IMPORTANT NOTE: Subscribers looking for late budget updates should go here and here. In case I update this weekend, the password will remain the same.
Also, Capitol Fax will be published Monday, but it probably won’t arrive until early afternoon.
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I feel like death. Sure glad it’s Friday. I may be updating over the weekend with new stuff about the budget talks, but right now I’m going to take a nap.
Barring updates, we’ll resume blog posts and comments early Monday afternoon, shortly before the House and Senate are back in session.
Do yourself a favor and head to Illinoize to check out all the new bloggers. They’re very good. Of course, our “old” bloggers are pretty darned good, too.
Name one currently legal product or activity which you’d like the state to ban, and name one currently illegal product or activity which you’d like the state to legalize.
For a second straight year, Gov. Rod Blagojevich’s administration has failed to renew hundreds of leases and keep up with rent and utility payments for private office space used by the state, a new audit showed Thursday.
Auditor General William Holland’s review of the controversial office-management agency, the Department of Central Management Services, found the department’s failure to promptly deal with billings from landlords and utilities resulted in eviction notices and disconnection notices for some state agencies.
* From the same story, Orlando Jones appears once again…
Meanwhile, a separate state audit of the Illinois State Board of Investment showed that Orlando Jones, the godson of former Cook County Board President John Stroger and a well-connected political insider, collected more than $471,000 in marketing fees from William Blair & Co. to promote the investment firm before the board. The state investment board is the oversight panel for state pension systems for lawmakers, judges and state workers.
Jones also has had business ties to Antoin “Tony” Rezko, a top fundraiser and adviser to Blagojevich who was indicted last fall on federal corruption charges. Jones was previously a vice president of Rezko’s real estate development firm.
* And then there’s Chicago State University, Senate President Emil Jones’ pet project. Maybe they have too much money there…
Even as Chicago State University faced budget pressures, the university’s president spent public funds to attend two extended “leadership seminars” aboard cruise ships in the Caribbean and Mediterranean, bringing five family members along on one, state officials said Thursday.
University president Elnora Daniel attended the cruises and on at least one, the room rate was 3,000 for the nine-day affair when $1,499 rooms were available, according to the report by Auditor General William Holland.
Five family members attended one or both cruises at state expense, a perk allowed by Daniel’s contract, which allows for $10,000 in travel for family members.
Thirteen charges to the university’s credit card totaled $3,932 for “various theatrical events,” including “The Lion King” and the Lyric Opera, but included no details or reasons for the spending, the audit found. Employees slept in hotel rooms whose rates exceeded the state limit; stayed past the end of conferences they attended; and were reimbursed for movies, gifts and alcohol.
Robyn Wheeler, spokeswoman for the 6,600-student school, refused to answer specific questions about Daniel’s travel, the audit, or the $10,000 in family travel perks.
‘’The substance of the transactions represent valid university business,'’ Wheeler said.
* My Sun-Times column this week is mainly about how long Speaker Madigan and Senate President Jones have been in power without producing results on an issue both claim to wholeheartedly support…
llinois House Speaker Michael Madigan was first elected to the House in 1970. I’m 45 now, so I was 8 years old at the time. Senate President Emil Jones was first elected to the House two years later, in 1972. I was in fifth grade. Both men have held legislative leadership positions for pretty much my entire adult life.
Madigan and Jones’ combined 70-plus years of experience can be a good thing. They’ve seen almost everything, so it’s tough for a lobbyist or a governor or anyone else to sneak something past them.
Lately, though, I’ve been getting the urge to change the channel and watch a new program. Over the years they have become little more than self-perpetuating power machines. Plus, the two men have so much history between them, much of it antagonistic, that they too often can’t seem to put aside their differences for the good of the state.
