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Madigan featured in online congressional ad

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* I love the new Facebook ad tracking page. You just never know what you’ll find

* Speaking of Casten, here’s Greg Hinz

At issue, in a mistake that I think Casten is making worse by refusing to talk about it, is a blog post he wrote almost six years ago provocatively titled, “Thoughts on Economic Growth and Energy Slaves.” I was pointed to the post by a political operative working for an independent group that supports Roskam’s re-election. It’s buried if you do a broad search, but pops up on Google (and Bing) if you put in the right search terms.

In the post on Grist, Casten makes the argument that American prosperity and living standards have grown dramatically as we’ve boosted our use of fuels as opposed to “coercive labor.” I don’t disagree with his point. But the way he expresses it is tone-deaf, to put it mildly.

“How much energy was available to the (free) population of the antebellum South? In 1860, the U.S. had just 4 million slaves, working for about 8.5 million free residents of the South and border states,” Casten writes. “Adding 3.4 million horses, mules and oxen in the South as of 1860,” and assuming that the average pack animal can do the work of about seven people, “an average slaveholder had . . . 4.2 energy slave equivalents per free person,” and the South, as a whole, 3.27 “energy slaves” apiece.

By today, the nation’s “energy use amounts to 100 energy slaves per capita,” he concludes. “That is the extraordinary legacy of industrialization and fossil fuel extraction. We get 30 times the energy access of an 1860s plantation owner . . . and human rights, too.”

  11 Comments      


Question of the day

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Ameya Pawar and JB Pritzker…

* The Question: Caption?

  68 Comments      


Rauner campaign demands release of all Blagojevich wiretap tapes

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Check out the Rauner campaign’s new Facebook ads

According to Facebook, the ads (I counted six slightly different versions) started running today.

Blagojevich, you will recall, made the exact same demand to release all the tapes during and after his trials.

The tapes were ordered sealed by a federal judge. I can’t see how an online petition will do much of anything besides gather names for a campaign database.

We’re through the looking glass.

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The Rauner campaign in a nutshell

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Gov. Rauner did another softball interview with WGN’s Steve Cochran and was asked about his new TV ads

The truth about Pritzker has got to be known by the people of Illinois. Pritzker is a corrupt insider. He’s been part of the problem in Springfield for many, many years. He was tight with Blagojevich, he’s tight with Madigan. He funded each of them in their political shenanigans. And Pritzker, unfortunately is a tax dodger, to use a nice term for it. Inherited billions, hides the money in the Bahamas so he doesn’t pay his proper income taxes. Has used Madigan’s law firm to cheat his property taxes in Chicago. Ripped the toilets out of his mansion so he doesn’t pay the proper property taxes on his homes in Chicago. He’s a corrupt, self-dealing insider. He’s part of the problem and we’ve got to get the truth about him known.

  38 Comments      


Rauner denies being “disingenuous” about tax hike

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Yesterday

REPORTER: “You just signed a budget that spends the money from the tax increase that you opposed. Over the summer we’re moving into a campaign season. Are you going to out there on the campaign trail and tell people that you object to this tax increase that you’re approving the spending on?”

RAUNER: “Absolutely.”

REPORTER: “Isn’t that disingenuous?”

RAUNER: “Not at all. If we introduced – if we passed a budget that I introduced, the spending plan that I introduced we could begin to rollback that tax hike and we would be running a $1.5 billion surplus in this coming year and we could – “

REPORTER: [INAUDIBLE]

RAUNER: “This is bipartisan compromise, this is a compromise. It’s not perfect, none of us got everything that we were looking for. This budget does not pay down bills so I was very frustrated. It did not pass the comprehensive pension reform that the Senate Democrats passed last year, we need to do that. It did not get regulatory relief for businesses, and workers comp and other regulations so we can grow more jobs. And most importantly, or I should say maybe very importantly it did not get the mandate relief on our schools, our schools need mandate relief and we need mandate relief on our local government so we can consolidate governments more effectively and efficiently and bring down our tax burden. These are the changes we will continue to strive to make, but this budget for the first time in many years even prior to me being Governor is balanced, through some hard work and some great efforts we will have it balanced and it stops some excessive spending that would have otherwise happened. And it’s a good step in the right direction.”

Notice he didn’t answer the question.

* Another exchange

I’ll add one other point that I think is salient, if we had passed the budget that I had introduced in February – that I had proposed in February – and then just used the rest of the assumptions and programs that are in this budget we would be running about a $1.5 billion surplus in the coming fiscal year. We could use that for a tax reduction, we could use that to invest more in infrastructure, and we could use that to pay down bills.

OK, now that’s disingenuous. He talks like $1.5 billion is a huge amount of money that can easily be divvied up for a tax cut, infrastructure and paying off bills. The bill backlog alone will be more than $7 billion at the end of the fiscal year.

A $1.5 billion tax cut would reduce the income rate by 0.375 percentage points. So, instead of a 4.95 personal rate, we’d have a 4.575 rate. Great news! The exodus will surely end! But since much of what they used to “balance” the budget are one-time revenue sources, including borrowing $800 million from special funds for two years and selling the Thompson Center, we’d be in an even worse hole.

Divide it up three ways and you’d trim the backlog by a mere $500 million, reduce the income tax rate by 0.125 points to 4.825 and have a half a bil left over for capital - and you’d still have a $6.6 billion backlog with even less state money to address it.

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In which I agree with Todd Maisch

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* WCIA’s Raquel Martin

The incumbent Republican, who is running for re-election in November, calls the $38.5 billion spending plan a true bipartisan compromise and a “good day for the people of Illinois.” But one thing noticeably left off the negotiation table this year was his “turn around agenda,” a list of business and economic reforms he once campaigned on.

When asked why he dropped his prior demands for lower property taxes, worker compensation rates and pension reforms at Monday’s budget signing, he echoed lawmakers saying, “Not everyone got what they wanted.” […]

Illinois Chamber of Commerce President Todd Maisch says he’s disappointed Governor Rauner let business reforms fall to the wayside but understands why he did.

“Unfortunately, this is a short-term solution that addresses no new revenues this year, somewhat spending restraint, but only compared to General Assemblies in the past,” Maisch said. “I think he made the right political choice to go ahead and say, ‘Let’s get as close to a balanced budget this year as we can and take those others issues to the people.’ Voters are going to go to the polls in November and voters will decide where they want to go.”

Agreed. If Rauner is reelected, he’ll have a true mandate. Everybody now clearly knows what he wants to accomplish.

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*** UPDATED x1 *** Empty bragging or a vow to buy an election?

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Rauner campaign…

Hey, all-

Yesterday, Politico reported that the Pritzker campaign will spend double whatever the Rauner campaign spends. They quote a Pritzker source saying, “For every dollar he spends, we’re ready to spend two.”

Who says that?

The Pritzker campaign is claiming that their budget won’t be built around what’s most effective. Instead, they just want to arrogantly brag about their wealth.

“Based off his conversations with Blagojevich, Pritzker has already shown a willingness to try to buy political office.” -Will Allison, Rauner campaign spokesman

The Pritzker campaign’s messaging machine is usually tight as a drum, but that one somehow got through. It’s not a good look. I assume someone was just doing some tough-guy, hyperbolic bragging.

Partisans may cheer it on (and since his new ad leaves much to be desired, he could use that), but as Will alludes to, the vow is impractical. I mean, if Rauner puts 10,000 points on Chicago TV then Pritzker is gonna push 20,000 just because he’s got the dough? Ridiculous. Not to mention that such selfish spending could drown out or even potentially crowd out other Democratic candidates - particularly must-win Democratic congressional candidates.

