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The coming veto and override attempt of SB 1

Tuesday, Jul 18, 2017 - Posted by Rich Miller

* Yesterday

With Rauner’s [school funding reform] amendment, Rockford would receive $4.5 million more than it would under SB 1, he said during his Galapagos visit. He rattled off several other dollar figures as well — $1.1 million more for Rock Island, $900,000 more for Moline, $4.3 million more for Waukegan, $3 million more for Cicero and $1.8 million more for Round Lake.

* But

The governor says the Democrats’ plan gives too much to Chicago at the expense of other districts. His office posted a comparison chart online, but the numbers don’t match official spreadsheets published by the state board of education.

Rauner’s comparison chart is here. The ISBE spreadsheets are here. It’s unclear at this point how Rauner arrived at his conclusions about what his proposal would do for local communities. Usually, the State Board of Education does this work, but his plan isn’t on the ISBE site.

* Also, go to the bottom of the governor’s own proposal and you’ll see this footnote

The SB 1 number accounts for CPS’ tier funding and FY18 new pension pick-up, and the Governor’s plan number accounts for CPS’ tier funding, FY18 new pension pick-up, and net result of Chicago Block Grant elimination.

Notice that the pension pick-up is in his plan and the block grant is being eliminated. But this is what the governor said yesterday

“Unfortunately, Democrats want to turn this historic opportunity into a bailout for the CPS pension system. The point of this school reform bill is to help low income students across the state, including those in Chicago, get the education they deserve – not to bailout CPS’s mismanaged teacher pension system.”

* More

At issue is the way the bill factors CPS’ finances into what would become the new statewide funding formula. SB 1 eliminates the Chicago block grant, which automatically appropriates specific funding to CPS each year, but takes that $203 million into account – plus the district’s $221 million in employer pension contributions – when calculating the district’s baseline funding minimum.

That, plus the $505.8 million reduction in the bill’s assessment of Chicago’s local fundraising capabilities based on its unfunded pension liability, is what Rauner said led to his decision to issue an amendatory veto.

* Back to CPS

Meanwhile in budgets it’ll present to principals later this week, CPS is assuming that the funding contained in SB1 will come through. It’s the third year in a row the broke district is banking on money not yet in hand, but officials said the alternative was to send devastating budgets to schools without the extra $300 million.

* But will there be enough votes to override? Rep. David Harris was one of the Republicans who voted to override the governor’s budget vetoes. He was on Chicago Tonight yesterday and it sounded like he wasn’t yet on board to override the governor this time around…


There are still other possible HGOP “Yes” votes out there, however. Stay tuned.

       

57 Comments
  1. - winners and losers - Tuesday, Jul 18, 17 @ 12:11 pm:

    It appears Rauner would also change the percentage of funds going to Tier I and Tier II schools.

    Timing is now an issue. How long will the Senate hold SB 1? Will an attempted override be scheduled during the State Fair when many politicians may be in Springfield?

    Or will the Senate hold SB 1 until later in August?

    Will Rauner immediately issue his amendatory veto message or hold onto SB 1?


  2. - Cheryl44 - Tuesday, Jul 18, 17 @ 12:13 pm:

    I know how Rauner came to his conclusions. He lied to people in those cities about how much more money they’d see if they only let Chicago’s schools implode.

    After all, his kids aren’t going to school here illegally anymore. So he doesn’t care.


  3. - Past the Rule of 85 - Tuesday, Jul 18, 17 @ 12:16 pm:

    === the numbers don’t match official spreadsheets published by the state board of education.===
    Looks like they didn’t wast any time to start using IPI math.


  4. - Flynn's mom - Tuesday, Jul 18, 17 @ 12:17 pm:

    This could get very ugly.


  5. - Mama - Tuesday, Jul 18, 17 @ 12:22 pm:

    The guy who made millions from managing the state pension funds sure has a thing against the state workers & teachers having pensions.


  6. - Mama - Tuesday, Jul 18, 17 @ 12:25 pm:

    === the numbers don’t match official spreadsheets published by the state board of education.===

    School administrators know to check with ISBE for the real numbers. Only the voters don’t know what is real and what isn’t.


