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Report: Feds looking at Joe Berrios

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Mark Brown, Tim Novak and Robert Herguth at the Sun-Times

A federal grand jury subpoena obtained by the Chicago Sun-Times shows investigators are digging into former Cook County Assessor Joe Berrios and his political organization.

The subpoena seeks documents related to Berrios’ 31st Ward Democratic Organization, his Friends of Berrios campaign committee and the Mexican American Political Action Committee.

Among other things, the subpoena asks for information about contributions to Berrios’ retirement party and his access to private planes and boats.

It also seeks turnover of any items “related to any official action taken in exchange for a benefit” and specifies the type of actions — including “assessor recommendations, certificates of correction, certificates of error, property valuations and re-reviews.” […]

Similar subpoenas were received by several current and former employees of the assessor’s office, a source said.

The assessor’s office didn’t receive any subpoenas, Fritz Kaegi’s spokesperson said.

  26 Comments      


Exelon hit with class action suit over alleged corruption

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Press release

Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Exelon Corporation (“Exelon” or the “Company”) (NASDAQ: EXC) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired Exelon securities between February 9, 2019 and November 1, 2019, both dates inclusive (the “Class Period”).

This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.

The complaint alleges that throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Exelon and/or its employees were engaged in unlawful lobbying activities; (2) the foregoing increased the risk of a criminal investigation into Exelon; (3) ComEd’s revenues were in part the product of unlawful conduct and thus unsustainable; and (4) that, as a result, the Company’s public statements were materially false and misleading at all relevant times.

On July 15, 2019, during pre-market hours, Exelon filed a Current Report on Form 8-K with the SEC, disclosing that both Exelon and ComEd had “received a grand jury subpoena from the U.S. Attorney’s Office for the Northern District of Illinois requiring production of information concerning their lobbying activities in the State of Illinois.”

Then, on October 9, 2019, during pre-market hours, Exelon filed another Current Report on Form 8-K with the SEC, disclosing that, on October 4, 2019, both Exelon and ComEd “received a second grand jury subpoena from the U.S. Attorney’s Office for the Northern District of Illinois that requires production of records of any communications with certain individuals and entities, including Illinois State Senator Martin Sandoval.” That Current Report also disclosed that, as far back as “[o]n June 21, 2019, the Exelon Corporation Board formed a Special Oversight Committee, consisting solely of independent directors, to oversee [Exelon and ComEd’s] cooperation and compliance with the subpoena, any further action taken by the U.S. Attorney and any resulting actions that may be required or recommended.”

On October 15, 2019, shortly before the market closed, Exelon issued a press release announcing the abrupt departure of Anne Pramaggiore (“Pramaggiore”), Chief Executive Officer (“CEO”) of Exelon Utilities, and former President/CEO of ComEd. The Company’s statement on Pramaggiore’s retirement offered no reason for her departure, but analysts following the Company came to the conclusion that the criminal subpoenas and Pramaggiore’s abrupt resignation were related. On this news, Exelon’s stock price fell $2.15 per share, or 4.57%, to close at $44.91 per share on October 16, 2019.

Then, on October 31, 2019, during intraday trading, Exelon filed a Quarterly Report on Form 10-Q with the SEC, disclosing that “[o]n October 22, 2019, the SEC notified Exelon and ComEd that it has also opened an investigation into their lobbying activities.” On this news, Exelon’s stock price fell $1.17 per share, or 2.51%, to close at $45.49 per share on October 31, 2019.

Finally, on November 1, 2019, after the market opened, the Chicago Tribunereported that “[a] source with knowledge of the case in Chicago” confirmed that “Pramaggiore is one focus of the ongoing federal investigation.” According to the same article, “[t]he ComEd lobbying investigation dates to at least mid-May, when the FBI executed search warrants at the homes of former lobbyist Mike McClain of Quincy, a longtime confidant of House Speaker Michael Madigan, and of former 23rd Ward Ald. Michael Zalewski” (emphasis added). Additionally, “[t]he information sought by the FBI included records of communications among Madigan, McClain and Zalewski about attempts to obtain ComEd lobbying work for Zalewski.” On this news, Exelon’s stock price fell an additional $0.15 per share to close at $45.34 per share on November 1, 2019—a total decline of 2.83% since the initial announcement of the SEC investigation.

The lawsuit is here.

* One aspect of the lawsuit is Exelon’s “Code of Conduct” for its lobbying operation

No Exelon personnel may engage in lobbying activities on behalf of the Company, testify or provide comments before any legislative committees for Exelon, or accept an appointment to an advisory or study group established by a legislative body or administrative agency on behalf of Exelon without first obtaining the approval of Government and Regulatory Affairs or the Legal Department. Government and Regulatory Affairs will also help ensure compliance with all lobbying registration, reporting, and disclosure requirements. All Exelon lobbyists are expected to follow both the letter and spirit of the lobbying laws and to maintain the highest standards of professional integrity.

Which leads to this claim

Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Exelon and/or its employees were engaged in unlawful lobbying activities; (ii) the foregoing increased the risk of a criminal investigation into Exelon; (iii) ComEd’s revenues were in part the product of unlawful conduct and thus unsustainable; and (iv) that, as a result, the Company’s public statements were materially false and misleading at all relevant times.

  14 Comments      


Because… Madigan!

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* I leased a Cadillac through this dealership maybe five or six years ago, so that’s why I’m on this email list…

News Update regarding the New 2020 Illinois Trade-In Tax from Patrick Cadillac/Volvo.

Why are you receiving this email? Patrick Cadillac and Patrick Volvo Cars is working hard to communicate with their customers and we want to keep you up to date. If your considering to trade your vehicle in for New, Certified Pre-Owned or Pre-Owned vehicle with us now is the time to take action.

WHAT IS THE NEW TRADE-IN TAX? A new Illinois law becomes effective on January 1st, 2020 that eliminates the tax benefit of trading in your vehicle.

WHAT DOES THIS MEAN? Illinois currently collects no sales tax on the car’s trade-in value. Your car will currently act as an untaxed credit towards your new vehicle purchase. Starting January 1st 2020, sales tax will be charged on trade-in value over $10,000.

To learn more or see an example of how this would affect your trade-in option at Patrick Cadillac click here
To learn more or see an example of how this would affect your trade-in option at Patrick Volvo Cars click here

Update to the New Law below

LAWMAKERS END VETO SESSION - FAIL TO REPEAL $10,000 TRADE-IN CAP

Illinois lawmakers adjourned the Fall Veto Session without calling [the Illinois Automobile Dealers Association’s] legislative proposal to repeal the $10,000 cap on the motor vehicle trade-in credit that is scheduled to take effect on January 1, 2020.

Despite having strong, bipartisan support in the General Assembly, the Speaker of the House refused to have IADA’s amendment to repeal the trade-in cap called for a vote during the Veto Session. Over the past several months, IADA met with many legislators and staff from the legislature and Governor’s Office, virtually all of whom were receptive to IADA’s proposal to restore the trade-in credit. We extend our thanks to our many dealer-members who met with their legislators and who generated over 4,000 letters to legislators and the Governor to urge a repeal of the $10,000 trade-in cap.

We hope to start fresh in the Spring Legislative Session to try to reverse the cap before it causes too much harm.

Strong bipartisan support? A small handful of members signed on as co-sponsors.

