The Illinois gas tax was last increased in 1990, from 16 cents a gallon to 19 cents.
In that year, East and West Germany reunited, Nelson Mandela left prison and Andre Dawson played for the Cubs.
It was, in short, a long time ago, and the tax has not kept up with inflation. Some lawmakers pushing for a capital bill want a hike in the current gas tax, which helps pay for construction and repair of state’s roads and bridges.
* The Question: Do you support a significant increase in the Motor Fuel Tax to pay for infrastructure projects? Take the poll and then explain your answer in comments (including your definition of “significant”), please…
During a Thursday night debate that turned bitter fast, both candidates were asked what they admired most about their opponent. […]
Preckwinkle said she admired how open Lightfoot is about her sexuality. If she wins the April 2 runoff, Lightfoot would become Chicago’s first openly gay mayor.
“That she’s open and honest about her LGBTQ orientation. You know, I think it’s really important in this country that we be respectful of differences and that we understand that all of us matter and that there is dignity in each and every one of us. And there has been so much discrimination and prejudice and homophobia in our country, it’s very important that particularly prominent people declare their sexual orientation and do it with pride.”
* Lightfoot more than just implied that the comment was a “dog whistle”…
Lightfoot stopped short of characterizing Preckwinkle’s intentions. “I’m saying that if there was (a dog whistle), it would be disappointing,” she said. “But the words are the words. Whether — I can’t go into her mind and understand her intent.”
Asking the candidates what they admire about their opponent has become a standard question in most debates, Lightfoot noted.
“She’s got a lot of sophisticated people around her. It’s hard to imagine … the question was coming, you knew it was coming. We both did,” Lightfoot said. “And she chose to say what she said.”
* Usually, in situations like this, I tend to look toward the people who do this for a living instead of the candidates…
“Trying to peer into Preckwinkle’s soul to determine the intent of her remarks is impossible,” Brian Johnson, CEO of Equality Illinois, which has endorsed Lightfoot, told POLITICO. He acknowledged Preckwinkle “has been an ally and champion” of the LGBTQ community. “But instead of running a campaign with an inspiring vision of her leadership for our city, Preckwinkle has built a campaign whose sole purpose seems to be to mislead voters about Lightfoot and attack her at every step of the way.”
Even a seemingly positive statement about Lightfoot’s identity is met with “skepticism and mistrust,” he added.
Co-sign.
Preckwinkle may or may not have intended to blow a dog whistle. The problem here is that she’s said or done so many unnecessarily ham-handed things that people are naturally going to assume the worst intentions.
If you deliberately construct an image of being an arrogant bully, don’t act all shocked when people think you are one. A seemingly liberal compliment can easily be interpreted as a grotesquely illiberal campaign tactic.
Preckwinkle walked right into that one.
* Related…
* Laura Washington: How Willie Wilson changed his mind on LGBTQ people and endorsed Lori Lightfoot
* Former state Sen. Jeff Schoenberg writes in Crain’s that a bipartisan legislative panel he co-chaired a dozen years ago found that a partial, 75-year lease of the Tollway could yield between $15 billion and $23.8 billion. Schoenberg, who left the Illinois Senate to advise the J.B. and M.K. Pritzker Family Foundation (not mentioned in the piece), says the issue ought to be reopened. But he has some caveats…
The Pritzker administration’s due diligence must ensure that any plan to bring private capital into public infrastructure not only retains public ownership of those assets, but also insists upon a high standard of accountability and transparency for the tollway’s spending practices and policies. […]
• The bitter aftertaste of Chicago’s parking meter privatization means that after the tollway’s bonds are paid off, any Illinois deal must have an iron-clad provision binding proceeds exclusively to the unfunded pension liabilities. And no slicing off a chunk of the money to increase base spending, either (see 2003 Blagojevich pension obligation bonds).
• In the Chicago Skyway transaction, eliminating union jobs didn’t favorably impact the deal’s financials for prospective investors; the Daley administration’s decision to do so was driven by factors that wouldn’t show up on a spreadsheet. Consequently, it ‘s essential to maintain the collective bargaining agreements for tollway employees.
• A major takeaway from the original Indiana Toll Road agreement crafted by then-Gov. Mitch Daniels was that a portion of the revenues realized by the Hoosier State was set aside for a 10-year stabilization fund to absorb all or part of motorists’ “sticker shock” resulting from toll increases.
• Unlike the Skyway and the Indiana Toll Road, the Illinois Tollway system is much bigger and in far better condition—in concrete and on the balance sheet. Illinois taxpayers therefore should expect a significantly larger upfront payment from the winning bidders.
Former Republican Gov. Jim Edgar and a school-reform-minded Legislature concocted it in 1997. It promises a cost match of 35 percent to 75 percent, depending on local resources, for school districts adding classrooms for a growing enrollment or replacing outmoded structures. The state borrows the money by selling general obligation bonds.
Conceived as a $3 billion effort, it got a boost in 2001 from former GOP Gov. George Ryan’s $12 billion Illinois FIRST construction program. All told, from 1998 through 2003, there was $6.7 billion in school construction, with the state pouring in $3.5 billion, according to the AP analysis.
But school administrators dreaming of a huge payday from a Pritzker plan would do well to study the numbers from the last time the program saw substantial funding. Democratic Gov. Pat Quinn’s Illinois Jobs Now construction program in 2010 was, at $31 billion, 2 ½ times larger than Illinois FIRST. It yielded just $1.3 billion in state funds toward a $2.7 billion investment overall for schools.
Illinois State Board of Education records indicate that since 2004, 270 Illinois school districts have applied for 285 state school construction grants without funding. Based on the average cost of the 606 projects funded since the program debuted in 1998 and adjusted for inflation, The Associated Press estimates the unfunded projects are worth nearly $6 billion, of which the state, based on history, would theoretically pay about $3.1 billion.
The need among public schools is likely much greater than the wish-list suggests. There have been only 40 grant applications since 2011, likely reflecting school districts’ attitude that there’s no sense applying if there’s no money forthcoming.
It will be at least another year before self-driving cars hit Illinois roads.
Bill-sponsor Mike Zalewski says it is time to pump the breaks on his legislation. The bill is currently in committee, and if it were to pass there, it would be put up for a vote in the House. However, there are still a lot of issues and it is enough to make Zalewski admit that the bill is not ready for a vote this session.
Skeptics include Abate Illinois. That is a group dedicated to preserving motorcyclists’ rights. Zalewski is planning on hearing out every concern he can.
The assistive technology is great. Completely automated cars are, however, nowhere near fruition. I’m with ABATE on this.
* When I was in the hospital years ago, I noticed that nurse staffing levels were way down on the weekends. I simply couldn’t get the same medical attention as I did during the week. And I noticed it again when Steve Schnorf was in the hospital before he passed away…
Under the Safe Patient Limits Act, no nurse working in a hospital could be responsible for more than four patients at a time.
That number would be lower for special units like maternity wards, intensive care units and emergency rooms.
Paul Pater, with the Illinois Nurses Association, said high patient-to-nurse ratios are dangerous for everyone.
“Hospitals and administrators take advantage of our empathy and sense of duty to our patients to force unsafe situations on the nurses of Illinois in a misguided attempt to save money,” Pater said.
Democratic State Senator Andy Manar is joining with Republican Jason Barickman on a bill that would reduce the signature requirement for new political parties and independent candidates. Currently, established political parties need fewer than 10,000 signatures to get on the statewide ballot… while independents need 25,000.
The bipartisan bill would put everyone at the same, lower threshold. Manar and Barickman say their bill should get bipartisan support.
Airbnb’s growth has created push-back from hotels in the form of new taxes and stringent regulations by local communities, but a new Illinois House bill would halt bans and overregulation of vacation rental services.
House Bill 2919, introduced by Rep. Michael Zalewski, D-Riverside, limits the home-rule authority of local governments. HB 2919 would prohibit municipalities from enacting ordinances that have the “express or practical effect” of banning Airbnb and similar vacation rental services, as happened in Lake Bluff and a well-connected ward in Chicago.
Vacation rental services provide valuable and affordable lodging alternatives for visitors, and income streams for residents. Studies suggest the growth in vacation rentals benefits both property owners and the broader economy.
The services, also known as home sharing, have come under fire across the nation. New York City bans vacation rental of full units for fewer than 30 days.
…Adding… E-mail to the author of that Policy Institute piece…
Hi Joe,
I’m writing on behalf of the Village of Lake Bluff to request a clarification regarding your recent article on HB2919 (re: short term rentals / Airbnb).
In the second paragraph, your article references some prior (2017) IPI reporting on Lake Bluff’s short term rental regulations that is no longer accurate. In early 2018, following a fact-based public process, the Village adopted regulations that allow short-term rentals to operate with reasonable restrictions that protect public safety and ensure payment of the Village’s hotel tax. I have attached our regulations if you are curious to know more.