  7. - Opiate of the Masses - Tuesday, Jul 18, 17 @ 12:26 pm:

    he put chicago’s block grant funding into the pile and redistributed it to the rest of the state. the 1124 numbers that isbe ran are down for school districts in the governor’s new numbers - but more than SB1. he got them “more” by taking the block grant from chicago kids.

    pretty sure all R’s (and most dems) said “no red numbers.” but now those same pols are ready to put red numbers next to 20% of the kids in the state.

    in the end the gov, barickman, et al know 1124 is not viable. this is all about obfuscation and nothing more.


  8. - Grand Avenue - Tuesday, Jul 18, 17 @ 12:28 pm:

    I think all 67 Dems will be on board to override SB1. Need 4 GOP then.

    How McAuliffe votes will be interesting - does he vote in favor of his district when it means overriding the guy who spent $2,000,000 to get you re-elected?


  9. - Three-Finger Brown - Tuesday, Jul 18, 17 @ 12:29 pm:

    “bailout CPS’s mismanaged teacher pension system.”

    The CPS pension is roughly 50% funded. TRS (the pension fund for every school outside of Chicago) is less than 40%. If the state were to absorb all CPS pensions, their funding ratio would actually increase.


  10. - Grand Avenue - Tuesday, Jul 18, 17 @ 12:29 pm:

    No, amendatory veto does not become law unless both houses vote to approve the Governor’s “recommendations”.


  11. - Roman - Tuesday, Jul 18, 17 @ 12:29 pm:

    ==There are still other possible HGOP “Yes” votes out there, however. Stay tuned. ==

    Yep. Though another override seems to be a tall order. Maybe a new bill negotiated by Manar and Pritchard (sans Rauner) that can be labeled a compromise? I can see 71 and 36 for that.


  12. - Grand Avenue - Tuesday, Jul 18, 17 @ 12:31 pm:

    So there are 3 possibilities

    1) Override - which requires 36 & 71 and means the bill as passed becomes law.

    2) Accept the amendatory veto - requires 30 & 60 and means the bill as amended by the Governor becomes law.

    3) Neither & no money for schools.


  13. - Grand Avenue - Tuesday, Jul 18, 17 @ 12:33 pm:

    A new bill can’t be negotiated sans Rauner because the clock is ticking.

    He can sit on that new bill for 60 days - well past when schools are supposed to open - while he blames the Democrats for not passing the bill as amended.


  14. - Michelle Flaherty - Tuesday, Jul 18, 17 @ 12:35 pm:

    Grand Ave,
    Accepting the AV also requires 36 and 71 because of the immediate effective date.


  15. - Anon221 - Tuesday, Jul 18, 17 @ 12:36 pm:

    Town Halls on this are being held across the state. Here’s some of the info being presented:

    SB 1 Tutorial: https://tinyurl.com/yd35klcl

    From the website http://fundingilfuture.org/sb1/

    BTW: The Ounce and The Nobel Network are listed as supporters. Both are Rauner backed programs.


  16. - Ghost - Tuesday, Jul 18, 17 @ 12:38 pm:

    Rauner keeps phrasing this as cps taking money from downstate. its actually the opposite. Chicago brings in huge revenue, and downstate takes it from chicago. Rauner lubertarian ideals should drive him to let chicago eat what it kills; and force downstate to live off what it generates. that would fix cpsand would t invocle robbing from a wealthy city to oay poor downstaters


  17. - Grand Avenue - Tuesday, Jul 18, 17 @ 12:39 pm:

    I was wondering that - you might be right, but it looks like the IL constitution says “majority of members elected” without regard to effective date. Note that that means a hard 30 & 60 - not just a majority of those voting on it.

    (e) The Governor may return a bill together with specific recommendations for change to the house in which it originated. The bill shall be considered in the same manner as a vetoed bill but the specific recommendations may be accepted by a record vote of a majority of the members elected to each house. Such bill shall be presented again to the Governor and if he certifies that such acceptance conforms to his specific recommendations, the bill shall become law. If he does not so certify, he shall return it as a vetoed bill to the house in which it originated.


  18. - Grand Avenue - Tuesday, Jul 18, 17 @ 12:41 pm:

    Michelle - I would think you’re right though, because otherwise the amendatory veto process could be used to get around the May 31st cliff - pass something with 30/60 without an immediate effective date, then the Gov does an a/v so that it does have an immediate date, then the GA accepts it with 30/60 and the law is passed with immediate effective date.