  18 Comments      


Pritzker sends president a letter consenting to receive refugees

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Capitol News Illinois

Democratic Gov. J.B. Pritzker said Monday he fully supports allowing refugees to resettle in Illinois, and he is expected to sign a letter to the Trump administration to that effect in the coming days.

Such a letter of consent is now required from state and local officials under an executive order that President Donald Trump issued earlier this year. Under that order, state and local officials have until Dec. 25 to issue written statements of consent.

“As the great grandson of a Jewish refugee from Ukraine, the president’s attacks on immigrant families are deeply personal to me,” Pritzker said in an email statement. “I will always embrace refugees with open arms, and under my administration Illinois will always be a welcoming state that values the contributions immigrants make in our society.”

* Press release…

Recognizing the countless contributions refugees make in the state of Illinois and across our nation, Governor JB Pritzker wrote a letter to U.S. Secretary of State Mike Pompeo to welcome refugees to Illinois.

“As the Governor of Illinois, I proudly consent to the continuation of refugee admission to our state and extend a warm welcome to refugees who have come and will be coming to Illinois,” writes Gov. Pritzker in the Dec. 17 letter.

The Governor’s letter follows an executive order from President Trump aimed at turning refugees away. The Dec. 17 letter reads as follows and a copy is attached:

Honorable Secretary Pompeo,

Since 1975, the State of Illinois has welcomed and resettled more than 130,000 refugees from more than 86 countries. In recent years, 1,000 to 3,000 refugees, those seeking asylum, and victims of human trafficking arrived in Illinois annually. Refugees have successfully rebuilt their lives and made positive social and economic contributions to Illinois. They have helped revitalize neighborhoods and added to the cultural vitality of our state and communities.

As the Governor of Illinois and the great-grandson of refugees, I am committed to ensuring that Illinois is a welcoming state, especially for refugees and those seeking asylum. As survivors of persecution, refugees embody the importance of human rights, democracy, and freedom. Refugees’ resilience in the face of hardship inspires courage, hope, and perseverance. And refugees’ countless contributions undoubtedly make our states and nation stronger.

Importantly, refugees admitted through the United States must go through extensive security screening prior to their arrival. This process ensures that their claims are valid and that they are not a security risk to the United States. The security vetting can last more than two years and includes five background checks, four biometric security checks, and multiple interviews with United States officials. Once admitted to the United States, refugees are required to become self-sufficient and integrated into their new communities as soon as possible.

The New American Economy’s report From Struggle to Resilience, the Economic Impact of Refugees in America and the National Bureau of Economic Research’s report The Economic and Social Outcomes of Refugees in the U.S. have documented that:

    * Refugees pay $21,000 more in taxes than they receive in benefits on average in their first 20 years in the U.S.
    * Refugee rates of entrepreneurship (15%) exceed other immigrants (11.5%) as well as U.S. born (9%).
    * Refugees become citizens at a higher rate than non-refugee immigrants. In 2015, 84% of eligible refugees were naturalized citizens as compared to 51% of other immigrants.
    * Refugee children do as well as U.S.-born children on measures of education attainment.
    Over 77% of refugees are of working age as compared to 49.7% of the U.S.-born population, helping to meet U.S. labor force needs.

Illinois communities have clearly benefited from having refugees in our midst. We coordinate with the U.S. State Department and the Office of Refugee Resettlement, as well as the non-profit sector, to make sure that local communities are consulted and engaged in an on-going, positive effort to welcome refugees and ensure that refugees can realize their full potential in our country.

With a global humanitarian crisis of more than 70 million forcibly displaced individuals, including 25 million who are refugees seeking asylum, the United States should continue to provide leadership, in partnership with other countries, to offer resettlement for refugees. Our nation has the capacity to admit significantly more than the 18,000-person limit set by the presidential determination for FY20. I believe it is in our national interest and consistent with our national values to do so.

As the Governor of Illinois, I proudly consent to the continuation of refugee admission to our state and extend a warm welcome to refugees who have come and will be coming to Illinois.

Sincerely,

JB Pritzker
Governor

  21 Comments      


Toys for the LSSI kids, a final plea and a vote

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* For the past several years, Becky Carroll has brought a load of toys to my annual City Club “Christmas with Rich Miller” speech to donate to Lutheran Social Services of Illinois. She’s never once asked me to publicly thank her. She does it because she wants to help the kids.

Since I didn’t do the City Club event this year, Becky asked me for a contact person at LSSI so she could donate toys again. She delivered 40 toys and games to LSSI a few days ago.

I neglected to ask Becky to take some pictures of the toys, so I reached out to Joy Medrano at LSSI to see if she had any photographs.

Email from Joy…

Hi Rich-

Sorry for the delay in my response. Here is a small sample of what Becky sent.

I gave quite a few toys away to children at our Visits to Mom party this past Saturday. The Visits program enables children and their care givers to visit their mothers who are incarcerated. The kids were so excited to receive the toys.

This current batch will be going to our Intact South Program. Thankful to both you and Becky for this incredible gift!

More on LSSI’s Intact program is here. Info on Visit to Mom is here.

And here’s one of Joy’s pics…

Thanks, Becky!

* As I write this, we have raised $8,250 for Lutheran Social Services of Illinois, most of it donated in a single day. That’s far more than we ever raised at any of my City Club events.

How about we try to reach $9,000 (or even $10k) by this Friday? Let’s help this group. And, remember, we’re doing this in honor of the late Wordslinger, a proud Lutheran who was profoundly disturbed by what happened to social service providers like LSSI during the impasse.

Please, click here. Thanks!

* Speaking of our late commenter, the Wordslinger Golden Horseshoe Award for Best CapitolFax.com Commenter would normally be given this Friday, the last day the blog will be open before Christmas. I’ve been wondering what we should do about it. Should we just give it to Wordslinger in his memory? Or should we open it up to all commenters?

Vote here and debate in comments


find bike trails

Thanks and don’t forget to contribute.

  23 Comments      


Decatur police will use blood tests to check drivers for pot use

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Decatur Herald & Review

Police in Decatur and Macon County are gearing up for what officials expect will be an increase in impaired drivers after recreational cannabis becomes legal in Illinois next month.

Police and sheriff’s deputies are already trained to spot drivers who are drunk or high, but many are receiving additional training. Enforcing the new law could be complicated because cannabis can take many forms, such as edibles, which can look and smell like regular food. While a breathalyzer test can detect whether a driver has been drinking, blood tests will be used to determine if someone is driving while impaired by cannabis — expanding on a tool police already use to find drugs in a driver’s system.

“We will enforce how we interpret the legislation to the best of our ability,” said Decatur Police Chief Jim Getz. “We are going to make traffic stops based on violations and use our observations to take the next steps if things go further.”

The blood tests could be done at a hospital or by police who are trained in forensic phlebotomy. Of 10 officers in the state with such training, four of them are in Macon County, according to several of those interviewed by the Herald & Review.