There are inconsistencies between our regulations and what would be permissible under HB2919. Notably, we would prohibit the use of neighborhood houses as vacation rentals 365 days a year. However, certainly, we do not “ban” short term rentals. As someone reading your article would likely come to that conclusion, we would appreciate an edit or a clarification.
Thanks,
Glen Cole
Asst. to the Village Administrator
Village of Lake Bluff
* Other stuff…
* Gov. Pritzker Signs Legislation at Southern Illinois Hospital: Ferrell Hospital CEO Alisa Coleman says the additional funding is huge so her facility and the 50 others like it receive the appropriate payments under the hospital assessment program. “More than 43% of critical access hospitals are operating in the red today and others on extremely thin margins.”
“I’m being very careful about (hiring) the people that run agencies. But I did not show up as somebody’s political organization guy.
“I came into office with the belief that we can hire great people who know how to run these agencies and have real experience, who is not somebody’s political suggestion. Therefore, we can run government better. The people I picked to lead are the very best in the state; I am very proud.”
Your thoughts?
* Semi-related…
* Gov. Pritzker: Future of SIU system should be decided locally: Ultimately, sources indicate that Pritzker is planning further replacements and an adjusted balance on the board, with three Carbondale-affiliated trustees, three Edwardsville-affiliated trustees, and one trustee from Springfield, where the SIU School of Medicine has its headquarters.
Newsroom employees at the State Journal-Register are being offered buyouts, with the prospect of layoffs on the horizon.
The buyout offer from GateHouse Media, the paper’s corporate owner, was made Wednesday, with employees told they have until Monday to volunteer to be let go. Under a newsroom collective bargaining agreement, employees who accept a buyout would be paid one week of pay for every year of service, to a maximum of 15 weeks.
The buyout offer, also extended to employees at the Peoria Journal Star and Rockford Register Star, papers also owned by GateHouse, comes just six months after the last GateHouse buyout offer made last August. Reporter John Reynolds accepted the offer and was the only newsroom employee who departed then.
There aren’t many reporters left to cut. City hall reporter Crystal Thomas is leaving the paper on Friday to cover the Missouri legislature for the Kansas City Star. Her departure will leave the SJ-R with five news reporters, including Doug Finke, Dean Olsen, Brendan Moore, Bernard Schoenberg and Steven Spearie. Fifteen writers, editors and photographers have left the paper in the last six years without being replaced.
Yep. Click here to see the staff list. The paper does have three sports writers on staff in addition to those five, however.
* Communities lose when newspapers die or slide into decline: Even more prevalent than closures are what Abernathy calls “ghosts,” newspapers that are a shell of what they were. Tens of thousands of journalists left newsrooms in the decade ending 2017.
Your children might be vaccinated against measles, but what about their classmates?
Only 9.8 percent of public and private schools across the suburbs have 100 percent of the student population vaccinated against measles, and some have immunization rates below 80 percent, according to data compiled by the Illinois State Board of Education. […]
A 93 percent to 95 percent measles vaccination rate is required to stop the spread of a contagious disease within a population, a concept health experts refer to as “herd immunity,” according to the World Health Organization. The chance of a measles outbreak rises if protection levels fall below that threshold, said Dr. Andy Bernstein of North Suburban Pediatrics in Buffalo Grove and Evanston.
“It can catch on like wildfire,” he said. “It’s a highly contagious disease, and as soon as immunization rates in a community drop with any significance, it spreads very easily.” […]
For measles, nearly 94 percent of schools in suburban Cook and the collar counties fall within or above the range for achieving herd immunity, state records show. Many institutions below that level have more students legally exempted because of religious objections to getting the shots. [Emphasis added.]
The Daily Herald used research from the Illinois State Board of Education to compile a list of all suburban schools. By my count, 13 schools had vaccination rates of 92-92.9 percent, 16 schools had vaccination rates of 91-91.9 percent and 11 had vaccination rates of between 90 and 90.9 percent.
Now, check out all these schools with even lower vaccination rates.
Gov. Pritzker says his income tax plan would generate $3.4 billion in revenue. Some tax experts question whether it’s enough.
Um, the story quotes precisely one tax expert questioning whether it’s enough. And that’s Ralph Martire at the Center for Tax and Budget Accountability.
The Institute for Illinois’ Fiscal Sustainability at the Civic Federation, which also studies these things, proposed a revenue increase last month of about $3.1 billion in Fiscal Year 2021 and $3.4 billion in FY22, which is about what Pritzker is proposing. The Civic Federation wants to get to the same destination by taxing retirement income and expanding the sales tax - the first of which is political death and both of which are opposed by Pritzker.
And when you factor in Pritzker’s proposed tax hikes for next fiscal year, you add another $733 million to the $3.4 billion Pritzker’s tax hike would bring in, for a total of $4.1 billion (that figure doesn’t include one-time taxes and fees, like the sports wagering and recreational cannabis licensing fees).
Another problem: Pritzker’s plan as proposed pulls in $3.4 billion a year, roughly half what outside experts estimate is really needed to fill the state’s structural deficit, pay off IOUs and adequately fund pensions.
Which “outside experts” are these? I asked and haven’t yet heard back. The only entity I can find which has proposed such a thing is the Civic Committee of the Commercial Club of Chicago. That group isn’t so much known for being a fiscal expert as it is for being a propaganda outlet. They’re the ones who beat the drum for years for unconstitutional pension reforms and then put up “LOL Illinois” billboards all over the state.
The group wants an extra $2 billion a year from various taxes to inject into the pension funds to bring down long-term costs. It’s a good idea. Martire has a similar proposal. But Pritzker wants to get there a different way: by transferring state assets into the funds. We’ll circle back to that idea later today or tomorrow.
Is more revenue needed than Pritzker is proposing? I’d say so. But how much can you realistically get?
The taxes would be applied marginally, meaning 4.75 percent rates would be applied to an earner’s first $10,000 of income, a 4.9 percent rate would apply to the next $90,000 of income, and a 4.95 percent rate would apply to an earner’s income from $100,001 to $250,000.
According to the plan, that means taxpayers in those brackets would pay a lower rate than Illinois’ current 4.95 percent rate which applies to every penny of income.
A 7.75 percent tax would take effect for income between $250,001 and $500,000, and a 7.85 percent rate would apply to an earner’s next $500,000, up to $1 million.
When an earner hits $1 million of income, every penny they bring in would be taxed at a 7.95 percent rate.
IPI said “there’s no publicly available data to back up Pritzker’s claim that his rates are capable of generating $3.4 billion in revenue” and that, according to IRS statistics, “these rates would generate far less revenue ($1 billion to $2 billion less).”
IPI estimates that “revenue from these proposed rates would bring in only $1.4 billion, according to dynamic estimates, or $2.4 billion, according to static estimates.”
I asked the Illinois Policy Institute last week how they came up with their projection and was promised an explanation and never heard back. The Pritzker administration says it devised its projection by working with the Illinois Department of Revenue and others.
Also, “dynamic” scoring can be twisted to do whatever the scorer wants. It’s more magic than math.
* I meant to post this when Eric Zorn wrote it, but somehow forgot. Zorn drilled down into 14th Ward election results to see how Ald. Ed Burke won…
His two challengers, Jaime Guzman and Tanya Patino, simply had to hold Burke to less than 50 percent of the vote in order to force a runoff election April 2.
And in 27 of the 31 precincts in the 14th Ward, they did. Combined, Guzman and Patino won 51 percent of the vote in those precincts, according to preliminary tallies provided by the Chicago Board of Elections.
But in four precincts in the western finger of the ward — a 38-block-long gerrymandered extrusion that in places is just one block wide — Burke’s operation shuffled that deck and got his voters to the polls.
The contiguous 1st, 4th, 9th and 24th precincts at the far edge of that protuberance had 52 percent voter turnout, compared with a dismal 30 percent turnout in the other precincts. Those four key precincts, which overwhelmingly supported white mayoral hopefuls Jerry Joyce and Bill Daley, voted 70 percent for Burke.
That margin boosted Burke to 3,759 total votes, close to 54 percent, enough to claim re-election and avoid a runoff.
Burke deployed a ton of people to those precincts.
Democrats often propose ideas that take forever to explain and are often difficult for the masses to understand. That wasn’t the case last week.
“Under my fair tax plan,” Gov. JB Pritzker tweeted, “97 percent of taxpayers get tax relief and the wealthy will pay their fair share.”
It’s gonna be really tough to top a succinct message like that, particularly when its chief supporter is worth $3.2 billion and just gleefully spent $170 million on his campaign and is willing to spend big on this.
The governor’s new graduated income tax plan is obviously designed to appeal to the most people possible. And 97 percent is almost everybody.
The dirty truth is that human beings tend to prefer taxes which don’t apply to them. It’s really no surprise that 72 percent of Illinoisans backed a progressive income tax in the most recent Paul Simon Public Policy Institute poll taken last year.
