Capitol Fax.com - Your Illinois News Radar » Senate Dems try to go it alone with their own budget plan
SUBSCRIBE to Capitol Fax      Advertise Here      About     Exclusive Subscriber Content     Updated Posts    Contact Rich Miller
CapitolFax.com
To subscribe to Capitol Fax, click here.
Senate Dems try to go it alone with their own budget plan

Tuesday, May 23, 2017 - Posted by Rich Miller

* As I write this, the two Senate approp committees are debating the spending and cutting aspects of this legislation

Senate Democrats on Tuesday plan to push ahead with a new budget proposal that includes an income tax hike and an expansion of the state sales tax, saying they are no longer willing to wait for a broader deal with Republicans. […]

“We recognize the future of this state is at stake, and we are increasingly willing to govern notwithstanding the political costs of doing so,” said Sen. Don Harmon, D-Oak Park. “I think we have reached the point where citizens of Illinois are more willing to tolerate a revenue increase than they are continued inaction in the face of a crisis.” […]

Democrats spent the weekend tweaking the spending plan, and unveiled an updated proposal late Monday. It calls for spending $37.3 billion after raising about $5 billion through the tax hikes; a floor vote is expected Tuesday, said Sen. Heather Steans, a Chicago Democrat and key budget negotiator. […]

The blueprint relies on the passage of companion legislation that would raise the personal income tax rate from 3.75 percent to 4.95 percent, which is just below the 5 percent rate in place before Rauner took office. The corporate income tax rate would be hiked from 5.25 percent to 7 percent.

Meanwhile, the state’s share of the 6.25 percent sales tax would be extended to various services not currently covered, such as dry cleaning. The proposal also calls for ending three corporate tax breaks, including requiring companies that drill on the outer continental shelf and do business in Illinois to pay income taxes.

       

28 Comments
  1. - Anonymous - Tuesday, May 23, 17 @ 9:41 am:

    Typical democratic solution, Tax and Spend!


  2. - Romeo - Tuesday, May 23, 17 @ 9:44 am:

    Is there a breakdown of the exact services that would be taxed?


  3. - SAP - Tuesday, May 23, 17 @ 9:48 am:

    Actually, this is tax and cut. The spending already happened. Now they are trying to pay for that spending.


  4. - Adults in the room - Tuesday, May 23, 17 @ 9:51 am:

    Finally, someone leading where the governor has not. This governor is a total failure and has repeatedly demonstrated he has no intention of leading. Glad to see the senate will finally do his job.


  5. - Adults in the room - Tuesday, May 23, 17 @ 9:57 am:

    Effective leadership is not about making speeches or being liked; leadership is defined by results not attributes. —Peter Drucker


  6. - Cog - Tuesday, May 23, 17 @ 9:57 am:

    “Typical democratic solution, Tax and Spend”

    The nerve of those guys to be addressing revenue and expenses, and in a budget, of all places. What is the state coming to? /s


  7. - Anon221 - Tuesday, May 23, 17 @ 10:01 am:

    Applause to Senator Stean dressing down Rose in the hearing today. The Republicans are sitting back, more than happy to let the Dems be the “bad guys” by doing what needs to be done to get our State back on track. As others said, this is not going to be done within a year, two years, or even four. it is going to take a decade or more just to right the ship, and still we will have lost so much that the ship will still be leaking for at least a generation to come. I would strongly suggest that the Republicans that are being so self-righteous and smug right now look to the east to see what a temperament like that can cost. It’s easy to be the backseat driver, but complain enough, and you get left at the side of the road. Or, if you become the driver, all you may be left with is that old “trash can van”.


  8. - AC - Tuesday, May 23, 17 @ 10:02 am:

    I’m reasonably confident that the cuts the Senate Democrats include in their budget will go far beyond those identified by Rauner’s agency heads. I know I’m going out on a limb here, but I’ll also predict their budget won’t include a $4-5 Billion line item titled working together on a grand bargain.


  9. - Can - Tuesday, May 23, 17 @ 10:07 am:

    Huge applause from me. But Harmon’s “we are increasingly willing to govern notwithstanding the political costs of doing so” is not the greatest quote of all time.

    That aside, well done Senate Dems!


  10. - Oswego Willy - Tuesday, May 23, 17 @ 10:12 am:

    I wouldn’t call Mr. Rose someone concerned about too much except for Rauner.

    When it comes to “worrying” about higher education or even downstate concerns, Mr. Rose made things clear, he’s with Rauner first, last, and everything in between.

    The “tax” excuse? It’s is a ruse.


  11. - blue dog dem - Tuesday, May 23, 17 @ 10:12 am:

    Yes indeed. The same Democratic party that espouses protecting the working poor and middle classes. Any language behind the pursuit of a progressive income tax will be left to the lies of the campaign season. Promise, spend and leave the debt to future generations. The cycle never ends.


