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Rauner administration to impose terms on AFSCME members “as soon as operationally feasible”

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* Here we go…

From: xxx@xxxx On Behalf Of John Terranova
Sent: Wednesday, November 16, 2016 15:23
To:
Subject: AFSCME Employees - Labor Board Update

Dear Colleagues,

As many of you are aware, the Illinois State Labor Board yesterday confirmed what we have known since January 8 of this year-the State and AFSCME’s negotiating team are at an impasse in bargaining for a new collective bargaining agreement.

You may be wondering what comes next.

As a practical matter, yesterday’s ruling means that the State may begin implementing its last, best, and final offer. Our labor relations team is continuing to analyze the decision and has begun meeting with agency directors to discuss which provisions should be implemented and when. We will, of course, keep all of you apprised of our implementation plans and how they impact you individually.

Below is some guidance on the two proposals-merit pay and overtime after 40 hours-that we are proceeding to implement as soon as operationally feasible.

    · Merit Pay. The State’s merit pay proposal provides that employees who missed less than 5% of assigned work days during the July 1, 2015-June 30, 2016 fiscal year would receive a $1,000 bonus. Vacation, personal, and sick days, including FMLA leave, would not be considered assigned work days.

    It is the State’s expectation that the vast majority of employees satisfied this requirement. The State will therefore begin working with payroll and timekeeping administrators to process these bonuses as quickly as possible.

    For subsequent fiscal years, the State will, in consultation with AFSCME, develop fair performance criteria to evaluate and reward employees based on specific achievements, and policies to reward employees based on attendance and compliance with work rules, and hopes that the union will work with us on these efforts.

    While we hope for a smooth implementation that results in the vast majority of employees receiving bonuses, we should flag that AFSCME may ask a court to enjoin the State from implementing its merit pay proposal.

    · Overtime. Consistent with federal law and contractual provisions governing thousands of state employees outside the AFSCME bargaining unit, overtime will now be paid after an employee has worked 40 hours in a given week. This also means absences due to holidays and vacations will not count towards the 40-hour mark-only actual hours worked above 40 will be at the overtime rate.

These common-sense provisions are fair to both our employees and taxpayers alike. We hope AFSCME will partner will us as we implement them and analyze how and when it would be best to implement the rest of our last, best, and final offer.

If you have additional questions, please consult the Labor Relations tab on the Team Illinois website, http://www.illinois.gov/sites/TeamIllinois/LaborRelations. There, you will find the entirety of the State’s final offer to AFSCME, as well as other useful information.

Sincerely,

JT

John Terranova
Deputy Director
CMS Office of Labor Relations

Meanwhile, the union is preparing some informational pickets for tomorrow.

  86 Comments      


Energy Newsflash: Exelon Demands Largest Rate Hike In US History

Wednesday, Nov 16, 2016 - Posted by Advertising Department

[The following is a paid advertisement.]

It just keeps…Getting…BIGGER!

FIRST Exelon demanded a $2.6 billion Low Carbon Portfolio Standard, then they increased the cost to $8 BILLION with the “Next Generation Energy Plan.” Now, Exelon demands legislators pass the LARGEST RATE HIKE IN US HISTORY – the $24 BILLION “Future Energy Jobs Bill”, adding BILLIONS for downstate Dynegy plants that burn Wyoming coal – not even Illinois coal.

The $24 BILLION rate increase will provide a subsidy for nuclear and coal plants that would have otherwise closed because they are no longer competitive in the Illinois market.  Last year Illinois generated 41% more power than we needed even as demand continued to shrink.    

As Crain’s recently pointed out in their editorial, “Illinois ratepayers will effectively be paying more so ratepayers in other states who use our surplus power will pay less. And that’s just another incentive for commercial and industrial consumers – and employers – to jump the border.”

This $24 BILLION energy tax on the Illinois economy will hurt consumers and businesses. It is opposed by Illinois’ leading consumer groups including AARP and the Attorney General’s office.

Illinois can’t solve the budget crisis but it’s considering a $24 billion energy tax????