So, the tiny 2.7 percent of income tax filers who will pay more taxes under Pritzker’s plan and who, unlike in the past, have little hope of outspending the governor if it goes to the voters for approval will have their work cut out for them.
One of the early responses from opponents was to attempt to scare people into believing rich people will pack up and leave, even though one of our biggest exit problems is the tens of thousands of kids who leave for out-of-state colleges every year and never come back.
Other pro-business types claimed part of Pritzker’s proposal was a “millionaire’s tax,” which actually polls even better than a graduated tax. They can’t beat Pritzker that way.
Democratic state legislators were mostly silent. That’s often the case with big proposals. Legislators are, for the most part, naturally cautious creatures who will want to be assured they can do this without harming their districts and, in turn, themselves.
As with the recent minimum wage hike, the governor can stress to legislators that his tax plan is a “core Democratic Party value,” and that he will have their backs if they’re attacked. This won’t be an easy rollcall, but things like infrastructure projects will help smooth things over.
The House Republicans have been a hard “heck no” for weeks on this topic. But the Senate Republicans left the door open to negotiations.
“Without guaranteed protections for middle class families, we are opposed to the governor’s $3.4 billion tax increase,” the caucus statement read. They wouldn’t say what those “guaranteed protections” might be, but I was told that the caucus is open to “exploring” the topic.
Senate Republican Leader Bill Brady has always been a guy who wants to be at the table. And he likely knows he can’t stop that constitutional amendment in his chamber (the real fight will probably be in the House).
And, remember, 97 percent of taxpayers will get some relief. It’s not much, but sneer at a $271 annual tax cut for a family of four earning $61,000 at your own peril. That’s a decent credit card payment or two, and families in that bracket aren’t exactly flush with cash. Anyone who is a hard “no” on this can be portrayed as opposing tax relief for almost everybody on behalf of the rich.
So, why not try to make his caucus look reasonable and bend the proposal his direction?
What about altering the rates, or formally tying the top tax rate to the lowest in the same way the corporate rate is currently tied to the personal rate to prevent lawmakers from soaking big business without also raising taxes on individuals? Or, how about allowing married couples who file joint federal returns to file separate Illinois returns to avoid triggering higher brackets? Or what about dumping the proposed one point increase in the corporate rate, which would only bring in about $317 million anyway?
From what I’m told, Gov. Pritzker is not only eager to talk with the Republicans, he doesn’t expect them to put a single vote on the amendment. Adding some Republican ideas would undoubtedly make his case stronger with moderate Democratic legislators and with voters. Does that mean Republicans would be used as cover? Of course, but it also means that the Republicans will have made some important changes. It’s called governing.
Pritzker’s plan is so easy to like that, unless they’re absolutely sure they can kill this thing, the Republicans need to get to the bargaining table before it’s too late.
[Sen. Dan McConchie, R-Hawthorn Woods] said Pritzker has “talked a big game in terms of bipartisanship…We haven’t seen a lot of substance on that yet.”
[Sen. Don Harmon, Oak Park] however, said that if Republicans “feel they haven’t been invited yet [to negotiate on progressive income tax rates], let me invite them right now.
“No calendar is set yet; any Republican who wants to talk about the language of the rate structure or constitutional amendment should reach out to the Democratic caucus,” Harmon said.
But [Illinois Chamber of Commerce President and CEO Todd Maisch] cautioned Thursday that Republicans should stay out of negotiating on a progressive income tax, saying a “strong statement” against a progressive tax is the “right position, no doubt about it.”
* The Question: Should at least some legislative Republicans come to the table and try to negotiate the overall graduated income tax plan, even though they may not vote for it? Or should they totally refuse to take part and try to kill the proposal, even though they’re in the super-minority? Take the poll and then explain your answer in comments, please…
* Isabel Miller (my niece) in the Daily Egyptian a few days ago…
At Southern, beer isn’t just for drinking.
The ‘BEER,’ or the Balancing Education, Experience and Reality Scholarship is a product of a 1980’s to 1990’s SIU alumni Facebook group wanting to give back to their university.
The group, created by Craig Wilson, has 13,917 members on Facebook. Wilson created the group to research a book project and connect old friends. […]
The organizers hope to fundraise for the scholarship with a big push on the Day of Giving, an annual fundraising campaign held by the university.
Twenty-four hours after SIU Carbondale’s third annual SIU Day of Giving, university employees were still counting up donations for the final tally.
Once all the gifts are counted, administrators expect to report over $875,000 contributed to the school by over 2,400 donors from 45 states and 10 countries, making this SIU’s biggest Day of Giving yet.
Events like SIUC’s one-day fundraising bonanza are common at universities around the country, as they seek to entice families and alumni to support their schools, just before tax time. Among Salukis, the growth in the event has been dramatic.
In 2017, the first SIU Day of Giving raised $341,000. In 2018, that jumped to nearly $480,000. This year nearly doubles that.
With about $36,000 in donations from over 800 individual donors, the BEER scholarship will become an endowed scholarship, to be awarded every year by the university, in perpetuity. The group will be recognized with a trophy from SIUC, Goldsmith said.
Man, that’s cool. It’s good to see a bit of alumni spirit back at SIUC. Let’s hope it continues to grow because that campus really needs it.
* From Melissa Conyears-Ervin’s campaign this morning…
Chicago City Treasurer candidate Melissa Conyears-Ervin holds a double-digit lead over her opponent leading into the April 2nd election. A recent poll conducted by GBA Strategies, shows 46 percent of respondents voting for Melissa compared to 36 percent voting for her opponent, increasing her vote share significantly from the primary election.
“Melissa’s calls for transparency, responsible investment, and increased access to financial institutions in underserved communities resonates with voters throughout the electorate,” said Nick Wilbat, Melissa Conyears-Ervin’s Campaign Manager. “As the only candidate who has walked in the shoes of every day Chicagoans, Melissa’s vision for the city is especially important for minority voters who are often underbanked and unbanked at a disproportionate rate.”
Melissa has received extremely strong support from African Americans, among whom she leads 70 – 14 percent. She also leads with Hispanics, a pivotal voting bloc, by 44 – 37 percent. On the heels of an endorsement from her former opponent for City Treasurer, Peter Gariepy, who won 14 percent of the vote on February 26th, Melissa holds a 53 – 29 percent lead over her opponent with Gariepy voters.
Conyears-Ervin won first place in Round One with 44.3 percent, Pawar was second with 41.6 and Gariepy was last with 14.1.
* From Ameya Pawar’s campaign this afternoon…
Progressive candidate for City Treasurer Ameya Pawar and his opponent are in a dead heat heading into the April runoff election, a new poll shows. In a survey of likely voters conducted by Anzalone Liszt Grove from March 4-7, both candidates received 34 percent of the vote with 32 percent undecided.
Key Findings
Pawar is tied with Conyears-Ervin. Both candidates hold 34% of the vote; Conyears-Ervin leads among African Americans while Pawar wins Latinos (40% Pawar / 32% Conyears-Ervin) and whites (45% Pawar / 22% Conyears-Ervin). Pawar has a 27-point lead among white women and leads on the Lakefront, the Northwest side, and the South/Southwest side.
Pawar leads among the most likely voters. Among voters most likely and most enthusiastic to turn out in this election, as judged by a combination of past voting behavior and likelihood to vote today, Pawar leads by four points (37% Pawar / 33% Conyears-Ervin). […]
The following findings are based off a survey of n=502 likely April 2019 municipal election voters conducted March 4-7, 2019. The survey’s margin of error is +4.4% and higher among subgroups.
I searched my inbox for more news on these candidates and found nothing recent. From the Google…
A vanquished candidate for city treasurer on Tuesday endorsed Melissa Conyears-Ervin in the April 2 runoff, portraying Ald. Ameya Pawar (47th) as a publicity hound whose activist ideas would put Chicago taxpayers at risk.
“The city treasurer’s office is not about headlines and hashtags. … It’s not a matter of crazy ideas and personal beliefs or setting yourself up for something else,” Peter Gariepy said.
Gariepy said he is endorsing Conyears-Ervin “without reservation” and plans to spend the next four weeks helping her get elected.
…Adding… Good stuff…
Don't think I've seen a map of the Chicago treasurer election. So here goes. Conyears-Ervin and Pawar are going to the April runoff. Here is how the vote split between the two across the city. pic.twitter.com/XVsdRJSQxe
• 4.75 percent for those making $0-10,000 in income
• 4.90 percent for those making $10,001-$100,000
• 4.95 percent for those making $100,001-$250,000
• 7.75 percent for those making $250,001-$500,000
• 7.85 percent for those making $500,001-$1,000,000
• 7.95 percent for those making over $1,000,000
• The first $10,000 in net income is taxed at 4.75 percent, resulting in a maximum $475 in income taxes.