But, hey, if this means that if Rauner spends $4 million on Erika Harold then Pritzker will spend $8 million on Kwame Raoul, I’m sure there won’t be any loud objections from the Raoul campaign.

Also, it is a bit rich that the Rauner campaign is upset about somebody else trying to buy an election.

* I asked Galia Slayen at the Pritzker campaign for a response and this is what she sent…

Our campaign is focused on doing what is necessary to communicate that JB will bring real change to Illinois, beat Bruce Rauner and end his failed time as governor, while also helping turn out Democrats up and down the ballot. If this failed governor wants to ask “who says that,” we suggest taking a look at these:

    • On his role as governor: “I’m not in charge, I’m trying to get to be in charge.”
    • On his leadership style: “Crisis creates opportunity. Crisis creates leverage to change.”
    • On if he voted for Donald Trump: “We need to focus. Focus, Amanda, is a good thing.”
    • On Quincy: “Our team did exactly what they should have done, exactly when they should have done it” and “these things happen.”
    • “Not every job should be in America.”
    • On the budget crisis he created: “Well one of the challenges is for our human services and it’s intolerable that they have been hurt, it’s not right.”
    • On spending the tax increase he opposed: “Isn’t that disingenuous?” Rauner: “Not at all…”
    • Before firing his whole staff… again: “So, we’re, we have a lot of folks in the administration, we’re building the Best Team in America to turn the government around.”
    • On not denouncing David Duke as a racist: “But you won’t call him racist?” Rauner: “No place.”
    • On the right to choose: “I am the strongest supporter of candidates for office who are pro-life. Nobody has worked harder to elect pro-life Republicans than I have.”
    • On letting voters know where he stands: “I have no obligation to comment on every possible policy change in Washington, DC. I never have and never will.”
    • On gay marriage: “So gay marriage, I have not supported it, I will not advocate for it.”
    • On lowering the minimum wage: “I will advocate moving the Illinois minimum wage back to the national minimum wage.”
    • On proudly shutting down the government: “I may have to take a strike and shut down the government for a few weeks and kind of regroup with these contracts. That’s a possibility. I don’t know any politicians who’d be willing to do that. I won’t be happy to do that, but I will do it proudly.”
    • On calling Ives: Rauner said they spoke “right after the election,” but Ives spokeswoman said that Rauner “is not telling the truth” and “what he is saying happened did not happen.”
    • On chocolate milk: “I’ll drink it, I’ll be proud to…it’s really really good, to it. Diversity!”

*** UPDATE *** The latest Comcast cable TV buy report shows Rauner spending $241,380 on ads over 11 days while Pritzker is dropping $177,719 over five days.

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It’s just a bill

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* WBEZ

Not long ago, Illinois Gov. Bruce Rauner said he wouldn’t have done anything differently when it came to the state’s response to deadly Legionnaires’ disease outbreaks at the Quincy veterans’ home.

But since those February comments, the Republican governor has, in fact, adopted a dramatically different approach to the public health crisis that has contributed to the deaths of 13 Illinois Veterans Home residents since 2015. And Rauner now has an entire legislative portfolio about to be delivered to his doorstep aimed at fixing the problem that’s beset his re-election campaign.

Before lawmakers ended their spring session Thursday, eight different measures won final legislative approval, headlined by a $53.1 million appropriation in the state budget to begin rebuilding the state’s largest and oldest veterans’ facility in Quincy. That’s where there have been outbreaks of Legionnaires’ — a form of waterborne pneumonia — in 2015, 2016, 2017, and 2018.

Lawmakers also voted to require residents and families be notified within one day of an outbreak of Legionnaires’ or other infectious diseases. And they voted to give families who lost loved ones at the home to Legionnaires’ a potential legal windfall, raising the state’s legal liability in those cases from $100,000 to $2 million.

* Pritzker campaign…

“While Bruce Rauner puts press stunts before our Veterans’ wellbeing, lawmakers passed a stack of bills to crack down on his fatal mismanagement,” said Pritzker campaign spokeswoman Jordan Abudayyeh. “Thirteen of our nation’s heroes and their spouses died on Rauner’s watch, and it’s time for this failed governor to do his job and protect our Veterans.”

* Other bills…

* Can medical marijuana help combat Illinois’ opioid crisis?: The plan also eliminates some barriers to access of the state’s restrictive medical marijuana program. It would remove requirements that patients undergo background checks and fingerprint scans, which critics argue disproportionately prevents lower-income and minority communities from obtaining the drug.

* Illinois lawmakers OK medical marijuana as painkiller substitute, bill now goes to governor: While science is not settled on the efficacy of using cannabis in place of narcotics, Harmon said, “The only two things I know for certain is, opioids kill people, and marijuana does not.”

* Legislature passes bill to improve insurance coverage for mental health, addiction: Among other things, it would prohibit private insurers from requiring prior authorization for medications to treat addiction, and bar them from requiring patients try less expensive medications for addiction before stepping up to more expensive ones. Those requirements already apply to Medicaid managed care organizations. … The Kennedy Forum Illinois and several other groups released the results of a survey last year showing disparities in coverage in Illinois. According to that report, about 59 percent of hospitals, psychiatrists and other providers surveyed said Medicaid managed care organizations “always” or “often” denied coverage for inpatient treatment for addiction and mental health issues. Medicaid managed care organizations are insurers that administer benefits for Medicaid, a state- and federally funded insurance program for the poor.

* Governor to consider hundreds of bills passed this session: Budget aside, for the first year of the 100th General Assembly, which was the 2017 legislative year, the House passed 380 bills while the Senate passed 235 bills for a combined total of 615 bills. For both 2017 and so far in 2018, 1,226 pieces of legislation passed. All together, the House and Senate combined filed 12,812 bills and resolutions for consideration.

* On the verge of big advances in political ethics in scandal-plagued Springfield: But now, if House Bill 138 is signed into law as it was approved, any findings of questionable behavior by Madigan or the other legislative leaders will bypass them and go to the commission. The leaders can respond only as any other subject of an investigation would. That’s big progress.

* Illinois tamps down ‘pension spiking’ for teachers; educators fear disincentive for hiring: But teachers unions and others say the new system will not only force down pension rates — depriving districts of a big selling point in attracting new teachers who might not be enticed by the modest salaries alone — but also could have an impact on things such as extracurricular activities. For example, they say, districts might be hesitant to let teachers coach school teams or take substantial promotions near the ends of their careers, because it could put the district on the hook for pension penalties if the extra pay equals more than 3 percent of the original salary.

* Gaming bill gets stuck in committee as session ends. What’s it mean for Fairmount Park?: In the past, the park has said without a new revenue source approved by the state, it would need to cut the 2018 season short. Instead of running through Sept. 22, the park looked to end its season July 3.

* Lake County waterway dredging, flood mitigation efforts get boost from General Assembly: The latest legislative session in Springfield delivered a few benefits to Lake County, including a new law that will help the Fox Waterway Agency become more independent, while new funding approved this week by the General Assembly includes flood-damage grants for several areas around the county.

* Press Release: Illinois State Treasurer Michael Frerichs today called on Governor Bruce Rauner to sign House Bill 4922 into law to put a stop to companies that issue rebate cards that charge dormancy or inactivity fees and avoid unclaimed property laws. … House Bill 4922 recently passed the Illinois House and Senate with bipartisan support. The legislation amends the Consumer Fraud and Deceptive Business Practices Act to prohibit the sale or issuance of a rebate card that charges dormancy fees and almost all other post-issuance fees. The legislation was sponsored by Senator Cristina Castro (D-Elgin) and Representative Theresa Mah (D-Chicago).