* My Sun-Times editor, Steve Huntley, has a column today about the lack of gubernatorial leadership, among other things…
All this doesn’t add up to the kind of leadership Illinois needs any time, but especially this year with pension, education and transportation funding in dire need of help. Because of a no-tax-pledge made in spite of mounting fiscal problems and in the face of ambitions by the governor and Democratic legislators for new spending, the campaign of 2006 has come back to haunt Springfield. Where all this will end is anybody’s guess, but it tells you a lot that lawmakers are talking about an expansion of gambling.
Maybe a deal can still be reached to address the state’s funding problems, but it will take more flexibility and leadership than our government has so far displayed.
* And Eric Krol looks at why the governor’s tax plan tanked and includes this bit…
Where to from here? Looks like a session that’ll last half the summer, depending on whether Senate President Emil Jones decides to stand firm with ally Blagojevich (and is able to keep his members with him) or cut a scaled-back deal with House Speaker Michael Madigan.
* More tax and spend stories, compiled by our ever-popular intern Paul…
Blagojevich and his staff said Mahajan’s long-standing, no-bid state contract preceded the relationship with the first lady and that there was no connection between the two. Blagojevich called the Tribune inquiry “Neanderthal” and sexist.
Critics said the idea would put existing hotels at tollway interchanges at a disadvantage and could enable politically connected developers to find a new way to cash in on government business.
But a letter last month — disclosed this week — from Pete Rahn, director of the Missouri Department of Transportation, to his Illinois counterpart, Milton Sees, shows that Missouri is willing to back down on its position on tolls.
* Election Board privacy breach: lawsuit claims controversial data can be seen by all
‘Grand Theft Auto’ Leads to Pilfering of State Funds: Governor’s Defense of Violent Video Games Law Nears $1 Million
SPRINGFIELD, IL – Representatives from Gov. Blagojevich’s office testified during a hearing of the House State Government Administration Committee on Wednesday that its criteria for choosing which state agencies would pay the legal fees for defending a state law ruled unconstitutional was based on which agencies had the money, and that has state Rep. Jack Franks seething.
Franks, who chairs the committee, continued his questioning of the governor’s deputy chief of staff and deputy general counsel for a second week about how the state handled the payment of more than $500,000 in plaintiff’s fees after losing a lawsuit defending a law intended to restrict the sale and rental to minors of games with violent or explicit content.
“We had a strong suspicion last week that the governor was using funds appropriated by the General Assembly as his own personal piggy bank,” Franks said. “Our suspicions were confirmed this week when the governor’s staff admitted that they just stuck the bill with agencies that had available line items.”
Following a circuit court’s decision in December 2005 finding the violent video games law unconstitutional, the court ordered the state to pay legal fees incurred by the plaintiffs. The state departments of Public Health, Commerce and Economic Opportunity, Human Services, and Central Management Services all paid portions of the half-million dollar bill, according to state comptroller’s records.
Committee members discovered Wednesday that the initial $510,000 bill has ballooned to nearly $1 million thanks to payments to the lawyers hired to defend Blagojevich. About $461,520 has been paid for those fees from the funds of six state agencies: the Departments of Human Services, Children and Family Services, Public Health, Corrections, Revenue, and the State Police. The Department of Human Services alone paid more than $300,000 in plaintiff’s costs and defense fees.
“There is no proof that any of the agencies forced to pay for the governor’s public relations campaign got any sort of benefit from paying those fees,” Franks said. “The General Assembly passed a budget and dictated that the money in that budget would be spent a certain way. Now the governor has, once again, completely disregarded the Legislature’s intent for his own personal agenda.” […]
“The governor is going to find it increasingly difficult to get anything done if he can’t be taken at his word,” Franks said. The Woodstock lawmaker said Wednesday’s revelations could not have come at a worse time for the governor, who is trying to negotiate a budget with lawmakers.
[Emphasis added]
Meanwhile, the state-funded radio ad that blatantly violated the state’s ethics code was pulled from the air…
…Lt. Scott Compton, a spokesman for the state police in Springfield, said he could not comment on whether it violated provisions of the ethics act except to say that it was pulled to “err on the side of caution.”