  19. - Telly - Tuesday, Jul 18, 17 @ 12:43 pm:

    Awfully hard to pass an education funding bill (or sustain an AV) with no Chicago votes. When you consider both chambers are run by Chicagoans, it becomes nearly impossible.

    Of course, the Governor was a “Chicagoan” once, too. When it benefited the education of one of his family members.


  20. - Free Set of Steak Knives - Tuesday, Jul 18, 17 @ 12:46 pm:

    Teachers: It’s Bruce Rauner’s fault our schools are not open, because he vetoes the school funding bill, even though it gave him 90 percent of what he wanted.

    Rauner: Its Mike Madigan’s fault your schools aren’t open, because of this complicated chart that Kristina Rasmussen made.

    That is what this debate boils down to, Rep. Harris.


  21. - A Jack - Tuesday, Jul 18, 17 @ 12:46 pm:

    GA GOP,
    The key here is to make the Governor irrelevant, before he tries to make you irrelevant.

    The Governor obviously relishes revenge, so from here on out your best option is to make him such a lame duck that he is so busy fighting for his own reelection that he can’t be concerned about yours.


  22. - Anonymous - Tuesday, Jul 18, 17 @ 12:47 pm:

    >If an override fails on an AV, the AV sticks right? Becomes law?

    Um, no. If the governor vetoes and the legislature does not override that veto, the bill dies.

    This is high stake stuff. In this case, if the governor issues an AV and does not have the votes in the legislature to accept the AV, then schools close.


  23. - Huh? - Tuesday, Jul 18, 17 @ 12:47 pm:

    Cullerton - Hey, Mike we have to discuss how to handle the SB1 veto. We have to figure out how to not get blamed when the schools don’t open next month.
    Madigan - I’ll round up enough House votes to pass the override, if you kill it in the Senate. Then we get that new radical candor Twitter guy to pound the governor on social media for his veto. What do you think?
    Cullerton - Um, sounds pretty good except what do you know about social media?
    Madigan - Hey, I’ve got grandkids and have picked up a few new words and phrases. Have to keep up with the lingo. So we got a plan?
    Cullerton - Yeah, I think so. I’ll send SB1 over to the governor’s office. We’ll have to call everybody back to put this scheme into action.
    Madigan - After the override fails, we will pretend to be working on a new plan for the next 6 weeks. Meanwhile the governor gets an ear full about schools not opening on time. We’ll pass a new plan when we are good and ready.
    Cullerton - I like it. The pressure on us is going to be enormous while we pull the governor’s chain.
    Madigan - We’ll be alright. We’ve handled it before. That radical candor bunch is going to take the bite out of the governor’s attempts to win the news cycle.


  24. - Roman - Tuesday, Jul 18, 17 @ 12:49 pm:

    == He can sit on that new bill for 60 days - well past when schools are supposed to open - while he blames the Democrats for not passing the bill as amended. ==

    Maybe, but any “new bill” would need 71 in the House, making it bipartisan. Not sure he could deflect blame to the Dems if he’s sitting on a bipartisan compromise bill.


  25. - Captain Cook - Tuesday, Jul 18, 17 @ 12:55 pm:

    Rauner keeps harping on the “mismanaged” Chicago pension system when the state system is even more mismanaged, with a greater unfunded liability. So, by his logic, the State should not only keep stiff-arming Chicago’s teacher pension fund, but stop paying for downstate and suburban teacher pensions too?


  26. - Sue - Tuesday, Jul 18, 17 @ 1:13 pm:

    Captain - FYI CPS pension fund was 104 percent funded before Daley’s 13 year pension Holiday. But why let facts get in the way of your position


  27. - Norseman - Tuesday, Jul 18, 17 @ 1:18 pm:

    Michelle is right.

    Determining the effective date of a law resulting from an amendatorily vetoed bill is more complex. The result depends on when the bill was “passed” as that term is used in the Constitution. If the General Assembly accepts the Governor’s recommended changes, the bill is “passed” for effective-date purposes on the day those changes are accepted by the second house. If that is after May 31 and the recommended changes are accepted by a majority but fewer than three-fifths of the members elected in each house (or the bill does not state an effective date), the effective date of the law will be June 1 of the next year. Thus if a law resulting from acceptance of an amendatory veto is to take effect earlier than June 1 of the next year, it must state an earlier effective date and be repassed after the amendatory veto by three-fifths of the members elected to each house.

