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Talking past each other
Wednesday, Apr 13, 2016 - Posted by Rich Miller * Dan Petrella…
The governor’s absolutely right about growth and the budget. We’d be a whole lot better off right now if we had a better economy here. Cullerton too often focuses on the bright side to avoid the painful reality that people are leaving Illinois partly because they want a better life for their families. There’s just not enough opportunity here. And while the state can’t solve all those problems, it can at least address some of them. But so far… bupkis. On the other hand, the lack of a government budget is obviously harming the economy and the quality of peoples’ lives. Thousands of good people (some of the best, in my opinion) have been laid off by social service providers since this impasse began. Tens of thousands of working poor people were forced last year to scramble to find child care, and thousands still aren’t eligible. How is that helping? And tens of thousands more could be kicked to the curb if universities start to shut down. Find. Another. Way.
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- A guy - Wednesday, Apr 13, 16 @ 11:44 am:
Exactly.
- Norseman - Wednesday, Apr 13, 16 @ 11:54 am:
Agree with you Rich. The problem is that the egos involved make finding that other way utterly impossible.
- Facts are Stubborn Things - Wednesday, Apr 13, 16 @ 11:55 am:
No budget is a hell of a way to improve a states economy. The best thing for Illinois is to have a balanced budget and certainty for business. Rauner needs to focus on state government running efficiently and professionally while negotiating a budget that is tough but fair with cuts and revenue. He can make the NOvember election about his “turn around agenda” and let the people speak to change the math in the house and senate. Math matters and when you have a majority of dems in house and senate, Rauner needs to understand the reality. Burning down the state to start over is pathetic!
- Joe Blow - Wednesday, Apr 13, 16 @ 11:55 am:
Yes growth can be a part of the budget but Rauners agenda has nothing to do with growth. Term limits,redistricting (reform),right to work for less,blah blah blah don’t add one dime to the state coffers.Pension reform won’t realize any revenue for years. Face the facts,increase revenues and borrow together this state back on track pass meaningful multi year budget and stick to it.
- Big Joe - Wednesday, Apr 13, 16 @ 11:56 am:
There’s gotta be another way. Put some Superstars on it!!
- CharlieKratos - Wednesday, Apr 13, 16 @ 11:58 am:
The only thing Rauner and “a guy” got from this post, “The governor’s absolutely right”.
The economy does need to grow for Illinois to prosper, but not at the cost of a robust middle class. Pushing down wages and destroying unions might create some more jobs, but they won’t be living wages and they won’t make Illinois a better place in which to live.
- Earnest - Wednesday, Apr 13, 16 @ 12:02 pm:
I continue to argue that the single best thing for Illinois’ growth would be to have a stable, balanced budget. Tax levels, education funding, social services, payment delays….bad as they may be, the fact that they are all completely up in the air is much worse than having actual numbers.
There are plenty of things to improve and some good discussions to be had, but without a stable base budget you’re just talking into the wind.
- A guy - Wednesday, Apr 13, 16 @ 12:05 pm:
Sorry Charlie Kratos,
What ‘a guy’ got was this:
==Find. Another. Way.==
- Hamlet's Ghost - Wednesday, Apr 13, 16 @ 12:09 pm:
Enacting the Turnaround Agenda won’t grow the Illinois economy. That is the inherent flaw in the Governor’s position.
For proof, compare results from the Wisconsin experience with the Minnesota experience.
- PublicServant - Wednesday, Apr 13, 16 @ 12:12 pm:
===The governor’s absolutely right about growth and the budget.===
And wrong about his agenda having anything to do with growth.
- Honeybear - Wednesday, Apr 13, 16 @ 12:15 pm:
1.4% growth is absolutely not worth the damage being caused.
- Bleh - Wednesday, Apr 13, 16 @ 12:15 pm:
I agree with Rauner that reform does need to happen (progressive tax, some pension changes, etc.) but to hold the budget hostage on his specific reforms is not the way to do it.
- Liberty - Wednesday, Apr 13, 16 @ 12:15 pm:
If Rauner wants to continue to push his “Turnaround Agenda” he needs to start showing some evidence that it will work do something more than make his buddies even richer. The media need to continue to press him on this issue.
The media don’t hold his feet to the fire on his veto of the budget. Stop the Madigan vs Rauner and report some substance.
- vole - Wednesday, Apr 13, 16 @ 12:18 pm:
Pantagraph article:
“Democrats “just don’t get it, or they refuse to acknowledge it,” he said.
He accused the General Assembly’s majority party of trying to create crises in higher education, social services and public schools to force a tax increase without enacting any of his proposed reforms.”
Rich, did Rauner not read your “dearest Bruce” letter about denial?
So, we keep getting nonsense like, “Growth is the budget”. F in reading comprehension. F in denial turn around.
- Blue Bayou - Wednesday, Apr 13, 16 @ 12:23 pm:
My university faculty union spends more time fighting for resources in classrooms by far than it does for wage gains. It’s laughable that the Governor thinks destroying unions in higher ed will do anything to save money. It will, though, most assuredly, drive down quality.
- illinoised - Wednesday, Apr 13, 16 @ 12:29 pm:
Start with increased revenues and then work on the rest. Quit the feuding and start being pragmatic about saving Illinois. We are not far from being the armpit of the nation.
- Flynn's Mom - Wednesday, Apr 13, 16 @ 12:47 pm:
You nailed it, Rich.
- mokenavince - Wednesday, Apr 13, 16 @ 12:52 pm:
I can’t count the number of family and friends that I have that left this State. Indiana,Tennessee,California, Wisconsin,and Florida have taken lots of them.
