* AP…
Lawmakers are scheduled to consider a new plan introduced by House Speaker Michael Madigan to end weeks of negotiations over plugging a $1.6 billion hole in this year’s state budget.
The Legislature faces a fast-approaching deadline to act as money runs out for subsidized childcare programs, prisons and court reporters.
The Chicago Democrat introduced the plan late Monday. It would authorize Republican Gov. Bruce Rauner to transfer $1.3 billion from other purposes, including parks and conservation. The rest would come from a 2.25 percent across-the-board budget cut. […]
Madigan’s spokesman declined to comment as did the governor’s office. Senate Democrats said they planned to review the “progress” with their caucus.
Subscribers know more, but the amendments are here and here. House Republican Leader Jim Durkin was added as a chief co-sponsor yesterday on both measures. Both measures are posted for hearings this morning in the House Executive Committee.
*** UPDATE 1 *** The fast tracking begins…
*** UPDATE 2 *** Subscribers were told about this earlier today…
*** UPDATE 3 *** Finke…
Rep. Barbara Flynn Currie, D-Chicago, said the cuts, including about a $150 million cut to education will be painful, but more than 80 percent of the budget hole is being filled by taking money from the special state funds. […]
To ease the impact of the education cuts, Gov. Bruce Rauner will be given discretion to use up to $97 million to aid districts that are facing severe financial problems because of the cuts.
“I think what we are looking at here are very serious problems that could result in the stoppage of education across the board,” Currie said.
Federal funds will not be touched as part of the plan. Also, Illinois hospitals agreed to a plan in which they pay to help leverage federal health care matching funds that are then returned to them.
- Toure's Latte - Tuesday, Mar 24, 15 @ 8:39 am:
“Hey Governor Rauner, Speaker Madigan: don’t forget me guys!”
“I never forget you Jimmy.”
“C’mon Mike, let him be a co-sponsor.”
(sighing) “Okay. Jimmy, while you’re adding yourself as Co, get me another coffee.”
“YES SIR Mr. Madigan!!”
- the Patriot - Tuesday, Mar 24, 15 @ 8:41 am:
This was the problem with letting Blajojevich and Quinn shift funds. The precedent is set and the budget is meaningless.
How did we get here? The top post today reminds us why Rauner was elected. It is almost April and we are still trying to fix Quinn and Madigan’s last budget.
Overtime or not this year? I’ll take the over.
- Joe M - Tuesday, Mar 24, 15 @ 8:43 am:
A 2.25 percent across-the-board budget cut this late in the fiscal year will be hard for some agencies and state universities to swallow. In some cases that money has already been spent. But I guess they will have to deal with such cuts one way or another.
- Stones - Tuesday, Mar 24, 15 @ 8:47 am:
Like him or not at least there is one adult in the room.
- Norseman - Tuesday, Mar 24, 15 @ 8:51 am:
The addition of Durkin as co-sponsor seems to indicate some agreement. Shows promise.
- Oswego Willy - Tuesday, Mar 24, 15 @ 8:51 am:
Really pleased to see this moving.
The measure of damage, both to the groups/agencies/etc., and to the ILGOP GA will be the post mortem.
Rauner is signing, so it’s “Rauner’s Sweeps” and “Rauner’s Cuts”.
Rauner owns the FY2015 “fix”. We’ll see if anyone gives Rauner a *cough* “problem”.
- Cassandra - Tuesday, Mar 24, 15 @ 8:56 am:
So, the special funds are Illinois’ equivalent of a rainy day fund? Not a bad option to have, although,one wonders if the politicians and their budgeteers don’t just assume a special funds raid as part of the “planning” process.
- Anonymoiis - Tuesday, Mar 24, 15 @ 9:00 am:
==equivalent of a rainy day fund==
Well if this isn’t a rainy day, I’d hate to see what is.
- Shoedoctor - Tuesday, Mar 24, 15 @ 9:09 am:
Rauner owns the 2015 fix all by himself? Quinn, Madigan, Cullerton, Durkin and Radogno and the rest of the GA off the hook completely?
- Louis G. Atsaves - Tuesday, Mar 24, 15 @ 9:14 am:
The adults are finally moving to fix what was broken on arrival during the last legislative session. They should be commended for taking these steps. Hopefully they can arrange a permanent fix so this never happens again. Or am I dreaming here?
- facts are stubborn things - Tuesday, Mar 24, 15 @ 9:19 am:
now both parties share in this, both the blame and the prays. I believe that divided government can work well….each side has skin in the game.
- A guy - Tuesday, Mar 24, 15 @ 9:26 am:
==Madigan’s spokesman declined to comment as did the governor’s office. Senate Democrats said they planned to review the “progress” with their caucus.==
Tells you everything you need to know about who’s held things up and who’s last on board.
