* Finke…
On a party line vote, a House committee Monday sent the constitutional amendment to bring a graduated state income tax to Illinois to the full chamber for a vote.
The amendment’s proponents, however, dodged questions from House Republican Leader Jim Durkin of Western Springs about whether there are 71 votes in the House to approve the amendment and place it on the November 2020 ballot for voters to consider.
Also, House committees have so far not taken up any of the three companion bills that were approved by the Senate which set the rates that would be in force with the graduated tax, that would eliminate the estate tax in Illinois and would provide some property tax relief if the state puts more money into K-12 education. […]
It was Durkin, who is not a regular member of the committee, who cut to the critical question of whether the supporters of the graduated tax believe they have the necessary 71 votes lined up to put the issue on the ballot. Neither the amendment sponsor, Rep. Robert Martwick, D-Chicago, nor representatives from Pritzker’s office would directly answer the question.
* It’s looking like they have the votes…
All six Republicans on the committee sided with Reick, while all nine Democrats supported the amendment — even one who had stated publicly he was leaning against voting for a graduated tax amendment.
That legislator is Jonathan Carroll, a Northbrook resident who is widely believed to be a swing vote in the 74-member Democratic House caucus. To be put on the ballot, the amendment, which has already passed the Senate, needs 71 votes in the House.
“I still have strong reservations on this,” Carroll said, calling it “way too important of an issue” not to be brought for a full floor vote. He also said his committee vote does not mean he would necessarily vote for the amendment when it comes before the full House.
* Rep. Carroll approvingly posted what I think is an Illinois Policy Institute cartoon on his Facebook page over the weekend…
And then he pulled it down.
…Adding… It is indeed an IPI mailer. Click here to see it.
* The House may not get to the rate bill this month. We’ll see…
House Democrats are still negotiating with the governor’s office over the rate structure and potential property tax relief, a key issue for some holdouts.
Illinois income tax calculator: How would Gov. J.B. Pritzker’s proposed graduated income tax affect you?
“They want to use that leverage to extract as much property tax relief as they can,” Rep. Robert Martwick, a Chicago Democrat who’s sponsoring the proposed constitutional amendment, said before Monday’s hearing. “When you’ve got a rate structure that’s going to get you enough to close the structural deficit and a little more, then you have to figure out where it fits into the list of priorities.”
Asked during Monday’s committee meeting how a rate proposal in the House will differ from proposals from Pritzker’s administration and the Senate, Martwick said he expects it will be “substantially similar to what we’ve seen.”
I still think the better way is to do everything at once and get it over with.
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Do better
Monday, May 20, 2019 - Posted by Rich Miller
* Politifact…
Referring to a graduated income tax, Pritzker said “states with a fair tax create jobs and grow their economies faster than we do.”
To support that claim, a Pritzker spokeswoman pointed us to five states — two with large populations and three that border Illinois — that levy their income tax at graduated rates and saw greater economic growth than Illinois over the past five years, according to federal data.
But that tiny sample overlooks what else those datasets show: GDP and employment increased at faster rates than Illinois’ in nearly every other flat-tax state as well, along with a number of states that levy no income tax at all.
Experts told us a graduated income tax is not likely to solve Illinois’ every economic ill, as Pritzker suggested, nor drive workers and businesses away in droves as critics of his proposal predict.
We rate Pritzker’s claim Half True.
#FacePalm
Dude, try to stick to the facts.
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* Rodney Davis e-mail to supporters…
Friend,
In downstate Illinois, we’re proud of our communities. We work hard, and we welcome everyone who obeys the law. Sanctuary Chicago has other ideas though.
That’s why Chicago Democrats want Betsy Londrigan elected. Her boss J.B. Pritzker - says Chicago should remain a sanctuary city forever and that we should defend all sanctuary cities everywhere. And they want her in office, so there’s no resistance to their plan to block law enforcement in downstate Illinois.
We cannot allow our communities to be made into “sanctuaries” for crime. Sanctuary cities are dangerous because they prevent the removal of criminals. If you agree, then sign your name now to oppose any extension of “sanctuary” status to downstate:
Chicago has always wanted to impose their will on us, and this time it’s no different. With the support of J.B. Pritzker, Betsy Londrigan wants to make us a vassal state of the city, and sanctuary status is just the first step.
Meanwhile, Eastern Bloc leader Rep. Brad Halbrook was on Fox News this morning. Click here to watch it.
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Our sorry state
Monday, May 20, 2019 - Posted by Rich Miller
* Moody’s…
Three years after our municipal finance analysts last evaluated U.S. states’ recession preparedness, Moody’s has published an update (attached) that looks at four fiscal and credit variables and determines how well states can weather a moderate recessions without significant adverse credit impact. Our new criteria shows 22 states strongly prepared for the next recession, with 26 states moderately prepared, and two – Illinois (rated Baa3/stable outlook) and New Jersey (A3/stable) – weaker in recession preparedness.
“While current economic conditions are strong, states are aware that a downturn will come eventually and are building reserves to prepare,” said Emily Raimes, Vice President and Senior Credit Officer at Moody’s. “While most states have healthy reserves and inherently strong fiscal flexibility, Illinois and New Jersey both have low levels of reserves relative to the potential revenue decline in our recession scenario. In addition, they both show weakness in their pension risk scores.”
Moody’s rated the states on the following credit factors:
Revenue Volatility – 25%
Coverage by Reserves – 25%
Financial Flexibility – 30%
Pension Risk – 20%
Moody’s adds that while fiscal expansions at the federal level has offset state revenue shortfalls in previous recessions, the economy will enter the next recession with less fiscal space than before the financial crisis. Wide federal budget deficits, a rising debt burden, and a polarized political environment have reduced the fiscal space of the United States (Aaa/stable) compared with its position before the most recent recession. The federal government therefore might not be in a position to help states in the next recession as it has in the past.
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* I’d really like to see Think Big spend some money on district-by-district polling, but here you go…
Today, Think Big Illinois released a new poll showing that marijuana legalization enjoys broad support from Illinoisans across the state. When asked whether marijuana should be legalized, taxed, and regulated just like alcohol, 60% support it, with 35% opposing. Support spans across the state – 60% in the city of Chicago, 68% in suburban Cook County, 60% in the Collar counties, and 54% Downstate.
“As discussions in Springfield continue surrounding marijuana legalization, it’s clear that Illinoisans are strongly in favor of legalization,” said Quentin Fulks, Executive Director of Think Big Illinois. “Legalization would help end the era of mass incarceration, while creating much-needed revenue for our state. Legislators should do what Illinoisans are calling for and enact this commonsense measure to make Illinois a more safe, just, and equal place for all our residents.”
* From the polling memo…
• Six out of ten voters support legalizing recreational marijuana, taxing it and regulating it (60% support vs. 35% oppose). Notably, a plurality of voters strongly supports legalizing marijuana (41% strongly support, 19% somewhat support, 7% somewhat oppose, 27% strongly oppose and 6% don’t know).
o What voters heard: Do you support or oppose legalizing recreational marijuana, taxing it, and regulating it just like alcohol? [IF SUPPORT/OPPOSE] Is that strongly or somewhat?
• Legalizing recreational marijuana enjoys broad support across the state.
o City of Chicago: 60% support vs. 33% oppose
o Cook County Suburbs outside Chicago: 68% support vs. 26% oppose
o Collar Counties: 60% support vs. 37%oppose
o Downstate: 54% support vs. 40% oppose
• Our findings are consistent with the recent independent Simon poll. Statewide, 66% of respondents favored or strongly favored legalization, while 32% opposed it, the Simon Institute poll found.