 

JUST SAY NO TO THE EXELON BAILOUT

 BEST Coalition is a 501C4 nonprofit group of dozens of business, consumer and government groups, as well as large and small businesses. Visit www.noexelonbailout.com.

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Picture, thousand words, etc.

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* Perhaps this isn’t the best spot to set up a mic stand?…

  49 Comments      


Question of the day

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* What did you get most wrong about your own 2016 campaign predictions? Explain why if you can, and please keep it Illinois-centric. Thanks.

  53 Comments      


Rauner changes his top priority

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* From late August

The Governor says redistricting should be the number one priority of lawmakers when they return to Springfield after the election in November. […]

Rauner says he wants redistricting reform passed before he can agree to a comprehensive budget deal that will include a tax hike.

Rauner did say the second priority should be pension reform, after the Teachers Retirement System voted to lower their expected investment returns, meaning the state will be on the hook for hundreds of millions more when it comes time to make the pension payment.

* Today…


Discuss.

  74 Comments      


Rauner says he talked to Trump

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* I’m told that VP-elect Pence was also on this call…


From what I’ve gathered it was a positive conservation, with Pence asking Rauner about all those Daniel Biss super PAC ads attacking him on Chicago TV that paired him up with Trump.

Considering the “blue” nature of Illinois, they reportedly said they understood Rauner’s predicament during the presidential race.

* Related…

* Illinois, a blue island in a red sea: Data analysis

* IL Lawmakers’ Reaction To Steve Bannon Pick A Mix Of Silence & Scorn

  32 Comments      


Caption contest!

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* As noted in our live coverage post, the leaders discussed the state’s horrific fiscal projections today…


  58 Comments      


*** UPDATED x1 *** $47.121 billion backlog projected

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* The Governor’s budget office has published its latest five-year fiscal projection. Click here. And click here for a more complete explanation and background.

If things continue down this same path (with the same levels of taxation and spending patterns), GOMB projects a total bill backlog of more than $47 billion by Fiscal Year 2022.

Oof.

* The projected fiscal year backlogs are as follows…

2017 $13.543 billion
2018 $20.639 billion
2019 $27.692 billion
2020 $34.103 billion
2021 $40.593 billion
2022 $47.121 billion

…Adding… Here is where we are as of today. We’ve broken the $10 billion mark…


*** UPDATE ***  From SEIU Healthcare, with emphasis added by me…

Hi all,

Today the Governor’s Office of Management and Budget published its economic and fiscal policy report and five-year projections. Below are some summary points.

These are required to be published every year by law, as a prelude to the budget, in order to set out the “economic and fiscal policy objectives of the State” in the coming year and beyond. This year is the first year that they were moved up from January to November, and the first year the projections are for five years rather than three. (Last year’s report will be remembered for the headline that the state’s bill backlog was projected to reach $25 billion by the end of 2019.)

This year, the news is just as bad: The report shows clearly the damage the Rauner administration has done to the state budget and economy, and declares Rauner’s intention to continue the hostage situation with the state budget to pursue his ideological agenda and damage working families.

Some highlights:

    - Declares that the Rauner administration will double down on a hostage-taking approach to the budget. The only mention of Governor Rauner actually getting a budget done is prefaced by “If the legislature is willing to enact adequate structural reforms…” There is no definition of what are “adequate structural reforms,” and no evidence given for the claim that these “reforms” will induce miraculous growth in the Illinois economy.

    - Projects that the state’s bill backlog will grow to $27.7 billion by the end of 2019, rather than the previous projection of $25.0 billion. Through Rauner’s hostage-taking on budget and revenue, the state is digging this hole faster. By the end of 2022, this bill backlog is projected to grow to $47.1 billion. That is more than one full year of state operating expenditures.

    - Observes that Illinois’ economy has performed poorly in the past 1-2 years, but refuses to even consider that this might have something to do with the protracted crisis and uncertainty Rauner has caused by refusing to sign a budget. (For example, nonfarm employment grew by less than half the national average, 12,700 manufacturing jobs left the state, and job growth has been in low-wage sectors, over the year from August 2015 to August 2016.)

