDOT’s Today’s Challenge Tomorrow’s Reward Conference
Where: President Abraham Lincoln Springfield DoubleTree Hotel
701 E. Adams St., Springfield
Date: Wednesday, February 25, 2015
Time: 12:00 p.m.
Note: No additional media availability.

What: Governor Holds Cabinet Meeting
Where: State Capitol, Room 212
Date: Wednesday, February 25, 2015
Time: Requested Media Arrival – 12:45 p.m.
Meeting Begins - 1:00 p.m.
Note: Only Governor Rauner’s remarks will be open to the media. No additional media availability.

* The governor is beginning to push back against critics today, however, by showcasing some horribly ill-informed or deliberately misinforming (cough*Tribune*cough) editorials…

Governor Rauner’s Budget Proposal: What They’re Saying

One week ago, Governor Rauner delivered his budget address as part of his Turnaround Plan for Illinois. Below see what some of Illinois’ leading voices have had to say:


* A budget is not “honest” or “courageous” or “fiscally responsible” if a huge portion of its immediate savings is based on constitutionally dubious “reforms.”

I’m also not sure how much “waste and inefficiencies” he’s really targeted with that budget. For example, he complained bitterly about the state’s airplane fleet during the campaign and many of those above editorial boards praised him for it. But except for zeroing out his own office, Rauner is maintaining funding for the shuttle service to and from Chicago.

* And what’s with the complete and deliberate refusal by these editorial boards to even discuss one or two of his human service cuts? Here’s an informative piece about the impact on the social service not-for-profit sector by the Donor’s Forum

What is at stake is a valuable contributor to our state’s socio-economic engine. Consider these facts:

    The philanthropic and nonprofit sector in Illinois employs half a million people. (Approximately 523,000 according to recent census data, available at BuildingStrongerIL.com) About 1 in 10 people with jobs in Illinois work for a nonprofit organization. Whether education, healthcare, arts and culture, the environment, human services, or research, our workforce contributes daily to this state’s competitive edge.

    The nonprofit workforce in Illinois generates nearly $20 billion in payroll. Contrary to popular belief, working in a nonprofit does not mean that one is working for “good feelings.” Our $19 billion payroll represents our sector’s spending power within communities. And the taxes we pay on that payroll amounts to $1.5 billion.

    Our philanthropic institutions invested $2.8 billion in grantmaking to communities in Illinois. This grantmaking compliments the $29 – $35 billion investments government makes in arts and culture, education, health and healthcare, and public safety. It cannot replace government cuts. It cannot achieve the scale government can. It is a vital resource that works in tandem with government funding.

When for-profit employers consider relocation, they take into account quality of life, education for their children, and opportunities to thrive. These qualities are enabled by the work our philanthropic and social impact community perform together – with government as a partner. When a state deliberately sets out to dismantle the social good, that state’s competitiveness and attraction plummets.

* But how about starting with that budget cut to children on ventilators?

Anyone?

Bueller?

Ain’t nobody slowing down no way,
Ev’rybody’s stepping on their accelerator

/Rant

  79 Comments      


When spending less costs more

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* From the Illinois Alcoholism Drug Dependence Association…

[Gov. Bruce Rauner] is aiming to slice $27.6 million out of the $127 million budget of the Illinois Department of Human Service’s Division of Alcohol Substance Abuse for alcohol and drug treatment, a 22% cut.

A cut of that magnitude would eliminate addiction healthcare treatment for 7,871 individuals next year out of the 47,000 currently receiving care this year or a 17% overall decrease, according to Illinois Alcoholism and Drug Dependence Association Vice President for Substance Abuse Policy Eric Foster, who noted that funding for addiction health care has been cut 24% since fiscal year 2009.

“Tossing 7,871 people out of treatment means tossing them out of any meaningful opportunity to get a job,” said Foster. “Any good, modern businessman, especially a small businessman, knows that healthy employees are productive employees. It’s economics 101.”