Under the State Officials and Employees Ethics Act, which Blagojevich has frequently lauded as a landmark reform measure, broadcast advertisements and public-service announcements on behalf of a state-administered program cannot contain the name, image or voice of a statewide elected official or state lawmaker.
“Thanks to Gov. Rod Blagojevich and the Illinois State Police Internet crime unit, e-criminals will no longer be able to victimize Illinois citizens,” a narrator says in the now-pulled 30-second spot.
In an era of ever-rising gas prices, do you think the state should spend more money to subsidize Amtrak and create an extensive high-speed rail network? Explain.
* As you already know, Paul and I did our own report on Speaker Madigan’s press conference yesterday, where he announced that there wasn’t sufficient support for an income or sales tax hike in his caucus. You can find that here and you can listen to the entire press conference at this link [mp3 file].
Let’s look at some excerpts from other stories published this morning…
In announcing the results of a survey of his members, Madigan sent the strongest message to date that the state is headed toward resolving its fiscal mess with a vastly scaled-back budget that would disappoint many groups seeking boosts for education and health care coverage. And it sets up the next stage in a potential deadline showdown with Gov. Rod Blagojevich, who is still pushing for his $7 billion business tax proposal with the support of Senate President Emil Jones (D-Chicago).
“We will need to revise our priorities and our wish list accordingly and work within whatever revenue we can find,” said Rep. John Fritchey, D-Chicago, co-sponsor of one of several pending measures that sought to raise the state income tax to pay for some of those priorities.
“The facts are starting to align in such a way that we will be closer to a limited budget than a massive budget, and that may not be a bad thing,” Fritchey said. “Needs such as education funding reform, health care and infrastructure are valid needs that unfortunately might have to be put off for some time.”
“Clearly, if the House Democrats do not support a tax increase, there will not be a tax increase,” said state Rep. Mark Beaubien, R-Barrington Hills. “We won’t vote for a tax increase.”
Several Senate Democrats, meanwhile, said expanded gambling is emerging as the one revenue generator most of them are willing to talk about.
“It’s probably the best solution as we talk today,” said Senate Majority Leader Debbie Halvorson, D-Crete. “So far, it’s the only thing everybody can come up with.” […]
Hendon said the gambling plan could be used to pay for more than construction.
“If this is the only new revenue, then of course we’d have to spread (the money) around,” said Hendon, who estimates at least $2 billion a year could be raised. “The governor’s health-care plan will get some of the money, and education and capital. It appears that it might be the only game in town.”
But Madigan, acknowledging the difficulty in passing gambling legislation and refusing to be pinned down on what a bill might entail, tempered expectations a gambling deal would soon emerge. […]
Blagojevich spokeswoman Rebecca Rausch said the governor is eager to meet with Madigan, refuses to concede the gross-receipts tax is dead and believes health care should be a top spending priority. The two are scheduled to meet today.
* The Daily Herald has a brutal front-page story on our “stay at home” and “reclusive” governor today, including a photo of his house. Click the pick for a better look…
Oof.
Some highlights…
The reclusive governor doesn’t appear in public much, often avoids questions when he does surface, and appears to rely on a few senior staff members and small cadre of fundraising lobbyists for counsel. […]
Mostly, though, Democrats are worried the governor’s disengagement is damaging their party’s chances to make progress on key issues. […]
During his most recent public appearance at a health care rally, Blagojevich asked a staff member if he should answer reporters’ questions, but was told no. The governor also mistook a… Chicago political writer for the publisher of a political blog and insider newsletter. […]
“The governor is here half a day a week to work with the legislature. Maybe he should expand that schedule,” Steve Brown, spokesman for Democratic House Speaker Michael J. Madigan, told the State Journal-Register in Springfield last week.
* A Sun-Times article today wonders whether Blagojevich is the next George Ryan and also takes a whack at him for avoiding the press…
Blagojevich is doing little to squelch speculation that federal prosecutors might make him the next George Ryan. […]
Meanwhile, his credibility with lawmakers in Springfield is eroding.