Interesting that support is stronger in the Cook County suburbs than in the city.
I take some issue with the question because the proposal on the table doesn’t regulate cannabis like alcohol. There is no three-tiered system (brewer, distributor, retailer), for example, and home grow is now imperiled.
Also, remember that it’s almost always unwise to directly compare one pollster’s results to another’s. The best practice is to average the results.
* Methodology…
Global Strategy Group conducted a statewide telephone survey between April 29, 2019 and May 1 among 802 Illinois registered voters. The survey had a margin of error of +/-3.5%. Care has been taken to ensure the geographic and demographic divisions of the population of registered voters are properly represented.
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Ethics bill starts to come together
Monday, May 20, 2019 - Posted by Rich Miller
* From the former Illinois News Network…
A package to address how ethics complaints against state lawmakers are handled at the Illinois statehouse is coming together, but it likely won’t include full independence for the legislative watchdog. […]
State Rep. Kathleen Willis, D-Addison, said she’s been working with various lawmakers and staff attorneys on an omnibus bill that will include rights for those alleging ethical violations.
“We just want to make sure that we’re not making a problem where there isn’t a problem and that we have a clear solution on how to go forward,” Willis said. […]
As to the ethics complainants’ rights provision, “we’re doing our best to do that,” Willis said.Willis said removing the requirement the Legislative Inspector General get permission to investigate certain allegations against lawmakers won’t be included in the package of ethics reforms.
“We’ve already cleared it for anything with sexual harassment, they do not need to [get permission], but other issues we understand the life of a legislator better than somebody else does,” Willis said.
State Rep. Anne Stava-Murray, D-Naperville, said she’s pleased complainants’ rights will be addressed in the package, but said that the Legislative Inspector General should be made fully independent.
“I think that an inspector general, it’s their job to know the lives of legislators, and so if they’re going to investigate it they probably have enough of an idea whether or not something should be investigated,” Stava-Murray said.
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Chuck Sweeny
Monday, May 20, 2019 - Posted by Rich Miller
* Chuck was an unapologetic Rockford booster, a smart and unreformed curmudgeon and a friend and mentor to many. He cannot ever be replaced…
Longtime Register Star reporter and columnist Chuck Sweeny died early Monday after collapsing at home.
Sweeny, a Rockord native, was 70.
* React is starting to roll in…
Rep. Cheri Bustos (IL-17) offered the following statement:
“My heart aches for the Sweeny family, the staff at the Register Star and the city of Rockford – what a loss. Chuck was a pillar of the Rockford community and truly served the public through journalism. With his columns, Chuck never held back and always called it how he saw it – he was candid, colorful and fair. Gerry and I send our deepest condolences.”
* And…
This post will likely be updated.
* Sen. Stadelman was a former Rockford TV anchor…
State Senator Steve Stadelman issued the following statement regarding the passing today of veteran Rockford Register Star political columnist Chuck Sweeny:
“Having worked with Chuck for many years as a fellow journalist and more recently as an elected official, I saw from more than one perspective that his reporting and commentary was insightful, fair and incredibly well sourced. As a reader, I always appreciated his ability to inject humor into the often tense public discourse. Like any good newsman, Chuck would not use the word ‘institution’ lightly. But through decades of helping the public understand government, local history and the civic issues of our times, he was just that — a Rockford institution.”
* RRStar…
Sweeny was also a musician and had played electric piano in several bands that performed around the region. Ron Holm, who played in an Americana rock ‘n’ roll band with Sweeny in the 1970s and 1980s, said if Sweeny heard a tune on the radio, he would “just play it. He was utterly remarkable; he performed by ear.”
Cherene Sweeny, Sweeny’s wife, said she’ll miss conversations with her husband — “all the political and national issues. He liked to read about everything. And Rockford was really important to him.”
Sweeney’s younger sister, Mary Douglas of Carol Stream, said her brother “just remembered everything.” And she remembered his fondness for trains. “He had a model train in the basement” when they were kids growing up in Rockford, she said.
Scott Christiansen, former Winnebago County Board chairman, said Sweeny was fair in his editorial coverage. “Let’s just say we would argue some, but I never felt he was totally unfair. If he disagreed, he would still tell the other side.”
* Gov. Pritzker…
“Today we mourn the loss of a beloved figure in Illinois’ journalism community. I am deeply saddened to learn of the passing of Chuck Sweeny, who dedicated his life to his hometown paper for over three decades.
“Chuck tackled issues at every level of politics: no issue was too small to matter or too large for dissent. He was courageous in his advocacy and steadfast in his passion for Illinois. My heart goes out to the city of Rockford and the Register Star family as they grieve one of their finest.”
* Comptroller Mendoza…
The Rockford area needs strong advocates and Chuck Sweeny rose to the occasion. You did not need to agree with all his columns to respect the passion he brought to his job. He asked good questions when I visited the Register-Star’s editorial board. I send my most heartfelt condolences to his family, his friends and his fans.
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* Capitol News Illinois…
Illinois House Republican leadership will brief their members Monday on a balanced budget proposal that they say the governor’s office won’t listen to, according to an internal caucus memo obtained by Capitol News Illinois on Friday.
“While Governor Pritzker has been occupied hosting cocktail parties, the House Republican Caucus budget team has been working diligently to ensure we are on sound footing offering a budget plan that doesn’t rely on additional tax increases on Illinois families and small businesses,” Deputy Republican Leader Tom Demmer, of Dixon, said in the memo. […]
A one-page summary of the House Republican budget also includes a one-time fund sweep of $375 million from an income tax refund fund, as well as $175 million from a Pritzker-backed plan to incentivize the payment of delinquent taxes. The proposal also includes $212 million in revenue from a state sports gambling expansion.
Steve Brown, a spokesman for House Speaker Mike Madigan, D-Chicago, called the recent news conferences “mumbo jumbo” and pointed to the working groups as ongoing bipartisan budget negotiations.
“Republican leadership probably needs to be checking with their colleagues because as far as I know Republicans have been in all of the budget working groups that have been meeting both on the budget and on capital. I don’t know why they’d feel like they’ve been excluded,” Brown said. “I know the governor is talking with Republicans, so I’m not really clear what they’re being left out of. I don’t really think there is anything but we’re always happy to have their ideas and, hopefully, their support for the budget that gets put together.”
They’re proposing to use a one-time $375 million sweep to fund permanent spending, which is done a lot, but is never a good idea. You gotta replace that money the following year.
* Related…
* Parents of students getting private school scholarships lobby lawmakers to keep program: Lilia Guevara’s 13-year-old son is going to San Miguel school in Chicago’s Back of the Yards neighborhood. She said her visit with her representative, Democrat Theresa Mah didn’t go well but her Senator, Tony Munoz, was very receptive.
* ‘Tax holidays’ for gambling in Illinois have gone on too long
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Capital bill roundup
Monday, May 20, 2019 - Posted by Rich Miller
* Hannah Meisel at the Daily Line takes a deep dive into the newly proposed capital bill…
RTA Chair Kirk Dillard, a former GOP state senator from Hinsdale, told The Daily Line Friday that mass transit should get approximately one-third of all transportation dollars, and suggested unions who are weighing in on the process would be smart to advocate for more money for mass transit.