You have to scroll down further to see this, though

If an officer finds enough probable cause for an arrest, the officer will read the driver his or her rights from a form called the “warning to motorist.” This includes information about being able to consent or refuse chemical testing. The driver will be asked to allow blood and urine tests, [Larry Brooks, Decatur master patrol officer who is trained in forensic phlebotomy] said. […]

If police determine through field sobriety testing that more analysis is needed, they will proceed only if the driver gives written consent, Brooks said. Under state law, Illinois residents can refuse DUI testing, but face an automatic driver’s license suspension — or in more serious cases, revocation — if they do so, according to the Illinois Secretary of State’s Office. […]

If consent isn’t given, state law does allow police to obtain a search warrant for blood tests. Brooks said, as an example, this might be done in cases involving a crash that resulted in serious injury or death. […]

Sometimes it can be difficult to find a vein, particularly if the person is dehydrated or using illegal drugs, Brooks said. If the officer cannot successfully draw the blood from the hand or elbow after two attempts, the person will be sent to a hospital to allow medical personnel to take the blood from an easier access point. Suspects are also brought to a hospital for testing if a forensic phlebotomist is not available.

So, if the cops say you have to take a blood test and you refuse, they can obtain a warrant or you can lose your license. And if you consent, you could wind up being taken to a hospital.

Totally not an overreaction.

* And then there’s this

The Decatur Police Department received a $500,000 donation from the Howard Buffett foundation. That money will be used to hire a new officer that is solely focused on catching drivers who are under the influence.

  54 Comments      


Question of the day: Golden Horseshoe Awards

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* The 2019 Golden Horseshoe Award for Lifetime Service in the Illinois House goes to former Rep. Michael McAuliffe (R-Chicago)

His history in the House is fascinating if you take a long view. He was one of the few republicans who got along really well with Madigan until the relationship soured. I believe he served as a chair of a committee at one point. For years he was known as one of the most bipartisan members, often helping newer Democrats learn how to deal with the republican caucus. Add to the equation that he’s passed some great bills, helped mentor dozens of GOP members, and was lucky enough to marry an amazing wife.

* The 2019 Golden Horseshoe Award for Lifetime Service in the Illinois Senate goes to retiring Sen. Dale Righter (R-Mattoon)

Senate debates will never be the same after Dale Righter is gone. He could briefly look over a bill and then immediately tear it apart from top to bottom, and he could make anyone, on any side of the issue, reconsider their plan to vote. He is so fast and so smooth and could verbally destroy your bill while maintaining the utmost respect for you and the institution of the Senate to the point that many of his “victims” would smile and get a kick out of the verbal barrage. Absolutely a one-of-a-kind debater. Will be missed by all. Plus there’s that one really tough vote he took…

Again, lots of very solid nominations were made. Thanks to those who participated and congrats to our winners!

…Adding… From Sen. Righter…

Rich, if you would, please pass along my thanks to the commenters who were very gracious in their words

* On to today’s categories…

* Best Legislative Liaison

* Best “Do-Gooder” Lobbyist

Please explain your nominations or they will not count and please nominate in both categories if you can. Have fun!

  39 Comments      


Is this fight truly necessary?

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Greg Hinz

Both Mayor Lori Lightfoot and Gov. J.B. Pritzker are pushing different candidates to take the helm of the agency that operates Chicago’s economically crucial McCormick Place convention center, a development that could be resolved amicably or could lead to some serious jockeying between the two officials.

Sources close to the matter say the mayor has been talking up Jeff Bethke, now executive vice president and CFO at DePaul University, to take over as CEO of the Metropolitan Pier & Exposition Authority, or McPier as it’s generally known. Bethke served on Lightfoot’s transition team and once worked as an aide to former Chicago Public Library Commissioner Mary Dempsey, a close kitchen cabinet adviser to the mayor. […]

Sources say Pritzker has promoted two local officials: Arnie Rivera, the former budget director at Chicago Public Schools and now CPS’ chief operating officer, and Larita Clark, a veteran McPier staffer who currently is its acting CEO and the CFO. […]

By tradition in recent decades, the mayor has chosen the person who becomes chairman and the governor the CEO. But that situation began to break down under former Gov. Bruce Rauner, who “didn’t care about McPier very much,” one agency source told me.

United Airlines General Counsel Brett Hart is the current chairperson.

According to a search of the State Board of Elections, the only campaign contributions ever made by Jeff Bethke were to Mayor Lightfoot.

Unless Pritzker’s choices are completely unacceptable (and I have not yet seen any evidence of that), perhaps the mayor should let tradition dictate here. She’ll eventually get to choose the chairperson.

  29 Comments      


Mendoza uses GOP delegation’s anti-Blagojevich letter to urge Trump impeachment

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Comptroller Susana Mendoza writing in the Tribune about impeachment past and present

Trump held up your tax dollars, which Congress had authorized on a bipartisan basis to help Ukraine fight their war against the Russians, until Ukraine’s president would do Trump a campaign “favor” by publicly announcing an investigation of Trump’s campaign rival Joe Biden and his son. That’s extortion — as clear and simple as it was with Blagojevich holding up money for doctors at a children’s hospital. Or you could call it “abuse of power,” as it’s described in the articles of impeachment.

Illinois’ entire Republican congressional delegation signed a letter to President Trump in 2018 spelling out the “abuse of power,” “extortion” and “quid pro quo” Blagojevich committed as governor that they said warranted impeachment. They begged him not to pardon Blagojevich because they felt so strongly about not looking the other way from public corruption. They were right to write that letter.

Surely they could not hold their heads up now in public and argue that Democratic abuse of power is impeachable but that Republican abuse of power is … well, what everybody does?

Congressmen and senators, all that evidence and testimony you have already heard is before you now as articles of impeachment.

* From the GOP delegation’s letter to the president

We believe that it is important to outline why facts from the case of former Gov. Blagojevich show a much larger problem and underlying pattern of public corruption. During his tenure in the governor’s office, Rod Blagojevich participated in several pay-to-play practices in which he attempted to solicit money in exchange for official public acts. Two examples include withholding $8 to $10 million in reimbursement money from Children’s Memorial Hospital until they agreed to contribute over $50,000 to his campaign and withholding the signing of a piece of legislation beneficial to race tracks until one of the race track owners agreed to a $100,000 campaign contribution.

Bottom line is he withheld government action in exchange for a campaign favor on at least two occasions.

Before you comment, take a very deep and calming breath. Keep the back-and-forth to a minimum. Say what you gotta say and move along.

  77 Comments      


CTU hit with defamation cease and desist letter

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Background is here if you need it. From Politico

Alaina Hampton, the political consultant who recently settled a sexual harassment case with Illinois House Speaker Michael Madigan and his Democratic organization, is still in a battle with the Chicago Teachers Union. During her suit with the Dems, Hampton had claimed CTU did not hire her because she had been blackballed by Madigan’s organization. Hampton had sought documents from CTU, but the organization initially refused. It eventually was compelled to turn over the documents.

The case is now settled, but Hampton says CTU has continued to disparage her on social media, so her legal team filed a cease and desist order.

Hampton revealed the legal move Monday in a tweet directed to CTU after a spokeswoman described the case as having “factual distortions, hyperbole and outright lies.” The spokeswoman’s tweet was deleted, but not before Hampton responded with her own tweet: “You can’t hide from the truth. That’s one reason my attorneys sent you and CTU a cease and desist for defamation a month ago.”

  16 Comments      


Lightfoot on gaming bill failure: “People came out of the woodwork with their ‘letters to Santa’”

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Cole Lauterbach at the Center Square on Mayor Lori Lightfoot’s unsuccessful veto session bid to change the state gaming law to help Chicago land a casino

But her lobbying efforts hit a roadblock when news broke that a state lawmaker had been arrested for allegedly offering a state senator who had been wearing a federal wiretap a series of bribes in exchange for supporting another piece of gambling legislation.