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S&P keeps Illinois one notch above junk status… for now

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* No downgrade by S&P, but no real praise, either…

Timely enactment of a fiscal 2019 budget in Illinois is consistent with the stable outlook S&P Global Ratings currently maintains on the state’s credit rating. At ‘BBB-’, however, the general obligation rating incorporates our view of the state’s longer-term vulnerabilities and remains the lowest possible rating within the investment grade categories. Among the state’s leading credits risks are its fiscal structure, which in our view, remains out of balance, a still-elevated unpaid bill backlog, absence of a budget reserve, and distressed pension funding levels. While the emergence of a more collaborative budget process has potentially constructive credit implications, the substance of the package largely represents an extension of the status quo. […]

Timely passage of a fiscal 2019 budget in Illinois underscores the near-term stability of the state’s credit outlook that emerged in July 2017. Our stable outlook reflected that following its 2017 tax increases, Illinois approached fiscal 2019 with a significantly smaller fiscal gap and much diminished liquidity-related concerns.

The benefits from the tax hike are mentioned several times in the full report.

* Past-due bills are still a problem…

Crucially, proceeds from the state’s November 2017 bond issuance enabled the comptroller to pay delinquent Medicaid bills and, in the process, ameliorate the threat of federal court intervention over the state’s cash management. Apart from the bonding strategy, however, which in our view amounts to financing state operations with long-term debt, policymakers have made little headway against the bill backlog. Additional progress would almost certainly require the politically unpalatable combination of lower spending and more revenue (higher taxes). Even after the backlog borrowing, which leveraged federal Medicaid matching funds, the comptroller reports a current backlog balance of $7.1 billion at the end of fiscal 2018. This, along with the state’s long-term liabilities, precariously balanced operating budget, and lack of budget reserve, continue to weigh on the state’s prospects for a higher rating.

Eventually, those bills will have to be paid.

* The budget holes…

The budget identifies $38.5 billion in general funds resources to support a like amount of corresponding expenditures, ending with a negligible $15 million balance. In our view, however, the budget falls short of achieving structural balance, relying on $800 million in interfund borrowing and $270 million of net proceeds from the sale of the state-owned Thompson Center. The state is also liable for up to $400 million in previously unaccounted-for costs related to prior step increases the courts have ruled are due to state employees. Furthermore, it’s possible, in our view, that strong tax receipt trends, $200 million above the prior forecast in fiscal 2018 and $160 million in 2019, partly reflect a nonrecurring windfall generated by taxpayers accelerating income into 2017 in response to provisions of the federal Tax Cuts and Jobs Act. Assuming this begins to dissipate in 2019 and beyond, the state’s fiscal condition is susceptible to erosion. The economy itself is also a risk. According to our forecast, which is in line with the consensus view, GDP growth will peak this year and then begin to decelerate with any such slowdown now potentially accentuated in Illinois by the effects of retaliatory tariffs placed on state exports by U.S. trading partners.

* And not good news for the longer term…

On its present trajectory, the margin by which the state’s fiscal capacity will fall short of accommodating the scheduled increases in payment obligations will continue to widen. State fixed costs—including debt service, pension contributions, and outlays for employee health benefits (e.g., OPEB)—already consume 31% of general fund expenditures, more than twice the median for states. As a share of expenditures funded by state resources (excluding federal aid), Illinois’ fixed cost burden is even higher, at 34% of general funds outlays. Based on projections from the Commission on Government Forecasting and Accountability, we estimate that by fiscal 2025, pension contributions from the state’s general funds will increase by $1.7 billion, or 24%..

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Another DCFS disaster exposed

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* This ProPublica story produced with the Atlantic is a must-read

Here’s how the system is supposed to work: After children are admitted to a psychiatric hospital, staff psychiatrists assess them and try to stabilize them, develop treatment plans that usually involve managing their medications, and then initiate a course of treatment to be followed with an outside doctor. After that, they’re typically released. Psychiatric hospitals are designed for short-term stays—days or a couple weeks—and staff often start planning for a discharge the day a child arrives.

Any long-term treatment is supposed to occur elsewhere, during appointments with outside doctors or at residential treatment centers, where psychiatrists and therapists have time to develop relationships with the child and address the deeper issues that led to the hospitalization and DCFS’s involvement

* But that’s now how the system actually works in Illinois

I analyzed thousands of pages of confidential records and obtained data from DCFS under the Freedom of Information Act covering all of the nearly 6,000 psychiatric hospitalizations of children in DCFS’s care between 2015 and 2017. In that period, nearly 30 percent of all children in DCFS care who were hospitalized were held beyond medical necessity, for a collective total of more than 27,000 days—that’s nearly 75 years—waiting and watching the outside world from behind the thick panes of hospital safety windows because DCFS has too few beds in other facilities where they could be more appropriately treated. On average, more than one in five days spent in a psychiatric hospital, the records indicated, were not medically necessary.

In the vast majority of those cases, children were held long past when they were cleared for release, not just a day or two beyond. Eighty percent of the more than 800 children whose stays became medically unnecessary between 2015 and 2017 were held for 10 days or more beyond when they should have been released. More than 40 percent were confined for a month or longer; 15 percent had to wait two months or longer.

In 2014, 88 psychiatric hospital admissions went beyond medical necessity, but that figure jumped to 246 the following year—a surge DCFS has struggled to explain, but that officials at the agency suggested could be due to the cases becoming more complex. Since then, the number of those admissions has continued to rise, though more gradually—from 292 in 2016 to 301 last year, according to DCFS statistics.

The result: Every day since July 2015 through the end of December 2017, at least nine children—and sometimes dozens—were unnecessarily held in psychiatric hospitals. There was a girl who spent so much time in one that hospital staff were asked to bring her a winter coat. She had been admitted in the summer.

Go read the whole thing.

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*** UPDATED x3 - Blagojevich files paperwork - Pritzker, Rauner weigh in *** Blagojevich begs for the mercy he rarely provided others

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Yep…



* From that September, 2017 interview

In the past, Blagojevich was accused of having unbridled optimism that at times blinded him to inconvenient truths. That doesn’t seem to have faded. Even though he’s now down to a long-shot appeal to the Supreme Court, he is convinced that he will be vindicated: “I still believe, ultimately, we’ll prevail.”

If that attempt fails, Blagojevich’s only hope would be a presidential pardon or clemency. I point out the irony: In the six years he was governor, Blagojevich denied 93 percent of the 1,024 such requests he considered and let 2,800 pile up without action, causing a massive backlog. (By comparison, Pat Quinn acted on nearly 5,000 and granted more than one-third.) “You’re right,” Blagojevich says. “I didn’t do nearly enough. I regret that very much. I wish I knew what I know now. The sentences are extremely merciless. I’ve learned there’s a lot of oversentencing.”

In my opinion, he denied and ignored those requests because he feared the political consequences. He was a former assistant state’s attorney and wanted to look “tough on crime.” And now he begs for mercy while proclaiming his innocence.

I just can’t with this guy.

*** UPDATE 1 *** Gov. Rauner was asked about possible presidential clemency for Blagojevich today. His response

Blagojevich’s case and behavior has been reviewed by judges, many judges, including the Supreme Court, by many legal experts, many attorneys.