Cullerton can drink as much Kool-Aid as he wants but Illinois is the big loser. Rich you got it right.
- Just Me - Wednesday, Apr 13, 16 @ 12:57 pm:
illinoised — you’re absolutely right. Let’s start with raising taxes!
(snark)
- A Jack - Wednesday, Apr 13, 16 @ 1:01 pm:
I am fairly certain that the Democrats want growth as well since that will bring in revenue without raising taxes.
But the Governor is confusing his personal agenda with a pro-growth agenda. Instead of running around Illinois trying to kill prevailing wage, he could be running around the world selling Illinois corn as better than Indiana corn or Iowa corn.
We are in the center of the country, he should be boosting the transportation industry. We have great universities. The Governor should be convincing companies to take advantage of those research facilities.
But no, the Governor wants to concentrate on cheap labor to drive growth. But cheap labor is such 18th century thinking. Low wages is not going to convince people to stay in Illinois regardless of the number of jobs. If you can make more money in South Dakota fracking, are you going to stay here working at low wages? We will never beat China in the low labor cost game. The Governor should know that, but continues to play Russian roulette with the unions. But regardless as to which side wins that game, Illinois will be the loser.
- RNUG - Wednesday, Apr 13, 16 @ 1:03 pm:
It was a somewhat snarky response to another question the other day, but I was dead serious that the Democrats should propose a constitutional amendment to enact a progressive income tax at a high enough rate that the same bill eliminates the corporate income tax.
Ralph Martire would have to run the numbers, but I suspect it could be done such that over half the Illinois taxpayers pay the same or less. It is business friendly in that it eliminates a tax (admittedly one a lot of the really big businesses were not paying much on). And it has the populist “soak the millionaire’s” theme, so the man on the street should like it. The only people who will hate it are the 1.4% (OK, maybe 10% - 20%) who get hit with a higher income tax.
It somewhat boxes the business people in because they’ve been asking for improvements in the business climate; what’s better than no income tax on business? If they oppose it, they get exposed as being personally greedy … not that some of them care.
I would pair it with a bill passed now to temporarily raise the flat income tax until the progressive tax takes effect or 7 months after the amendment is rejected.
- illinoised - Wednesday, Apr 13, 16 @ 1:08 pm:
Dear ‘Just Me’- I know I am right. Increased taxes will have to eventually occur. That is a fact.
- Vole - Wednesday, Apr 13, 16 @ 1:17 pm:
Denial is a see thru mirror.
- Judgment Day - Wednesday, Apr 13, 16 @ 1:19 pm:
“==Find. Another. Way.==”
————-
Here’s a start for a budget deal:
01 The ‘temporary’ tax rates are re-imposed (back to 5%, etc.).
02 The entire increase is allocated to paying down the outstanding bills (backlog).
03 NO new legislative initatives of any sort will be allowed if there is ANY money cost assigned (increases in taxes, costs, fees, or to individuals/corporations) until after 100% of the the existing bill backlog is paid down.
04 If we are going to change the School Aid formula, we’re going to look at ALL state revenue sharing. That includes monies being sent to both Counties and municipalities. IMO, 50% of that money needs to be removed and put back ‘into the pot’ for payment of back bills. That includes the City of Chicago.
05 Here’s the order of priority for allocation of money:
(a) Debt repayment
(b) Pay back bills
(c) Pension funding (retiree health care specifically excluded).
(d) Universities & higher education.
(e) State union employee contracts.
Reasoning:
01 Tax Increase: Got to be a structured vote; voting breakdown by current allocation of Reps & Senators in each party. If you need 60 votes, and the Democrats hold 60% of the members, then they provide 36 (60 x .60% = 36) plus 1 (they are the majority party, they get to add the one vote to put you over the top). Both House & Senate.
02 We get to learn a very hard lesson in fiscal discipline. Play down your back bills first and foremost.
03 The legislature basically gets shut down until the back bills are paid in full. They have to learn a lesson.
04 With state revenue sharing in general, it’s time to ask a very hard and tough question that nobody is going to like: WHY SHOULD WE CONTINUE TO REWARD ST***D? Just “Because that’s the way it’s always been done?”
05 Order of payment: Nobody has to like the order, and they won’t. But they’re can’t be any winners in this process. None. To get a deal, everybody has to lose. And if there’s no money for the unions, deal with it. If they want to go out on strike, good luck with that.
Like I said, everybody has got to lose. That’s the only way to make sure that we will avoid having this entire thing replay again in the near future.
You don’t like it? - What’s your plan…..
- Harry - Wednesday, Apr 13, 16 @ 1:54 pm:
RNUG—writing as someone in local govt, if you eliminate the corp income tax, what happens to PPRT?
- RNUG - Wednesday, Apr 13, 16 @ 2:02 pm:
-Harry-
Honestly, hadn’t thought that far ahead (because I don’t expect it to ever happen). Off the cuff, either a bit more revenue sharing or a slice of any expanded services tax?
- Seymourkid - Wednesday, Apr 13, 16 @ 2:04 pm:
Harming workers and changing term limits and changing how we draw legislative districts is not “growth”. Forcing CPS into bankruptcy is not “growth”. Cutting social programs and safety net programs is not “growth. The turn around agenda does not produce “growth”.
- Mama - Wednesday, Apr 13, 16 @ 2:14 pm:
Growth does not pay the bills that are past due, & is does not stop current jobs from being lost.
Growth takes years. We have no time to waste if we want to save higher ed and social services.