“It didn’t help that, on the very first day of veto session, there was a criminal charge announced of a legislator around gaming,” Lightfoot told the Economic Club of Chicago. “I felt like at that point we may not even be in the conversation.”

As the veto session came to a close, it became clear that Lightfoot would come up short. She revealed Tuesday just how close it was.

“By our whip count, we had fifty-five votes in the House and we needed sixty so we were close despite those odds,” she said.

One of the difficulties she said her team ran up against was a legislative effort to add what she called “tinsel to the Christmas tree,” or markup the bill with add-ons they wanted.

“They saw this piece of legislation, particularly around casinos, as their one opportunity to get something that they felt they were promised,” she said. “People came out of the woodwork with their ‘letters to Santa.’ ”

The impetus for the change in the already passed gambling legislation was a report that said the tax and fee structure for a Chicago casino was too high to attract a developer.

Lightfoot said she was confident an agreement could be reached when lawmakers return to Springfield in 2020.

Legislators were, indeed, asking for a lot of stuff. Some thought they had an agreement with the mayor and then others jumped in when they saw goodies being passed out.

It’s never easy to pass a gaming bill, particularly a stand-alone bill like this one which the mayor tried to muscle through in a hurry.

…Adding… Some good points here…


Yep.

  16 Comments      


*** UPDATED x1 *** Lightfoot praised for “new and innovative” cannabis social equity idea

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Tribune

Mayor Lori Lightfoot is working to form a city-owned marijuana cultivation co-op that aspiring entrepreneurs could buy into to address some of the inequities in the legal marijuana business, she said Monday.

“I would like to have the opportunity for the city to create a cooperative cultivation center so that we can bring a professional in … then people will buy into the cooperative even with a modest cash investment or sweat equity and eventually, after they learn the business from top to bottom, turn that over to them,” Lightfoot said.

* Sun-Times

Lightfoot said up to $15 million generated by tax-increment financing could be used as seed money for the plan to open a “cooperative cultivation center” that residents of color could “buy into” — either with a “modest cash investment” or with “sweat equity.”

She said the idea is aimed at overcoming the biggest impediment to minority ownership: access to capital.

“This is a very, very expensive business to get involved with. The basics to be a cultivator requires about a $13 million to $15 million investment. There are not a lot of people that have that, particularly in a market that a lot of banks and traditional lenders won’t touch,” she said.

“I think the only way to really crack this nut is for the city to invest its own resources to get engaged, get diverse entrepreneurs involved in the most lucrative part of the business, which is cultivation,” Lightfoot added.

It may be lucrative, but growing anything involves significant risk.

* Crain’s

As interesting as it sounds, it’s not clear how, or if, it could work. Marijuana businesses are licensed by the state, although local governments have control whether to allow them to set up shop via the zoning process. As Chicago has found, it’s often not clear where one stops and the other begins.

The state isn’t planning to issue new cultivation licenses, beyond the 22 facilities licensed under the medical-marijuana law, for another two years. […]

The state soon will take applications for 40 “craft-grower” licenses that will be awarded in July. Under the law, such growing facilities could be 5,000 to 14,000 square feet. Cultivation centers can be up to 210,000 square feet. Up to 60 more “craft-grow” licenses will be issued by Dec. 21, 2021.

In an effort to increase diversity, the state will award a 20 percent bonus to applications from people who qualify for “social-equity” status because they’ve lived in areas hit hard by poverty and the war on drugs or have criminal records related to minor marijuana possession offenses.

* Pritzker administration…

The administration is excited that people are discussing new and innovative approaches to equity and we look forward to exploring those options when the application period for cultivation centers begins in 2021.

* Context from CBS 2

Facing a potential City Council showdown over an alderman’s bid to push back the start of recreational marijuana sales in Chicago from January to July, Mayor Lori Lightfoot on Monday said she’s confident she’ll be able to work out a compromise to avoid a delay.

Ald. Jason Ervin (28th), who chairs the City Council Black Caucus, has moved to force a City Council vote this week on his proposal to delay legal weed sales in the city for six months.

Ervin’s ordinance has been bottled up in the Committee on Contracting Oversight and Equity since he introduced it in October, receiving only a subject matter hearing – but no vote – since then. So he has invoked a City Council rule allowing him to force a vote on proposed legislation after it’s sat idle for at least 60 days. […]

Lightfoot sounded cautiously optimistic that, one way or another, she will avoid a delay in recreational marijuana sales in Chicago.

“I met with Alderman Ervin last week, and my staff continues to talk to he and other members of the Black Caucus,” she said. “I think we’re going to get there. I understand their concern. They want to make sure that this new law speaks to the inequities that have befallen black and brown communities, particularly over the war on drugs.”

* ABC 7

Monday members of the Black Caucus met at 6th Ward Alderman Rod’s Sawyer’s South Side office to discuss options.

“What we gain is the fact that no sales, no commerce. Again we have very specific points that we have brought about that we would like to see changed, the state didn’t give us a lot of flexibility in this matter,” said Ald. Ervin.

But one of the chief architects of the law, State Representative Kelly Cassidy, said delaying sales would be counterproductive, because income and fees from medical dispensaries, which will be the first to sell adult-use cannabis, provides money for loans and grants for minorities applying for licenses.

*** UPDATE *** Press release…

As social equity applicants continue to apply for the coming round of cannabis dispensary licenses, the Pritzker Administration today opened applications for the first $21 million Low Cost Loan Program that was authorized in the cannabis law signed in June. The initiative is funded through the Cannabis Business Development Fund, created by the Cannabis Regulation and Tax Act, to support social equity applicants seeking cannabis business licenses.

The fund is primarily supported through the licensing fees of the first round of dispensaries and cultivators, among other sources. As additional early use licenses for dispensaries and cultivators are awarded, the available funds for loans are expected to surpass $30 million. […]

The low-interest loans will be available to those applying for a license to operate a cannabis business that meet the following criteria as set forth in the Cannabis Regulation and Tax Act:

• Has at least 51% ownership and control by one or more Illinois residents who:

    o Have lived in a Disproportionately Impacted Area in 5 of the past 10 years. Disproportionately Impacted Areas are census tracts that have high rates of arrest and incarceration related to cannabis offenses, among other qualifications including high poverty and unemployment. A map of these areas is available here.
    o Have been arrested for, convicted of, or adjudicated delinquent for cannabis-related offenses eligible for expungement, including cannabis possession up to 500 grams or intent to deliver up to 30 grams.
    o Have a parent, child, or spouse that has been arrested for, convicted of, or adjudicated delinquent for cannabis-related offenses eligible for expungement, including possession up to 500 grams or intent to deliver up to 30 grams.

• Has more than 10 full-time employees, and more than half of those employees:

    o Currently reside in a Disproportionately Impacted Area.
    o Have been arrested for, convicted of, or adjudicated delinquent for cannabis-related offenses eligible for expungement, including cannabis possession up to 500 grams or intent to deliver up to 30 grams.
    o Have a parent, child, or spouse that has been arrested for, convicted of, or adjudicated delinquent for cannabis-related offenses eligible for expungement, including possession up to 500 grams or intent to deliver up to 30 grams.