According to 2014 data from the Illinois Department of Human Services’ Division of Alcohol and Substance Abuse, 35% of individuals entering treatment outpatient services are employed at admission, and that number grows to 42.6% employed at discharge. For those who receive treatment at Halfway House Recovery Homes 13.3% employed at admission and a whopping 38.7% employed at discharge. […]

“Since 2009, the state has slashed $39.7 million from treatment, denying care to 8,941 individuals in order to solve annual, chronic budget problems,” said Foster. “The cutting of addiction health care by Governor Rauner is just Springfield business as usual. There’s no ’shaking up Springfield. Simple-minded cutting is what Rod Blagojevich and Pat Quinn did each year.” […]

“A 2005 study by Bloomington-based Chestnut Health Systems of more than 800 Illinois adults reported that treatment produced a 58% decrease in drug and alcohol use and a 69% increase in employment engagement,” said Foster. “Cutting programs that deliver results and that help low-income workers, minorities, and women is not “thinkin’ anew”, it’s just the same old Springfield playbook.” […]

“A 2006 study of prisoners completing the Illinois Sheridan reentry prison treatment program revealed that 21% were less likely to be re-arrested for a new crime and 44% were less likely to return to prison,” said Foster. “The creation of the Sheridan program was a symbol of innovation, and the Rauner Administration needs to expand treatment for offenders if it is serious about reducing Illinois’ prisoner population.”

Discuss.

  49 Comments      


Today’s number: $1 billion

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* Jake Griffin takes a look at the optional municipal sales tax add-on, which raised nearly $1 billion for local governments last year above and beyond their share of the state sales tax

Last year, 296 towns imposed a sales tax on top of the state’s 6.25 percent, Illinois Department of Revenue data show. That’s up from 185 towns eight years ago. And elected officials in 173 of those towns have the authority to raise sales tax rates without asking voters for permission. […]

Increasing the sales tax rate is a much “easier sell” than raising property taxes because sales taxes are charged to nonresidents as well, Sagona said. That’s why municipal sales taxes have become increasingly popular and local governments haven’t been shy about increasing rates.

Money raised by municipal sales taxes has risen 51.8 percent since 2006, while the amount all Illinois towns receive from a separate 1 percent share of the state’s sales tax has increased just 11.9 percent, according to the revenue department figures.

The extra municipal sales taxes represent 22 percent of the $4.7 billion in total sales taxes paid to counties, all Illinois municipalities, the Regional Transportation Authority and a few other local government entities in 2014. […]

From 2006 to 2014, the number of towns charging home-rule sales taxes increased from 134 to 173. But the highest growth came in the form of voter-approved municipal sales taxes, which were charged in 123 towns last year, up from 51 in 2006.

The point of the story is some local governments may look at that sales tax as a way to cushion the blow of the governor’s proposed budget cuts. Then again, plenty of towns are already maxing out on the tax.

  22 Comments      


“Mayor 1 Percent” gets 45 percent

Wednesday, Feb 25, 2015 - Posted by Rich Miller

* Mary Mitchell

The black community gave Mayor Rahm Emanuel a spanking in Tuesday’s election.

In 2011, Emanuel surprised political insiders when he racked up 50 percent of the black vote in majority black wards without kowtowing to nary a ward boss or community activist.

This time around, however, Emanuel struggled to shore up his support in the African-American community where some vowed early on to vote for anybody but Rahm.

* Mark Brown

With 45 percent of Tuesday’s vote, Emanuel still has to be installed as the favorite, but his formula for getting to 50 percent plus one is every bit as complicated as Garcia’s.

Everyone who voted Tuesday made a statement about Emanuel. It’s less certain where they stand on Garcia.

That’s particularly true in the African-American community, where it now becomes a race to win over the approximately 25 percent of voters who picked businessman Willie Wilson.

Then there’s finding a way to motivate the two-thirds of registered voters who stayed home Tuesday.

* Tribune

Emanuel’s failure to close the deal in the first round of voting despite such edges could stand as a rare humbling experience for a longtime Washington insider not known for humility.

The results also were an embarrassment for Obama, who used a trip home in the final days of the campaign to shower praise on his former White House chief of staff in remarks that were then quickly turned into an Emanuel campaign commercial. […]

If nothing else, the Emanuel-Garcia faceoff affords liberal critics of the mayor an opportunity to coalesce around a single challenger instead of carving up their support among several. Emanuel’s big fundraising edge is unlikely to disappear over the coming weeks, but Garcia also may gain a clearer platform to sell himself as a progressive alternative in the mold of his political mentor, the late Mayor Harold Washington, who remains an icon to many on left.