They’ve all come to the conclusion that Blagojevich is where he belongs and he should stay where he’s at. So, I’ll leave it at that.

…Adding… Video is here.

*** UPDATE 2 *** Sun-Times

Rauner and Democrat J.B. Pritzker may have one thing in common: they don’t believe President Donald Trump should grant imprisoned former Gov. Rod Blagojevich a commutation.

Pritzker’s campaign said he believes “the former governor is where he belongs.” […]

The Pritzker campaign also told the Sun-Times on Tuesday that “JB thinks there’s plenty of other things that Donald Trump should be focusing on,” while acknowledging that it’s up to Trump whether to pardon or commute his sentence.

*** UPDATE 3 *** Tribune

Imprisoned former Gov. Rod Blagojevich filed official paperwork Tuesday asking President Donald Trump to commute his 14-year prison sentence on sweeping corruption charges.

  40 Comments      


Manar launches first TV ad

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* As I told subscribers yesterday, Sen. Andy Manar (D-Bunker Hill) today becomes the first state legislator to air a TV ad. This is running on cable and broadcast TV in the Springfield/Decatur market

* Script

Every day my dad rolled up his sleeves and went to work. 35 years pouring concrete, driving a snowplow, operating a backhoe. He helped shape who I am and how I serve.

As Macoupin County Board Chairman, I balanced the budget by cutting pay and pensions for elected officials.

In the Senate, I’ve refused a pension; said no budget, no pay; and I’m working to freeze property taxes.

Families here work hard. They deserve someone who rolls up their sleeves and goes to work for them.

Manar is up against Christian County GOP Chairman Seth McMillan. The race is expected to see 7-figure spending by both sides, so getting an early start is probably a good idea. Also, I don’t expect Manar will stay on an exclusively positive track for very long.

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Batinick defends new pension law

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* The Illinois Policy Institute on the budget’s pension provisions

Most of the supposed savings come from two completely voluntary “pension buyouts.” First, vested but inactive Tier 1 pensioners – meaning employees hired before 2011 – are given the option of receiving 60 percent of the net present value of their pension annuity in a lump sum payment. Lawmakers claim this will save $41 million.

Second, the largest portion of the expected savings – $381.9 million – comes from an optional cost of living adjustment, or COLA, buyout. This would give Tier 1 members the option to trade their 3 percent compounding increases for a 1.5 percent simple annual increase, in exchange for an immediate payment of 70 percent of the net value of their future increases under the higher formula.

Lawmakers plan to issue up to $1 billion in bonds to pay for those buyouts now, since they don’t have the money on hand. The state previously borrowed $17.2 billion to make pension payments, which will cost $25.8 billion to pay off in the long run.

The problem? Lawmakers are essentially counting on state workers to voluntarily cut their own pensions.

According to state Rep. Mark Batinick, R-Plainfield, the savings are calculated using a 22 percent uptake rate on the pension buyouts, which is the same uptake rate as a similar plan passed in Missouri. Unfortunately, the situation in Missouri is very different from the situation in Illinois. Illinois’ Supreme Court has declared that the pension protection clause protects not only earned benefits, but future increases in those benefits as well. Missouri does not operate under this restriction.

Some pensioners may see the writing on the wall and decide that they want to take their retirement security out of the hands of politicians, in case the pension system goes insolvent. However, many state workers may also be unwilling to give up a constitutionally guaranteed benefit increase for a much smaller guaranteed payment now. That makes the Missouri uptake rate unrealistic for Illinois.

If significantly fewer Illinois workers accept the buyout options than expected, lawmakers will have a hole in the budget that could amount to hundreds of millions of dollars.

* Rep. Mark Batinick responds…

The same IPI that has stated our pension costs are unsustainable, won’t be paid, and has talked about bankruptcy is now arguing that Illinois employees won’t want to take up a buyout at the same rate as Missouri employees? That’s a stretch.

In the 2nd year of the program in Missouri, the take up rate has actually increased to 25%

The bulk of our savings comes from the COLA reduction buyout. That buyout is at 70% compared to Missouri’s 60%. Again, this should increase the take-up rate.

The COLA reduction is a partial buyout, not an all or nothing scenario. Because our benefits are generous the buyouts will be too. A large amount of our employees will be able to keep their base annuity and get a six figure check simply for taking a reduced COLA. It is a “have your cake and eat it too situation.” Plus, because of the nature of the compound COLA retirees currently get their greatest benefits at the very end of their lives when they are less likely to be able to enjoy it. Pulling some of that money forward will make sense to a whole lot of people.

This program essentially takes part of our defined benefit pension liability and turns it into a defined contribution. That is the exact type of program IPI has advocated for four years. I’ve spent almost 3 years running real world examples with real people. Once fully implemented, I expect the take up rate to exceed projections. My biggest concern is simply getting the systems to execute the program quickly and efficiently.

Thoughts?

  71 Comments      


*** LIVE COVERAGE ***

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Follow along with ScribbleLive


  Comments Off      


Rauner, Pritzker release first TV ads of the general election

Tuesday, Jun 5, 2018 - Posted by Rich Miller

* Gov. Rauner is kicking off the festivities by taking the Blagojevich route, which is mighty interesting since President Trump is considering letting the man out of prison and Rauner’s Blagojevich TV ads during the primary didn’t really hurt Pritzker all that much. I mean, the dude won by 20 points after Rauner spent millions.

Then again, general election audiences are very different than Democratic primary audiences, and it’s well known that the Rauner folks have been polling and focus-grouping the heck out of this topic. And the spot most definitely takes a wicked shot at Pritzker, which his GOP base will appreciate. Press release…

Today, the Rauner campaign is launching the first TV ad of the general election, and latest in a series highlighting JB Pritzker’s conversations with corrupt ex-governor Rod Blagojevich, federal inmate #40892-424, caught on FBI wiretaps.

The ad features Pritzker and Blagojevich talking about potentially appointing Barack Obama’s controversial spiritual leader Reverend Jeremiah Wright to the former president’s open Senate seat.

Pritzker quipped how “hilarious” it would be, followed by both of them rounding out their conversation with a rousing “God D@mn America!”

* Rate it

Not a lot of context there. But the patriotic theme could take hold. Again, this is a sop to the base, which is absolutely fine for this point in the campaign.

* Background text from a GOP operative…

Only 16% of people in the state blame Bruce Rauner solely for our problems. An overwhelming majority blame Mike Madigan — to whom Pritzker has solidly hitched his wagon.

* On to the next one. Press release…

Today, the JB Pritzker campaign released the first in a new series of TV ads that will document how Bruce Rauner has failed Illinoisans across the state as governor.

The first ad in the series, “Brent,” highlights how Bruce Rauner’s failure to pass a budget led to the halt of road construction and 20,000 workers being laid off at the height of construction season. Learn more about the Rauner Failed Me campaign at www.RaunerFailedMe.com.

“Bruce Rauner’s failed leadership has had a real and lasting impact on hardworking people across our state and after three and a half years in office, it’s clear this governor has nothing positive to talk about,” said JB Pritzker. “Working families have been lied to, let down, and failed by Rauner for nearly four years — and it’s time their stories are heard.”

* Rate it

* If you wanted Pritzker to draw serious blood with his first ad, this definitely ain’t it. They’re trying to build a narrative, though, so we’ll see. Actual general election voters may not want this thing to start out as an 11 on a scale of 1-10 and the ad does tell a story about how a real person was hurt by the governor’s choices.