In addition to the above, other criteria will be considered for qualification for a loan, including business plans, financial details, operational and compliance information, and need. While the interest rates for all loans will be below market rate, the specific rate, size and duration of each loan will be determined on a case-by-case basis. Successful applicants will receive pre-approval for a Cannabis Social Equity Loan, conditional on receipt of a license.

  11 Comments      


Pritzker: “The speaker knows where I stand on all of these matters related to corruption”

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* Greg Bishop at the Center Square

Gov. J.B. Pritzker said Monday that House Speaker Michael Madigan knows how he feels about the cloud of corruption at the Illinois statehouse, although the governor said he hasn’t spoken directly about the issue with the leader of the state’s Democratic party.

The latest in a series of a stream of corruption news included a report that a Madigan ally had tried to thwart the governor’s selection of a chief of staff. The Chicago Sun-Times this week reported former ComEd lobbyist Michael McClain sent messages to the governor’s office to try to block the governor’s choice.

“I was very upset when I read these remarks that somebody was making at the time, now it turns out as I understand it was who was reported today,” Pritzker said Monday.

Federal investigators raided McClain’s home this summer. The Chicago Tribune reported that emails showed McClain set up payments to a former Madigan aide after the aide was fired amid sexual harassment allegations. McClain has not been charged with a crime.

The report that McLain was trying to thwart Pritzker’s chief of staff selection comes after a report from the Chicago Tribune that said Madigan’s son was the subject of a federal investigation.

Pritzker was asked if he had talked to Madigan about federal investigations.

“I have not,” Pritzker said. “We honestly, the times when I do speak with the Speaker, it’s about legislation that I’m trying to get through. Sometimes he agrees with me. Sometimes he disagrees with me.”

Pritzker said the speaker knows where he stands on corruption.

“We need to make sure that we’re putting forward legislation that deals with ethical lapses, the crimes that seem to have been committed,” Pritzker said. […]

Pritzker said the corruption investigations were upsetting.

“I’m upset that there are people who have acted in a corrupt fashion in our government, in the legislature, they should be rooted out,” Pritzker said. “I want them out of government. They don’t deserve to hold public office.”

* Brian Mackey at Illinois Public Radio

Pritzker has always taken a diplomatic approach to Madigan, even as the speaker faced scandals over aides accused of sexual harassment and, more recently, was named in federal inquiries.

Chicago public radio station WBEZ-FM has reported investigators sought information about Madigan in raids. And the Chicago Tribune says the feds are asking questions about the speaker’s political operation.

Asked whether he had spoken to Madigan about the investigations, Pritzker suggested a conversation is unnecessary.

“The speaker knows where I stand on all of these matters related to corruption,” Pritzker said. “I intend to be out front, as I have been, talking about and advocating for significant changes in our ethics laws.”

Your thoughts about what the governor should or shouldn’t do on this MJM topic?

  42 Comments      


Pritzker announces early childhood initiatives

Tuesday, Dec 17, 2019 - Posted by Rich Miller

* WGEM

Illinois Governor JB Pritzker released new details about how to improve early childhood centers throughout the state on Monday. […]

Under the Rebuild Illinois plan, $100 million will go towards improving early childhood centers across the state. […]

He also announced that there will be an increase in the reimbursement rates for early childhood centers and homecare providers to allow more open spaces for families in need. […]

“For rural counties, that will mean an increase of 20 percent and overall the increase would be five percent statewide,” Pritzker said.

* WEEK

Pritzker said the goal of this is to “improve access to stable care for low-income families and increase wages of early childhood providers.”

For those in counties identified as Group 2, the governor announced another 15 percent for reimbursements on top of the statewide 5 percent.

Group 2 counties in central Illinois include Bureau, LaSalle, Livingston, Logan, Menard, Mason, Fulton, McDonough, Knox and Putnam counties.

Pritzker also announced another $3 million in funding for training for early childcare workers and the establishment of the 29-member Illinois Commission on Equitable Early Childhood Education and Care Funding.

* And he announced a commission

Gov. J.B. Pritzker on Monday announced a new commission to study the state’s early childhood education system.

The 29-member group is made up of several state legislators along with the state superintendent of education and other advocates, providers and school officials.

Leading the charge on one of the governor’s campaign promises, the commission is tasked with offering recommendations on how to better use state funds for early childhood services. […]

The commission will be co-chaired by “four of Illinois’ giants in education,” as Pritzker put it: State Sen. Andy Manar, who helped develop the state’s new evidence-based school funding formula; former state House Majority Leader Barbara Flynn Currie; former state board of education chairman and now deputy governor Jesse Ruiz; and George Davis, the longtime leader of the Rockford Human Services Department.

  1 Comment      


*** LIVE COVERAGE ***

Tuesday, Dec 17, 2019 - Posted by Rich Miller

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Proft loses appeal in bid to make unlimited direct contributions with his independent expenditure PAC

Monday, Dec 16, 2019 - Posted by Rich Miller

* Seventh US Circuit Court of Appeals

A provision of the Illinois Election Code limits how much money entities can contribute to political campaigns. But in some races, Illinois lifts these limits, allowing certain entities to make unlimited campaign contributions and coordinate unlimited spending with candidates. Illinois Liberty PAC, an independent expenditure committee, is not one of these entities; indeed, Illinois bans all independent expenditure committees from making campaign contributions and from coordinating spending with candidates.

Plaintiffs Dan Proft and the Illinois Liberty PAC do not attack the entire contribution and coordination ban enforced against independent expenditure committees. Rather, they seek to overturn the ban only when unlimited contributions and unlimited coordinated expenditures are allowed for others. Otherwise, plaintiffs claim, Illinois’s ban violates the First Amendment rights of free speech and free association and the Fourteenth Amendment right of equal protection.
Whether a constitutional violation exists here depends on if the contribution and coordination ban is closely drawn to prevent corruption or the appearance of corruption.

Because striking down the ban would increase the risk of corruption and circumvent other election code sections that work to prevent political corruption, we affirm the district court’s dismissal of this suit and denial of plaintiffs’ motion for a preliminary injunction.

* More specifically, this is what Proft wanted to do

Although the Illinois Election Code bars independent expenditure committees from contributing to or coordinating with candidates, Proft, through Illinois Liberty PAC, wants to make unlimited contributions directly to political candidates and coordinate with those candidates in races where the code lifts contribution caps for other entities and individuals. To do so, plaintiffs filed a complaint against the Illinois Attorney General and the members of the Illinois State Board of Elections to obtain declaratory and injunctive relief permitting such contributions and coordinated spending. Plaintiffs argue that by excluding independent expenditure committees from making these contributions and coordinated expenditures, Illinois has violated their First Amendment rights to free speech and free association and their Fourteenth Amendment rights under the Equal Protection Clause.

* Conclusion

If Proft wishes to make contributions to candidates or coordinate with candidates, he may reorganize Illinois Liberty PAC as a political action committee. And if Proft wishes to contribute to candidates, coordinate with candidates, and make independent expenditures, he may instead form a political action committee while continuing to manage Illinois Liberty PAC.

  11 Comments      


Oppo dump!

Monday, Dec 16, 2019 - Posted by Rich Miller

* From May 17th

NBC 5 has learned of a move by Mayor-elect Lori Lightfoot to reverse decades of tradition by revamping the mayor’s Chicago Police bodyguard unit, adding representatives from federal agencies and other law enforcement agencies.