    - Includes a full page on the “stopgap” spending plan passed at the 11th hour this June that declares it a success by not mentioning the “limited” General Funds appropriations meant many human service providers are taking a 33% or higher cut, resulting in a continued wave of closures and no rebuilding whatsoever of these vital services since the stopgap was signed into law; and not mentioning at all the much deeper cuts to higher education and MAP grants that have state universities on the verge of collapse.

    - In a list of problem areas that “crowd out” other state spending, misidentifies home care for seniors as a problem area. Home care for seniors has grown because it is a preferred care setting for tens of thousands more seniors in a growing senior population, and it has saved the state at least as much as it has cost by preventing the need to pay for costly institutional care. (Overall, the categories of spending called out in this section are highly selective and problematic. Home care for seniors might only be the most absurd example.)

  59 Comments      


Layoffs, changes at Crain’s

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* Robert Feder

Business must be bad even for Crain’s Chicago Business: Three newsroom positions were eliminated Monday at the privately-owned weekly business publication and website. Forced out in the cost-cutting move were two assistant managing editors — Tom Corfman, who led coverage of government and politics, and Craig Newman, who headed daily news and digital operations. Corfman first joined Crain’s in 1997 and returned in 2006 after six years at the Chicago Tribune. Newman was managing editor of the Sun-Times before joining Crain’s last March. Also laid off was copy editor Richard Skews, who signed on last February after 35 years at Advertising Age.

Cartoonist Roger Schillerstrom also got the ax.

Tom Corfman was my editor. I think the world of the guy. He’s made me a better writer, but he’s also been a reliable personal sounding board.

Man, is he ever gonna be missed. I have his resume if you’re interested in hiring him.

* And then this…


Those folks helped bring my column to Crain’s after the Sun-Times and I parted ways.

* Crain’s today

The two top executives of Crain’s Chicago Business—Publisher David Snyder and Associate Publisher Lisa Emerick—are leaving over a split with the owners of the parent company on the publication’s growth strategy.

Snyder and Emerick, both longtime employees of Crain’s, will stay on through year-end to help KC Crain, executive vice president and director of operations at Crain Communications, with the transition to new leadership. Editorial operations of Crain’s Chicago Business will continue to be run by Editor Michael Arndt. […]

The company does not break out results for its individual titles, but KC Crain told the Crain’s staff today that the publication is solidly profitable. Separately, Snyder said Crain’s has been profitable every year within a few years of its launch in 1978, including the Great Recession.

Snyder, 55, has been with Crain’s his entire career, starting as a researcher in its Washington, D.C., bureau a week after he graduated from college in 1983. He moved to the Chicago office in 1984. He was an award-winning reporter and editor from 1993 to 2000, when he was promoted to associate publisher. He was named publisher in 2010 and a vice president of Crain Communications the next year.

“I could not have asked for a more exciting or fulfilling career than the one I’ve had at Crain’s over the past 33 years—I literally grew up with the publication,” said Snyder. “But in business, like in life, reasonable people can disagree.

I talked to Arndt yesterday and I still have a column there. So, that’s a relief.

I wasn’t sure at first if I’d be a good fit at the publication, but I’ve been nothing but pleased with the way things have turned out. It’s a fantastic magazine and I’m proud to be a tiny part of it.

  15 Comments      


*** UPDATED x1 - Durbin says “choice” is to remain in Senate *** Durbin reelected to whip job

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* From The Hill

Sen. Chuck Schumer (D-N.Y.) on Wednesday was elected Senate Democratic leader, succeeding retiring Sen. Harry Reid (D-Nev.).

Schumer appointed two women to high-ranking posts on his team, tapping Sen. Patty Murray (Wash.) to serve as assistant Democratic leader and Sen. Debbie Stabenow (Mich.) to chair the Democratic Policy and Communications Center. […]

Sen. Dick Durbin (Ill.) was re-elected as Senate Democratic whip.

So, that pretty much seals it. Highly, highly doubtful there will be a gubernatorial bid in his future.

*** UPDATE *** And he confirms it

After the vote, Durbin was asked how staying on as his party’s Senate whip would affect the prospects of challenging Rauner.

Durbin said: “I kept telling people of Illinois, I’ve got a pretty important job working in the United States Senate in the No. 2 Democratic position.