- Do It - Tuesday, Mar 24, 15 @ 9:31 am:
If a provider of services for the State used a special purpose contract for general operating expenses rather than for the purpose intended, the provider would face penalties, the wrath of regulators and auditors, and be called to testify at State hearings. BUT the State can do the same without any repercussions whatsoever…
- The Dude Abides - Tuesday, Mar 24, 15 @ 9:32 am:
If Madigan has agreed to play ball now with Rauner to fix the FY15 budget he’s going to expect something in return when crafting the FY16 budget.
- Arsenal - Tuesday, Mar 24, 15 @ 9:35 am:
“now both parties share in this, both the blame and the prays.”
Probably not. The Executive takes the blame for budgets, just look at who was sent home in FY15.
“Tells you everything you need to know about who’s held things up and who’s last on board.”
Well, it tells *you* everything you need to know to blame Senate Dems- but then again, so does “The sky is blue.” C’mon- the fact that House Dems didn’t move legislation until now tells you a lot more than 3 “no comments”.
- Oswego Willy - Tuesday, Mar 24, 15 @ 9:35 am:
===Rauner owns the 2015 fix all by himself? Quinn, Madigan, Cullerton, Durkin and Radogno and the rest of the GA off the hook completely?===
Budgets are the Governor’s.
Governors find the votes, they sign the budgets, it theirs.
“Edgar Ramp”, “Quinn Tax, …
The governors get the moniker.
Please learn.
- Demoralized - Tuesday, Mar 24, 15 @ 9:36 am:
==So, the special funds are Illinois’ equivalent of a rainy day fund?==
The amounts they are transferring exceed “rainy day.” Don’t kid yourself that these transfers are just of excess funds. They aren’t.
- A guy - Tuesday, Mar 24, 15 @ 9:38 am:
=== C’mon- the fact that House Dems didn’t move legislation until now tells you a lot more than 3 “no comments”.===
Respectfully. No it doesn’t. What it tells me is that one leader’s biggest problem isn’t the Governor. And..that he should be his adversary’s a lot more carefully.
- A guy - Tuesday, Mar 24, 15 @ 9:41 am:
===Governors find the votes, they sign the budgets, it theirs.====
Willy, admittedly this is a major “if”, but IF in the future, this turns out to be the defining moment of when this state turned the corner, I trust you’ll be just as gracious in assigning credit should that happen. Just asking.
- Oswego Willy - Tuesday, Mar 24, 15 @ 9:44 am:
- A Guy -,
FY2015 is turning any corners.
I give credit, I admit when I’m wrong when it’s warrented.
When Rauner sinks the ILGOP GA, I’m sure you will as gracious and say, “Welp, he bought it, he broke it, whadda gonna do?” lol
- Oswego Willy - Tuesday, Mar 24, 15 @ 9:44 am:
isn’t
- Not it - Tuesday, Mar 24, 15 @ 9:46 am:
It seems grossly unfair that the Chicago area mass transit systems won’t be cut, but the downstate transit systems will.
- A guy - Tuesday, Mar 24, 15 @ 9:52 am:
===FY2015 isn’t turning any corners.===
I disagree, but concede that it remains to be seen.
- walker - Tuesday, Mar 24, 15 @ 10:01 am:
It’s basically done, before the legislative April break. Good.
Given the last six months and new administration, much of the 2.25% has probably been already covered. Not everyone spent at an accelerated rate.
What does it say about 2016 Budget?
Well, Rauner will need at least $1.3B in new revenues to even have a chance to balance, and that’s assuming the distributed funds reduction to localities stands — which is highly unlikely.
He’ll get no legal relief on pension funding — as he certainly knew when he counted those “saves.” He can short pensions, and engage in major war. Or he can go for new taxes.
Still don’t see any other alternatives for him. The numbers just don’t change.
Suspect A Guy is correct. Madigan is Rauner’s best potential “partner” in the GA on a negotiated compromise. Madigan’s at least as smart and capable as Rauner, and he’s conservative at heart with the numbers.
Their absolute, unbridgeable differences are around political power. The bigger Rauner and his national allies build his gun batteries, the higher Madigan will build his walls. We’ll see how well they can separate those issues from the fiscal issues of the state.
- Oswego Willy - Tuesday, Mar 24, 15 @ 10:03 am:
FY2015 right now is called a “fix”, not a solution.
FY2016 is the budget best to measure FY2015’s impact, setting the table for FY2016, not the lynch pin for overall budgetary successes.
Rauner aided in the crisis by not wanting to revisit the sunsetting income tax.