Even so, it looks to my eyes like an overreaction to Hillary Clinton’s unexpected blue-collar losses in the “Rust Belt” states. Illinois isn’t Wisconsin, or Michigan, or Pennsylvania or Ohio, however. Hillary won Illinois by 17 points.

The spot seems like a too-careful-by-half, overpaid consultant’s ad and not what the relatively small number of people who are actually paying attention right now really want (which is what the Rauner ad most definitely is - a vicious assault). Instead of kicking it all off with some nasty red meat for a few days, they’ve taken the safely bland route from the get-go. They may live to regret that choice. If you’re gonna say you’ll “protect” the state from President Trump and Gov. Rauner then you need to show you’re up to the task. This ad most definitely falls short. I’ve been warning for months that Pritzker may not be tough enough to win this thing, and his inaugural ad, in my opinion, only bolsters that prediction. But, hey, they’ve got reams of polling data and endless focus group experience and I don’t.

* Script

My name is Brent Williams, and I’m a proud union laborer. I’m one of the guys that works construction out there on the highways you drive by. Last summer, in the middle of our busy season, because of Bruce Rauner not passing a budget, I was told my job was being shut down. We just bought a house. I need to be working. When I’m not working, I’m not making money, and roads and bridges aren’t being fixed. Along with me, there were 20,000 other workers that were laid off. I don’t know that Bruce Rauner does think of me. Why would we do it for four more years?

  63 Comments      


Protected: SUBSCRIBERS ONLY - Late afternoon campaign updates

Monday, Jun 4, 2018 - Posted by Rich Miller

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Director Norwood to leave Rauner administration

Monday, Jun 4, 2018 - Posted by Rich Miller

* Nothing yet from the Rauner administration, but here’s the corporate press release

Anthem Names Felicia Norwood Executive Vice President and President, Government Business Division

INDIANAPOLIS–(BUSINESS WIRE)–Jun. 4, 2018– Anthem, Inc. (NYSE:ANTM) announced today Felicia Norwood has been named Executive Vice President and President, Government Business Division, effective June 18, 2018. In this role, Ms. Norwood will be responsible for the company’s Medicaid, Medicare and Federal Government Solutions businesses. Ms. Norwood will also serve as member of the company’s Executive Leadership Team and report directly to Gail K. Boudreaux, President and Chief Executive Officer, Anthem.

“Felicia is a proven leader with extensive experience in both the healthcare industry and government,” said Boudreaux. “She shares Anthem’s vision of creating a better healthcare experience for our consumers and all Americans. Her deep understanding of our business and the unique needs of our consumers will be of tremendous benefit as we work to continue to lead our industry by developing strategic partnerships and innovative integrated clinical care solutions across our Government business that will improve quality of care and drive better health outcomes.”

Ms. Norwood has more than 25 years of healthcare operations, policy and strategy experience. Most recently, she served as the director of Illinois’ Department of Healthcare and Family Services, leading a $22 billion agency with responsibility for serving the state’s 3.2 million Medicaid beneficiaries and 500,000 families receiving child support services. Prior to her current role, Felicia spent nearly 20 years at Aetna, where she served in a number of leadership roles including President, Mid-America Region; CEO, President and Chief Operating Officer of Aetna’s population health management subsidiary ActiveHealth Management Inc.; Head of Aetna Medicaid; National Head of Aetna’s Small Group and Individual Market Segments; and President, Aetna Government Health Plans, LLC.

…Adding… Press release…

Gov. Bruce Rauner announced today that Illinois Department of Healthcare and Family Services Director Felicia Norwood has accepted a position in the private sector.

“Director Norwood has been steadfast in her efforts to ensure the state’s most vulnerable citizens have access to quality healthcare. She led Illinois’ Medicaid reboot that will deliver better services at a better price.

Her leadership was critical to restructuring our managed care network into a more effective and efficient delivery model while integrating mental health into the delivery of services.

Her dedication and commitment led to one of the most significant developments in the history of our health programs, securing a $2 billion federal 1115 waiver — “Better Care Illinois” — a multi-agency effort to create a nation-leading approach to behavioral health.

She also led the department through a series of incredibly complex IT modernizations.

We are tremendously grateful for Director Norwood’s talent and service to the people of Illinois. We truly wish her all the success in her new endeavor.”

The search for a replacement is currently underway. Director Norwood remains on with the Administration until June 15.

  27 Comments      


Rauner going up on TV tomorrow

Monday, Jun 4, 2018 - Posted by Rich Miller

* From AL Media which is run by Chicago Democratic media consultants Eric Adelstein and Ann Liston…



I’m currently working on getting the ad from the Rauner campaign. But if past is prologue, I assume he’ll be playing up the budget agreement like he did with his tax cut plan after he delivered his budget address. I don’t know that for a fact, however. Stay tuned.

…Adding…. The Pritzker campaign is tight-lipped, but if history is any guide they’ll go up right after Rauner does. And then

…Adding… More info…



  13 Comments      


Question of the day

Monday, Jun 4, 2018 - Posted by Rich Miller

* Gov. Rauner this morning before he signed the budget into law

I would personally like to thank Speaker Madigan, and President Cullerton, Leader Brady, Leader Durkin, members of the General Assembly gathered here today and also throughout the state of Illinois. This was a great team effort. A great bipartisan effort.

* From the Rauner campaign this afternoon…

Without Gov. Rauner and Republicans at the negotiating table, Mike Madigan and Democrats would have raised taxes once again. […]

Join us to defeat JB Pritzker in November and prevent him from pushing tax hikes and out of control spending on Illinois.

* The Question: How would you rate the Rauner campaign’s framing of the budget deal? Don’t forget to explain your answer. Thanks.

  36 Comments      


Durbin supports reducing Blagojevich’s sentence

Monday, Jun 4, 2018 - Posted by Rich Miller

* From January of 2017

Sen. Dick Durbin said Tuesday that incarcerated former Illinois Gov. Rod Blagojevich’s 14-year prison sentence was excessive.

“I think 14 years was an outrageously long sentence. I’ll be honest with you,” Durbin told WGN Radio. “I think it should’ve been a shorter sentence.”

* So, today’s comment should probably come as no surprise

Sen. Dick Durbin (D-Ill.) said on Monday that he would support reducing the sentence of former Illinois Gov. Rod Blagojevich (D), according to the Chicago Sun-Times.

“I think that the sentence imposed on Rod Blagojevich was definitely way too long. Fourteen years, it didn’t make sense,” Durbin said at a Chicago press conference.

“And so I’m not commenting on whether he was culpable of guilt. That was decided by the courts, but I thought the sentence was outrageous, and if there’s a way to reduce the sentence for him and his family, I would support it,” Durbin added.

Durbin’s comments come after President Trump said last week that he is considering reducing Blagojevich’s sentence.

* Tribune

Trump told reporters Thursday on Air Force One that he thought the former governor’s prison sentence was overly harsh for what he described as “a foolish statement.” The president made the comments about Blagojevich while discussing his plans to pardon conservative pundit Dinesh D’Souza.

“I’ll tell you another one … there’s another one that I’m thinking about. Rod Blagojevich,” Trump said, according to a pool report. “Eighteen (sic) years in jail for being stupid and saying things that every other politician, you know that many other politicians say.”

“And if you look at what he said, he said something to the effect like, ‘What do I get?’ … Stupid thing to say. But he’s sort of saying … he’s gonna make a U.S. senator, which is a very big deal,” Trump said. “If you read his statement, it was a foolish statement. There was a lot of bravado. … Plenty of other politicians have said a lot worse. He shouldn’t have been put in jail.”