Blagojevich entered office in 2003 repeatedly vowing to end “business as usual” in state government.
Right now, his silence is deafening.
* Bernie Schoenburg jumps on the pile with a column entitled “History of untrustworthiness haunting Blagojevich”
It may not be easy for the rarely-in-Springfield governor to get a vote of confidence from lawmakers. Perhaps his combination of broken promises and stalled initiatives give a clue why.
Bernie also wacked the guv for railing against lobbyists in “Gucci loafers” while being devoted to wearing very expensive ties.
* But wait, there’s more. The State Journal-Register editorial page dropped in this line today…
But just as importantly, he has failed to gain trust because he is simply not in the game enough.
The subpoena could create a distraction for the governor when lawmakers already complain he does a poor job of working with them at the Capitol. Blagojevich was not at the Statehouse Wednesday.
“It was hard enough to keep his attention when it was just us,” said Sen. William Delgado, D-Chicago. “His timing is bad. I don’t envy him.”
Senate Majority Leader Debbie Halvorson, D-Crete, said the news doesn’t help the governor’s credibility on budget plans, but it doesn’t matter much because, “we haven’t embraced many of them anyway.”
* Kristen McQueary wonders whether the feds are closing in, and employs a Cicada analogy…
Because the next time we hear about “bugs” and the Blagojevich administration, it might not be the ash borer or the cicada.
Chicago police Sgt. Ed Wodnicki said police have no evidence that the burglary was anything more than a typical property crime and that campaign officials said there was nothing of value on the lost computer.
* Attorneys argue for Gov. Ryan to keep pension after conviction; more here
Ray Mitchell, one of Ryan’s attorneys, said Wednesday that unless the court steps in, “his family, his wife … will be left with nothing,” the Chicago Tribune reported its Web site.
* Editorial: 3rd airport could alleviate aviation uncertainty
* Tougher teen driving standards heading to governor
* Editorial: Follow the law — and common sense — on the road
* Lawmakers across the nation want to pump kids up
Illinois, which requires daily P.E. from kindergarten through senior year, is often cited as a state with strong P.E. requirements. But the state allows more than 330 types of waivers, according to Paula Kun of NASPE, including for students taking vocational or technical courses and those taking classes needed to graduate or enroll in college. Just last year the state added waivers for students who need tutoring.
Speaker Madigan, at a rare Statehouse press conference, just said that there is not sufficient support for an income or sales tax hike in his caucus.
38 indicated some support for an income tax hike and 10 for sales tax hike.
More support for closing loopholes than gaming, but not 60 votes. 50 for loopholes and 41 for gaming.
Madigan just completed a survey of his members.
***Update x1 [by Paul]***
The Speaker’s press conference just concluded. Full audio will be linked here shortly.
Here are a few additional quotes and highlights:
-QUOTE: “We told our members to think overnight about where they want to go on the budget.”
-QUOTE: “There is strong hope in our group that we can get our work done by the end of May.”
-QUOTE: “If the governor decides to call special sessions I will be in attendance.”
-QUOTE: “I am one vote. I try to work with 65 other people. Sometimes I agree, sometimes I don’t.”
-Madigan will try to meet with the Governor tomorrow. He requested a meeting today, but Blagojevich was not available.
- He has been meeting with Sen. Jones; the two have had fruitful conversations. QUOTE: “We are both experienced leaders and know that we have to move forward.”
-Education (elementary and secondary) had the most interest from his caucus. Capitol was second.
-Madigan and Minority Leader Tom Cross have had conversations regarding gaming expansion specifically for the purposes of a capitol bill. He would not discuss the specifics of the possible expansion.
-Only 1 of his caucus members mentioned the sale of the lottery
-The Speaker had no comment on the possibility of a no-growth budget
***Update x2 [by Paul]***
Full audio of the Speaker’s press conference can be found at the House Democrats website HERE
***Update x3 [by Paul]***
Rich just spoke with Senator Meeks (a longtime tax swap advocate) who said that he is not giving up on anything.