“The building trades — electricians, ironworkers, carpenters — ought to take note if they want full employment, 85 percent of new construction within the last decade took place within half a mile of mass transit,” Dillard said. “The best possible investment for organized labor is mass transit.” […]
[Local 150 spokesman Ed Maher] said he wouldn’t be surprised to see mass transit’s funding figure increase as the capital bill moves through the legislative process. […]
But one of the larger tax increases is on alcohol. Under Friday’s framework from the governor’s office, the state would raise $120 million per year by increasing the liquor gallonage tax on beer and cider from the current 23.1 cents to 27.7 cents, from the current $1.39 on wine to $2.05 and from the current $8.55 on distilled liquor to $12.60.
Pat Doerr, the managing director of the Hospitality Business Association of Chicago, told The Daily Line Friday that the proposed tax hike would take Chicago’s already highest-in-the-midwest tax on booze to even new heights roughly after a trifecta of tax increases at the state, county and city levels within the last 12 years.
Lots more in there, so click here.
* Senate Republican Leader Bill Brady seemed upbeat on Friday, but one of his members was definitely not…
Republican Sen. Dan McConchie of Hawthorn Woods said he was “shocked” at the administration’s capital proposal, which he said doesn’t reflect what he’s heard in hearings and closed-door meetings.
“I’m not sure of anybody in my party that could support a package of this size with those taxes that are laid out there like that,” he said.
Pritzker’s outline includes doubling the state gas tax to 38 cents per gallon from 19 cents; tiered increases in vehicle registration fees based on the vehicle’s age; a $250 annual registration fee for electric vehicles; a $1-per-ride tax on ride sharing; and a 7% state tax on cable, satellite and streaming service.
Other taxes being discussed include a new 6% tax on daily and hourly garage parking, a 9% tax on monthly and annual garage parking, and an increase in taxes on manufacturers and importing distributors of beer, wine and spirits.
* Related…
* Pritzker Proposes Massive Building Plan, And The Tax Increases To Pay For It: Reaction from interest groups was generally positive on the spending side, but with reservations about taxes. “One particular concern in the governor’s plan is the reliance on a new media streaming tax for non-transportation construction,” Illinois Chamber of Commerce President Todd Maisch said in a statement. “The Chamber believes this will be an unreliable foundation for funding because it will be complex, unpopular and possibly unconstitutional.”
* Gov. Pritzker Includes $1B For I-80 Upgrades In Proposed Budget: This news may mean that I-80 won’t need to become a toll road after all.
* “Rebuild Illinois”: Gov. Pritzker’s $41.5 billion capital spending plan in the making: Senator Dave Koehler (D-Peoria) says the new plan is exciting, but he hoped it could have come sooner to allow more work to be done on roads and bridges. “We’ve kind of missed the construction season this year. We should have done this in February if we were going to actually be relevant to this year,” said Koehler. “But it’s important we do it right, we do it thoroughly.”
* Health leaders ask for safety net hospital funding in the capital bill: “Our safety net hospitals and our community health centers across the state do not have the resources to make capital improvements to transform our delivery systems to address the breadth of health care needs that exist today.” Larry McCulley, Chair of IPHCA’s Board of Directors.
* Illinois road plan would mean tax spike booze, streaming media services: Associated Beer Distributors of Illinois President Bob Myers said he was surprised by the proposed increase, which the organization opposes. “Everybody just looks at the state tax, but if you take into consideration the city of Chicago tax, and the Cook County tax, those folks in that area are paying 61 cents per gallon for their beer, so you add another 4.6 cents per gallon and obviously everybody is paying more,” Myers said.
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Cannabis roundup
Monday, May 20, 2019 - Posted by Rich Miller
* By far the most troubling aspect of watching the cannabis legalization bill this year is the willingness of the opposition to just make stuff up. The majority of their arguments against the bill are little more than bogus fear-mongering.
Whether it’s foreign drug cartels descending upon Christian County, or how weed consumption causes irreversible, untreatable ED, or whatever, the level of anti-Reefer Madness is, well, maddening.
* The rampant misinformation is contributing to the trend of pundits declaring the proposal to be on life support. Finke…
It’s a lot to digest, especially in the context of everything else that’s going on. At this point, recreational cannabis may be the Pritzker agenda item most likely to be postponed until later.
Politico…
At this point, Illinois appears to be the best bet for getting a full legalization bill across the finish line, but it’s still iffy with two weeks left until adjournment.
* The latest from the Chicago Tribune’s editorial board is a good example of fear-mongering…
But we’ve said the right approach for lawmakers was to take their time, thoroughly examine the experience of other states that have completely legalized cannabis and consider how to minimize unwanted consequences. Nothing we have seen in this legislative session in Springfield has diminished the attractions of the slow road.
And yet, they do not critique a single line from the proposed Illinois legislation. Instead, they pull out stuff like this…
One argument for legalization is that it would kill off the black market — channeling sales through regulated suppliers and yielding tax revenue to the state. But things haven’t gone as planned in California, which opened up legal commerce at the beginning of 2018. Experts say that the black market still accounts for up to 80 percent of sales.
OK, but how will Illinois’ proposal turn us into California? The Tribsters don’t say. They just try to scare people.
* But if they can drag out California, I can drag out Colorado. A report released last August by the Colorado Department of Revenue’s Marijuana Enforcement Division stated this…
Colorado’s preexisting illicit marijuana market for residents and visitors has been fully absorbed into the regulated market
People have been growing and/or selling weed in tourist-heavy Colorado for at least half a century, long before the 2011 legalization. So, eliminating the domestic illicit market in six years is quite an accomplishment. The criminal networks remain, the study found, but those networks focus on exporting to states that have not yet legalized the product. You know, states like, well, ours.
The only way we’re going to stamp out these vast and entrenched criminal networks is through thoughtful, effective legalization. If the Tribune has some ideas to add to or subtract from the bill, then it should speak up. The bill’s drafters have based their language on what has worked and what hasn’t worked in states like California and Colorado (among others). I disagree with some of their ideas, like allowing prohibitionist municipalities to opt out, which, as California discovered, helps existing criminal networks operate without competition. I highly doubt the Trib and its followers would support an opt-out ban to stamp out illegal sales, and you gotta pass a bill to make a law so opt-out remains.
* Former Colorado Department of Revenue Executive Director Barbara Brohl sent a memo to some Illinois legislators recently after being contacted by a reporter who wondered why law enforcement in Boulder had told him there was still a black market in that state. Here’s an excerpt from what she says she told him…
1. There are opponents and proponents to legalization and that it is important not to rely on anecdotal information, but to rely on actual studies, like the ones that the [Colorado Department of Revenue’s Marijuana Enforcement Division] has commissioned.
2. While the Colorado demand is satisfied by the regulated industry, there is still a black market in Colorado that is growing unlawfully and shipping out of state. I explained that in the last couple of years there have been a number of busts by law enforcement because there has been more focus on them and that the state legislature had officially capped the number of plants that could be grown in any one residence to 12 (thus a bright line test for law enforcement), and had appropriated funds from the marijuana tax fund to local law enforcement to increase resources to go after these unlawful grows (thus increasing the number of busts).
3. That taxation has not been a deterrent to consumers purchasing in the regulated environment. Consumers appear to be more interested in:
* Purchasing legally (remember purchasing from your neighbor is still illegal).
* Purchasing in a place that is safe - well-lit, security, etc.
* Purchasing product that is safe - tested for potency, homogeneity, mold, microbials, contaminants, pesticides, etc.