Trump also referred to Blagojevich’s stint on his reality show, “The Celebrity Apprentice,” but downplayed any relationship between them, saying, “I don’t know him other than that he was on (the show) for a short period of time.”

As we’ve discussed many times before, Blagojevich didn’t just try to trade the US Senate appointment. He also held up state money for children’s healthcare until he got a large campaign contribution from a hospital executive.

* Sun-Times

It’s not the first time Durbin offered his support for a commutation of a former Illinois governor’s prison sentence. In 2008 he urged then President George W. Bush to commute the sentence of George Ryan, who was serving a six and half year sentence on corruption charges. Bush never acted on the request. […]

Blagojevich, 61, is not due out of prison until May 2024. Though an appellate court tossed five of his convictions in 2015, federal prosecutors say he remains convicted “of the same three charged shakedowns” for which he was first sentenced in 2011.

Those include his attempt to sell then-President-elect Barack Obama’s U.S. Senate seat, to shake down the CEO of Children’s Memorial Hospital for $25,000 in campaign contributions, and to hold up a bill to benefit the racetrack industry for $100,000 in campaign contributions.

A jury also convicted Blagojevich of lying to the FBI.

  23 Comments      


NuMark Credit Union Volunteers at Northern Illinois Food Bank

Monday, Jun 4, 2018 - Posted by Advertising Department

[The following is a paid advertisement.]

On May 30th, NuMark Credit Union employees volunteered at the Northern Illinois Food Bank. They packed 4,100 pounds of sweet potatoes which will help provide 3,416 meals to families in need within their community. NuMark Credit Union has been serving the southwest suburbs of Chicago for over 60 years. The credit union regularly sponsors events and helps raise donations for the Northern Illinois Food Bank. To date, NuMark has helped fund $94,536 worth of food for the underserved in the areas surrounding Chicago’s south suburbs. To find out how you can become part of the credit union movement, visit www.asmarterchoice.org.

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“A much-needed return of stability”

Monday, Jun 4, 2018 - Posted by Rich Miller

* Higher education will receive a two percent increase with next fiscal year’s budget. It’s not enough to make up for the beating the schools took during the impasse, but it’s the start of stability

Overall, funding for public universities still lags about 8.2 percent behind what schools received in 2014-15, the last time the state approved a budget on schedule. University presidents unsuccessfully pushed the higher education board earlier this year to lobby Springfield to restore 2015-era funding. […]

But given recent instability, officials said predictable and consistent funding is more critical at this stage.

“I think there has been an awareness that the two years of the budget impasse were really very difficult for higher education to get through,” Southern Illinois President Randy Dunn said. “This increase in funding speaks to a growing understanding that public education in the state of Illinois is an investment as much as it is a cost, and something that is going to be integral in terms of job creation and economic development.”

University of Illinois leaders said in a statement Thursday: “The state’s second straight, full-year budget reflects a much-needed return of stability and reinvestment in higher education after a two-year impasse that cut sharply into funding and hampered our ability to plan our future.”

* A little history lesson

Illinois sent more than $1.2 billion to the state’s 12 public universities in 2015, the last spending plan before the impasse. In the budgetless years, two stopgap bills in 2016 provided just $996 million in state support for public colleges over two years. [Emphasis added.]

* As with everything else, the problems were already bad before Gov. Rauner took office and his administration then made it much worse

The state’s 12 public universities and 48 community colleges have been tightening their belts since before the drastic cuts. State funding, which typically makes up one-third of a school’s budget, had already decreased 41% from 2002 to 2015.

This trend simply has to be reversed.

  10 Comments      


Good news for social media users: Pritzker finally retires ubiquitous ad

Monday, Jun 4, 2018 - Posted by Rich Miller

* Just about everyone who has surfed YouTube or Facebook has seen this ad countless times since it debuted in early December



* Well, Facebook has been posting campaign ads and accompanying stats online since May 19, and it turns out the spot was discontinued on the last day of May

As many as 500,000 impressions in just twelve days on Facebook alone? Just imagine what the total was across all platforms since early December. Whew.

Click here to see Pritzker’s Facebook ads since May 19. Click here to see Gov. Rauner’s (both links include opposition ads).

  21 Comments      


Now that it’s signed…

Monday, Jun 4, 2018 - Posted by Rich Miller

* Tribune

Republican Gov. Bruce Rauner on Monday signed into law a $38.5 billion spending plan for state government, approving a full budget on time for the first time since he took office in 2015.

Flanked by Republican and Democratic lawmakers, Rauner touted the legislation as the product of “a great team effort, a great bipartisan effort.” […]

Rauner also noted that lawmakers had found $1.5 billion in spending cuts as well.

“It’s not easy to make cuts, but the reductions in spending were made and I’d like to thank everyone for the discipline to achieve that,” Rauner said.

* From the governor’s press release…

· Blocked New Spending. Rauner and the Republican leaders staved off $1 billion in spending increases by aggressively managing agency budgets and tabling $500 million in spending increase proposals. That’s a billion and a half dollars in much-needed spending restraint.

Managing agency budgets is the governor’s top job. Good for him. But rejecting $500 million in spending increase requests is not a cut.

* Back to the governor’s release…

Education Funding. The budget fully funds the new evidence-based formula the administration introduced in 2015 and signed into law last summer. There’s $350 million in new K-12 dollars, which is up $1.4 billion since 2015, and $50 million for Early Childhood Education, which is up $200 million since 2015. AIM HIGH scholarships get $50 million to encourage Illinois high grads to attend Illinois universities. The MAP grant program is funded for four years. Colleges get $25 million of new money and the tuition tax credit program stays intact.

Guaranteeing MAP grants for four years, instead of just one, is perhaps the greatest single accomplishment of this budget. Bar none.

* Back to the release…

Pension Reform. The legislature addressed pension costs by making some modest reforms that will reduce long-term liabilities and save $445 million this year.

They’re spending long-term savings in just one year, which is not a good idea.

* Again, to the release…

· Adoption Tax Credit. Rauner said he was “particularly proud” of the work on his measure to create tax credits to encourage more adoptions by Illinois parents. Parents who can provide stable, loving homes for needy children can qualify for tax credits up to $5000 per child.

· Illinois Innovation Network. The budget gives the University of Illinois System $500 million to fund the Governor’s signature economic development program. The initial step is to get the Discovery Partners Institute up and running. DPI envisions a research and business public-private partnership that involves the entire Illinois university system and business innovators. U of I System estimates that the effort could spark $4 billion in annual invested capital for Illinois and create hundreds of thousands of jobs.

Quincy Veterans’ Home. There is $53 million in FY19 budget to get underway with the administration’s plan to construct a new veteran’s home in Quincy.

The Discovery Partners Institute could easily wind up being Rauner’s greatest positive legacy if he only serves one term.

* From Senate President John Cullerton’s press release last week

A more than $1 billion budget hole wiped out through savings, reforms and utilizing other available revenues.

The state is authorized to tap into up to $800 million sitting available in various state accounts. This allows the state to utilize that money now to fund programs and services and pay it back over the next two years.

So, that’ll create a $400+ million hole in each of the next two fiscal years.

* There are some other holes that have been overlooked

Illinois state workers represented by the American Federation of State, County, and Municipal Employees, or AFSCME, currently do not have a contract with the state. The last contract expired on June 30, 2015. Gov. Bruce Rauner and AFSCME have not been able to agree on a number of costly requests the union is making.