“It was interesting to me that the day after the (Nov. 8) election, many of them came up to me and said, ‘Stay in the Senate. We need you.’”

Asked by a reporter whether that was his choice, Durbin replied, “That’s my choice.”

  24 Comments      


Republican alternative AVR proposal criticized

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* Monique

Meanwhile, an effort to override Rauner’s veto of a bill that would automatically register people to vote if they get a new or updated driver’s license was delayed in the Senate on Tuesday after not enough Senate Democrats showed up. Democrats hope to push the issue again Wednesday, saying it could amount to a test of Rauner’s influence over the GOP following overwhelming bipartisan support for the measure in the spring.

We talked a bit yesterday about a new Republican alternative proposal to give GOP legislators some political cover for voting with the governor on the override motion.

That bill has now been introduced (HB 6627 and SB 3452).

* From Abe Scarr at Illinois PIRG…

Rich,

We are still working through the language, but here are a couple comments on the Republican AVR bill:

1. The biggest change is to the way people opt out. In SB250, when an eligible voter interacts with Drivers Services they will be automatically registered, and given the opportunity to opt out after the fact. In the new bill, eligible voters must first decline to opt out, then must attest to their qualifications to vote with a signature. So you just showed a passport that documents you are a citizen and over 18, but you still have to legally attest that you are eligible. This is not that different than the system we have now.

2. The second change is to which agencies are covered. SB250 includes all 5 agencies that currently provide voter registration services under federal law. Theirs just includes Drivers Services. Both bills included a process for adding new agencies - their process is more articulated, but starts with less agencies.

In sum these changes mean less people would be registered to vote than through SB250, meaning less list accuracy and security, less costs savings, and less eligible voters added to the rolls.

Abe

* He added this PS…

There does not appear to be an implementation date. The bill is implemented immediately - to authorize the creation of the program. There is a date for a public hearing on creating the program, but no date for the program to actually be implemented. So it could take years to implement.

  9 Comments      


What’s next for AFSCME?

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* From the Illinois Policy Institute’s news service

[Illinois Policy Institute Staff Attorney Mailee Smith] was at the [Illinois Labor Relations Board] hearing in Chicago. She said the labor board wasn’t willing to go into uncharted territory recommended by the Administrative Law Judge, which said in September there was impasse on some issues, but not on others.

“The board rejected that outright with actually very little discussion,” Smith said. None of them were interested in discussing that because it was really a more of a renegade approach to determining whether or not the two parties are at impasse.”

Rauner’s administration said they’re hopeful AFSCME will partner with the state on how to best implement the contract. AFSCME vowed to appeal the decision to the appellate court.

An appeal to the courts could take months, Smith said.

* SJ-R

Springfield-area lawmakers said the contract should be resolved at the bargaining table.

“I maintain my earlier calls for both sides of the negotiation, which includes the administration and the union, to go back to the table and negotiate a fair contract,” said Rep. Sara Wojcicki Jimenez, R-Leland Grove.

“I think both sides should sit at the table and negotiate,” said Rep. Tim Butler, R-Springfield. “Obviously that was not going to happen once it got appealed to the labor board, but now that we’ve got a ruling from the labor board and the union knows very squarely now that the governor can implement the last, best and final offer that they put down there, I would urge both sides to get back to the table and negotiate a contract that’s fair to all sides.”

The Labor Relations Board is appointed by the governor. Rauner appointed two members and reappointed two others who were initially appointed by then-Gov. Pat Quinn. The fifth member is also a Quinn appointee.

* Tribune

At the crux of that dispute is Rauner’s desire to make it easier for the state to subcontract to the private sector for services ordinarily performed by state workers. Rauner’s team initially wanted unlimited ability to subcontract, saying it needed flexibility to find cost savings to get the state’s finances in order. AFSCME rejected that proposal outright.

The Rauner administration came back with a modified proposal for what’s known as “managed competition,” where the union would compete with private companies in bidding for contracts. The two sides spent months trading language on the idea, discussing it over the course of 21 bargaining days.

