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Budget woes and a ray of hope

Monday, Dec 8, 2008 - Posted by Rich Miller

* This is an extremely short-term solution, and it’s not even that

Illinois will borrow $1.4 billion to make payments to schools, health care providers and others who’ve been waiting months to be reimbursed by the state.

The deal, which does not need lawmakers’ approval, could be completed within weeks and potentially free up cash to pay backlogged bills by month’s end.

“Especially in this poor national economy, Illinois needs to make sure that we can pay the businesses that provide the state with the goods and services which help families in these tough times,” Gov. Rod Blagojevich said in a statement announcing the borrowing plan, which was agreed to by Comptroller Dan Hynes and Treasurer Alexi Giannoulias.

The state’s delinquency in paying billions of dollars in bills has caused havoc with budgeting at schools, hospitals and other health care providers.

The loan has to be paid back by the end of this fiscal year, so Illinois must start setting aside money right away to pay off the debt. So, some late payments will be made, but the state has billions more in unpaid bills, so most vendors won’t see relief.

The reason that this is so important is that Illinois’ social service network is mostly run by private, non-profit agencies like Catholic Charities, Lutheran Social Services, etc. If the state did all of this work “in-house” then we’d be in even worse shape because those state worker pay checks would have to be cut every two weeks. Instead, our problems are foisted off on those who can ill afford it.

* Mike Lawrence offers up some shock therapy

Because too many politicians have chosen sweet talk over straight talk, Illinoisans overwhelmingly believe we can provide adequate K-12 funding, assure higher education accessibility to the less affluent, preserve parks and historic sites, respond comprehensively to mental illness, arrest and imprison violent offenders, combat methamphetamine, heroin and crack cocaine, keep faith with retired public employees and rehabilitate the state treasury simply by curtailing raises for legislators, firing political hacks, grounding the governor’s plane and doing some surgical snipping here and there.

But the far less soothing reality is that we could make legislators serve for free and barely ding the deficit. We could shutter five universities and close down departments that patrol our highways, guard and conserve our natural resources, serve senior citizens and veterans and protect the public health — and still not eradicate the red ink, let alone protect and invest in our children and in the roads, bridges and other infrastructure vital to economic development.

More than 90 percent of general revenue funds support education, health care, services for the needy, law enforcement and pensions.

Even while in the grip of an unemployment-escalating, insecurity-abetting economy, can we diminish or even continue to tolerate substandard resources for youngsters in any corner of Illinois and abide academic achievement gaps between whites and burgeoning minorities without ultimately yielding good jobs to other states and countries that offer better educated and trained workers?

* Admittedly tongue in cheek stories like this only feed that false perception of an easy solution

Illinois’ license plates proudly boast we’re the Land of Lincoln. Now, we’re the Land of Obama, too. So what would happen if state leaders gave drivers the option of buying a special license plate to commemorate Barack Obama’s historic inauguration as president?

Judging by calls to Secretary of State Jesse White’s office and an examination of state records, the idea might offer a boost for the state’s cash-strapped budget.

* The new Senate President is offering up some much-needed hope for change

John Cullerton, who takes over as president of the Illinois Senate in January, said Saturday he will make the long-delayed capital bill his “number one priority.”

Speaking at the reopening of the Irving Park Brown Line station on the North Side, Cullerton said a capital bill will bring not only improved bridges, roads and public transit, but jobs.

“The jobs situation in Illinois has been terrible,” said Cullerton (D-Chicago). “I look forward to working with the mayor and all the elected officials, bringing the governor and the speaker together, and try to get this dysfunctionality that’s been going on in Springfield over with, get this gridlock to end and get working on our problems.”

* And the Peoria Journal-Star, which endorsed a Senate President candidate backed by Rod Blagojevich and Emil Jones, demands a leadership change

If the leaders - that the members choose, by the way - won’t lead, then it’s time to change leaders, or at least challenge them publicly.

Um, they just had an election to change leaders in the Senate. Why not wait and see what happens before ranting and raving?

* Somewhat related…

* 50 states, 50 holes

* A look at Gov. Rod Blagojevich’s wish list for infrastructure projects

* Pontiac doesn’t agree with governor’s office

* SJ-R Opinion: Make COGFA rulings binding

* SJ-R Opinion: Fix ethics law so road funds are not at risk

* Proposed driving restrictions not all fair

* Rosemont mayor returns mob-linked funds

  11 Comments      


Obama’s replacement circus and the Blagojevich taint *** UPDATED X1 ***

Monday, Dec 8, 2008 - Posted by Rich Miller

* The “Gimme Barack’s seat” fervor is getting outta hand

“Barack would not be there had [it] not been for an Emil Jones,'’ Ald. Carrie Austin (34th) said at a Sunday news conference to push Jones.

A news conference to push Emil Jones for Senate? Good grief.

*** UPDATE *** Oops. I forgot to make mention of this Fox News report

Illinois Senate President Emil Jones has become the front runner to replace President-elect Barack Obama in the United States Senate, a source told FOX News.

Look, it may be Jones. But using a single source to make a claim about what’s going on in Gov. Blagojevich’s head is kinda goofy. Unless it was RRB hisself, I don’t buy that report.