• For the next $90,000 in income a 4.9 percent rate is applied, resulting in up to $4,410 in taxes. People claiming $100,000 a year would pay $4,885, $65 less than what they pay under the current income tax law. The average annual income in Illinois is a little more than $56,000, according to the U.S. Bureau of Labor Statistics.
• The next $150,000 of income is taxed at 4.95 percent, which adds up to another $7,425 more in taxes. Someone claiming $250,000 a year in taxable income would owe $12,310, also $65 less than under the current law. More than 97 percent of all income tax returns filed in Illinois claim income of $250,000 or less, according to Pritzker.
• The tax rate jumps all the way up to 7.75 percent for the next $250,000 of income, which could amount to as much as $19,375 more in income taxes. People claiming $500,000 in income would owe $31,685, which is $6,935 more than what they would pay with the current flat income tax rate. […]
Retirees would not be affected because Illinois is one of the few states that doesn’t tax retirement benefits.
The plan proposes dropping the personal tax rate for the first $10,000 of income for single and joint filers to a 4.75 percent rate; income above $10,000 to $100,000 would be taxed at 4.9 percent; income between $100,000 and $250,000 would be taxed at 4.95 percent; income between $250,001 and $500,000 would be taxed at 7.75 percent; and income from $500,001 to $1 million would be taxed 7.85 percent.
Under the new tax plan, Illinois would maintain a competitive corporate income tax rate. The proposed 7.95 percent rate, identical to its highest rate for personal income, would fall under the corporate income rates in California and Iowa. The two states levy 8.84 percent and 12 percent rates, respectively.
Wisconsin’s 7.9 percent corporate tax is just shy of Illinois’ proposed rate. New York has the lowest corporate income tax of the aforementioned states, at 6.5 percent.
“They were paying a flat tax at 7 percent before, they’d be paying a flat tax again.”
Businesses also pay a Personal Property Replacement Tax of between 1.5 and 2.5 percent, depending on the company…
Corporations pay a 2.5 percent tax on their net Illinois income.
Partnerships, trusts, and S corporations pay a 1.5 percent tax on their net Illinois income.
So that has to be added to the corporate tax rate, bringing the newly proposed rate to between 9.45 and 10.45 percent, putting Illinois above California.
* Related…
* Unpacking Pritzker’s Tax Proposals: Retail Discount: Stores in Illinois keep a portion of what you pay in sales tax. Think of it like a collection fee, though in state government shorthand it’s called a retail discount. The amount is based on a percentage of what they collect. So the more they sell, the more they keep. Gov. J.B. Pritzker wants to cap that amount to $1,000 per month for each retailer.
In what might prove to be a crucial decision in the race for mayor, Willie Wilson is endorsing Lori Lightfoot over Toni Preckwinkle.
Lighfoot confirmed the endorsement Friday morning at the City Club of Chicago. Wilson has scheduled a formal announcement for Friday afternoon at Chicago Baptist Institute International in the Washington Park neighborhood.
“I’m happy to have his endorsement; because I think, fundamentally, where he and I agree is the absolute urgent necessity to invest in our neighborhoods to change people’s lives, and to give them opportunity and hope. That shared value is where we have connected,” Lightfoot said.
Wilson came in fourth in total votes in the first round of the mayor’s race last month, but won the most wards of any candidate, taking 14 wards, amassing more than 50,000 votes in largely African American neighborhoods on the South and West sides. Lightfoot won 11 wards, mostly along the North Side and north Lakefront.
Preckwinkle accused Wilson of making his endorsement “contingent upon him receiving guaranteed clout appointments for various city commissions and departments.” She also accused him of demanding that Preckwinkle help retire the debt that remains from his self-funded mayoral campaign.
Those are promises that, Preckwinkle said, she was unwilling to make while her opponent was.
“Yet again, it seems Lightfoot is succumbing to a textbook example of pay-to-play politics, rather than looking out for Chicago’s best interests,” the Preckwinkle campaign said in a statement.
Preckwinkle’s deputy campaign manager Jason Lee was quoted as saying: “If Mr. Wilson’s endorsement can be bought, that is certainly not an endorsement that reflects the values of integrity of Toni’s campaign. And frankly, not one our campaign is interested in.”
Kinda difficult to make that stick on someone generally regarded as a reformer…
Lori Lightfoot answering questions after tonight’s mayoral debate on NBC 5. If elected she’ll be the first mayor to have served on the Better Government Association board, and the first mayor who doesn’t view the BGA as a four-letter word. Talk about change! Whoa! pic.twitter.com/kVL0uDOHU6
Lightfoot was endorsed by the firefighters’ union. Standing with her for that were Northwest Side aldermen Nick Sposato and Anthony Napolitano, whom Preckwinkle described as “pro-Trump Republicans and anti-immigrant alderman.” That prompted Lightfoot to accuse Preckwinkle of lying. “There’s no lie you will not tell. It is sad and pathetic.” In an interview with POLITICO, Sposato said he was surprised by Preckwinkle’s inflammatory language since she had called him last week asking for his endorsement. He and Napolitano are former firefighters who chose to stand by whomever their union endorsed. “I stick with the girl who brought me to the dance. And that was Local 2,” he said.
“I’ve seen a lot of craven things happen in politics but, man, you are shameful,” Lightfoot said, before explaining that the two aldermen showed up when she was endorsed by the firefighters union. She noted she’s been “highly critical” of those aldermen.
The Preckwinkle campaign pointed to an old tweet in which Lightfoot hit Wilson as a “proud Trump and Rauner-supporting Republican who supports horrible policies that will end up costing regular Chicagoans much much more in the long run.”
Lightfoot brushed off her earlier criticism, saying she had gotten to know Wilson during the campaign. “He’s shared lots of different issues with me, his rationale on a number of different things, and I’m happy to have his endorsement, because I think fundamentally where he and I agree is the absolute, urgent necessity to invest in our neighborhoods to change people’s lives and to give them opportunity and hope,” she said.
* One of my favorite Statehouse people is WTTW’s ace reporter Amanda Vinicky, who did a fun piece recently about some famed Springfield eateries. Here she is with Maldaner’s Chef-Owner Michael Higgins eating a horseshoe…
* Gov. Pritzker’s proposed effective tax rate on a million dollars of annual income is 7.09 percent. Technically, it’s 7.0934746 percent, which is what we’re gonna use here. You can click here to see the math. State taxes on that million bucks would be $70,934.75, for an after-tax income of $929,065.25.
As we’ve already discussed today, at the $1,000,001 income level, the governor’s proposal would tax all income at the 7.95 percent rate. State taxes would be $79,500 for an after-tax income of $920,501. So, you’d be losing about 9 grand for that extra dollar of income. Significant.
The cutoff point above which tax avoidance wouldn’t make sense would be $1,009,305. State taxes would be $80,239.75 for an after-tax income of $929,065.25 - exactly what you would’ve paid if you made a million dollars.
Increase that income by just a dollar, to $1,009,306, and your state tax would be $80,239.83, with an after-tax income of $929,066.17 - 92 cents more than you’d have made with a million dollars in earnings. After that, the gravy gets thicker.
Last evening, Rep. Tom Bennett was involved in a serious car accident that resulted in 10 broken ribs, six in multiple places. He is currently being treated at St. Joseph Medical Center in Bloomington, and is expected to be there for a few days. Tom is known by his House Republican colleagues as one the hardest working members of the House. In fact, after the accident he was most concerned about his legislative paperwork that was engulfed in the flames. Please keep him in your thoughts as he recovers.
Reading Rep. Bennett’s (R-Gibson City) Twitter feed is exhausting. The guy is literally everywhere in his district. He goes to every event imaginable and that is not a small district. I’m always amazed at his energy.
*** UPDATE *** I’m closing comments on this post because I did the math with a bit of help and found that the tax avoidance issue is basically a nothingburger. Click here to see the results.
The Pritzker administration unveiled the first details of its long-awaited graduated income tax, and perhaps the biggest surprise is that it contains a true millionaire tax.
Under the proposal, households making more than $1 million will see all of their income taxed at the proposed 7.95 percent rate rather than just the portion above $1 million. Higher rates kick in for those making $250,000 or more, but the higher rates are applied only to the portion above $250,000. That is, until those households hit the $1 million threshold.
Madigan twice backed efforts to amend the state constitution to create a 3 percent tax surcharge on income above $1 million. He never got enough votes to put the question on the ballot, but voters in 2014 endorsed the idea by a wide margin in an advisory referendum. The 7.95 percent top rate in Pritzker’s plan matches what Illinoisans would currently pay on income above $1 million if Madigan’s idea had been adopted.
Laurence Msall, president of the nonpartisan budget watchdog Civic Federation, commended Pritzker for releasing the details of his plan. The Civic Federation does not have a position on graduated income taxes generally or Pritzker’s plan specifically, Msall said.
“Coming forward with the specificity removes a lot of the uncertainty and speculation as to what the governor and his team intends to do,” he said. “It provides a real opportunity for the state of Illinois’ policymakers to engage in a meaningful debate on the future of tax policy in Illinois.”