It’s not turning a single corner to fiscal health. That’s why its a stop-gap “fix” to get to FY2016.
- A guy - Tuesday, Mar 24, 15 @ 10:16 am:
OW, what if the fix is Phase 1 and the solution is Phase 2. And they correspond to FY15 and FY16 respectively. There’s plenty of time after the break to make heretofore not considered changes.
In chaos, just about anything is possible.
- Oswego Willy - Tuesday, Mar 24, 15 @ 10:26 am:
FY2015 isn’t about turnig a corner. Not one bit.
It is about imposing a fix abd how to get there in the very short term.
Why?
No vision for the future in the fix. That’s why. It’s about keeping the water on, the electricity on, and trying to keep the heat on.
That’s not turning any corners. It just isn’t.
- Juvenal - Tuesday, Mar 24, 15 @ 10:32 am:
Madigan is setting the stage for across-the-board cuts for FY 2016.
- walker - Tuesday, Mar 24, 15 @ 10:42 am:
Juvenal 10:32: It might be a small part of Madigan’s plan, but it wouldn’t come close to covering the whole shortfall in the 2016 Budget without new revenue.
- Wordslinger - Tuesday, Mar 24, 15 @ 10:53 am:
The $1.3 billion has to be paid back next fiscal, right?
So that makes Rauner’s proposed budget about $4.3 billion short, even with his cuts.
- Oswego Willy - Tuesday, Mar 24, 15 @ 10:59 am:
===So that makes Rauner’s proposed budget about $4.3 billion short, even with his cuts.===
- A Guy - this type of budgetary shortfall, to be placed upon FY2016 makes the FY2015 fix not part of turning any corners.
This is about the todays, not about turning corners for tomorrow. The FY2016, if it has a vision, maybe a map to get beyond FY2016 and have FY2017 and FY2018 goals reached within a parameter, “that’s” turning a corner.
- A guy - Tuesday, Mar 24, 15 @ 11:05 am:
Willy, the first step (turning the corner) is to stop the bleeding. This step in the midst of chaos balances a poorly conceived budget. It’s not pretty. In fact it’s pretty ugly. But it’s passable and barely gets the job done. FY16 opens up more possibility for more revenue. Some of what was spared in 15 might be captured in 16. The whole hog is on the table, guts and all.
If 16 moves a step forward with some added revenue, a number of positive things can occur. If this happens, I would identify the 15 “fix” as turning the corner. Ugly as it is, that’s the starting point. Free to disagree, but a lot of small steps are needed to get to the point where bigger steps are possible.
- Oswego Willy - Tuesday, Mar 24, 15 @ 11:13 am:
===…the first step (turning the corner) is to stop the bleeding.===
This fix isn’t stopping the bleeding, it’s like dissolving stiches, that are used when the wound won’t heal before the dissolve.
Plus the $2.2 Billion pension savings…
I am more than thrilled the 4 Tops and the Governor got one (allegedly) budget at least to votes.
But…the stitches will be dissolving by June.
Turning a corner would be, not restitching a wound, but rehabbing the body.
There’s no prognostication on rehab, but pleased by the progress.
The fallout for the ILGOP GA, that’s in the post mortem.
- walker - Tuesday, Mar 24, 15 @ 11:17 am:
Don’t see any provisions in the bills for paying these funds back to the designated special funds. This makes them a “sweep” not a “borrowing.”
Thus no added impact on 2016 Budget costs.
Could certainly be wrong about that.
- Toure's Latte - Tuesday, Mar 24, 15 @ 11:20 am:
2015 is the “Madigan Fix” to get past current focus.
2016 will be Rauner’s problem to own. Doubtful there’ll be a “Madigan Fix” repeat.
- A guy - Tuesday, Mar 24, 15 @ 11:23 am:
Walk, aside from one provision for education, I’m reading this the same way you are. Not borrowing, sweeping.
- Joe Blow - Tuesday, Mar 24, 15 @ 11:59 am:
Once the muny elections are over the LGDF will be in play for 16 as well as revenues and across the board cuts hold on for that ride.
- Skeptic - Tuesday, Mar 24, 15 @ 12:29 pm:
“FY16 opens up more possibility for more revenue” Sounds like A Guy has changed his tune about tax increases.
- Formerly Known As... - Tuesday, Mar 24, 15 @ 12:34 pm:
==The House Executive Committee approved the FY15 budget fix with bipartisan support. No LGDF reduction occurring in FY15.==
Even as they sweep $200M out of the Local Government Tax Fund? Might be a different story in the 2016 budget.
Lots of sweeps coming from infrastructure like the road, motor fuel tax, state construction, mass transit and downstate transit improvement funds.