***Update x4 [by Paul]***
Rich also talked to Rep. David Miller, the House sponsor of the tax swap. Rep. Miller said, “I will never give up.”
Do you think the Democrats ought to get behind at least a modest income tax increase, even at the risk of a long overtime fight with Gov. Blagojevich? Explain.
A new $500 million rate relief package propoed by Ameren and ComEd may look good on its face, but if you take a glance at the fine print, it’s not so earth-shattering.
Earlier in the 2007 spring legislative session, Ameren and ComEd put a combined $150 million rate-relief plan on the table.
Clayborne said the new proposal is “a little more front-loaded to deal with summer rates.” It also is contingent on the legislature not passing measures that would freeze electric rates or impose a tax on Exelon and other power generators, he said.
The Associated Press has a far better story that breaks it down…
Ameren customers would receive $130 million in aid this year and the remainder in 2008 and 2009, while ComEd customers would see $150 million this year, $130 million next year and $20 million in 2009.
By comparison, the utilities will generate about $2.5 billion per year in new revenues through the higher rates imposed after a decade-long rate freeze ended at the start of the year, lawmakers said.
The progress here is that utilities are starting to talk about offering rate relief past this year. But I seriously doubt it’s enough, as this quote clearly shows…
“Sure, it’s progress,” Rep. John Bradley, D-Marion, said of the utility companies’ new proposal. “They’re upping their ante. But the question was asked to me: Is it enough? And my answer to that is: No, it’s not enough.”
This rent-a-minister thing is getting way, way out of hand. CORE, the ComEd front group, has had ministers advocating on the utility’s behalf for months, bringing them to Springfield for marches and rallies. The governor, who knows a good game when he sees it, has attempted to rally ministers to his health care cause. [Added: As a commenter notes below, Cook County Assessor Jim Houlihan also has a bunch of ministers fronting for his 7 percent assessment cap proposal.]
And now the two sides in the ongoing dispute over how AT&T should get into the cable marketplace have trotted out their men and women of the cloth. Yesterday was just plain goofy…
The Rev. James Demus, at a rally to support cable TV legislation, tried to light his cable bill on fire.
But on a windy Tuesday morning at the downtown Thompson Center, he couldn’t get it to light. Eventually he held his bill below the podium until he could get a tiny flame going, and then held it up for the cameras. The wind promptly blew it out.
But Demus, co-director of the Ministerial Alliance Against the Digital Divide, still had plenty to say as he, several other black ministers and a dozen supporters called for passage of a cable deregulation bill that would give AT&T easier entry into the cable market.
“The Lord has given hope to Illinois consumers,” Demus said. “It is House Bill 1500.” […]
A different group of black ministers, working with a group called Keep TV Local, tried to rally opposition to the bill several weeks ago, saying the new bill allows new providers such as AT&T to ignore poorer communities.
[Emphasis added.]
Unreal. I doubt this works very well with legislators and just makes the ministers look like shills.
* As if the federal subpoena wasn’t bad enough, the governor dug his hole even deeper yesterday during an interview with the Associated Press.
The Democratic governor said work on a new state budget is stuck in “a waiting game” until Speaker Michael Madigan, a fellow Democrat, spells out what he and his members could support.
“Speaker Madigan’s been talking for days, running around putting together a counterproposal to what we’ve had on the table since March 7. I’m eager to see what his budget proposal is,” Blagojevich said in an interview with The Associated Press.
“I would only suggest to him that he get moving,” Blagojevich added. “The clock is ticking.”
Madigan spokesman Steve Brown said the speaker is working with other legislative leaders to craft a budget and will continue doing so. He said Blagojevich appears to be trying to take attention off his own plan by making Madigan the bad guy.
* This link has more quotes from the AP interview, where he takes yet another shot at legislators…
“It’s natural that a lot of the men and women who work down here in Springfield are going to feel a lot of pressure from all these different lobbyists who are hired by the big corporate interests. They see them every day here. … It’s hard for members of the Legislature to think about the big-picture issues when every single day they’re getting bombarded by these lobbyists.”