Msall said one of his organization’s initial concerns is that charging the 7.95 percent rate on all income for people who earn more than $1 million could lead to “very significant tax avoidance.”
But it’s the plan for the highest bracket that led Illinois Chamber of Commerce President Todd Maisch to call the plan a “millionaire’s tax,” which he said will drive high-income earners out of the state: When an earner hits $1 million of income, every penny they bring in would be taxed at a 7.95 percent rate.
“There’s always a need for more money, especially when you think about the fact that you’re squeezing more than $3.4 billion out of those high earners, how many are going to stick around to pay that tab?” Maisch said. “That tab then has to get pushed down the scale and we see it in other states. It always starts out as a millionaire’s tax, always ends up a tax on the middle class.”
I’d like to take a moment before we begin to recognize the incredible bravery and dedication of our first responders. Already in the 51 days I’ve served as governor, we have laid a State Trooper to rest, seen five police officers injured after running into a workplace shooting that took five lives, mourned a Godfrey district firefighter who died in the line of duty, and another law enforcement officer shot today while executing a warrant. All of Illinois grieves for the fallen, and our prayers are with their families and those injured in the line of duty. We owe all of them a debt of gratitude.
Thanks for joining us.
My administration has begun negotiations over the fair income tax so we can finally put Illinois on course toward firm fiscal footing. As I said throughout the campaign, Illinois’ flat tax system is unfair to the middle class and those striving to get there. People like me should pay more and people like you should pay less. That’s what the fair tax will do.
Before I get into the details, it’s important to talk about how Illinois got here, and what our choices are.
I was sworn in just 51 days ago, and the first thing I did was begin to dive into the details of the state’s precarious fiscal condition. It was worse than we thought. Over the ensuing weeks our work showed that the damage done in previous years was beyond the assumed $2 billion deficit and even beyond the $2.7 billion in the Comptroller’s excellent report. As our study showed, Illinois actually faces a $3.2 billion-dollar budget deficit next year, and that the prior four years had left the state with nearly $10 billion of additional late payment debt – on top of the $5 billion backlog at the beginning of the last term. The state has been operating with a multi-billion-dollar structural deficit that has a tremendously destabilizing effect on our state’s economy, businesses, jobs and the future of our working families. I don’t know anyone in Illinois that thinks we can any longer just whistle past the graveyard and ignore the fiscal challenges we face. And no one thinks the right answer is to replay the last four years of gridlock and dysfunction.
So my administration has been diligently working on a comprehensive approach to solving the problem and getting our state on track to economic growth and balanced budgets.
Instituting a fair tax as I’ve proposed, will improve the arc of our state’s finances forever and make our system more fair for everyone.
It’s wrong that I would pay the same tax rate as someone earning $100,000 – or even worse pay the same tax rate as someone earning $30,000 – which is why 33 states and the federal government use lower rates for lower earnings and higher rates for higher earnings.
As I outlined when I addressed the General Assembly, those who oppose this choice have very few options to stabilize our finances.
They might choose to cut education, public safety, environmental protection and other government services by 15 percent. That means larger class sizes, higher costs for kids going to college, more hollowing out of critical human services, and fewer State Police. Most damningly, this would lead to a very predictable increase in your local property taxes. This type of thing was tried, and it failed – resoundingly. And this approach certainly won’t create good paying jobs and build the Illinois we deserve or we want for our children.
Another choice they could make is to raise taxes by 20 percent on every person in the state of Illinois. To generate enough revenue, they would need to raise the state income tax on the working poor and the middle class from today’s 4.95 percent to at least 5.95 percent. For a mom making $61,000 that would mean a tax increase of $521 per year. All while the wealthy aren’t paying their fair share.
There is a better, more fair way. And it protects working families. My proposal accomplishes several goals that I outlined from day one.
First, the fair tax would eliminate the budget deficit, balance future budgets and reduce the pension liability by producing revenue of $3.4 billion.
Second, under this plan, everyone who earns up to $250,000 will pay the same or less than what they’re paying today. That’s 97% of Illinoisans. In some cases this reduction will be very modest, and in some cases, especially for families with children, it will amount to hundreds of dollars. That’s real money that working families can use for an emergency car repair, groceries to feed their kids, or child care expenses.
Third, working families are buried under a property tax system that asks them to carry too much of the load. My proposal provides much needed property tax relief with a $100 million increase in the property tax credit. A single homeowner who makes less than $250,000 will see an increase in their property tax write-off of 20 percent. A couple who makes less than $500,000 will also see a property tax write-off of 20%. To be clear, approaching property tax relief in this way benefits homeowners and doesn’t jeopardize schools or local communities.
Fourth, included in this proposal is a new tax credit of $100 per child for families raising children, especially those families who most need it. Single parents earning less than $40,000 a year will get the full credit, and single parents who earn more than $40,000 will get the credit on a sliding scale up to $80,000. For two-income families, they get $100 per child up to $60,000 a year on a sliding scale up to $100,000.
Fifth, this proposal keeps Illinois competitive with our neighbors. Most families in Iowa and Wisconsin pay more in income taxes under their current tax systems than they would if they lived in Illinois under our proposed fair tax.
Now, there are those who want to scare people by claiming that this proposal will cause residents and businesses to flee Illinois. They couldn’t be more wrong. They ignore the fact that people and businesses are fleeing our state now under our current regressive tax system, yet states with fair tax systems on average grow faster and create more jobs than Illinois.
It’s time we stabilized our state’s finances, so we can give businesses and new entrepreneurs the certainty that Illinois has its fiscal house in order. This fair tax proposal is fiscally responsible and makes Illinois a more predictable place for existing businesses to operate, and for new businesses to start and grow.
In the weeks ahead, we’re looking forward to discussing and debating this proposal with members of the General Assembly on both sides of the aisle. I respect the right of opponents to disagree with this proposal. But they should do so in good faith with a specific counter proposal. Not pie in the sky. We should all demand that they tell you specifically what they support that will address a $3.2 billion-dollar budget deficit, pay down $15 billion of debt from unpaid bills, and protect working families.
The principle options for fixing state finances are:
1. Make a drastic 15 percent cut to schools, public safety, transportation, and universities.
2. Raise income taxes by 20 percent on the middle class and everyone else in Illinois. Or
3. Implement a fair income tax that only raises taxes on 3% of people in Illinois.
Pritzker’s projected graduated tax revenue is equal to about a one percentage point increase in the existing flat tax, from 4.95 percent to 5.95 percent on everybody.
The state government could also cut spending by 15 percent across the board for K-12 and higher education, DCFS and other social services, the Illinois State Police and other public safety programs, DNR, agriculture, health care and on and on and on. It’s not a direct comparison, but to give you a kinda rough idea what that would look like, think of the impasse’s cuts and deficit/backlogged spending after a 1.25 percentage-point reduction in the income tax.
Now, they could conceivably cut spending by less than that, but some folks I’ve spoken with today don’t believe that even the $3.4 billion raised by the graduated tax produces enough revenue to fix the structural deficit and make the necessary investments in education, etc. So, for argument’s sake, let’s stick with that.
* The Question: Your choice? Take the poll and then explain your answer in comments, please…
* Posted in the order they were received. Illinois Republican Party Chairman Tim Schneider…
More tax hikes will not solve Illinois’ fiscal problems. Pritzker’s proposed $3.4 billion tax increase will lead to even more out-migration of Illinois families, businesses, and jobs. Tax-and-spend Illinois Democrats cannot be trusted with more of our tax dollars. That is why Illinois Republicans stand united against the Pritzker-Madigan tax hike and will continue to support reforms that will lower taxes, create jobs, and make our state thrive once again.
* From the pro-Pritzker dark money group Think Big Illinois’ Executive Director Quentin Fulks…
“Today’s proposed tax rates are an important step toward creating a fair tax system that works for everyone, so it shouldn’t come as a surprise that outside groups funded by the wealthiest Illinoisans are quick to launch desperate, false attacks. While these outside groups and their wealthy donors will do or say anything to avoid finally having to pay their fair share, the fact is Illinois needs a fair tax to modernize our tax code, boost the economy, and address the dire financial situation we’ve been left in after years of irresponsible governance and mismanagement.
“Under the fair tax system, 97% of Illinoisans will receive tax relief, with only families making upwards of $250,000 a year paying more. This structure will also lift the burden off middle-class and working families and provide $100 million in property tax relief, but that won’t stop opponents from fighting to prevent Illinoisans from even having the opportunity to vote to implement a fair tax.
“False attacks from those whose bottom lines will be hurt by a fair tax will undoubtedly continue, but Think Big Illinois remains committed to standing with working families and educating Illinoisans about how a fair tax will help them, their communities, and our state.”