At issue, the mayor-elect’s intention to build a new protective detail, reportedly headed by former U.S. Marshal Jim Smith. The unit would include former federal marshals and members of other departments outside Chicago.

“I am not in favor of taking away our jobs and replacing them with someone,” FOP President Kevin Graham told NBC 5. “For as long as we have had a bodyguard detail for the mayor, Chicago police officers have been committed to making sure the mayor and those around him or her are safe.”

* May 28th

A defiant and emotional Mayor Lori Lightfoot said Tuesday she plans to stick with retired deputy U.S. marshal James Smith as commander of her bodyguard detail no matter how vehemently the Fraternal Order of Police opposes the idea.

During a luncheon address to the City Club of Chicago, Lightfoot said she can’t understand why there has been “a lot of ink spilled” about her selection of Smith when his background and experience make him supremely qualified for the job.

“I find it interesting that a guy who has protected Supreme Court justices, high-ranking federal judges and has a record of accomplishment and service as a former U.S. marshal is somebody who is the object of fascination,” the mayor said.

This “controversy” has always made me curious. I mean, he’s a former fed. So what? Is the coppers union really that insular and insecure? Wait. Don’t answer that. I think I know the answer.

* And now this

Mayor Lori Lightfoot is calling for answers from ComEd over the federal investigation into its lobbying activities at the same time the wife of the mayor’s security chief is working as a lobbyist for the utility.

Margaret Houlihan Smith in October added ComEd to her lobbying clients, and listed dozens of city departments she might lobby on the utility’s behalf, including the mayor’s office, according to city records.

Heaven forbid!

Margaret left United as an in-house lobbyist and began doing contract work this year. She was hired by ComEd’s new regime just before a ComEd lobbying contract with the firm co-owned by Chicago Ald. Gil Villegas was terminated. Also terminated within days were contracts for former Rep. John Bradley, the City Club’s Jay Doherty and Speaker Madigan’s former Issues Staff Director Will Cousineau. In other words, she was brought in because the company needed somebody not connected to the recent troubles, but who still knows her way around the Statehouse.

Much (not all) of the chaff at that company has already been shown the door. They need new people they can count on to not get them in trouble. Margaret is the first step forward. And she’s a good step. She’s smart, honest and amazingly capable.

And what’s Lightfoot supposed to do, anyway? Fire her security chief? Ridic.

* This is how the Tribune story ends

Shortly after Lightfoot took office in May, Houlihan Smith declined to comment on the steps she and her husband planned to take to keep his security work for the mayor and her lobbying at City Hall separate.

Smith is often seen around City Council chambers, both when he’s accompanying the mayor as part of her security detail and during council committee meetings when Lightfoot isn’t on hand.

The couple also is sometimes seen together with politicians at City Hall. Earlier this fall, Houlihan Smith was seen introducing her husband to Northwest Side Ald. Jim Gardiner, 45th, in the hallway outside chambers. Gardiner said he vaguely remembered the introduction, but didn’t think there was anything unusual about it.

Get out the pitchforks!

  44 Comments      


“This is an initial, and hopefully short-lived, shortage”

Monday, Dec 16, 2019 - Posted by Rich Miller

* Press release

December 16, 2019

As the legislative sponsors of the Cannabis Regulation and Tax Act (”CRTA”) and the Medical Cannabis Program Act (“MCPA”) we are closely monitoring the beginning of adult-use cannabis sales on January 1, 2020.

Medical cannabis patients and caregivers have increasingly raised concerns to us and to the media about product shortages, and alleged product & price manipulations. We have relayed this information to the Pritzker Administration and have confidence that they take these matters as seriously as we do.

Each state that has implemented an adult-use cannabis program has had issues related to supply shortages. As legislators, we crafted the CRTA and the MCPA to have specific language to prioritize patient access - something no other state has done. We know there will still be challenges, but are committed to putting patients first as the adult-use program begins.

There should be no doubt that medical cannabis patients will be prioritized once CRTA becomes effective in January. CRTA provides medical cannabis patients priority sales in the event of any product shortages, and also guarantees medical cannabis dispensaries shall continue to provide the same variety and quantity of product as they did on July 1, 2019.

The State of Illinois has much to be proud of in passing the social equity-centered CRTA, but success will require vigilance from the legislature and the Pritzker Administration to ensure the law’s goals are met.

We will continue to closely monitor this situation, and urge all of our constituents to stay in touch with us regarding their experiences and challenges as Illinois embarks on cannabis legalization. Patients and caregivers should continue to stay in contact with us with ideas and suggestions to make it easier for them to access their medicine.

If you have any other questions, we would be happy to provide further information.

Sincerely,

Sen. Laura Fine
Sen. Heather Steans
Rep. Kelly Cassidy
Rep. Jehan Gordon-Booth
Rep. Bob Morgan
Rep. Cellina Villanueva
Rep. David Welter

* Besides the worrisome stories about shortages and price hikes for medical patients, there are also a lot of gripes about supply for adult use consumers. This piece puts it into some perspective

Canada and California, two larger markets, suffered poor launches due to a lack of infrastructure. In the case of California, the state tried to implement the program without an established regulated medical cannabis market. This is a challenge for Michigan as well. In Canada, a robust medical program was 100% mail-order, and the transition to retail stores was stymied by a lack of them. Even to this day, a full year after legalization, only Alberta among major provinces is anywhere close to having enough dispensaries to serve demand. Illinois will have more dispensaries open on day one than Ontario, which is larger in population, has more than a year after legalization.

* CBS 2 has been one of the outlets ginning this up

In fewer than three weeks, recreational sale of marijuana becomes legal in Illinois.

But before a single bud has been sold- there is already a shortage, and medical patients are feeling the impact.

Marijuana patients this fall helped us document a disturbing trend well in advance of legal recreational sales–a shortage in supply at the state’s medical dispensaries.

Not mentioned in the story is that the state had a very limited medical cannabis law until this year, when the governor signed a law that greatly expanded the program to cover, well, just about anything. That bill wasn’t passed until after the adult use bill was approved by both chambers and it kinda flew under the radar.

* This is a much better story that relies on facts, not conspiracy theories

There are 94,373 residents with medical cards, as of Dec. 4, 2019, up from 49,366 on Dec. 11, 2018, according to the Illinois Department of Public Health.

The biggest spike came in August, after Gov. JB Pritzker signed a law to add chronic pain as a qualifying condition for a medical card. The launch of the opioid alternative program also increased numbers this year.

Some have speculated supply is being hoarded so it’s available for the recreational market. That’s not the case, Ballegeer said.

Marijuana cultivators are “working off the original space they had set up for their cultivation. They’re producing everything they can as fast as they can,” she said. “We order from the cultivators just like the patients do. There’s no holding back for recreational, because there’s no benefit to us or the cultivators for holding back.”

Dispensaries must keep a 30-day inventory for their patients, said Pam Althoff, executive director of the Cannabis Business Association of Illinois. As demand grows, the inventory must, too.

That has led to a “crunch,” as has several weeks passing between when the legislation was signed on June 25 and when the first recreational grow licenses were issued.

“If you do the math, it takes cannabis minimally 12 weeks, sometimes 16, depending on the plant and the strain to produce a crop. We’re bumping up against that Jan. 1 deadline,” Althoff said. “This is an initial, and hopefully short-lived, shortage. I think over the past several weeks the industry, as well as the State of Illinois, our regulators, truly understand this will be somewhat of a soft opening. But then give us a few more months, we anticipate the availability of product will significantly improve.”