    Preface to LAWMAKING, Legislative Research Unit, Eighteenth Edition, November 2016, P. 49


  28. - Three-Finger Brown - Tuesday, Jul 18, 17 @ 1:23 pm:

    Sue, the TRS pension has a weaker funding level than CPS. The state has been under-funding TRS for more than 13 years. Not everything can be blamed on the Chicago Machine.


  29. - wordslinger - Tuesday, Jul 18, 17 @ 1:30 pm:

    I think the governor should think twice about playing a high-speed game of chicken on schools opening, especially with this new crack crew backing him.

    If he won’t consider the interests of the children and parents, he might want to consider his own.

    I’m not sure what the upside is in his mind, but I know the downside is very deep with sharp rocks on the bottom.

    For Downstate GOP GA legislators, too.


  30. - GOP Extremist - Tuesday, Jul 18, 17 @ 1:38 pm:

    Huh?

    The “Radical Candor Guy” doesn’t need to be urged to bash the Governor on social media.

    Why wouldn’t Cullerton and Madigan try to make the Gov wear the hat for his misguided actions.


  31. - Juvenal - Tuesday, Jul 18, 17 @ 1:39 pm:

    Michelle and Norseman are correct.

    If the governor AV’s the bill, the General Assembly must amend the bill to “concur”. Repassage of the amended bill will require 3/5, and that ain’t happening.


  32. - Juice - Tuesday, Jul 18, 17 @ 1:52 pm:

    A Governor’s AV is accepted with a simple majority, not a super-majority, the plain language of the Constitution is pretty clear on that.

    Here is an example of an AV that was accepted by the Senate short of a super-majority but was effective immediately upon the Governor’s certification after May 31 and prior to January 1. (The house accepted unanimously.)

    http://ilga.gov/legislation/BillStatus.asp?DocNum=2545&GAID=3&DocTypeID=HB&LegID=4510&SessionID=3&GA=93


  33. - Henry Francis - Tuesday, Jul 18, 17 @ 1:53 pm:

    Didn’t the Guv appoint some Meeks guy to chair or head his education department? I thought I read something about that a couple of years ago. You would think he would have an opinion on this issue, right? He sure seemed to have some ideas in 2008.

    In fall 2008, he announced a boycott of the Chicago Public Schools, urging his congregants and people from other churches to keep their children home until Chicago inner-city schools received more funding from Springfield.[3] Meeks pointed out that at New Trier High School in Winnetka, thousands of dollars more are spent on each student, compared to Chicago Public Schools where the population is mostly minorities from low-income homes.[3] Over a thousand students met outside New Trier High School in the suburban North Shore to protest. The boycott ended after two days when governor Rod Blagojevich said he would not with Meeks during a boycott.[4]


  34. - SAP - Tuesday, Jul 18, 17 @ 1:59 pm:

    From yesterday: == I’m not sure if CPS realizes this, but their argument is essentially that an AV would be ruled out of compliance by the Senate or the House. If such a ruling is made, however, the bill would die and the GA would have to start all over again. == It would not surprise me in the least if the Speaker ruled an AV motion out of compliance and let SB 1 die.


  35. - Anon Downstate - Tuesday, Jul 18, 17 @ 2:11 pm:

    Here’s an option for CPS to consider (won’t, but should):

    1) Give CPS (Legislatively) the ability for one RE tax year the ability for just the City of Chicago the right to increase their existing CPS tax levy by up to 50%

    Ex.: $3.726 (Current CPS composite tax rate) x 1.50 (50% increase) = new tax rate of $5.589, just for CPS.

    For 2016, the pie chart shows $2,757,855,027 extended RE taxes for the Board of Education (CPS). So, an additional 50% would raise $1,378,927,513.50 (+/-)just for CPS.

    Vote of the City Council and the CPS school board to make it happen (law change required).

    There’s a practical funding source going forward for CPS.