* AFSCME Council 31 Executive Director Roberta Lynch…
“Under Governor Pritzker’s fair tax plan, millionaires would pay more while working people pay less. Public services and schools would get needed reinvestment and the state could pay its bills.
“Raising needed revenue from those who can afford to pay a little more—while cutting or keeping taxes low for 97 percent of filers—is the fair tax reform that’s long overdue in Illinois.
“Our union will work with lawmakers to pass the legislation needed to put the fair tax plan on the 2020 ballot.”
* linois Federation of Teachers President Dan Montgomery…
The Illinois Federation of Teachers applauds Governor JB Pritzker’s commitment to working families and putting Illinois on a more fair, prosperous path forward.
This fair tax proposal, which provides relief for more than 97% of taxpayers, will be a welcome change for our members and the communities we serve.
It’s no secret that Illinois’ dire financial situation has taken decades to develop and was made exponentially worse in recent years. Solving our problems will take both time and real structural change. The Governor’s proposal asks the wealthy to pay their fair share so we can invest in schools, higher education, and vital services – and that is something the IFT supports.
As Governor Pritzker has noted, alternatives to this plan would be raising taxes on everyone, including those who can least afford it, or cutting public education and services to the bone in a Rauner Replay.
That is unacceptable. It’s time for change. Our current tax system is unfair and unsustainable, and this is a strong first step. We look forward to working with the administration and lawmakers to build the future we all deserve.
I’ll post ‘em when I get ‘em.
…Adding… Americans for Prosperity-Illinois State Director Andrew Nelms…
“Giving lawmakers a graduated income tax would be like giving them a blank check. Make no mistake, this is a tax hike on Illinois job creators that will only drive jobs out of our state and hasten residents’ departure. Illinois’ political landscape is strewn with broken promises when it comes to taxes. When the Illinois Senate passed the temporary income tax increase in the middle of the night in January, 2011, politicians told the people of Illinois that it would partially expire in 2015 and roll back even further in 2025. Then, over Independence Day weekend in 2017, lawmakers raised the income tax permanently. But they still want even more of our hard-earned money.
“Don’t be fooled – Illinois lawmakers have consistently raised our taxes and are now pretending to lower them. As we’ve said time and again, the last thing we should do right now is let lawmakers wield greater power to levy higher taxes. Taxpayers shouldn’t fall victim to the hope of a meager property tax credit in exchange for giving Springfield politicians a blank check to raise income tax rates, add brackets, and reduce the thresholds at which higher rates apply in the future.”
* Illinois Network of CILs…
In order to build a strong and inclusive state, our government needs adequate revenue.
Today Governor Pritzker released a plan that would lower individual income tax rates for 97% of Illinois individual taxpayers. Those who earn less than $250,000 would pay less, and those earning more would pay higher rates. Illinois CILs applaud this proposal.
If enacted, this reasonable proposal will not only bring relief to tens of thousands of taxpayers with disabilities, it will help secure the empowerment and civil rights of all people. For too long, Illinois has been unable to properly fund so many urgent priorities, including programs that support Independent Living. The Governor’s plan represents a giant step forward.
…Adding… Senate Republican Caucus…
Without guaranteed protections for middle class families, we are opposed to the governor’s $3.4 billion tax increase.
I’m not sure what that means, so I’ll ask.
* Illinois AFL-CIO President Michael T. Carrigan…
“The Fair Tax proposal is responsible, sustainable and practical. The Illinois AFL-CIO commends Gov. Pritzker for taking bold action with this proposal. We have long supported a progressive tax system to alleviate the burden on the middle class and move our state forward.”
* LiUNA Vice President and Midwest Regional Manager John F. Penn…
“We are pleased that Gov. Pritzker is again following through on his commitment to stand with working families, including the hardworking men and women of the Laborers’ Union, who help build our state’s roads and schools and who serve the public at all levels of government. Asking the wealthy to pay their fair share will offset a tax cut for 97 percent of taxpayers – anyone who makes less than $250,000 per year – and will put Illinois back on the path to fiscal stability. Illinoisans deserve a fair tax structure like the one proposed by the Governor today.”
* Kristina Zahorik, President of the Illinois Democratic County Chairs’ Association…
Illinois has been desperately awaiting two critical changes from an Illinois governor. First, we needed bold leadership. Second, we needed a legitimate path toward stability for the state. JB Pritzker delivered on both of these needs today.
The IDCCA stands with the Governor and applauds his refreshing, straightforward honesty about our fiscal challenges. He’s shown true leadership by proposing a way to cut or stabilize taxes for 97 percent of our residents while adjusting taxes on millionaires who’ve financially fared quite well throughout the years.
We understand that passing a Constitutional Amendment for a fair tax won’t be easy. So we’re ready to offer more than simple lip service. We’re already working with our network of volunteers, activists and partners to support the plan as it becomes an election issue. Rank and file Democrats will work exceptionally hard to build support for a fair tax amendment in 2020.
* IMA…
“Today’s massive tax hike proposal will further harm the state’s manufacturing sector, which has already lost more than 300,000 jobs since the turn of the century. Illinois cannot afford to lose more of these good, high-paying middle-class jobs,” said Mark Denzler, president and CEO of the Illinois Manufacturers’ Association. “Taxing and spending are not the answer to our daunting challenges. The governor’s plan will vault Illinois to the 3rd highest corporate tax rate and 8th highest individual tax rate in the United States. Given that we already face the highest property taxes in the nation, the most glaring part of today’s announcement is what is not included: there is no mention of property tax relief for job creators or curtailed government spending.”
* IEA President Kathi Griffin…
“The Illinois Education Association supports a Fair Tax for Illinois. Surveys show voters support a Fair Tax for Illinois. It is imperative that we redirect Illinois to a path of economic recovery that will help our students access the tools and resources that will allow them to reach their full potential. This will strengthen our institutions of higher education, allow our public schools to thrive and strengthen communities throughout Illinois. It is perplexing that we are one of only nine states that hangs on to the flat tax while more than 30 other states have graduated tax rates. Our structure is woefully regressive. Gov. Pritzker’s plan will put us on a better path – a path to not only recover from the two-year budget impasse, but also to grow and stabilize our economy.”
…Adding… A couple more…
The Responsible Budget Coalition applauds Governor JB Pritzker’s push for a Fair Tax. A Fair Tax would give relief to working families while raising much-needed revenue to fund essential state services.
Under Illinois’ current flat tax, wealthier residents do not pay their fair share of state and local taxes. Furthermore, the regressive tax structure perpetuates the state’s dire financial circumstances, an untenable situation made worse by the years-long budget impasse. Illinois’ revenue deficiencies have forced unconscionable cuts to vital services and a chronic failure to pay our bills on time. More revenue is needed in order to put Illinois on a path to fiscal health.
A Fair Tax would bolster our economy and raise billions in revenue to fund our schools and social services. A more just tax system is long overdue. Join us in supporting this necessary measure. Call your Illinois senators and representatives and tell them to support a Fair Tax.
* And…
“The Illinois Chamber realizes that Governor Pritzker has inherited real and serious fiscal problems,” said Chamber President and CEO Todd Maisch. “Unfortunately, his plan for a new tax increase is very unlikely to solve them. Taxing businesses and business owners without restraining state spending nor taking measures that will spur economic growth sends exactly the wrong message to job creators who are already questioning their commitment to Illinois. When they choose to move investment across state lines, government loses tax revenue and our communities take a hit.
“It is important to note that the increase on the ‘2.7 percent’ of taxpayers the governor is targeting will pay much more than the $3.4 billion net income the plan claims it will generate. They will also pay for the ‘tax relief’ afforded to other taxpayers. Clearly, this plan will trigger a serious reaction from employers, especially since the plan only addresses the perceived budget deficit and does not make any meaningful dent in Illinois’ backlog of unpaid bills nor the future spending demands of progressive members of the governor’s party. The plan should be viewed for what it is: merely a first installment.”
* Secretary of State Jesse White and Ald. Walter Burnett endorsed Toni Preckwinkle for mayor yesterday. Lori Lightfoot was not impressed…
“We need someone who’s going to run the city of Chicago who has experience,” White said. […]
“Toni Preckwinkle is the epitome of those entrenched political interests, so it’s not surprising to me that she is seeking people who she has worked with for decades,” Lightfoot said.
I do not remember the last time a Democrat said something harsh about Secretary White. Burnett? Sure. White? Nope.
* Secretary White responded today…
Unfortunately, Lori Lightfoot seems to feel like she has to attack everyone who disagrees with her. That’s no way to get things done and that’s not what Chicagoans expect in their elected officials. Like Toni, I’m honored to have been re-elected by my constituents for making real change in Illinois. And I’ve done it by working together with the concerned citizens and other elected officials.