  12. - Texas Red - Tuesday, May 23, 17 @ 10:12 am:

    The Dems are clearly protecting their base with this gambit - hoping that the union vote that is being shielded from sacrifice will offset the anti-tax sentiment. Emphasis on no property tax freeze - as stated on the record again yesterday Harmon is going to bat for the unions.


  13. - City Zen - Tuesday, May 23, 17 @ 10:17 am:

    Wouldn’t extending the state sales tax to certain services imply that county and municipal levels would tax these services as well? I would think the locals would be OK with this, considering a small offset if the LGDF is frozen or reduced.


  14. - Oswego Willy - Tuesday, May 23, 17 @ 10:21 am:

    ===The Dems are clearly protecting their base with this gambit - hoping that the union vote that is being shielded from sacrifice will offset the anti-tax sentiment===

    Good thing Rauner proposed a balance budget to…

    Oh.

    I guess Rauner is protecting the destruction Raunerites want.

    Right? Exactly right.


  15. - Simple Simon - Tuesday, May 23, 17 @ 10:22 am:

    This may be good public policy but it is bad politics. Dems can’t be seen as to blame for what is needed to fix the Rauner train wreck! Better to go into session overtime and government shutdown, when the public expects compromise, and blame is shared. Or propose a $32B budget to show how bad it would be if taxes aren’t increased.


  16. - lake county democrat - Tuesday, May 23, 17 @ 10:24 am:

    –The corporate income tax rate would be hiked from 5.25 percent to 7 percent.–

    I don’t know if this is accurate, but the Tax Foundation says Illinois has 2 separate corporate tax rates - there’s another at 2.5 percent - which would mean this plan would raise corporate taxes to 9.5%.

    So yeah, we’ll be able to better educate our kids at the state universities to prepare them for their careers somewhere outside of Illinois, because this sure isn’t going to lure a lot of businesses to come here.


  17. - City Zen - Tuesday, May 23, 17 @ 10:25 am:

    ==Emphasis on no property tax freeze - as stated on the record again yesterday Harmon is going to bat for the unions.==

    My understanding is that Harmon’s Oak Park recently passed a contentious referendum that will hike OP property taxes over $700/yr on a typical home. Considering how high property taxes are in his home town even before the hike, it’s sad that he can’t even acknowledge the need for a temporary freeze.

    But as long as the unions are Harmon’s Steinbrenner, he will continue to bat for them as you said. His constituents, not so much.


  18. - AC - Tuesday, May 23, 17 @ 10:25 am:

    The bill needs an added 1% “Budget Impasse Surcharge” applied to all income, including retirement income, that expires once greater than 99% of invoices are not eligible for interest under the State Prompt Payment Act.


  19. - Nick Name - Tuesday, May 23, 17 @ 10:30 am:

    From the Tribune article: “Discussions reached the latest boiling point last week as Democrats decided to forge ahead with votes on portions of the budget package in spite of opposition from Republicans, who said more time was needed to strike a deal.”

    More time is needed? Please. Nine days remain in the session, including today. What the Raunerite Party really means is that they have zero interest in passing a budget.


  20. - Anon221 - Tuesday, May 23, 17 @ 10:32 am:

    Senator Chapin Rose (as tweeted out by the ILGOP today): Depending on how the court rules, this budget would be $435 million out of balance.

    So, Senator, if this is the same spending level as Rauner’s proposed budget, would you have voted Green on his if it were presented as $435 million out of balance? And, BTW, every day this budget is delayed is another $11 million added to the State debt. Tick, tock. Tick, tock.


  21. - Tommydanger - Tuesday, May 23, 17 @ 10:41 am:

    Wait, wait, the Senate Republicans are just asking for a little more time to try and improve the legislation. Yes, I know its May 23rd, but they need just a little more time.

    Never have so many worked so long to achieve so little.


  22. - Ron - Tuesday, May 23, 17 @ 10:47 am:

    This is not leading, this is more of the same. We need massive cuts in state spending.


  23. - blue dog dem - Tuesday, May 23, 17 @ 10:52 am:

    Ron. This is an area I agree with you on.


  24. - Colby jack - Tuesday, May 23, 17 @ 10:53 am:

    ## This may be good public policy but it is bad politics. ##

    The reason illinois is in the shape it is in is because we continue to have too much of the latter and not enough of the former, from all parties involved.


  25. - Simple Simon - Tuesday, May 23, 17 @ 12:08 pm:

    Both parties may too often put politics before policy, but the Ds get no credit at all for passing the 2011 tax increase entirely by themselves, putting the state on the path of fiscal sanity and putting their reelections on the line. Rs have sat on the sidelines smugly, visualizing their campaign ads.


  26. - Deadbeat Conservative - Tuesday, May 23, 17 @ 12:20 pm:

    =This is not leading, this is more of the same. We need massive cuts in state spending.=
    Re-defining old bills as “new spending” and retrograde actions as “reform” is where the uber-wealthy and their followers continue to win.
    Honest and ethical people who want to eliminate waste AND pay our bills are left out.