  36. - Roman - Tuesday, Jul 18, 17 @ 2:21 pm:

    - Sue -

    Daley deserves all sorts of blame, he appointed board members and CEO’s who ignored the pension problem. But the pension holiday started with the Edgar/Pate/Daniels 1995 School Reform Amendatory Act, which all Chicago Dems voted against. That law eliminated the pension property tax levy for Chicago (which kept the fund solvent for decades) and statutorily enabled the Chicago Brd of Ed to skip future pension payments. During the Senate debate on the bill, John Cullerton spoke in opposition to the bill, warning it would make the Chicago teachers pension fund every bit as financially stressed as TRS. He was right.


  37. - Norseman - Tuesday, Jul 18, 17 @ 2:23 pm:

    Juice, you found a stumper. What I cited was an excerpt from the Legislative Research Unit. It was also consistent the interpretation of effective dates in a Dillard and Martin IL Bar Journal publication in 1985 (that article dealt with the effective dates in effect prior to an amendment). So one of two things can explain the example. 1) The experts on the subject were wrong in the interpretation; or, 2) The effective date was improperly listed as 12/31/2003.

    If this point really mattered, I’d do more research on the subject. However, it’s a moot point because there will be no vote on an acceptance motion.


  38. - Anon221 - Tuesday, Jul 18, 17 @ 2:36 pm:

    Paging Dusty Rhodes… or Sen. Manar… someone who might be able to lay to rest the AV debate :)


  39. - Juice - Tuesday, Jul 18, 17 @ 2:48 pm:

    Norseman, I definitely agree with it being a moot point, since I find it very hard to believe that Manar would file a motion to accept.

    And I think in the abstract, those interpretations make sense. But I think if specifically stating “a majority” to accept versus something along the lines of “the specific recommendations may be accepted in the same manner as passage of a bill” leads me to think that the courts (who as far as I know have never dealt with this question) would stick with the plain language.


  40. - Norseman - Tuesday, Jul 18, 17 @ 3:14 pm:

    Juice, I have to hand it to you for finding an outlier from 2003. I don’t know if it was a bill you had to work on for 24/7, but it was a good bit a research.


  41. - Fax Machine - Tuesday, Jul 18, 17 @ 3:37 pm:

    3/5 makes sense, but if the Supreme Court hasn’t ruled on that issue then everyone could go forward assuming 30 & 60 and dare the Supreme Court to shut down Illinois schools.


  42. - Sue - Tuesday, Jul 18, 17 @ 3:48 pm:

    The AV will benefit most if not all districts other then Chicago. The override will fail. It will be interesting whether Madigans new comptroller issues the funding checks. It will be on Madigan if Schools don’t open assuming there is no overide


  43. - Decaf Coffee Party - Tuesday, Jul 18, 17 @ 4:03 pm:

    ==It will be on Madigan if Schools don’t open assuming there is no overide==

    Who gets the blame likely will depend on where people line up politically — or whether they live in Chicago or downstate.

    Some might say it is the gov’s fault for not signing a bill that gives him 90% of what he wants. For sure, he will be the one vetoing the first major school funding reform measure to pass the GA in more than 20 years.

    If I were a school district board or administrator I would have to ask myself whether a bird in the hand is better than two in the bush because once you start subtracting $$$ from CPS and the votes from legislators representing those schools, the math to even get to 60 and 30 becomes quite complicated.

    So, who gets the blame is a great question. There is no question who the victims will be, though — whether they are among the almost 20% of kids who attend CPS schools or those who attend downstate schools.


  44. - Oswego Willy - Tuesday, Jul 18, 17 @ 4:11 pm:

    ===It will be on Madigan if Schools don’t open assuming there is no overide===

    Unless the constitution changed, governors own vetoes.

    In baseball, a “Double-Play” (two out during one play or at-bat) is never assumed. Once the first out is made, the second out is a skill or play not assumed to be a forgone conclusion.

    Vetoes and overrides are like double-play balls…

    They can be tailer-made, perfect, but the second play (out) still isn’t guaranteed.

    Rauner was 66 for 67ish at one point in stopping overrides, double-plays not turned.

    Governors own their vetoes. That’s how it always works.


  45. - Wumpus - Tuesday, Jul 18, 17 @ 4:47 pm:

    Okay, if SB1 benefits almost all school districts, who does it harm?