- A guy - Tuesday, Mar 24, 15 @ 12:51 pm:
===Skeptic - Tuesday, Mar 24, 15 @ 12:29 pm:
“FY16 opens up more possibility for more revenue” Sounds like A Guy has changed his tune about tax increases.====
Sounds like Skep needs to research better. I was roundly criticized by a couple o your favorites here for suggesting some revenue alternatives in the last couple o weeks.
I firmly believe that once all of the cuts have the effect of demonstrating that government has attained strongly perceived efficiency, the electorate will be more open to revenue options. Same tune, butch. Keep up.
- Precinct Captain - Tuesday, Mar 24, 15 @ 12:57 pm:
So Governor Bruce Rauner, who was elected partially on the falsehood that state education cuts took place under Governor Quinn (there was a net plus in education funding) is now going to cut tens of millions from the education of our children? Sick.
- walker - Tuesday, Mar 24, 15 @ 1:09 pm:
House approves 2015 budget gap fix 72-45.
Any body got how much of that was bi-partisan?
Sure hope it wasn’t the bulk of Dems carrying the ball again.
- Qui Tam - Tuesday, Mar 24, 15 @ 1:18 pm:
=The amounts they are transferring exceed “rainy day.” Don’t kid yourself that these transfers are just of excess funds. They aren’t.=
Stop the presses - I actually agree with Demoralized.
- Skeptic - Tuesday, Mar 24, 15 @ 1:36 pm:
A Guy: Thank you for your snark, but anyone who would criticize raising revenue is no favorite of mine. Keep up, Butch.
- Oswego Willy - Tuesday, Mar 24, 15 @ 1:37 pm:
All right. Good job.
The band-aid is off…
- GA Watcher - Tuesday, Mar 24, 15 @ 2:14 pm:
Here’s how the House Caucuses voted on the two bills:
HB 317: Yeas: 46 R’s, 26 D’s
Nays: 0 R’s, 45 D’s
HB 318: Yeas: 46 R’s, 23 D’s
Nays: 0 R’s, 48 D’s
- Wondering soul - Tuesday, Mar 24, 15 @ 2:22 pm:
What does LGDF stand for?
- Oswego Willy - Tuesday, Mar 24, 15 @ 2:27 pm:
I trust in Leader Durkin, that by putting the GOP Caucus on these Bills, and seeing the minimum was carried, and then some, by the HDems, that the deal had the criteria that MJM wanted.
I have faith that the SGOP, seeing all the HGOP votes, they will do as needed to pass both Bills.
It will be up to Cullerton and his SDem Caucus won’t be to ambivalent in being helpful or in punishment.
The political fallout, well, with 46 “green lights”, they all hung together. I’m rooting for them all.
- Wordslinger - Tuesday, Mar 24, 15 @ 2:33 pm:
–….hospitals “pay to leverage federal matching funds that are returned to them.”–
Is that the old commercial paper shuffle?
- cover - Tuesday, Mar 24, 15 @ 2:37 pm:
= What does LGDF stand for? =
Local Government Distributive Fund. This is the fund the state uses to pay out the locals’ share of income and sales taxes.
- Ghost - Tuesday, Mar 24, 15 @ 2:40 pm:
They could cut salaries at the governors office, those went up not down during the fiscal crisis….
perhaps the State wages are not too high…since Rauner had to exceed the normal state wages to hire the people he wanted.
- walker - Tuesday, Mar 24, 15 @ 3:51 pm:
Good job Leader Durkin.
- A guy - Tuesday, Mar 24, 15 @ 4:50 pm:
It’s all talk til someone walks. Today, at least the HGOP walked in a very straight line. Agree with Walk, Durkin got it done today in a major way. Serious people do serious things.
- Oswego Willy - Tuesday, Mar 24, 15 @ 4:53 pm:
The question is;
The House put 46 on the board, the Senate GOP, what say you?
Cullerton may say…”20″
- Anonymous - Tuesday, Mar 24, 15 @ 5:11 pm:
Will those 46 R’s all vote for a tax increase or for the necessary draconian cuts if there is no more revenue?
- State Worker 24.5 years - Tuesday, Mar 24, 15 @ 6:23 pm:
I am willing to take furlough days if they just let me do my job and stop harassing me and acting like I am not as worthy of breathing as the .1%.
- Mama - Tuesday, Mar 24, 15 @ 7:47 pm:
FYI: HB0318- Authorizes transfers from the designated funds into the General Revenue Fund or the General Obligation Bond Retirement and Interest Fund as indicated.
- Mama - Tuesday, Mar 24, 15 @ 7:58 pm:
“transfers from the designated funds” - Does anyone know which funds will be transferred to GRF fund?