    “We recognize the future of this state is at stake, and we are increasingly willing to govern notwithstanding the political costs of doing so,” said Sen. Don Harmon, D-Oak Park.
    Also to suggest that their is a “political price” for doing right = voters will punish those who want to pay bills owed, doesn’t make the people of IL look good.


  27. - Rich Miller - Tuesday, May 23, 17 @ 12:21 pm:

    === voters will punish those who want to pay bills owed, doesn’t make the people of IL look good. ===

    Meh. If the shoe fits…


  28. - Demoralized - Tuesday, May 23, 17 @ 1:36 pm:

    ==We need massive cuts in state spending==

    If it’s based on Brady’s bill, sans some items like Medicaid cuts, it cuts somewhere north of $4 billion. I’m not sure what “massive” means but that’s pretty massive in my book.

    I think some of you are living in a fantasy land if you think any budget now can be balanced with cuts only.


Sorry, comments for this post are now closed.


* Reader comments closed for the weekend
* Isabel’s afternoon roundup
* The Waukegan City Clerk was railroaded
* Whatever happened, the city has a $40 million budget hole it didn't disclose until now
* Manar gives state agencies budget guidance: Cut, cut, cut
* Roundup: Ex-Chicago Ald. Danny Solis testifies in Madigan corruption trial
* Open thread
* Isabel’s morning briefing
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Live coverage
* Selected press releases (Live updates)
* Yesterday's stories

Support CapitolFax.com
Visit our advertisers...

...............

...............

...............

...............

...............

...............


Loading


Main Menu
Home
Illinois
YouTube
Pundit rankings
Obama
Subscriber Content
Durbin
Burris
Blagojevich Trial
Advertising
Updated Posts
Polls

Archives
November 2024
October 2024
September 2024
August 2024
July 2024
June 2024
May 2024
April 2024
March 2024
February 2024
January 2024
December 2023
November 2023
October 2023
September 2023
August 2023
July 2023
June 2023
May 2023
April 2023
March 2023
February 2023
January 2023
December 2022
November 2022
October 2022
September 2022
August 2022
July 2022
June 2022
May 2022
April 2022
March 2022
February 2022
January 2022
December 2021
November 2021
October 2021
September 2021
August 2021
July 2021
June 2021
May 2021
April 2021
March 2021
February 2021
January 2021
December 2020
November 2020
October 2020
September 2020
August 2020
July 2020
June 2020
May 2020
April 2020
March 2020
February 2020
January 2020
December 2019
November 2019
October 2019
September 2019
August 2019
July 2019
June 2019
May 2019
April 2019
March 2019
February 2019
January 2019
December 2018
November 2018
October 2018
September 2018
August 2018
July 2018
June 2018
May 2018
April 2018
March 2018
February 2018
January 2018
December 2017
November 2017
October 2017
September 2017
August 2017
July 2017
June 2017
May 2017
April 2017
March 2017
February 2017
January 2017
December 2016
November 2016
October 2016
September 2016
August 2016
July 2016
June 2016
May 2016
April 2016
March 2016
February 2016
January 2016
December 2015
November 2015
October 2015
September 2015
August 2015
July 2015
June 2015
May 2015
April 2015
March 2015
February 2015
January 2015
December 2014
November 2014
October 2014
September 2014
August 2014
July 2014
June 2014
May 2014
April 2014
March 2014
February 2014
January 2014
December 2013
November 2013
October 2013
September 2013
August 2013
July 2013
June 2013
May 2013
April 2013
March 2013
February 2013
January 2013
December 2012
November 2012
October 2012
September 2012
August 2012
July 2012
June 2012
May 2012
April 2012
March 2012
February 2012
January 2012
December 2011
November 2011
October 2011
September 2011
August 2011
July 2011
June 2011
May 2011
April 2011
March 2011
February 2011
January 2011
December 2010
November 2010
October 2010
September 2010
August 2010
July 2010
June 2010
May 2010
April 2010
March 2010
February 2010
January 2010
December 2009
November 2009
October 2009
September 2009
August 2009
July 2009
June 2009
May 2009
April 2009
March 2009
February 2009
January 2009
December 2008
November 2008
October 2008
September 2008
August 2008
July 2008
June 2008
May 2008
April 2008
March 2008
February 2008
January 2008
December 2007
November 2007
October 2007
September 2007
August 2007
July 2007
June 2007
May 2007
April 2007
March 2007
February 2007
January 2007
December 2006
November 2006
October 2006
September 2006
August 2006
July 2006
June 2006
May 2006
April 2006
March 2006
February 2006
January 2006
December 2005
April 2005
March 2005
February 2005
January 2005
December 2004
November 2004
October 2004

Blog*Spot Archives
November 2005
October 2005
September 2005
August 2005
July 2005
June 2005
May 2005

Syndication

RSS Feed 2.0
Comments RSS 2.0




Hosted by MCS SUBSCRIBE to Capitol Fax Advertise Here Mobile Version Contact Rich Miller