* Sun-Times

Emanuel’s political beating was capped off by the fact that one incumbent alderman was defeated outright and nine others backed by the mayor’s super PAC were forced into runoffs. Even Patrick Daley Thompson, the nephew of Emanuel’s political mentor, was forced into a runoff in spite of support from Chicago Forward.

During an animated impromptu press conference, Frank Avila Jr., an attorney for Willie Wilson, claimed credit for the mayoral runoff.

“Without Willie Wilson in the race, Rahm Emanuel . . . would have been re-elected tonight,” Avila shouted. “Willie Wilson took it to Rahm Emanuel at his base with African-Americans and said Rahm was lying. At least a portion of those African-Americans listened to us.”

Even in the 13th Ward, where powerful House Speaker Michael Madigan is the ward committeeman who worked hard for Emanuel, the mayor got just 50.9 percent to 36.7 percent for Garcia. In the 19th Ward, another one of the handful of strong Democratic ward organizations, Emanuel got just 41.3 percent to 36.4 percent for Garcia.

Trying to win more than 50 percent of the vote against four challengers is a tall order. It was particularly challenging for a polarizing figure such as Rahm Emanuel.

* ABC 7

“I think that a lot of support will flow to Rahm and some will flow to Chuy as a result of that. At the end of the day, I think Rahm wins that choice,” said David Axelrod, President Barack Obama’s former chief advisor.

“You had a multi-candidate race - a vigorous campaign. Each candidate had a constituency or constituencies. It’s hard to pull together an absolute majority in a situation like that,” Axelrod said.

Part of the reason for the runoff, is a very low voter turnout. In 2011, Emanuel got more 326,000 votes. This year, that number dropped off by nearly a third, to about 210,000 votes. That’s almost equal to the number of people who stayed home this year, compared to four years ago.

Emanuel spent over $10 million dollars and had major endorsers, including President Obama. But he isn’t wasting any time back on the campaign trail.

“We will get back out there, talking to friends and family and neighbors, as they make a critical choice,” Emanuel said.

* More Sun-Times

Mayor Rahm Emanuel’s pick to replace former Ald. Sandi Jackson appeared Tuesday to be headed for an April runoff.

Ald. Natashia Holmes held a slim lead over her nearest challenger in the 7th Ward, Gregory Mitchell. But Holmes’ 25 percent of the vote with 93 percent of precincts reporting fell far short of the 50-percent-plus-one threshold needed to end her campaign in February. […]

Holmes will not be alone in the runoffs. Support from Emanuel’s Super PAC could not help some other incumbents on the far South Side end their campaigns Tuesday.

Ald. Lona Lane was nearly tied with Derrick Curtis in the 18th Ward, where both had 30 percent of the vote with 98 percent of precincts reporting.

In the 10th Ward, Ald. John Pope appeared to be headed into a runoff with Susan Sadlowski Garza. Pope had 44 percent of the vote with 97 percent of precincts reporting. Garza had 24 percent of the vote.

And in the 17th Ward, Emanuel’s super PAC backed Glenda Franklin. But David Moore led with 53 percent of the vote with 98 percent of precincts reporting.

* Former Quinnster Brooke Anderson on what Rahm needs to do now

First, he needs to change the narrative immediately. To win decisively on April 7, Emanuel must make this race about a choice between two candidates – not a referendum on his last four years.

This runoff allows both candidates to appeal to the broader electorate. There will be more debates, more substance, and more scrutiny as to who is better prepared to lead the city for the next four years.

Making this election about a choice also means that we should expect the Emanuel campaign to aggressively amp up their efforts to define Garcia. (I’ll be surprised if they don’t have new attack ads up before the weekend.)

Second, eating some humble pie right now could do the mayor some good.

Fairly or not, there’s a perception out there — advocated by his critics — that the mayor doesn’t listen to the concerns of everyday people. Those flames get fanned when his supporters bankroll a Super PAC to snuff out any opposition to his agenda or when he blows off media questions in the days leading up to the election (Opinion leaders and many in the media energetically rooted for a run-off).

Thoughts?

* Other stuff…

* Results

* Interactive: Mayoral race margin of victory in each precinct

* VIDEO: Jesus “Chuy” Garcia: “We’re Going to Build a New Chicago”

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