  46. - Oswego Willy - Tuesday, Jul 18, 17 @ 4:48 pm:

    ===Okay, if SB1 benefits almost all school districts, who does it harm?===

    Bruce Rauner.

    Bruce Rauner’s narrative.


  47. - Due - Tuesday, Jul 18, 17 @ 5:12 pm:

    OW- you totally miss the issue- no surprise. Rauner can AV the Zbill by excepting out the Chicago pension piece- the house fails to override- the question then is only whether the Comptroller sends the money otherwise provided for. As you know Mendoza is a Madigan controlled office holder


  48. - Juice - Tuesday, Jul 18, 17 @ 5:18 pm:

    Sue (or possible Due, but I figure that is a typo),

    the appropriation language says that the funding is for an “Evidence-Based Funding, provided for in Section 18-8.15 of the School Code.”

    If the Governor vetoes the bill and it is not overridden, then Section 18-8.15 does not exist. What legal authority does the State Board of Education have to submit vouchers to the Comptroller, let alone for the Comptroller to issue checks?


  49. - walker - Tuesday, Jul 18, 17 @ 5:20 pm:

    ==whether the Comptroller sends the money otherwise provided for. As you know Mendoza is a Madigan controlled office holder.==

    Wow., Due. You’re really stretching here. Mendoza will send the money as provided by law. In terms of timing discretion, if any, she would never deliberately delay the school funding. Nor would any other Comptroller.

    Madigan myth much?


  50. - Sue - Tuesday, Jul 18, 17 @ 5:22 pm:

    Juice- under the Illinois constitution- Rauner can amend the bill and it’s then up to the legislature to attempt the AV override- it’s done all the time. The only language he would delete is the CPS pension provision.


  51. - Oswego Willy - Tuesday, Jul 18, 17 @ 5:28 pm:

    ===… you totally miss the issue… ===

    Nope. Good try thou…

    Rauner vetoes and hurts Chicago schools and students, Rahm, the CTU, parents, they won’t forget.

    How do I know?

    Easy. Rauner kept trying and trying to put that $215 million back for CPS. Rauner did that because Chance made sure the “messaging” was “Gov. Rauner, #DoYourJob”

    The CTU is more popular than Rauner, so there’s that too, lol

    I didn’t miss anything but your ridiculous…

    ===…Madigan controlled office holder.==

    … in which - walker - rightly points out the Comptroller has statutory duties, so there’s that too.


  52. - Juice - Tuesday, Jul 18, 17 @ 5:50 pm:

    Sue, you specifically laid out a scenario in which a motion to override fails. And then basically accused Mendoza of holding school funding hostage in that scenario if she doesn’t release payments. I was only pointing out that for payments to be made, both ISBE and the IOC would be violating the law.


  53. - Huh? - Tuesday, Jul 18, 17 @ 7:36 pm:

    Extremist - the question is will radical candor bash 1.4% at the bidding of Madigan. I hope this is a case of the enemy of my enemy is at the very least someone with mutual, though temporary interests.


  54. - blue dog dem - Tuesday, Jul 18, 17 @ 8:26 pm:

    Personally. I don’t give a darn about CPS.

    But I do believe this is scripted down to the finale. High School football is much to important to our school children in Illinois.


  55. - RUG - Tuesday, Jul 18, 17 @ 8:55 pm:

    == High School football is much to important to our school children in Illinois. ==

    But I don’t think it is to Rauner …


  56. - Undiscovered country - Wednesday, Jul 19, 17 @ 8:25 am:

    Rauners s b 1 plan, “I’ll fix it with an a v” sounds a lot like “rewrite to do right”


  57. - Juvenal - Wednesday, Jul 19, 17 @ 8:32 am:

    Sue:

    You apparently do not understand how the Amendatory Veto works in Illinois.

    Rauner cannot amend the bill.

    He can send the bill back to the general assembly with recommendations for specific changes.

    The GA either has to repass the bill with or without his changes - and either option would require 3/5 vote - or the bill dies.

    3/5 of lawmakers do not support shafting the city of Chicago and David Harris might be right that 3/5 do not support treating the school district for 80 percent of the minorities in the state equally.

    In that case, the AV effectively kills school funding.


Sorry, comments for this post are now closed.


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