On the day that the Rauner team decided the talks were deadlocked, AFSCME had proposed adding language requiring that bids from private contractors would have to “meet the standard of greater efficiency, economy or other related factors” — language that the administration already had made clear it opposed.

“Subcontracting was the insurmountable issue that really got to the heart of the beliefs of both parties,” said labor board member Keith Snyder, a former mayor of Lincoln appointed by Rauner last year. “Dealing with what the state is trying to deal with in terms of financial crisis, and AFSCME trying to deal with protection of jobs and members’ jobs and things like that.”

* Now, remember this quote from yesterday?

“The contract, mirroring agreements we have already reached with eighteen other unions, includes merit pay for the vast majority of AFSCME employees and the same forty-hour work week requirement that applies to most employees outside state government,” Rauner spokeswoman Catherine Kelly said in a statement. “It will also allow individuals to volunteer their time to help fellow Illinois residents through things like assisting social services agencies, cleaning up state parks, or training state employees.”

* I asked the administration about that “volunteer their time” stuff…

At the Department of Veterans Affairs, the Manteno facility had volunteers which were performing receptionist duties, such as answering the phone and directing visitors. The union grieved erosion and after an expedited arbitration, the DVA is no longer permitted to use volunteers to perform these duties.

At the Department of Natural Resources, there was an issue with volunteers at the Visitors Center at Ft. Massac. Volunteers manning the visitor center while Site Technicians were outside in the unfavorable weather. The employees were displeased with the treatment of the volunteers and filed a grievance for erosion. The site had to cease the use of volunteers.

More background is in this Chicago Tribune editorial.

* Meanwhile

The election of Donald Trump is likely to mean big changes for the National Labor Relations Board, which could begin to roll back the Obama administration’s agenda of expanding employee and union rights, according to employment litigators.

The NLRB now has a 2-1 Democratic majority with two empty seats. “I expect [the two vacancies] will be filled by Republican, employer-friendly nominees as soon as the President-elect nominates them and their nominations are confirmed by the Senate,” Jennifer Platzkere Snyder, an employment attorney at Dilworth Paxson LLP in Philadelphia, told Law Blog.

The NLRB supervises union elections, referees disputes between employers and employees and interprets the National Labor Relations Act, the federal law that governs labor-management relations for most private sector workers.

In a wave of rulings and legal determinations, the NLRB under the Obama administration has rejected class-action waivers in employment arbitration; made it easier for contract workers and other temporary employees to unionize; paved the way for student unionization on campuses nationwide; potentially made it easier for unions to organize fast-food workers and hold franchisers in a range of industries to greater liability in labor matters.

“A new Board with a Republican majority is likely to revisit” all these issues, says Jackson Lewis PC, a firm that represents employers.

  95 Comments      


JB Pritzker considering gubernatorial bid

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* Shia Kapos

J.B. Pritzker, once rumored to be in line for a Cabinet job in a Hillary Clinton presidency, has been approached by Democratic leaders about running for Illinois governor.

The Chicago venture capitalist is a billionaire and wouldn’t be burdened by financial concerns in competing with Gov. Bruce Rauner, another wealthy Chicago businessman. Rauner spent $65.3 million to become governor in 2014. Money like that could scare off some opponents but not Pritzker, who Forbes lists as having a $3.4 billion net worth. […]

I hear Pritzker is considering the idea because he sees Rauner as failing in his job to manage the state. Pritzker is an active and vocal philanthropist particularly concerned about early-childhood education and is especially sensitive to how Rauner’s leadership is affecting under-served communities.

Pritzker hasn’t said yes — or no — to running in 2018. He may be considering how a political campaign might affect his family. He and his wife, M.K., have a son and daughter, both school age. Pritzker is a familiar face at his daughter’s cross country meets.

He and Chris Kennedy aren’t particularly close, so we’ll see how this plays out. But as I’ve already told subscribers Kapos is right that he is considering a bid after being approached by top Dems.

  58 Comments      


*** LIVE *** Veto Session Coverage

Wednesday, Nov 16, 2016 - Posted by Rich Miller

* Follow along with ScribbleLive


  1 Comment      


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Wednesday, Nov 16, 2016 - Posted by Rich Miller

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