  26 Comments      


Question of the day: Golden Horseshoe Awards

Monday, Dec 16, 2019 - Posted by Rich Miller

* The 2019 Golden Horseshoe Award for Best Democratic Illinois State Senator goes to Sen. Melinda Bush (D-Grayslake)

She works tirelessly to advance issues that matter to her constituents. She also passed sweeping reform to employment laws and was able to get more done on sexual harassment than anyone thought was possible. She made the RHA happen, which really looked like a dead end at times. She is a fighter. All of this while representing a somewhat purple district.

* The 2019 Golden Horseshoe Award for Best Republican Illinois State Senator goes to Sen. Jason Barickman (R-Bloomington)

Jason Barickman has now twice pushed back against the social conservative trend in his party to land on the right side of history, first with marriage equality and this year on the cannabis bill. His role in ensuring that the cannabis bill addressed concerns from more conservative perspectives can’t be overstated.

Once again, I could’ve picked almost anybody from your nominations because they were so strong. Good job by commenters and great job by the nominees.

* On to today’s categories…

* Lifetime service award - House

* Lifetime service award - Senate

As always, explain your nomination or it won’t count and do your utmost to nominate in both categories, please.

  20 Comments      


Yeah? What about it?

Monday, Dec 16, 2019 - Posted by Rich Miller

* A buddy of mine told me that he sold his wine shop a while back partly because of heavy competition from gas stations. I have never stopped to think that this is somehow out of the ordinary. I mean, we even have some drive-thru liquor stores here, so booze at gas stations isn’t that big of a dealio to me…


Wolfe lives in Nashville, the home of the Dukes of Hazzard museum. Now, that’s weird.

  43 Comments      


Poll has Mary Miller with the lead in Shimkus district, but undecideds are at 63 percent

Monday, Dec 16, 2019 - Posted by Rich Miller

* Remington Research Group poll taken in the 15th Congressional District December 10-11 for Republican congressional candidate Mary Miller, (no relation) who’s running in a crowded primary to replace retiring GOP US Rep. John Shimkus. The poll of 810 likely 2020 GOP primary voters has a margin of error of +/- 3.4 percent. These are all interactive voice response calls…

Q1: What is your opinion of Donald Trump?

    Favorable: 87%
    Unfavorable: 8%
    No opinion: 5%

Q2: What is your opinion of J.B. Pritzker?

    Favorable: 6%
    Unfavorable: 76%
    No opinion: 18%

Q3: What is your opinion of John Shimkus?

    Favorable: 52%
    Unfavorable: 20%
    No opinion: 28%

Q7: Possible candidates in the 2020 Republican Primary Election for United States Congress are Mary Miller, Darren Duncan, Kerry Wolff, Charles Ellington, Kent Gray, and Kimberly Wade. If the election were held today, for whom would you vote?

    Mary Miller: 16%
    Darren Duncan: 7%
    Kerry Wolff: 7%
    Charles Ellington: 3%
    Kent Gray: 3%
    Kimberly Wade: 1%
    Undecided: 63%

* Meanwhile, the leadership PAC for the House Freedom Caucus has endorsed Miller, which should be a big help in that primary. The House Freedom Fund has also endorsed Jeanne Ives.

Miller is the spouse of Rep. Chris Miller (R-Oakland), a member of the Eastern Bloc. I met her once and she has some chops. We’ll see what she can do at this level, though.

* Darren Duncan may also be one to watch

Conservative Vermilion County Treasurer Darren Duncan, a seventh-generation farmer from Rossville and advocate for reduced spending and common-sense government is formally launching his campaign for the GOP nomination for the 15th Congressional District in the March 2020 primary.

Duncan, 48, made his formal announcement in a campaign video released this morning and in a speech to Vermilion County Republicans in Danville. […]

Duncan said he wants to help President Trump pass a conservative agenda through Congress that benefits rural areas and small communities throughout Illinois.

“I fully support President Trump’s USMCA trade deal with Canada and Mexico that will boost access to American farm and manufactured goods to our neighboring countries,” said Duncan, “and I stand with President Trump in his efforts to stop bad actors on the world stage taking advantage of our current trade system.”

Kerry Wolff is vice president of the Altamont School Board and has been in the solar power industry for the past few years.

Kent Gray is a goner.

* Kimberly Wade could be an interesting candidate if she survives the challenge to her petitions by Eastern Bloc Rep. Brad Halbrook. She filed on the last possible day.

Wade founded the Kids Shouldn’t Have Cancer Foundation and her work has often been featured by US Rep. Rodney Davis.

  23 Comments      


Protected: SUBSCRIBERS ONLY - Update to today’s edition

Monday, Dec 16, 2019 - Posted by Rich Miller

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Hyperloops are the new monorails

Monday, Dec 16, 2019 - Posted by Rich Miller

* Cleveland Plain Dealer

A high-speed hyperloop line that could zoom passengers through a vacuum tube from Cleveland to Chicago and Pittsburgh could cost from $24.7 billion to $29.8 billion to build, depending on variations in the route and stops along the way.

But the profits and economic benefits would justify the expense and attract the substantial private investment needed to make it happen.

Those statements are among the key assertions of an 18-month, $1.3 million feasibility analysis scheduled for release Monday by the Northeast Ohio Areawide Coordinating Agency and Los Angeles-based Hyperloop Transportation Technologies.

The report, led by TEMS, a consulting firm based in Frederick, Maryland, constitutes what the authors believe is the most extensive hyperloop feasibility analysis released publicly to date, anywhere, said NOACA Executive Director Grace Gallucci, who discussed some of the report’s core findings ahead of Monday.

A hyperloop system would consist of large-scale vacuum tubes with magnetic-levitation tracks that would carry capsules with 28 to 40 passengers at speeds of up to 760 mph.

First envisioned by entrepreneur Elon Musk as a high-speed alternative to other modes of transportation, hyperloop has yet to be proven safe for human travel. Hyperloop Transportation Technologies, or HTT, is testing capsules on a track in Toulouse, France.

* From January of 2017

Hyperloop Transportation Technologies (HTT) may be a step behind its rival Hyperloop One but is making its own plans to go global — starting with an announcement today HTT has signed an agreement to explore connecting a hyperloop system from Slovakia to the Czech Republic.

That plan failed.

And nobody has yet achieved anything approaching that claimed 760 mph speed.

In other words, beware of promises from booster groups.

* Tribune

The current study does not address where the stations would be, land acquisition or the cost of fares, though Gallucci said the goal is to make them affordable. She said stations, which could be downtown or at airports, would link to public transit.

* Duncan Black

My whole life I’ve seen reasonable transportation projects derailed by insane ones

[Headline explained here.]

  40 Comments      


*** UPDATED x1 *** Another Syverson casino story

Monday, Dec 16, 2019 - Posted by Rich Miller

* This is a very useful fact check of Sen. Dave Syverson (R-Rockford) by the BGA

“They wanted lower taxes paid to the state [by the Chicago casino owner] and higher taxes paid to the city,” state Sen. Dave Syverson of Rockford told WCIA’s Mark Maxwell in a sit-down at the capitol, which aired Dec. 8. “The amount of taxes would be the same, but Chicago wanted to keep more of it.” […]

Speaking about a proposal to change the tax structure for a future Chicago casino, Syverson said the plan would lower taxes paid by the casino to the state and increase the taxes it pays to the city so that the overall amount would be the same but Chicago would “keep more of it.”

