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Your fantasy world won’t get you to 71 and 36

Friday, Oct 9, 2020 - Posted by Rich Miller

* Remember this from earlier today?

The number of people who just assume that a governor, any governor, can just snap their fingers and make something happen never ceases to amaze me, particularly after the Blagojevich/Quinn/Rauner experiences.

* That assumption often comes from people who rarely or never spend any actual time with rank-and-file members of either party, let alone the super-majority Democrats. With that in mind, here’s BGA President David Greising

If the [graduated income tax] amendment fails, Pritzker’s short-term loss might possibly be turned to the state’s advantage. He need not give up on the graduated tax entirely. Instead, a loss Nov. 3 might give Pritzker a reason to do what he should have done in the first place: pair pension reform with his graduated income tax, a combination that could win broader support.

If Pritzker does add pension reform to the mix, the state’s two battling billionaires and their millions of followers might find common ground—to the benefit of all the people in Illinois.

Yeah, OK. First tell us where you’re finding the three-fifths majority votes for this in the face of a huge organized labor revolt. Then… Actually, forget about “then.” Put it on the board, thumbsuckers.

* Meanwhile, here’s a completely different approach by a different organization

The Metropolitan Planning Council (MPC) believes that progressive forms of taxation are more just and equitable, for that reason alone, we urge a Yes vote on the Fair Tax Amendment. The cumulative tax burden on Illinois’ low-income and middle-income residents is regressive, and shifting to a progressive state income tax is one step toward solving that systemic inequity. That is the opportunity on the table, we do not know when it will come again, and we should seize it.

Illinois cannot equitably recover from the devastation of the COVID-19 pandemic and systemic racial inequalities without creating additional revenue to invest in job creation, infrastructure, education and more. One danger in not adopting the Fair Tax now is that as revenue pressures build, future tax increases will continue the pattern of placing a disproportionate taxation burden on those who can bear it least. This is an opportunity to forestall that by instituting progressive tax policies. It is also a moment to live up to our commitments to end systemic racism – the regressive nature of our cumulative tax burden hits Black and Brown communities the hardest – and again, this a real opportunity to do something tangible about it. So, vote Yes.

And then demand more. More from our leaders in Springfield, more from our 7,000+ units of government, more from the private sector and philanthropy, more from civic organizations, and more from MPC. We cannot help but feel some sense of collective shame that this – a shift to the normal mode of taxation in most of the U.S.– is the only thing on the table. We know that State and local governments have crushing pension obligations. We know we could be investing in our communities and infrastructure more wisely. We know there is more to be done about our regressive cumulative tax burden. We know the Fair Tax will relieve some burden on those that need it, but only some, as the State still needs revenue. It is a part of narrowing the racial wealth gap, but we know it is not enough. We know all these things, and yet, the table is laid with one choice. A fair and just one, but the only one. Why?

There are meaningful steps we can take to make our pension obligations more manageable, so that more of our tax revenue goes to paying for the needed government services of today, rather than the unaffordable employee benefits of yesterday. Yet that dialogue has gone cold.

The State can lean on all the school districts, townships, single-purpose districts and more to consider consolidation, shared services and other measures to bring that regressive cumulative tax burden down. Instead we have Task Force after Task Force resulting in little or no change.

We can spur growth in communities that need it by coordinating investments across and between state agencies, and reshaping the distribution of resources from the State to villages and cities throughout Illinois. But will we?

The State can adopt more rigorous selection criteria for major infrastructure projects, leading to more equitable, sustainable and economically catalytic outcomes. In recent weeks, the Governor’s Office, legislative leaders and the RTA have indicated support for this approach – let’s get it done.

And there’s more, so much more. Demand more. If the Fair Tax is the first step, what’s the next, and the next, and the next? Together those steps could create a path to recovery, racial equity, fiscal health and our collective, brighter future.

The Fair Tax is just; it just isn’t enough. It’s necessary, but it isn’t sufficient. Comprehensive reforms are needed. Instead, voters are already at the polls, being asked to support either a progressive income tax or the status quo. There’s no third option of equitable revenues plus true reform. We wish that was the case, but it isn’t. Vote Yes, because it is the right thing to do. And then hold everyone accountable, again and again, to shape that option, to chart those next steps, and to create the Illinois we all deserve.

       

9 Comments
  1. - Oswego Willy - Friday, Oct 9, 20 @ 4:08 pm:

    Rich, great title for the Post.

    To this post,

    === pair pension reform===

    The most important thing to remember when Raunerite thinking is “pair” pension reform to *anything* is the title of this Post.

    No way… no way is there 71 and 36 for pension reform.

    You could pair with it with free ice cream and cake forever… no way you get 71 and 36

    What most pathetic? Easy.

    Rauner tried, and successfully, all but eliminated pro-labor Republicans in his Raunerite party.

    Still… no 71, no 36… no way.


  2. - JB13 - Friday, Oct 9, 20 @ 4:12 pm:

    – And then demand more–

    Pretty sure that’s the plan.
    I’ll be sure to enjoy the 1-2 years of my taxes not going up.


  3. - Oswego Willy - Friday, Oct 9, 20 @ 4:14 pm:

    Also, by eliminating pro-labor Republicans Rauner shrunk the former Republican Party and made the Raunerites toxic to labor… again… making Raunerites targets… and forcing Labor to ensure 71 and 36 for pension reform is an impossibility.

    So… === pair pension reform===… what an embarrassingly silly thing to think would help get 71 and 36.

    Durkin was a pro labor type Republican at one time… now it’s about ===pair pension reform===, but it’s binary due to Raunerism.


  4. - Frank talks - Friday, Oct 9, 20 @ 4:27 pm:

    Thumbsuckers? You’re assuming they have opposable thumbs while rewriting the Constitution and not understanding basic policy, while portraying themselves at a high level expertise.


  5. - Norseman - Friday, Oct 9, 20 @ 4:28 pm:

    Fantasy is the operative word. Fair Tax provides helps with state revenue infrastructure, yet these folks want to fight the doable by demanding the impossible.


  6. - Grandson of Man - Friday, Oct 9, 20 @ 4:32 pm:

    Every public employee in Illinois needs to know that there are super-rich right wing interests and others who obsess over making her/him poorer. They will never let it go, no matter how little power they have.


  7. - DuPage - Friday, Oct 9, 20 @ 4:34 pm:

    Pensions are already reformed, it’s called Tier 2.


  8. - Whatever - Friday, Oct 9, 20 @ 4:39 pm:

    It will take more than pairing a repeal of the pension clause with the repeal of the flat tax clause - you also need to repeal the state and federal contracts clauses, or you’re still stuck with the existing pension funding shortfall. The federal constitution requires a lot more tha 71 and 36.


  9. - Back to the Future - Friday, Oct 9, 20 @ 4:46 pm:

    If the progressive tax CA loses in November, I find it hard to believe the current or next years GA will vote for Team Pritzker’s threatened 20% increase in the flat tax.
    I realize that most people think that a 20% tax increase is built into the game, but if what has been presented as a tax increase is rejected and we are still in the middle of a pandemic with millions of private industry folks struggling to pay bills I just don’t see the votes.
    Perhaps a compromise will pop up, but I don’t see the votes for that either.
    I still think the CA has a decent chance of passing, but have to give credit to the opponents on running a decent campaign against it.


Sorry, comments for this post are now closed.


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