* The Tribune claims it rejected a sitdown with the governor because of onerous ground rules…
On Tuesday, Blagojevich offered a rare opportunity for news media interviews. The administration refused an interview request from a Tribune reporter who rejected the condition that the questions remain solely about the governor’s budget proposal.
* Meanwhile, it just gets worse for the guv. A radio ad by the state coppers which mentions Blagojevich’s name appears to be in blatant violation of a state law that the governor himself pushed through the General Assembly…
“Thanks to Gov. Rod Blagojevich and the Illinois State Police Internet crime unit, e-criminals will no longer be able to victimize Illinois citizens,” the ad’s narrator says.
Under the State Officials and Employees Ethics Act, approved by lawmakers in 2003, broadcast ads and public service announcements on behalf of any state-administered program cannot contain the name, image or voice of a statewide elected official or state legislator.
The ad was sponsored and paid for by the state police, an agency spokesman said.
* The Glengariff Group has a new poll on the governor’s job approval rating. It’s not great news…
Six months after a big re-election victory, Gov. Blagojevich is barely hanging on to a majority of voters at 50.6% who say they approve of the job he is doing. 42.1% of voters disapprove of his performance — and it is the ferocity of that disapproval that is surprising with more people ’strongly disapproving’ of his performance than those that ’strongly approve’.
Blagojevich’s 50% approval is being driven by an 81% job approval among African American voters — higher than he ever polled among that constituency during the month of October 2006. And the City of Chicago gives him a 75% job approval rating — again, driven by African American voters.
* And this brief note near the bottom of a story on gas prices illustrates how tough it will be to pass any revenue enhancer this spring…
Lawmakers appear more focused on higher power bills rather than gas prices. But attempts to raise taxes on Illinoisans could be dampened because they’re already feeling the hurt of higher energy prices.
“Until people can fill their cars to get to work and heat their homes, they’re not concerned about healthcare or anything else,” Mautino said.
With the first commission disbanded, the legislature authorized creation of the Capital Punishment Reform Study Committee, a group that will evaluate the success of implementing the proposed improvements. A final report is due to the General Assembly by late 2008.
Now, the seat belt use compliance rate is very good in Illinois. Eighty percent of drivers in the state are regularly buckling up — a far cry from the 16 percent in 1985 who were using seat belts.
This has been the rumor for days, but the Tribune was apparently able to confirm it.
Some notes of caution, however. Subpoenas can sometimes be routine matters. Also, an investigation is not a conviction.
Obviously, the timing of this revelation can’t be good for the governor, considering that we have eight days left in the scheduled session. The governor will likely just press ahead as he always has, claim he did nothing wrong, say he has helped uncover wrongdoing, etc., etc., etc. Still, he’s been undercut at a very crucial moment.
Federal prosecutors have subpoenaed records from Gov. Rod Blagojevich’s campaign fund as part of a sweeping corruption investigation into whether top aides and advisers exchanged state business and jobs for political support, the Tribune has learned.
The recent move is the first public indication that political financial records belonging to the governor are being sought. Sources describe the subpoena as the latest step in an ongoing investigation that has focused on major players in the record-breaking fundraising effort that propelled Blagojevich to consecutive terms. […]
The governor’s office had no comment when asked about the subpoena late last week, referring questions to the campaign. A spokesman for Blagojevich’s campaign did not return repeated phone calls Tuesday seeking comment on the subpoena but in previous days said, “We do not comment on these matters.”
Details about what records were being sought were not immediately known. But three law enforcement sources familiar with the investigation said the subpoena for documents was issued in recent days and is a noteworthy signal that the federal probe is active and ongoing.
Comment ground rules: No names allowed. Don’t pass along rumors of what you think you know about this. If you have a news tip, contact myself or some other reporter. You’ll face permanent banishment if you violate these ground rules.