* Toni Preckwinkle…
Corporate lawyer Lori Lightfoot’s attack on Jesse White is almost as disgusting as her making millions as co-owner of a law firm that represents Big Tobacco, Big Pharma, and big polluters. Secretary White is a three-time military veteran — he served as a paratrooper with the 101st Airborne Division, the Army Reserves, and the National Guard. And as Secretary of State Jesse White has implemented countless programs to improve the lives of Illinoisans including reforming the teen driving program which reduced teen driving deaths by 54 percent. Unfortunately, Lori has made it clear that, instead of listening to folks who disagree with her, she will instead point fingers and attack. That’s no way to lead a city.
* Meanwhile, Lightfoot is staying on message…
Today, Chicago mayoral candidate Lori Lightfoot released a new TV ad, “Why.” The ad questions the motivations behind Toni Preckwinkle’s recent attacks on Lightfoot and points to Preckwinkle’s history of regressive tax hikes and old-school machine politics. The ad is Lightfoot’s third of the campaign, and second of the runoff. Lightfoot released her first TV ad of the runoff, “Change,” on March 1.
“Why is Toni Preckwinkle launching a ‘full blown,’ and ‘incorrect’ attack against Lori Lightfoot?” asks the narrator. The ad then features news stories about Preckwinkle’s ties to the broken Chicago machine and history of regressive taxation. “An entrenched political insider won’t lead Chicago forward. It’s time to bring in the light,” the narrator concludes as the ad features footage from Lightfoot’s election night celebration.
Tonight, former teacher Toni Preckwinkle and corporate attorney Lori Lightfoot square off in the first televised debate of the runoff.
The spotlight will be on Lightfoot, whose record is now starting to come into focus for Chicago voters.
Here are five questions she must answer for Chicago voters tonight:
* Does she think it was progressive to defend a Wall Street bank being sued for racial discrimination or to make a profit as equity partner of a firm that represents Big Tobacco, Big Pharma, Wall Street banks, and corporate polluters?
* If she is such a progressive, why would she accept the endorsement of two anti-immigrant aldermen, Anthony Napolitano and Nick Sposato?
* Why did she represent Republican politicians trying to protect their power?
* What was her justification for overruling her own investigators to justify police shootings?
* Why did a political operative for Alderman Scott Waguespack say that she promised him a powerful position on the council if it wasn’t true?
Mayoral candidate Lori Lightfoot is leading rival Toni Preckwinkle in nearly every category and has a lead of 30 points more than three weeks before the April 2, according to an internal poll provided by Lightfoot’s campaign.
Lightfoot is leading among union households, self-described liberals as well as those who voted for Bill Daley or Jerry Joyce; Amara Enyia or Willie Wilson; and Susana Mendoza or Gery Chico.
The Chicago Firefighters Union Local 2 endorsed Lori Lightfoot for mayor at a press conference on Thursday. Lightfoot announced the endorsement at the historic formerly all-Black firehouse on 35th and Calumet. Today marked Lightfoot’s second union endorsement. The Illinois Education Association Region 67 endorsed Lightfoot in February.
“It’s my great pleasure to accept this endorsement, and I’m humbled by it,” said Lightfoot. “Our first responders do a tremendous job in our communities and are really part of the fabric of our neighborhoods. We need to make sure that we’re doing everything we can to provide them with the support and resources that they need. It is a great honor to be here at this historic firehouse and accept the support of this important group.”
“We are here to throw our support behind Lori Lightfoot for mayor,” said Chicago Firefighters Union Local 2 President Jim Tracy. “She comes from a union home and understands the importance of unions and their roles in lifting up the middle class. Lori understands Local 2’s needs when it comes to our staffing, antiquated rigs, and the need for more ambulances. We all understand the roadblocks ahead when it comes to pension payments and higher property taxes, and Lori strikes a balance that can take care of the economic development downtown, and in turn, take care of some of the blighted communities such as Englewood and the West Side. We need that economic development to make the city a more fair and balanced place, and Local 2 is here to support our next mayor, Lori Lightfoot.”
A McHenry County sheriff’s officer was shot and critically wounded while serving a warrant at a motel in Rockford Thursday morning, sparking a high-speed chase that ended with a crash south of Bloomington, according to police and law enforcement sources.
Reports from troopers involved in the chase, which reached speeds over 100 mph, said the suspect crashed his car near Lincoln around 11:30 a.m. but refused to leave his car. One report said he was pointing a rifle out the car.
A SWAT team has been called in, and all lanes of I-55 remained shut down as of 1:15 p.m.
* From the Illinois State Police a few minutes ago…
UPDATE. 55 is still closed. We are now directing traffic I 55 north to I 155 north to Route 136 east to I 55. This is the McLean exit on 55.
Be careful driving home if you’re heading north. And if you’re going to the Chicago area, you might wanna consider taking 72 over to 57.
A McHenry County Sheriff’s deputy working on behalf of the U.S. Marshals has died following a shooting Thursday morning in Rockford.
Gov. JB Pritzker tweeted, “The people of Illinois join the family of the fallen officer in mourning his loss, and with our deepest gratitude for his courageous service.”
Illinois State Police in Logan County also confirmed his death around 2:30 p.m. Wedneday.
A state lawmaker and a major advocacy group are pushing stiffer penalties for short-staffed nursing homes as a way to limit deadly sepsis infections and boost overall care. […]
Collins and AARP Illinois are supporting the legislation partly in response to the findings of an investigation published in September by Kaiser Health News and the Chicago Tribune. The investigation found that about 6,000 Illinois nursing home patients a year who were hospitalized had sepsis, with roughly 1 in 5 dying. […]
There is little agreement on how many caregivers should be employed by nursing homes, nor any federal regulations setting a rate per-resident. A recommendation from a 2001 federal study suggested 4.1 hours of total nursing time per resident.
Illinois, like most states, has a lower legal standard: requiring at least 2.5 hours of direct care daily for residents. Yet, the joint KHN Tribune investigation found that at least a fourth of Chicago-area nursing home residents live in facilities that aren’t consistently providing that much care.
* The Senate Democrats put out an advisory yesterday specifically saying Sen. Morrison “might” be moving her Tobacco 21 bill. When she found out it wasn’t ready, she didn’t call it. It’ll pass eventually…
‘Tobacco 21’ bill stalls in Illinois Senate
Legislation raising the minimum age to purchase tobacco products in Illinois was expected for a vote in the state Senate on Wednesday, but the sponsor decided to hold back because of hesitation on the part of new members.
State Sen. Julie Morrison, a Deerfield Democrat, said freshmen in her party had questions about the Tobacco 21 initiative. She said those members did not feel comfortable voting on the bill without being fully informed, so she held the measure. […]
About two weeks ago, state Rep. Camille Lilly, D-Oak Park, who sponsors the House version of the bill, said advocates were going to try a different approach this session.
“What we’re doing this time is running it through the House first, because we have more people to deal with,” she said. “In the Senate, there’s only 56 people — there’s 118 in the House. It’s easy to get it through the Senate.”
Legislation has been introduced in Springfield that would rescind a statewide ban on rent control.
We understand the good intentions behind the bills, HB 255 and HB 2192. We get why the Lift the Ban Coalition, a group of community organizations, has ramped up an effort to build public support for scrapping the 22-year-old ban. […]
Rent control would seem to be the easy fix. Just cap what landlords can charge.
But it’s a superficial and ultimately counterproductive fix, as the experiences of other cities have shown. And there are better ways to address the problem of too little affordable housing in Chicago.
The governor is planning a 2 o’clock press conference. Watch the live coverage post for immediate updates.
…Adding… House GOP Leader Jim Durkin…
The House Republican Caucus stands united in opposition to a $3.4 billion tax increase on Illinois families and businesses.
…Adding… Applying the top rate to all income once that income hits $1 million is unusual. Usually, graduated taxes only apply to income earned above a certain rate. That is the case with Pritzker’s plan until taxpayers reach a million bucks. So, I’m assuming those close to that level will do whatever they can to avoid reaching a million dollars on paper, because that would hugely jack up their tax bills. But, hey, they could also hire somebody or give some cash to charity to stay below a million.
Also, the state’s current corporate income tax rate is 7 percent. This proposal would raise that rate to 7.95 percent.
The current personal income tax rate is 4.95.
…Adding… If your property tax bill is $6,000 per year, you currently receive a $300 annual state income tax credit. That credit would rise to $360 under this plan. Sixty bucks a year ain’t a lot of relief.
…Adding… Ideas Illinois Chairman Greg Baise…
“We can’t trust Springfield politicians – the same people who in the last 8 years have raised taxes twice – with a blank check,” Ideas Illinois Chairman Greg Baise said. “Today’s proposal is just a massive jobs tax on Illinois families and will destroy the Illinois economy and further accelerate people fleeing the state.”
Key Questions for Governor Pritzker
Are you going to lock these rates into the Constitution, so voters know EXACTLY what they are voting on?
Illinois has had 2 tax increases in the last 8 years - can you promise that these tax rates will not change?
Have you done an analysis on what this jobs tax will do to job creators?