* Purchasing product that is clearly dosed and marked.
Those last four dot-points are crucial.
Think about beer. American beer consumers take it for granted that the brew they drink today tastes the same as it did the last time they drank it. They naturally expect breweries are regulated enough so consumers are always drinking quality, uncontaminated products. And they have long been able to see how potent a beer is by casually glancing at the label.
Right now, under the black market, none of that is possible.
And imagine if every time you wanted a beer you had to find a lawbreaker who was willing to sell it to you. Maybe you get cheated or robbed or arrested, or at least forced to hang out with shady mopes. And if you do succeed, you could very well be funding an often violent national criminal network. And then you have to worry about getting busted while carrying it around. Is it any wonder why people don’t mind paying taxes to purchase and possess a legalized product?
* Related…
* Illinois expungement proposal for pot convictions one of nation’s broadest: Illinois would go farther than California in at least one respect when it comes to helping people clear records and reduce barriers to employment, education and housing, O’Keefe said.
* Archdiocese opposes legal pot — so does drug firm where top church executive works: Betsy Bohlen received $145,000 in compensation while on the board of Insys Therapeutics, an embattled pharmaceutical company that has said legal marijuana could hurt its profits.
* Sen. Linda Holmes: Facts vs. fear in legalization debate: After four years of inaction, Springfield is finally having serious conversations about fixing our financial problems, reforming the criminal justice system, and improving safety for people of all ages. Legalizing cannabis makes inroads in all three areas.
* Moylan: Don’t boost another addiction-for-profit industry
* David L. Nathan, Doctors for Cannabis Regulation: Cassidy is right: Teen cannabis use is down since pot legalization: As physicians, we follow the best scientific evidence, not cherry-picked data. The people of Illinois deserve to know the facts. It’s time for Illinois to join with the growing number of states that recognize that the legalization, regulation and taxation of adult-use recreational cannabis promotes public safety, while its prohibition hinders it.
* Ammons Wants Stronger Reforms In Cannabis Bill: “If I have a marijuana charge, and I may have robbed a bank and they found a little marijuana on me, and they charged me with that up-charge. Take away the marijuana charge. I’ll still deal with the bank robbery,” she said.
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* My weekly syndicated newspaper column…
If you want to see how times have changed this legislative session, take a quick look at Senate Bill 1591.
The Illinois and Chicagoland chambers have been pushing legislation all session to offer state incentives to data centers. A data center basically stores massive amounts of electronic information. Illinois has been a national leader for data center locations because the Chicago region is a national Internet hub, connecting the country’s east and west, and has a reliable and plentiful electricity supply. Only two states, Virginia and Texas, have more data centers.
While companies have continued building lots of new data centers in and around Chicago at an aggressive pace, they started having trouble filling them last year because other states have been so aggressively recruiting the facilities. Apple, one of the richest corporations in the world, snagged a $208 million tax break to build a $1.3 billion facility in Iowa.
So, the chambers and others decided to propose incentives to protect what Illinois already has and spur some new growth. SB1591 provides exemptions from and credits for a host of state and local sales and use taxes to lower costs for building and running large data centers (including the massive amounts of electricity they use) with at least $250 million in capital investment and 20 full-time employees.
The measure was not gaining a lot of traction and then proponents asked the construction unions to chat. The unions listened and suggested some changes to make the bill more labor friendly.
The unions recommended an amendment containing “responsible bidder” requirements, which assure that the contractors meet certain levels of qualifications (and that usually means unionized workers). The provision was added, as were Project Labor Agreements, which require building contractors to enter into labor agreements before commencing work. An income tax credit was also added for projects in areas hit hard by poverty and unemployment.
All of a sudden, the bill took off. Senate Republican Leader Bill Brady, who has been looking for union support ever since anti-union Gov. Bruce Rauner was defeated, even signed on as a co-sponsor. The bill sailed out of the Senate on a unanimous roll call.
This development would have been unheard of during the past four years. It’s not that Rauner was totally averse to subsidies, but he staunchly opposed things like responsible bidder requirements and PLAs. And Brady wouldn’t have dared crossed Rauner by signing onto a bill like that because Rauner never would’ve forgotten it.
One of the best ways to get a bill rolling this year is to invite organized labor into the mix. Not only can it help pass a bill because both Democratic legislative leaders are trying to do whatever they can for unions after four years of Rauner’s attempts to destroy them. The support can also help convince Gov. J.B. Pritzker to sign it into law. This data center bill is just one example of many. At last check, people pushing a bill to regulate coal ash were trying to figure a way to bring the unions in to counter the industry’s pushback.
This is a big reason why securing labor’s endorsement of the cannabis legalization bill is deemed so crucial by some, even if some proponents were initially resistant.
If you look at Rep. Marty Moylan’s, D-Des Plaines, House resolution urging the General Assembly to slow down the legalization process, you’ll see a bunch of pro-union Democrats are co-sponsors, including Reps. Natalie Manley, Monica Bristow, Bob Rita, Katie Stuart and Fran Hurley, to name just a few. Not to mention that Rep. Moylan himself has been consistently endorsed by labor over the years.
Make this bill a union priority and you attract votes, or at least you make it more difficult for pro-union legislators to oppose it.
There is one big downside. African American and Latinx legislators have been battling with the predominantly white trade unions for years to integrate their memberships. There’s a reason why that income tax credit for impoverished areas had to be added to the data center bill when labor signed on. And the unions’ entry into the cannabis legalization movement was not exactly met with joy.
However, some very wealthy companies are descending upon Illinois to get a piece of the legalization pie and a good argument can be made that this state needs to make extra sure it doesn’t hand out licenses to print money to employers who pay their workers a pittance and only offer folks part-time jobs without benefits.
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Walter Burnett’s son sworn into the House
Friday, May 17, 2019 - Posted by Rich Miller
[Comments are now open on this post.]
* Mark Brown…
A group of Democratic ward committeemen set aside questions of nepotism, residency and turf Friday to choose Ald. Walter Burnett’s son as the newest state representative on the city’s West Side.
Jawaharial “Omar” Williams, 44, a laborer in the city’s Department of Water Management, was selected over seven other candidates vying to occupy the Illinois House 10th District.
The vacancy was created by the election of Rep. Melissa Conyears-Ervin to the post of city treasurer.
Conyears-Ervin is married to Ald. Jason Ervin, the 28th Ward alderman and Democratic committeeman, who objected to Williams’ selection and tried to advance a “placeholder” candidate who would not run for re-election next year.
…Adding… A follow-up story that focuses on the nepotism of Chicago politics and Williams’ appointment ends this way…
Among the other candidates who presented their credentials Friday, probably the most prominent was WVON radio host Maze Jackson, best known for his catchphrase: “What’s in it for the black people?”
Jackson, a veteran political strategist and lobbyist who like Burnett got his start in White’s organization, said he plans to be a candidate for the seat next year, and if elected, intends to continue hosting his radio show.
That would be different.
Jackson, by the way, is married to Metropolitan Water Reclamation Commissioner President Kari Steele. She is the daughter of former 6th Ward alderman and state appellate court justice John Steele.
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What Is The Credit Union Difference?
Friday, May 17, 2019 - Posted by Advertising Department
[The following is a paid advertisement.]
It’s simple. Credit unions are member-owned, so any earnings are simply returned in the form of lower loan rates, higher interest on deposits and lower fees. Credit unions create a fair financial alternative for the taxpayers of Illinois. Credit unions are not-for-profit financial cooperatives that don’t focus on increasing revenue or paying dividends to outside stockholders. Illinois credit unions are focused on the member-owners we serve. Visit www.YourMoneyFurther.com to learn more about the benefits of credit union membership.