That doesn’t entirely square with the language of the bill. As he said, it would have reduced tax revenue for the state — but it also would have lowered taxes paid to the city.

Syverson conceded that last point in response to our inquiry.

We rate his claim Half True.

Syverson repeatedly bad-mouthed that Chicago casino bill during the veto session and, as this fact-check shows, he used inaccurate arguments to do so. It’s not all that surprising since Rockford locked in its casino last spring and any competition, even from a city 90 miles away, would be unwelcome.

But it’s just one more thing to add to Syverson’s curiously strong all-out push to convince local leaders to approve the Hard Rock Casino’s proposal.

*** UPDATE *** Rockford is a small city, so these sorts of ties are to be expected. The Hard Rock’s plan would’ve probably won out anyway, so Syverson should’ve just stayed in the background, especially considering these trying federal times. His heavy public support means he’s very easily tied to the winning bidder and these ties look horrible…


  15 Comments      


McClain attempted to boot Caprara

Monday, Dec 16, 2019 - Posted by Rich Miller

* Tina Sfondeles FOIA’d all the administration’s correspondence with Speaker Madigan’s former consigliere Mike McClain. The story is an accurate reflection of events and emotions that have been kept strictly off the record until now and is therefore a must-read

Two weeks before Anne Caprara stepped into one of the highest profile political roles of her life, she got a call from Gov. J.B. Pritzker with some uncomfortable news.

Pritzker sounded upset, according to a high-level source close to the governor. He said people were “trashing” Caprara to several others, including reporters, in an attempt to squash her appointment as Pritzker’s chief of staff.

Before running Pritzker’s gubernatorial campaign, the Philadelphia native ran Hillary Clinton’s 2016 super PAC and also served as chief of staff to two U.S. congresswomen.

But Caprara wasn’t good enough to serve as the governor’s chief of staff, and she wasn’t from Illinois — a huge no-no, perhaps because she wasn’t beholden to the old boys network of Illinois politics, people were told.

The governor told Caprara he wouldn’t stand for it — and he called it sexist.

So Caprara got the job. And she later learned the effort to trash her was being led by Mike McClain, a Springfield insider and confidant to Illinois House Speaker Mike Madigan.

Go read the whole thing.

Caprara guided Pritzker to a 20-point primary win and a 16-point general election win. He loves her and respects her to no end. The folks who were trying to stop her from being chief were the same people (all allied with MJM) who trashed her during the primary and the general. They completely failed to read the room.

* Also, this was pretty funny…


Again, go read the whole thing.

  66 Comments      


What happens here when ultra-rich, anti-tax activists sit on the campaign sidelines

Monday, Dec 16, 2019 - Posted by Rich Miller

* My weekly syndicated newspaper column

Republican Lawrence Oliver of Dorsey has filed to run against Rep. Avery Bourne, R-Morrisonville, in the March primary.

Oliver has not yet reported raising any money, but his main issue appears to be Bourne’s vote for the 19 cents per gallon gas tax hike to fund infrastructure projects during the past spring legislative session.

Dorsey’s primary challenge is not really news. He has slim to no chance of even getting close to the popular Republican incumbent.

What is different, and therefore newsworthy, is that Bourne would have surely faced a far more viable and well-funded opponent in the recent past if she’d sided — as she did this year — with the majority Democratic Party to double the state’s Motor Fuel Tax.

For the past few election cycles, pressure from powerful and/or well-funded groups and individuals would’ve scared any Republican incumbent away from such votes.

But former Gov. Bruce Rauner and his vindictive checking account have faded into the sunset. The multi-million-dollar money pipeline from wealthy Republican activist Richard Uihlein to Dan Proft’s Liberty Principles PAC has been shut off. And, except for the $2 million he gave Bill Daley to run for mayor of Chicago earlier this year, Illinois’ richest resident Ken Griffin has been mostly quiet.

Those three men contributed over $200 million to campaigns since late 2013. That’s a whole lot of cash to put the fear into anyone who crosses them. And it’s why almost all of the Republicans who voted for the 2017 tax hike and the override of Rauner’s veto decided not to run again, lest they be primaried to death. But those rich folks are mainly on the sidelines today.

As a result, neither the House nor Senate Republican caucuses are experiencing any major backlash over the fact that large numbers of their members voted to raise taxes.

Rep. Terri Bryant, R-Murphysboro, voted for the gas tax hike and is running unopposed for state Senate. Springfield Republican Reps. Tim Butler and Mike Murphy were two more “Yes” votes who are unopposed for reelection. Rep. Tom Demmer, R-Dixon, has a general election opponent, but no GOP opposition. The same goes for Reps. Deanne Mazzochi, R-Elmhurst, Jeff Keicher, R-Sycamore, and others in the House as well as the Senate.

There was much grinding of teeth from the usual suspects when those tax hikes passed both chambers by wide bipartisan margins, but no “natural” groundswell of anti-tax opposition developed against Republicans who voted to fund the massive infrastructure plan to the point of people actually running against them. And the small number of people who did run aren’t exactly burning up the fundraising circuit.

Rep. Dan Brady, R-Bloomington, voted to increase taxes to fund infrastructure programs this year, so it could be an issue in his primary. But it’s not going to be much of a primary if his opponent, David Paul Blumenshine, R-Normal, doesn’t start raising money. Blumenshine reported bringing in $350 during the third quarter, loaning $1,100 to his campaign committee, spending about $4,500 on unitemized expenditures and ending the quarter in the hole by about $2,900. Democrat Chemberly Cummings has also filed to run.

President Trump won this district by only 1.25 percentage points in 2016, so it’s possible this college-town race could eventually be in play, even though Brady has consistently won by large amounts.

Rep. Dave Severin, R-Benton, is facing off against Tim Arview, R-West Frankfort. Severin voted for the tax hikes to fund the state’s new infrastructure program, including doubling the Motor Fuel Tax, and Arview has taken him to task for it. Arview told a local paper that he ran partly because of Severin’s tax votes and also because God had spoken to him.

Arview is an independent insurance agent. Like many of the other gas tax opponents, he has not yet reported any campaign contributions. In fact, he hasn’t filed any campaign finance paperwork at all as this is written. President Trump won the district by 43 points so no Democrats have filed.

The races where you are seeing sharp disagreement over the tax hikes are mainly in general election contests. For instance, Travis Breeden, R-Utica, has already repeatedly criticized freshman Rep. Lance Yednock, D-Ottawa, for his “Yes” vote to increase the Motor Fuel Tax. Then again, Rep. Sue Scherer, D-Decatur, voted for the tax hikes and is so far running unopposed for the first time ever.

What we’ve discovered is that when ultra-rich, anti-tax activists sit on the sidelines after a tax increase, few if any viable Republican protest candidates emerge on their own.

Makes you wonder.

Your thoughts?

  36 Comments      


Protected: SUBSCRIBERS ONLY - Today’s edition of Capitol Fax (use all CAPS in password)

Monday, Dec 16, 2019 - Posted by Rich Miller

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*** LIVE COVERAGE ***

Monday, Dec 16, 2019 - Posted by Rich Miller

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