In the past, you have said that this will pay for schools, infrastructure, pensions, and social services along with a property tax break – is this enough money because the math doesn’t seem to add up.
Do you trust the legislature to be responsible or will this be another blank check to raise taxes whenever they want?
…Adding… Factor in the Personal Property Tax Replacement tax on corporations, and the rate corporations pay will rise from its current 9.5 percent (8.5 percent for partnerships, trusts, and S corporations), to 10.45 percent (9.45 percent for S corps etc.). That’ll give us one of the highest in the nation.
…Adding… SEIU Illinois State Council President Tom Balanoff…
“Illinois’ current tax code puts undue burden on the working people of our state, making it harder for them to put food on the table for their families and get ahead. Governor JB Pritzker campaigned on a promise to overhaul this unfair system, and today he is making good on that pledge.
“Governor Pritzker’s plan lowers tax rates for 97 percent of Illinois taxpayers while making sure the wealthy pay their fair share. This proposal will put our state on the path towards fiscal sustainability and good governance.
“The janitors, healthcare and home care workers, security officers and more of SEIU support Governor Pritzker’s fair tax plan, which will make Illinois a better, more equitable state for working families.”
Illinois Gov. J.B. Pritzker will participate in the state’s upcoming meetings with rating agencies to outline his pension and budget proposals, which have prompted warnings they could drive further credit deterioration.
The meetings are set for next week, according to market sources. Illinois is the lowest-rated state by several notches with its general obligation debt at Baa3 with a stable outlook from Moody’s Investors Service, BBB with a negative outlook from Fitch Ratings, and BBB-minus and stable from S&P Global Ratings.
Pritzker will attend the meetings with the finance team unlike his predecessor, Bruce Rauner, who left that task to his budget and capital markets team. […]
The state’s low ratings leave it with little room to maneuver to avoid a cut to speculative-grade status.
Several analysts said there’s no standard when it comes to a governor’s attendance at rating meetings but one said there “is value” in hearing directly from a new leader on his or her vision.
Well, at around that same time, Baise was being prepared for surgery to have a stent put into an artery near his heart. That artery was 99 percent blocked. He’s returning in a few weeks to have another less severe blockage dealt with.
Baise and I are old pals, and I didn’t write anything on the blog that I wouldn’t have said to his face. Although, obviously, I wouldn’t have said it to his face while he was lying on a hospital bed during surgery and if somebody had told me what was going on I would’ve at least waited a day or two to launch on him. Or three.
He told me this morning that people warned him via text not to read the blog because it might upset him. So, of course, he read the blog. It didn’t upset him. I’ve often said that I can always trust Baise to tell me exactly what he believes. And he’s always heard the same from me.
But he still had a little fun trying to make me feel just a wee bit guilty today, even though he sounded great. Here’s how our phone conversation began…
Me: Shouldn’t you be resting?
Him: You #@*%$@-&*$#%$!!!!
Good times.
* The point here is that people often think of political players as cartoon characters. But these are real people with real families and real lives of their own. You can have your disagreements, but in the end we’re all human beings.
Baise went back to work almost right away. I’m not kidding. He’s quoted in a story that was published yesterday.
Keep on keeping on, Greg. Here’s to a long and happy life.
The Peoria Republican, who resigned from office four years ago amid allegations of fiscal misconduct, entered a plea in a downtown Chicago courtroom on behalf of his campaign committee to a Federal Election Commission violation for inadequately keeping paperwork. Schock himself didn’t plead to anything. The committee, as an entity, was found in violation.
To be dropped were what’s left of nearly two dozen allegations against him claiming years of criminal activity. […]
A $25,000 fine was levied and he faces six months of supervision under the program, during which he must cooperate with the rest of the terms of the deal. Schock, 37, must repay his main campaign committee and the IRS money as outlined in the agreement.
Schock also acknowledged erring in his responsibility to accurately report expenses — including for mileage reimbursement — for his campaign committees. Three of those committees will collectively receive $67,956 according to the deal. He also stated in the document that he didn’t report income from the resale of some tickets, including to the World Series and Super Bowl, on his tax returns to the tune of $42,375. Both were items prosecutors had raised during the criminal case.
In an interview on Wednesday, Schock said that he is relieved that his four-year legal fight is over and blamed “a rogue prosecutor” for pursuing a case “without merit.”
“I have been trying to survive the last four years. When you go toe-to-toe with the federal government, they have an unlimited budget and most Americans don’t,” he said. “It’s come at significant cost to me financially and professionally and now that this is behind me, I’m looking forward to pursuing opportunities in the private sector. I’ll always have a heart to serve, that doesn’t’ mean I have to run for office. There are other ways to serve your community.” […]
Schock said the agreement to have his campaign committee plead guilty to a misdemeanor is mostly a technical matter.
“So they want me to say what I said four years ago? Okay. I mean, when I left office I said I could have done a better job of back-office functions,” he said, conceding that between his congressional office work, committee assignments and work to elect other Republicans to Congress, he’d been less than careful with his paperwork.
Having the deal secured, Schock then returned fire. He said the Justice Department should investigate the prosecutor in Springfield in charge of the case against him.
Schock was referring to the one-time lead prosecutor on his case Timothy Bass, who was in the running to become the next U.S. Attorney for the Central District of Illinois at the same time he was pursuing Schock, his biggest “catch.”
Instead, President Donald Trump tapped John Milhiser for the Springfield-based post.
“I’ve been wronged in this process by a prosecutor who saw me as his ticket to stardom and who was allowed to go unchecked,” a relieved Schock said in the lobby.
[Director of Legal Studies at Illinois State University and former attorney Tom McClure] explains, “If you look at the agreement that was singed by everyone he acknowledges that he basically scalped tickets for over $42,000 worth of profits and that he evaded income taxes. So, he acknowledges some things that were clearly criminal acts.”
But it is his campaign committee, Schock for Congress, that leaves this situation with a misdemeanor charge, not Schock.
“I think that was something that Aaron Schock the man, instead upon. I think Aaron Schock had an excellent defense attorney and he held firm on this,” McClure said.
In the agreement, Schock admitted “he had a regular practice as a public officeholder of obtaining event tickets at face value” and then reselling them at a profit. He also copped to inflating mileage reimbursement claims and owing his own campaign $67,956 for claims that “in whole or in part were unsupported by adequate records.”
A bill levying a 7-cent tax on plastic and paper shopping bags advanced out of the state Senate’s revenue committee Wednesday with its sponsor promising to bring an amended proposal back to the committee in the coming weeks.
There was unanimous approval to advance the bag tax, Senate Bill 1240, from five Democrats and two Republicans present at the committee. […]
The Illinois Retail Merchants Association filed in support. Rob Karr, IRMA’s president, said the group is supportive because of the comprehensiveness of the plan in its promotion of solid waste management.
He also said every bag tax passed around the country thus far has given a portion back to retailers to administer the cost.
The Illinois Restaurant Association filed in opposition to the bill. Currently, SB 1240 does not contain exemptions for carry-out bags used at restaurants, which are part of the legislation in Chicago.
A state lawmaker is urging Gov. J.B. Pritzker to release emergency funding and appoint a full board for Western Illinois University as the school prepares to lay off 132 employees.
“Western is struggling, as most state universities are right now, and having a full board in place would help to ensure the university’s success,” said Rep. Norine Hammond (R-Macomb). “I am asking Governor Pritzker to take immediate action to fill six vacant positions on the board so Western can move forward. Additionally, I am asking him to release funds in an effort to reduce the negative impact not only to the university, but our area.”
I checked with the comptroller’s office…
There are no funds being held up. Our office prioritizes payments to higher ed. WIU, SIU, EIU, all the state colleges get their payments together earlier than they were getting their state funding in years past. Same with MAP grants.
* So, I asked a House Republican spokesperson what funding Rep. Hammond was talking about. Andrew Flach…
Until a supplemental appropriations is brought forward, a good first step would be to appoint a full board of trustees followed by expediting the remaining operational funds owed to the university for this fiscal year and prioritizing the campus’ deferred maintenance projects.
Thursday, Mar 7, 2019 - Posted by Advertising Department
The following is a paid advertisement.
Gov. J.B. Pritzker claims one of the reasons Illinois should axe its flat income tax protection is to reduce income inequality.
The numbers aren’t on his side.
States with progressive income taxes are home to higher income inequality than states without progressive income taxes. And the gap isn’t improving. From 2007 to 2017, states with and without progressive income taxes saw inequality rise at the same rate.
So why hasn’t Pritzker’s preferred tax regime reduced income inequality? One reason is that progressive income taxes have such a negative effect on the economy that they tend to make everyone worse off. Take Connecticut, the only state in the past 30 years to adopt a progressive income tax. Its poverty rate spiked 47 percent in the decade after its tax change while falling in the rest of the nation.
Not only will Pritzker’s progressive tax result in middle-class tax hikes – it won’t do a thing about income inequality.