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Question of the day
Friday, May 17, 2019 - Posted by Rich Miller
* Friday afternoon and I’m running out of brain power. So let’s do an Illinois-centric open thread. Be nice to each other, please.
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Capital plan react
Friday, May 17, 2019 - Posted by Rich Miller
* I’m told the Senate Transportation Committee Chairman was invited to every capital bill working group session, but chose not to attend until today’s unveiling…
State Senator Martin A. Sandoval issued the following statement in response to the Pritzker administration’s early draft of a construction program.
“We’ve been eagerly awaiting a framework from the Pritzker administration. As the Senate has gone around the state and led this bipartisan effort, there have been many changes, and I expect many more to come. What you have here is an early draft of what a framework could look like. Going forward, I hope the governor’s as committed as I’ve been to an open, bipartisan process.”
* Chamber…
“We appreciate that the Governor’s Office has begun their capital conversation in earnest with a specific revenue and spending package, some of which the business community supports,” said Illinois Chamber of Commerce President and CEO Todd Maisch. “We are encouraged to see some of the ideas the Illinois Chamber has promoted included in their plan. However, most of the revenue in the governor’s proposal is not new revenue for additional maintenance and new projects, but rather existing state, federal, and local sources that were already planned. We look forward to learning more about all proposals and working towards a bipartisan solution.”
“One particular concern in the governor’s plan, is the reliance on a new media streaming tax for non-transportation construction. The Chamber believes this will be an unreliable foundation for funding because it will be complex, unpopular and possibly unconstitutional.”
The streaming and satellite taxes are gonna be a big lift.
This post will likely be updated.
* Sun-Times…
Steve Brown, spokesman for Illinois House Speaker Mike Madigan, called the proposal “another good step.”
“House caucuses will continue to work with [the] Governor to put out a plan that creates jobs and reverses neglect,” Brown said in a statement.
Others weren’t so happy with the nearly $1.78 billion in proposed new or higher taxes.
“I oppose this plan because it includes massive tax hikes, including a gas tax increase, streaming tax and real estate transfer tax,” State Rep. David McSweeney, R-Barrington Hills said. “We need a capital bill, but it should be funded by issuing bonds supported by a stream of future cash flows from sports gambling revenues and potentially the prudent expansion of some other existing kinds of gambling.”
* Crain’s…
The biggest income producer in that list is the ride-hailing tax, which would generate a projected $214 million a year, followed by the cable/satellite tax at $150 million and a new gallonage tax on liquor that would pull in $120 million. The booze levy would raise current levies by up to 50 percent, with the tax on wine, for instance, going up 66 cents on top of the current $1.39 a gallon.
Lobbyists for the affected industries already are objecting, and the plan almost certainly will change if it passes at all. But it’s been a decade since the state adopted a capital plan, and there’s a huge thirst for one in Springfield.
* Senate Republican Leader Bill Brady…
Members of my caucus, who were part of the capital working group, received a briefing on the governor’s proposal this afternoon. We look forward to these discussions continuing as we work toward a plan that addresses our state’s critical infrastructure needs and creates jobs.
* Build UP Illinois…
The Build UP Illinois coalition applauds Governor Pritzker for putting forth a construction plan that balances the need for maintenance and repair to our roads, bridges, schools and state facilities with new investment for campuses, hospitals and emerging technologies. A plan of this size will create thousands of new jobs, support hundreds of thousands of existing jobs and provide a major economic boost to our local economies. While not a finished product, coalition members will continue our efforts to assist lawmakers and the governor in seeing a capital plan to the finish line.
* IMA…
The Illinois Manufacturers’ Association (IMA) released the following statement today in response to Gov. JB Pritzker’s preliminary capital infrastructure proposal:
“Illinois’ infrastructure is crumbling, and we applaud Gov. JB Pritzker for his desire to invest in our roads and bridges, strengthen career and vocational education opportunities and further develop our rail, air and waterways,” said Mark Denzler, president and CEO of the Illinois Manufacturers’ Association. “Manufacturers share the goal of creating modern, updated infrastructure to better move people and products around the world. However, this must be achieved through responsible funding solutions. We look forward to working with the governor and lawmakers to help craft a balanced capital bill.”
* SJ-R…
Sen. Andy Manar, D-Bunker Hill, who’s been involved in negotiating the capital plan, said the proposal “clearly lays out a path forward,” but said there is still work to be done on the revenue ideas.
“There’s no such thing as an easy revenue vote, so they’re all challenging,” Manar said. “I don’t interpret the plan the governor laid out today as the final plan, nor was it described as such.”
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It’s just a bill
Friday, May 17, 2019 - Posted by Rich Miller
* Capitol News Illinois…
A bill that would ban for-profit immigrant detention centers in Illinois is on its way to Gov. J.B. Pritzker.
The Illinois Senate voted 34-14 on Thursday to pass House Bill 2020. It passed the House on April 10 by an 85-26 vote.
The bill would prohibit the state or any local unit of government from entering into any agreement to detain people in privately-owned facilities. It also prohibits them from spending any money to subsidize or defray the costs of developing or operating one. […]
The bill was introduced in response to a proposal to build a private federal detention center in the village of Dwight, about 80 miles southwest of Chicago.
* Let’s now move on to HB822…
Allows a school to maintain a supply of glucagon in any secure location that is immediately accessible to a school nurse or delegated care aide
Dusty Rhodes has the story of how this bill came about…
Last year, a school nurse in East Moline faced a moral dilemma when a diabetic student lost consciousness in her office. Now she’s trying to make sure no other school nurse has to face the same tough choice.
Low blood sugar can usually be cured with orange juice and a granola bar. But those snacks and glucose tabs weren’t helping the 7th grader sitting in Jennifer Jacobs’ office.
Go read the whole thing. You’ll be glad you did.
And now let’s move from “What a great story!” to “What the heck?”
* Sinclair Broadcast Group’s News Channel 20…
A bill that would allow food stamp recipients to use SNAP vouchers at restaurants now heads to the governor’s desk.
The bill has passed both Illinois chambers. It now awaits Governor JB Pritzker’s signature.
HB3343, also known as the ‘Restaurant Meals Program’, would expand the options for food stamp users by allowing them to eat at certain restaurants.
Scroll down…
Only SNAP benefit recipients who are disabled, elderly or homeless would qualify for the program.
The photo at the top of the story shows healthy-looking, non-elderly, likely not homeless black people having drinks with their food at a nice restaurant…
Do better.
* Other stuff…
* Low Tax Rates ‘Key’ For Sports Betting Success In Illinois
* IL Lawmakers Approve Expanding MAP Grant Eligibility
* Democratic legislation would take appointments away from GOP county board chairman: If Hoffman’s measure goes through, it would lead to Granite City, a traditionally Democratic area, to having its mayor on the sanitary board, and setting up Democratic control of the board.
* McSweeney’s township consolidation bill heads to Pritzker’s desk for consideration
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*** UPDATE *** Click here for the full briefing.
[ *** End Of Update *** ]
* The governor’s preliminary draft of the capital plan pitched to lawmakers today includes numerous proposed tax and fee increases and some brand new taxes. Some of these ideas are more likely than others to pass.
The packet distributed to members today claims the proposal will include a “combination of bonding and consistent, annual pay-as-you-go funding.”