Despite being without a contract, courts have ordered the Rauner administration to pay the raises union workers would have received under the last contract. According to Wirepoints, this could cost as much as $400 million.

The state did not account for these costs in its recent spending plan. That means the state has as much as a $400 million liability, that it should be fully aware it needs to pay, not accounted for in the budget.

…Adding… Anders Lindall at AFSCME Council 31 disputes some of the Illinois Policy Institute’s story…

In the first sentence, it’s wrong that there’s no contract. The previous contract remains in effect.

In the third sentence, it’s wrong that the parties “have not been able to agree on a number of costly requests the union is making”. We proposed zero wage increase and higher employee health costs. Rauner walked away and refused to negotiate. A case is now in the courts.

In the fourth sentence, again, there is a contract. And it’s not that Rauner was ordered to pay raises under the previous contract. It’s that he was ordered to continue the progression of recent hires through the pay plan (which exists in statute, not the contract).

  19 Comments      


The case for state regulation of gun dealers

Monday, Jun 4, 2018 - Posted by Rich Miller

* Sun-Times editorial

Ninety percent of guns used in criminal acts can be traced to just 5 percent of gun dealers. These so-called, “Bad Apple” dealers enable criminals to circumvent gun laws created to keep firearms out of dangerous hands, putting communities at risk for violence. […]

When a gun buyer gets somebody else to fill out his or her paperwork, that’s called a “straw purchase.” This can put guns in the hands of people who are legally prohibited from owning them. Police say penalties for violating Illinois’ “lost and stolen” law, which helps address straw purchases, are too weak.

Last year, Chicago police took 8,952 illegal guns off the street, and this year so far the police have recovered more than 3,400 guns. We would like to believe it has made a difference. Chicago this year has suffered 52 fewer murders and 229 fewer shootings when compared to the same time last year. […]

A bill approved by the Legislature on Tuesday — with bipartisan support — and now headed to Gov. Bruce Rauner’s desk holds the promise of being a small but important part of the solution. The bill goes after the scourge of “bad apple” gun dealers by requiring state certification of gun shops.

* But, you say, the feds already regulate gun dealers. Well, kinda

As they inspect the nation’s gun stores, federal investigators regularly find violations of the law, ranging from minor record-keeping errors to illegal sales of firearms. In the most serious cases, like a sale of a gun to a prohibited buyer, inspectors often recommend that gun dealers lose their licenses.

But that rarely happens. Senior officials at the Bureau of Alcohol, Tobacco, Firearms and Explosives regularly overrule their own inspectors, allowing gun dealers who fail inspections to keep their licenses even after they were previously warned to follow the rules, according to interviews with more than half a dozen current and former law enforcement officials and a review of more than 100 inspection reports.

One store was cited for failing to conduct background checks before selling a gun. Another store owner told investigators he actively tried to circumvent gun laws. One threatened an A.T.F. officer, and another sold a gun to a customer who identified as a felon. All were previously cited by the A.T.F. In each instance, supervisors downgraded recommendations that the stores’ licenses be revoked and instead let them stay open.

Of about 11,000 inspections of licensed firearm dealers in the year starting in October 2016, more than half were cited for violations. Less than 1 percent of all inspections resulted in the loss of a license.

  26 Comments      


Dems respond to Rauner signing budget

Monday, Jun 4, 2018 - Posted by Rich Miller

* Before Gov. Rauner signed the budget this morning…

Three Years Later, Rauner Sidelined to Get the Job Done

Chicago, IL – As Bruce Rauner sits down to sign the first budget of his governorship, let’s take a look back at the crisis-drive agenda, stubborn demands, and failed leadership that brought us to this point:

2015: A CRISIS-DRIVEN AGENDA

Rauner makes his motives abundantly clear with the now infamous, “Crisis creates opportunity. Crisis creates leverage to change … and we’ve got to use that leverage of the crisis to force structural change.” He proceeds to veto a budget passed by the General Assembly while presenting no realistic alternative.

2016: CHANGING DEMANDS, DELAYED NEGOTIATIONS

After waiting six months into the budget crisis to meet with Democrats in 2015, Rauner waits four months into 2016 to sit down with legislative leaders. The failed governor brings to the table an ever-growing and ever-changing list of demands with columnists saying, “Rauner has made one politically unrealistic demand after another” and “Gov. Bruce Rauner is holding up critical state budget negotiations over his desire for term limits? Unbelievably, yes.”

2017: THE BIPARTISAN OVERRIDE

Bruce Rauner drives the state into a 736-day budget crisis, decimating the state economy, forcing social services to cut programs or close their doors, and jeopardizing public education across the state. After Rauner derails one budget and vetoes another, bipartisan legislators come together to override the failed governor’s veto and finally bringing Rauner’s crisis to an end.

2018: RAUNER SIDELINED

Having learned their lesson, leaders in the General Assembly sidelined Bruce Rauner from the budget process, ignoring the unbalanced budget he presented. The Chicago Tribune writes, “Rauner’s top priorities sidelined in final budget talks of his first term.” With the General Assembly getting the job done as Bruce Rauner faces re-election this year, the failed governor will sign a budget for his first time in office.

“Bruce Rauner finally agreeing to sign his name on a budget crafted by the General Assembly, three years into his time in office, won’t change the massive amounts of damage this failed governor has done to this state,” said Pritzker campaign communications director Galia Slayen. “It shouldn’t take legislative leaders sidelining the governor and the threat of re-election to get a budget done. It’s abundantly clear Illinois can’t afford another four years of Bruce Rauner.”

* During today’s presser…



* After he signed the budget…

After Three Years of Rauner Budget Chaos, What Changed?

Illinois Working Together Campaign Director Jake Lewis released the following statement in response to Gov. Bruce Rauner’s approval of the state budget:

“For three years, Gov. Bruce Rauner has refused to sign a state budget unless it included his own personal agenda. The governor spent much of that time holding the budget hostage while the students, seniors, and economy of the Illinois suffered catastrophic damage.

“Now it seems like the governor has had a radical change of heart, signing the Fiscal Year 2019 budget that includes none of his personal agenda and none of his own major budget proposals. So the question must be asked: what changed? And why did the students, seniors, and economy have to suffer for years before Rauner’s sudden shift?

“Bruce Rauner put the people of Illinois through crisis after crisis in pursuit of his own personal agenda. Today we find out that all of that chaos, all of the devastation was for nothing. So, governor, what changed? The people of Illinois deserve answers.”

* DGA…

What Was the Point of Rauner’s Three Year Budget Crisis?

The Democratic Governors Association releases the following statement through spokesperson Sam Salustro regarding news that Governor Bruce Rauner signed the first budget of his term after forcing the state to endure three years of crises:

“Bruce Rauner’s budget signature is three years too late. Thanks to Rauner’s failed leadership, Illinois’ debt soared, credit rating dropped, and services were slashed while jobs and people continued to leave the state. Rauner failed the people of Illinois and the state is worse off because of it.

“Rauner’s decision to wait for an election year before finally signing a budget is just one more insult to the people of this state. Bruce Rauner forced Illinois to endure three years of budget crises and voters want to know, what was the point?”

* Pritzker campaign…

A Moment Three and a Half Years in the Making

Chicago, IL – It’s a moment three and a half years in the making: Bruce Rauner finally learned how to pick up a pen and sign his name.

They also attached a snarky GIF. Click here.

  28 Comments      


Caption contest!

Monday, Jun 4, 2018 - Posted by Rich Miller

* Illinois Review

Three downstate lawmakers want the US Congress to take up an initiative to make Chicago the 51st state. After all, the state and city have been fighting for 200 years.