Again, though, the guv may very well pick Jones. I heard a while ago he was leaning in that direction. I just don’t buy into the Fox report as fact.

[*** End of update ***]

* But Jones would likely be a placeholder, and Sen. Robert Menendez, the incoming US Senate Democratic campaign chairman, doesn’t want a placeholder appointed

Menendez expressed his hope that Blagojevich will avoid a placeholder appointee, as will New York Gov. David Paterson (D).

“Those are our standards, and I’ve spoken to both Gov. Blagojevich and Gov. Paterson about our desires,” Menendez said. “And I think they share it with us in terms of making sure that whoever they consider appointing will meet those standards — their ability to represent Illinois and New York well, as well as be able to win the seat in the next election that will be up for the rest of the expired term.”

* Believe it or not, Danny Davis has been on a campaign tour

The six-term U.S. congressional representative visited Aurora to promote his bid for President-elect Barack Obama’s U.S. Senate seat vacancy.

“It might seem odd to be campaigning for a one-person decision,” Davis said, but he wanted to encourage people to suggest that he would make a good replacement for Obama in the Senate.

Davis was also in Rockford.

* And the Tribune finally notices that Blagojevich’s choice could be tainted

The revelation that federal prosecutors have recorded Gov. Rod Blagojevich as part of their corruption investigation of his administration cast new controversy Friday over his pending decision to appoint a replacement for President-elect Barack Obama in the U.S. Senate.

Fellow Democrats were already expressing private reservations that the governor’s scandals could politically taint whoever he handpicks for the job. Those concerns grew Friday with the Tribune’s revelations that close Blagojevich confidant John Wyma is cooperating with the tightening federal probe.

But even as the governor’s office sought to give Blagojevich distance from the latest twist in the investigation, Wyma’s closeness to him was underscored by word that Wyma talked with one of the candidates seeking the Senate job.

Wyma spoke with Jesse Jackson, Jr., which probably didn’t seem like a huge deal until the Tribune reported Friday about Wyma allegedly working with the feds.

Cynthia Canary, director of the Illinois Campaign for Political Reform, said anyone who wants to be the next U.S. senator from Illinois must “do a very strange dance where they have to charm the governor and then immediately disown him.”

“If whoever becomes our next senator wants to have a political future, they cannot afford to have their star tied to the governor one day longer than it takes to be appointed,” said Canary, who called Blagojevich “politically toxic.”

Anyway, it’s nice that the Tribune finally noticed this real problem.

* The Tribune had another Blagojevich story over the weekend

The contents of the [Wyma] taping have not been disclosed, and the governor’s office reiterated Friday that he had committed no wrongdoing. Blagojevich has not been charged with a crime. Nor has his wife, Patricia, whose real estate deals have come under the federal microscope as part of the probe of pay-to-play politics. Wyma has not been charged, either.

So far, though, 13 people have been indicted or convicted in the festering scandal, including prominent Blagojevich fundraiser Antoin “Tony” Rezko, who faces sentencing, and the governor’s former chief fundraiser, Christopher Kelly, once the governor’s point man on gambling issues, who stands indicted on tax fraud counts linked to his betting activities in Las Vegas.

“I think we have to look at the inner core of the governor’s sanctum and who those players are,” said Rep. Jack Franks (D-Woodstock), a longtime critic of Blagojevich. Franks has pushed for legislators to do a preliminary investigation on whether they should launch impeachment hearings.

* And speaking of Blagojevich’s troubles

The sentencing of former Democratic National Committee fund-raiser Joseph Cari Jr. has been delayed at the request of prosecutors.

It’s a sign the feds want to use Cari as a witness — again. […]

He was supposed to be sentenced months ago, after he testified against Tony Rezko, the former fund-raiser for Blagojevich and President-elect Barack Obama. But that was put off, and no new date has been set.

At Rezko’s trial, Cari testified that Blagojevich told him he planned to reward big campaign donors with state contracts. The governor has denied having that conversation.

Not a good thing for the guv, or for whomever he appoints to the Senate.

* Mayor Daley is no fool

Mayor Richard M. Daley is lobbying to keep Gov. Rod Blagojevich’s mitts off several hundred million dollars Chicago is poised to get through a proposed economic stimulus package under debate in Congress.

* Related…

* NEW: Illinois Attorney General Lisa Madigan wants to block former tollway chief Brian McPartlin from taking a job with an engineering firm that has received more than $30 million in agency contracts.

* Emil Jones interested in U.S. Senate seat

* Obama’s Mini-Me

* Obama’s basketball pal for governor?

* Obama breaks Cook County records

* Tribune Editorial: If you keep your pledge of 21 months ago to discuss the federal investigation with us, we would hope for a similar engagement and a similar tone. Mostly we would hope to help explain to the people of Illinois your thoughts on the cloud of scandal that, fairly or not, envelops your administration. Governor Blagojevich, let’s talk.

  33 Comments      


« NEWER POSTS PREVIOUS POSTS »
* Isabel’s afternoon roundup
* Elections board deadlocks again on Harmon, won't impose fines and refunds (Updated)
* Finger-pointing (Updated)
* Giannoulias rolls out Apple Wallet app for state IDs
* Isabel’s morning briefing
* Good morning!
* Selected press releases (Live updates)
* Live coverage
* Yesterday's stories

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