…Adding… Total bonding over six years will be $17.807 billion. Total pay as you go will be $7.035 billion over six years. Total federal money is banked at $10.032 billion. Local/private share is listed as $6.642 billion for a grand total of $41.515 billion over six years.
A proposed motor fuel tax increase of 19 cents per gallon for gas and diesel, double what it is now. The increase is lower than both the Local 150 plan and the Illinois Chamber plan (both were 25 cents). $560 million a year.
The current $101 a year vehicle registration fee would go to $199 for vehicles 3 years old or newer, $169 for vehicles 4-6 years of age, $139 for vehicles aged 7-11 years, and $109 for vehicles 12 years and older. Kind of a progressive tax without using auto values. $490 million a year.
The registration fee for electric vehicles is now $34 per vehicle and would rise to $250 per year. $4 million a year.
The Real Estate Transfer Tax (for non-residential transactions) would rise from 50 cents per $500 in market value to $1. The fee hasn’t been changed since 1989. $34 million a year.
Current liquor gallonage taxes are 23.1 cents on beer and cider, $1.39 on wine, and $8.55 on distilled liquor. The new proposal would increase the rate per gallon by 4.6 cents, 66 cents, and $4.05, respectively. $120 million a year.
Currently, traded-in property provides a sales tax exemption on the purchase of property up to the value of the property traded-in. This proposal would introduce a $10,000 cap per trade-in transaction. $60 million a year.
The video gaming terminal tax is currently 30 percent of net. According to the draft: “The structure for this proposal is to be determined, but a portion of the revenues from the current discussions to restructure this industry can be allocated to the capital budget, on top of operating budget needs.” $90 million a year.
A new state tax on ridesharing of $1 per ride. $214 million a year.
A new 7 percent tax on cable, satellite and streaming services (an almost perennial proposal that has never passed). $150 million a year.
A new parking garage tax of 6 percent tax on daily and hourly garage parking and a 9 percent tax on monthly and annual garage parking. $60 million a year.
Total: $1.782 billion a year.
Your thoughts?
…Adding… Many of these ideas were not generated by Pritzker or his staff, but came from the working groups, some of which were bipartisan.
* Related…
* Report: Bad Roads Cost Illinois Drivers $18.3bn
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*** UPDATE *** Click here for the full briefing.
[ *** End Of Update *** ]
* I’ll get to how they hope to pay for this in a moment, so let’s look at the spending now. The brand name is “Rebuild Illinois.” I’m told that everything is open for negotiation. These projects do not include reappropriations (appropriated in earlier years, but the money wasn’t spent)…
Transportation: $28.6 billion
• Nearly $11 billion in Multi-Year Plan roads and bridges
• Over $12 billion in new roads in bridges
• $3.4 billion in mass transit
• $442 million for the Chicago Region Environmental and Transportation Efficiency Program (CREATE)
• $769 million in rail
• $478 million in aeronautics
• $607 million for miscellaneous transportation
Education: $5.9 billion
• $2.4 billion in higher education, including deferred maintenance and new projects at public universities and community colleges
• $3 billion for school construction
• $111 million for early childhood education
• $400 million for school maintenance
State Facilities: $4.4 billion
• $4.4 billion in statewide deferred maintenance and state facility projects
Environment/Conservation: $1 billion
• $140 million for renewable energy projects, including solar and energy efficiency upgrades at state facilities and transportation electrification in low-income communities
• $873 million for environmental, conservation, and recreation projects, including:
o $100 million for unsewered communities
o $75 million for park and recreational facility construction
o $31 million for flood mitigation
o $22 million for dam and waterway projects
o $20 million for conservation reserve enhancement
o $29 million for Illinois green infrastructure grants
o $290 million for hazardous waste
o $92 million for ecosystem restoration
o $25 million for land acquisition
o $150 million for water revolving fund
o $39 million for well plugging
Broadband Deployment: $420 million
• $400 million for statewide broadband expansion
• $20 million for Illinois Century Network
Healthcare and Human Services: $440 million
• $175 million for affordable housing
• $50 million for community health centers
• $200 million for hospital and healthcare transformation
• $15 million for human services grant program
Economic and Community Development: $711 million
• $145 million for public infrastructure
• $240 million for community development
• $101 million for economic development
• $50 million for prime sites
• $35 million for ports
• $25 million for education and scientific facilities
• $50 million for economically depressed areas
• $50 million for emerging technology enterprises
• $15 million for Minority Owned Business Program
* More highlights…
Northern Illinois
I-80: $1.01 billion for Interstate 80 from Ridge Road to US 30 (Lincoln Highway) in Will County for reconstruction of 16 miles, construction of auxiliary lanes, and replacement of the Des Plaines River bridges, including pre-construction items. Interstate 80 is included in the primary freight network and carries 23 percent of truck traffic on this corridor.
IL 47 in McHenry County: $57 million for IL 47 in McHenry County from north of IL 120 (McHenry Ave) to US 14 for construction and improvements. Widening IL 47 is key to creating economic growth by enhancing mobility, fixing infrastructure, and improving safety in Woodstock and McHenry County. This section of IL 47 from US 14 to IL 120 has the highest existing traffic along the entire corridor and some of the highest crash rates.
Transit: $2.87 billion for the Regional Transportation Authority (RTA), which is one of the largest transit systems in the nation and includes the Chicago Transit Authority, Metra, and Pace.
Rail: $225 million for the Chicago to Quad Cities Intercity Passenger Rail project, which aims to restore service in the Quad Cities and improve connectivity between major Midwest cities. The project consists of reintroducing twice-daily round-trip service between Chicago and Moline, with a new intermediate stop in Geneseo, after a 30-year absence of service on this corridor. Other stations served will include Princeton, Mendota, Plano, Naperville, LaGrange, and Chicago Union Station.
Central Illinois
I 55/I 72 in Sangamon County: $135.4 million for Interstate 55/Interstate 72 in Sangamon County. The reconstruction of this interchange will reduce congestion where the two interstates meet.
Downstate transit: Transit districts outside of the RTA will share in $319 million to maintain and improve their systems.
New projects at universities: New science buildings at Western Illinois University and Eastern Illinois University, deferred maintenance and programmatic funding for University of Illinois, Champaign, Milner Library rehabilitation at Illinois State University, Library Learning Student Success Center at University of Illinois Springfield, and a math, statistics, and data science collaborative facility at University of Illinois at Urbana-Champaign. […]
Veterans’ Home Campus Reconstruction. The Quincy Veterans’ Home is the oldest and largest veterans’ home in Illinois, consisting of approximately 37 buildings constructed between 1886 and 2002. It is home to more than 380 veterans and seniors and employs more than 500 direct care and support staff. The scope of work for construction of a new nursing home and domiciliary on the Quincy Veterans’ Home campus provides for additional beds.
Southern Illinois
US 40/Illinois 33/Fayette Avenue: $61.2 million for US 40/Illinois 33/Fayette Avenue in Effingham County. This segment of roadway in Effingham carries 14,000 vehicles daily with nearly 9 percent being truck traffic.
Delhi Bypass: $24.4 million a new 4-lane roadway that will re-route US 67 to the east of Delhi. Existing US 67 is a rural 2-lane road built in the 1940’s with an Average Daily Traffic (ADT) of 11,000 vehicles per day including 1,000 heavy vehicles. The Bypass will extend the 4-lane section, tying in to recently completed 4-lane sections of US 67 to the south. […]
New projects at universities: Deferred maintenance and programmatic funding for Southern Illinois University, communications building at Southern Illinois University at Carbondale, and a health sciences building at Southern Illinois University at Edwardsville.