In a resolution introduced May 25, GOP State Reps. Reginald Phillips - Brad Halbrook and Joe Sosnowski voiced their dismay with the city’s politics, its weight to the state’s finances and its disagreement with the rest of the state on major social issues.

The dissension between the state’s most populated city and the rest of the state has been an issue for 200 years, the resolution says, with previous attempts to sever the state and city’s ties.

The resolution is here.

* Rep. Sosnowski may want to secede from his suit…

  70 Comments      


Today’s number: $2,387.28

Monday, Jun 4, 2018 - Posted by Rich Miller

* JB Pritzker has spent about $100 million of his reported $3.4 billion fortune on his campaign. That $100 million works out to 2.94 percent of his total stash.

National median household net worth is $81,200. So, 2.94 percent of that would be $2,387.28.

Just putting things into perspective here.

  31 Comments      


Durkin overcame numerous obstacles and got things done

Monday, Jun 4, 2018 - Posted by Rich Miller

* My Crain’s Chicago Business column

He’s not a household name like Mike Madigan or Bruce Rauner, but House Republican leader Jim Durkin played an outsize role in delivering the first on-time budget in four years.

Durkin claims to this day that he was able to convince, cajole and drag other legislative leaders and the governor 90 percent of the way to a budget agreement last year until it all blew up in July. Ten of his GOP members broke ranks and voted to override Rauner’s vetoes of the state’s first full-year budget since before Rauner took office and an income tax hike to pay for it.

When the smoke cleared, Durkin had a problem. Some of his conservative members blamed him for not being tough enough on the members who bolted. And the insurgents were furious about all the pressure that Rauner had put on them about their votes. Mutiny was in the air.

Durkin had to pull his caucus back together quickly because a vote on a massive education funding reform bill would happen a month after the budget blowup.

But then Durkin had another problem.

Click here to read the rest before commenting, please. Thanks.

  24 Comments      


Let this one play itself out

Monday, Jun 4, 2018 - Posted by Rich Miller

* My weekly syndicated newspaper column

Pointing out the holes in Maryann Loncar’s allegations against Rep. Lou Lang, D-Skokie, is like shooting fish in a barrel. But it doesn’t necessarily mean that absolutely everything she said was untrue.

Loncar, a longtime medical marijuana activist, made her allegations last week during a much-anticipated press conference on the final day of the General Assembly’s spring session.

Let’s start with her alleged $170 million “bribery” scheme by a medical marijuana company, which Loncar claimed she helped expose. She claimed her “meddling” caused Lang to retaliate against her. This is not a new allegation. Loncar e-mailed me in 2015 to allege a $168 million “pay to play” scheme involving the company. The “bribe” turned out to be an alleged offer of a state payment by a company named Medponics for all medical marijuana licenses during a stakeholder meeting.

Loncar said she had an eyewitness at the 2012 meeting, who has worked with her on medical marijuana issues for years. But he told me the Medponics proposal was immediately shouted down by everyone in the room, including Lang. A former lobbyist for the company flatly denied that any such offer was ever made.

In 2014, Loncar and her business partners told the Tribune that their Plainfield company wanted to open three for-profit grow centers and five dispensaries. They claimed credit for convincing then-House Republican Leader Tom Cross to support medical marijuana. Cross’ district included Plainfield. But the medical marijuana bill written by Lang and others in 2013 barred for-profit companies like Loncar’s from the industry.

She also told me in 2015 she was “being bullied” by Lang and a female medical marijuana activist. Lang did indeed tell several people last year that he wouldn’t support the bill to legalize hemp if Loncar was involved. But Loncar also claimed that Lang killed the hemp bill last year because of her involvement. Lobbyists involved with the hemp bill flatly denied that to me, and said the same to the Chicago Sun-Times and the Chicago Tribune.

Loncar claimed that Lang had contacted her ex-husband and allegedly said he could “help you bury her if you want.” She said that conversation led her to fear for her life. But her ex told the Tribune that Lang never reached out to him.

Denise Rotheimer, a Loncar surrogate who accused Sen. Ira Silverstein, D-Chicago, of sexual harassment last year, told the Sun-Times last Tuesday that Loncar was not going to allege sexual harassment against a legislator.

But then Loncar appeared on conservative activist Dan Proft’s Chicago radio show the Thursday morning before her press conference. Proft asked her whether the still-unnamed legislator had said if she wouldn’t “play ball, and play ball means of a sexual nature, then you’re not going to get what you want.”

“In every nature,” Loncar replied. “It all starts in Springfield of a sexual nature if you’re female. All of it.”

However, when her statement to Proft was read back to her later that day by my associate Hannah Meisel, Loncar admitted Lang had made no such demand.

So, what do we make of Loncar’s other claims, including that Lang inappropriately touched her once and made some suggestive comments?

I think we should leave that for the inspector general to decide, not us.

Lang’s resignation of his deputy majority leader post as well as from two important committees after “consulting” with Madigan clearly means he has been punished. Whether he’s been punished enough will, again, be up to the inspector general.

  22 Comments      


Easy money

Monday, Jun 4, 2018 - Posted by Rich Miller

* Bloomberg…

Buy Illinois bonds in May and sell when the budget crisis goes away.

It’s almost as catchy as the stock market adage, and that simple advice is turning a nice profit recently. While many other fixed-income assets sputtered along, Illinois debt returned 1.56 percent in the last month, according to Bloomberg Barclays index data. On an annualized basis, that’s a 20 percent profit.

That monthly return is better than other U.S. states 1 and ranks ahead of just about any major bond market out there. For reference, here’s how some broad indexes fared last month.

    * Global High-Yield: -1.51%
    * Global Aggregate: -0.76%
    * EM USD Aggregate: -0.73%
    * U.S. Aggregate: 0.71%
    * U.S. Treasury: 0.90%

And all investors had to do to lock in that return was bet that Illinois lawmakers would pass an acceptable budget. That’s what they did on Thursday, sending it to Republican Governor Bruce Rauner for his signature. […]

Investors clearly liked the news, with the yield on 10-year Illinois bonds tumbling on Thursday by the most in 10 months to 4.1 percent. The debt rallied for 10 consecutive days after the yield peaked in mid-May at 4.6 percent. At the time, that rate was higher than the one on 10-year securities from Greece, which, as everyone agrees, is junk.

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My favorite weekend tweets

Monday, Jun 4, 2018 - Posted by Rich Miller

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

Monday, Jun 4, 2018 - Posted by Rich Miller

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Monday, Jun 4, 2018 - Posted by Rich Miller

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« NEWER POSTS PREVIOUS POSTS »
* Some weekend congressional campaign updates
* Reader comments closed for the weekend
* SUBSCRIBERS ONLY - More campaign updates
* Isabel’s afternoon roundup
* Catching up with the congressionals (Updated x2)
* Big Tech sues over Chicago social media tax a month after Pritzker pitches statewide version
* Indiana's circular firing squad and what it means for Illinois
* SUBSCRIBERS ONLY - Campaign news
* It’s just a bill
* Chaos Coming July 1: Illinois’ Radical Credit Card Law Could Upend Everyday Purchases
* Isabel’s morning briefing
* Good morning!
* SUBSCRIBERS ONLY - Supplement to today’s edition
* SUBSCRIBERS ONLY - Today's edition of Capitol Fax (use all CAPS in password)
* Selected press releases (Live updates)
* Live coverage
* Yesterday's stories

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