Chicago
CREATE: $350 million in new funding for the Chicago Region Environmental and Transportation Efficiency (CREATE) Program to complete the 75th Street Corridor Improvement Project and adjacent corridors to prevent costly delays in rail travel. Chicago is the nation’s busiest rail freight gateway and the world’s third largest intermodal port. One-quarter of our nation’s rail-shipped goods and products move to, from, or through Chicago.
New projects at universities: Simulated hospital/nursing Lab at Chicago State University, extension of an academic building at Governors State University, renovation, remodeling, and expansion of the Carruthers Center for Inner City Studies and the performing arts building at Northeastern Illinois University, deferred maintenance and programmatic funding for University of Illinois, Chicago, and a computer design research and learning center at University of Illinois, Chicago. […]
Cook County Public Health Laboratory: $126 million for the Illinois Department of Public Health for a new Cook County Public Health Laboratory. The IDPH laboratories are the backbone of many public health functions and provide unique and essential testing and surveillance. The Chicago facility is the state’s largest, but has deteriorated over the past four decades, jeopardizing the state’s ability to respond to public health issues. Funding will allow CDB to construct a new, state-of-the-art facility.
Lots of projects for community colleges, but there were so many I decided to leave them out of this already long post.
…Adding… The claim is 540,000 jobs, but that includes “direct, indirect and induced.”
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…Adding… IDOT goofed, but the sentiment still stands…
* Illinois is the crossroads of America. We’re a top Internet hub connecting east and west. Our massive rail network and our largest airport are vital to the nation’s economic strength. And our highway network has long been a boon to interstate commerce.
So, this sort of thing must not be allowed to happen…
* This is the same bridge we discussed back in February…
Interstate 80 motorists last week started seeing billboard warnings about the Des Plaines River bridge, courtesy of a construction workers union.
The electronic billboard messages come after news last week of inspection reports that rated bridge conditions as critical and intolerable. […]
One says, “Cross bridge at your own risk.”
The other says, “Bridge ahead in critical condition.”
The I-80 bridge in Joliet is “among the worst in Illinois. It’s certainly in the top 10,” said Edward Maher, communications director for Countryside-based Local 150 of the International Union of Operating Engineers.
I’m hearing lawmakers are being briefed on the governor’s capital bill proposal today. You’ll know more when I know more, but from what I’m hearing it’s pretty big.
* Hannah Meisel at the Daily Line…
Gov. JB Pritzker’s office was the catalyst behind labor group AFL-CIO Illinois putting together a coalition to push for “vertical projects” — that is schools, public buildings and hospitals — to be included in a final capital bill, sources said.
Three sources confirmed to The Daily Line this week that Pritzker’s office set in motion the formation of Build Up Illinois, a coalition of 45 universities, health, housing and education associations and unions from around the state with vested interests in a “vertical” component to the first capital bill in a decade.
It’s unclear what Build Up Illinois’ members’ final request will be for capital funding. In deferred maintenance needs alone, the coalition points to a combined $23.9 billion for just public universities, elementary, middle and high schools and state facilities. But the coalition is also vying for money for private universities, affordable housing, hospitals and veterans’ homes, which would include brand new construction.
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Budget roundup
Friday, May 17, 2019 - Posted by Rich Miller
* Subscribers know more…
With only two weeks remaining in the 2019 regular session, Democrats in the Illinois House say they are close to securing the 71 votes needed to pass one of Gov. J.B. Pritzker’s top priorities, a constitutional amendment to overhaul the state’s income tax system.
“I think we are rapidly closing in on 71, and I’m confident the governor will, with the personal meetings he’s having with members, get us over the hump,” said state Rep. Robert Martwick, a Chicago Democrat and the lead sponsor of the measure in the House. […]
State Rep. Michael Zalewski, a Riverside Democrat who chairs the Revenue and Finance Committee, also said he’s hopeful Pritzker can secure the votes needed in the House.
“I think the governor has had some productive conversations with members in the last week,” he said.
Zalewski’s committee is scheduled to meet Monday, May 20, and some observers believe the amendment could come up for a vote then, sending it to the full House.
The Senate’s rate bill, sponsored in the House by Rep. Zalewski, is also posted for that Monday hearing, but there’s no guarantee that both will receive roll calls.
* In other budget-related news…
Illinois House Republicans called a news conference Thursday to unveil a “fiscal year 2020 balanced budget proposal” in the form of a one-page document detailing $2.6 billion more in revenue than House working groups had previously planned for.
“The important part here is we’re not presenting a plan and saying ‘take it or leave it,’” Deputy Minority Leader Tom Demmer, R-Dixon, said. “We’re saying there are new dollars that are on the table, that individual members have not yet been given the chance to weigh out. We believe their priorities should be heard.”
Demmer said House working groups have been negotiating a balanced budget without new revenue that would be achieved by cuts of 6 percent to 10 percent from fiscal year 2019 expenditures across agencies.
But many of those cuts will not be needed, he said, because of increased fiscal year 2020 revenue estimates by the Commission on Government Forecasting and Accountability and the Governor’s Office of Management and Budget, as well as a handful of other new revenue streams Republicans stand ready to support.
As subscribers know, that $2.6 billion number is being disputed by the governor’s office.
* From the administration…
One good month does not mean that Illinois can walk away from our financial obligations, or start spending money twice. That’s the short-sighted thinking that got us here in the first place. In fact, Illinois’ dire finances mean that the state was on track to end the 2019 fiscal year with a $1.6 billion gap, to say nothing of our multi-billion dollar backlog of unpaid bills and $134 billion unfunded pension liabilities. The responsible choice, and the governor’s path, is to use the additional dollars to close our 2019 budget gap and to make our full 2020 pension payment. The Governor’s door is open for working with Republicans who want to join him in approaching our finances responsibly.
Subscribers know more.
* Finke…
Abudayyeh said Pritzker has had nearly two dozen individual meetings with leaders not counting eight cocktail parties he’s hosted at the Governor’s Mansion.
House Majority Leader Greg Harris of Chicago said the House Democrats were merely being cautious in crafting a spending plan.
“I think it’s really important to have waited this long to make sure we have the numbers right,” he said. “The one thing we don’t want to do as we move forward in closing out FY 19 and moving into FY 20 is use one-time revenues as a basis for ongoing budgeting.”
...Adding… I forgot to post Comptroller Mendoza’s react to the HGOP proposal…
April has historically been the state’s best month for revenues because that’s when people pay their state income taxes. Revenues for April came in about $1.5 billion higher than April 2018, so our office was able to pay down an extra $1.5 billion worth of bills on our backlog of bills, which now stands at $6.5 billion as of today. No one should confuse a $6.5 billion backlog of bills with a “surplus.”
* Illinois Public Radio…
There have been several budget frameworks this spring. Gov. J.B. Pritzker kicked off budget season in February with calls for more spending and increased taxes, while Democrats in the House began from a much more austere place, assuming none of the governor’s revenue ideas would come to pass.
Then came the April surprise — an unexpected $1.5 billion in tax collections. That has Republicans urging a middle ground.
While they say they’d support some new spending with that extra money, Rep. Grant Wehrli, a Republican from Naperville, says higher taxes should be out of the question.
“Income, cigarettes, bags, video-streaming, vaping — all those should be off the table until we do the hard work and come up with a balanced budget.”
Income tax revenue isn’t available for two years, video-streaming would likely be used for capital (if it can even pass and that’s doubtful) and they appear to be counting cigarette and e-cig tax money in their MCO assessment savings.
* Meanwhile…
[Rep. Thaddeus Jones, D-Calumet City] called Senate President John Cullerton’s proposal to raise Illinois’ usage tax on tobacco products “too unreasonable” at a time when the General Assembly is considering a slew of other tax hikes.
Cullerton announced last week he wants to increase the state’s tax on a pack of cigarettes by $1, to $2.98. That is about triple the 32 cents Democratic Gov. J.B. Pritzker introduced in his budget proposal. […]
“I appreciate President Cullerton for his advocacy, but this is the wrong way to go. We’ve gone through several phases of taxing cigarettes that now is driving businesses and driving people away from Illinois and driving them to border states, and we’ve got to stop it,” Jones said. “It’s not having the effect that the president wants. It’s not stopping people from smoking. What it’s doing is making people in my community who can least afford it, who are on a fixed income, choose to go to Indiana to make sure they get cigarettes.” […]
“[Polling shows that Illinoisans] support it because research shows it encourages people to quit smoking or, even better, never start, which would save taxpayers millions of dollars in reduced health care costs,” [John Patterson, a spokesman for the Senate president] said in an emailed statement. “That has always been the Senate president’s motivation, and it appears that’s why the public supports it, too.” […]
“That’s not what the governor introduced, so I don’t think there’s support to increase it to $1,” [Rep. Jones] said. “I think there’s support to look at a sensible way to do it — maybe 32 cents, like what the governor was proposing.”
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* This looks like two baseball seasons’ worth of spending. NBC 5…
From April 1, 2018, through March 31, 2019, Friends of Michael J. Madigan - the speaker’s political committee - made five purchases of Cubs tickets totaling $184,392, according to state campaign finance records.
During the same period, records show Madigan’s political campaign spent over $118,700 combined for White Sox tickets and Bulls tickets.
That puts his grand total spent on sports tickets, according to expenditures filed with the Illinois Board of Elections, at $303,125. […]
A spokesperson for Madigan said the tickets are used for supporters and volunteers, and that if the speaker - or his family - uses them, they pay for them.
A Cullerton political aide added that most tickets are given to charitable groups and used less for political purposes. […]
“It’s perfectly legal but I would also say it’s borderline, it’s right on the fringe,” [former state Sen. Susan Garrett, now the chair and co-founder of the Center for Illinois Politics] said. “If you look at other states, and we have looked, we don’t see any other states that allow for this type of practice.”
“It’s not how our government should work but it is in fact how our government works,” [Jay Young, executive director of Common Cause Illinois] added.
Thoughts?
…Adding… Hmm…
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Cannabis roundup
Friday, May 17, 2019 - Posted by Rich Miller
* From a Taylorville Daily News interview of the Christian County sheriff…
Sheriff Bruce Kettelkamp and the Sheriff’s Association along with the Chiefs of Police are very concerned over the pending legalization of marijuana put forward in the State of Illinois and Sheriff Kettelkamp is urging citizens to contact Senator Andy Manar and let him know that the proposal for the legalization of marijuana is a very bad idea and that it is creating a public risk and putting at jeopardy the safety of the citizens of Christian County and the state.
Sheriff Kettelkamp is also concerned with the home grown part of the law which would allow citizens to grow up to five plants in their yard. Kettelkamp says that he’s worried about the drug cartel coming in and buying up the houses and selling on the black market cheaper than at the commercial places.
Sheriff Kettelkamp says that while Representative Avery Bourne is against the bill, he doesn’t believe Senator Andy Manar is, and he hopes that everyone contacts Senator Manar to tell him to vote against it.
Last I checked, Sheriff Kettelkamp himself hadn’t yet called Sen. Manar about the bill. Manar told Bernie this week he’s still on the fence…
State Sen. ANDY MANAR, D-Bunker Hill, said he thinks there is “zero” chance of the session going into June — though he is also skeptical about quick passage of recreational marijuana legislation. Such a big change in policy “usually doesn’t happen in a matter of months,” he said, and he is not yet in the “yes” column for the change.
And as far as home grow goes, I have a tough time believing that a Chinese or Jamaican drug cartel could descend upon Christian County, which is 96.6 percent white, and remain unnoticed for very long.
* Possessing five or fewer pot plants is currently a Class A Misdemeanor in Illinois. According to the Illinois Sentencing Policy Advisory Council, 42 people were arrested in Illinois for that particular violation in Fiscal Year 2018. That’s way down from the 125 busted in FY 2010. A SPAC chart provided to lawmakers…
* Meanwhile, stubborn prohibitionists are helping the black market thrive in California…
It’s been a little more than a year since California legalized marijuana — the largest such experiment in the United States — but law enforcement officials say the unlicensed, illegal market is still thriving and in some areas has even expanded. […]
California gives cities wide latitude to regulate cannabis, resulting in a confusing patchwork of regulation. Los Angeles, San Francisco, San Jose and San Diego have laws allowing cannabis businesses, but most smaller cities and towns in the state do not — 80 percent of California’s nearly 500 municipalities do not allow retail marijuana businesses. The ballot measure legalizing recreational marijuana passed in 2016 with 57 percent approval, but that relatively broad support has not translated to the local level. Cities like Compton or Laguna Beach decisively rejected allowing pot shops.
Regulators cite this tepid embrace by California municipalities as one of many reasons for the state’s persistent and pervasive illegal market. Only 620 cannabis shops have been licensed in California so far. Colorado, with a population one-sixth the size of California, has 562 licensed recreational marijuana stores.
* Related…
* Hundreds rally in Springfield to demand pot tax revenue go to communities hard hit by low-level drug crime: Lt. Gov. Juliana Stratton told the crowd at Thursday’s rally in Springfield the “best kind of policy-making is done when we hear directly from the people from our communities.” … “There’s another part of justice, and that is making sure that communities that have been harmed through decades of disinvestment also know that in order to restore our communities, we must also invest in our communities,” Stratton said. “And this means we have to make sure that as investments are made and we look at budgetary considerations, communities are not left out.”
* Here’s what’s holding up the Illinois marijuana bill: “I’m feeling cautiously optimistic that we’ll get this done,” Steans said. “Threading the needle on expungement is probably the most challenging part.”
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* Secretary White’s 85th birthday is next month, so this is an excellent early present for him…
Illinois Secretary of State Jesse White will be honored with the Distinguished Member of the Regiment by the 187th Infantry Division and the 101st Airborne Division of the United States Army this evening, May 17. The ceremony will take place at The Bruce Conference Center in Hopkinsville, KY near Fort Campbell.
White is being recognized for his contribution to society as an elected official, an educator, the founder and coach of the Jesse White Tumbling Team and for his charitable efforts. White served as a paratrooper in the highly regarded 101st Airborne Division based at Fort Campbell, and again as a member of the Illinois National Guard and Reserve.
“I have the greatest respect for those who serve our country in uniform and the commitment they have made,” said White. “I am humbled to be selected for this meaningful honor.”
White noted his experiences at Fort Campbell remain integral to him to this day. Serving in the U.S. Army taught him the importance of teamwork, respect, commitment to duty and helping others in need.
“I believe when you are successful in life, you should do everything you can to give back and make a positive difference to society. This remains my goal in life.”
* Check out the attached pic…
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