* Illinois Supreme Court…
JUSTICE OVERSTREET delivered the judgment of the court, with opinion.
Justices Garman, Michael J. Burke, and Carter concurred in the judgment and opinion.
Chief Justice Anne M. Burke and Justices Theis and Neville took no part in the decision.
Byron Sigcho-Lopez, the alderman for Chicago’s 25th Ward, filed a complaint with the Illinois State Board of Elections (Board), alleging that his predecessor’s campaign committee, the 25th Ward Regular Democratic Organization (Committee), unlawfully paid personal legal fees from campaign funds. The Board dismissed Sigcho-Lopez’s complaint, and Sigcho-Lopez filed for administrative review in the appellate court. On administrative review, the appellate court affirmed the Board’s dismissal. 2021 IL App (1st) 200561. This court allowed Sigcho- Lopez’s petition for leave to appeal (Ill. S. Ct. R. 315 (eff. Oct. 1, 2020)), and for reasons other than those set forth by the Board and the appellate court, we affirm the appellate court’s judgment and the Board’s dismissal. […]
Until the General Assembly amends the statute to, for example, specifically prohibit payment from campaign funds for legal fees incurred in defense of criminal allegations against a public official or candidate, the issue requires the Board’s consideration on a case-by-case basis, applying the plain language of the applicable statutory provisions. In this case, despite the parties’ arguments regarding legal defense fees incurred as a result of public corruption allegations, the record here reveals that Solis had not been indicted on criminal charges but only that he had worked with federal investigators using his official capacity to expose public corruption. Considering the evidence before the Board, we find that the Board’s conclusion—that Solis’s legal fees amounted to a proper expenditure not prohibited as “satisfaction or repayment” of a personal debt (10 ILCS 5/9-8.10(a)(3) (West 2018)) but incurred “to defray the customary and reasonable expenses of an officeholder in connection with the performance of governmental and public service functions” (id. § 9-8.10(c))—was not clearly erroneous. Thus, we affirm the Board’s decision, finding that the complaint was not factually and legally justified.
There was no dissent.
…Adding… I was scheduled to appear on Jak Tichenor’s Illinois Lawmakers show earlier, so I didn’t have much of a chance to read through this carefully worded opinion before posting it. The justices focused primarily on what the campaign finance statute forbids. For example…
Whether legal defense fees amount to a personal debt that does not defray the customary and reasonable expenses of an officeholder in connection with the performance of governmental and public service functions must be evaluated on a case-by-case basis.
In the case sub judice, the parties ostensibly agree that campaign fund payments expended for personal use are prohibited by the Election Code. Sigcho-Lopez argues that legal fees expended for the criminal defense of public corruption charges amount to personal debt prohibited as a campaign fund expenditure, and the [25th Ward Regular Democratic Organization] argues that legal fees expended for the criminal defense of public corruption charges are not personal in nature because the public corruption charges would not exist irrespective of the public official’s position.
* The justices chose to “apply the plain language of the relevant campaign disclosure and regulation provisions of Illinois’s Election Code”…
In doing so, we reject the Committee’s argument that legal fees incurred as a result of public corruption and criminal activity, resulting in conviction even, may be subsidized by campaign funds because they are not personal debt incurred irrespective of the officeholder’s position. We cannot ignore that a public official’s actions that result, for example, in convictions of official misconduct or corruption are “clearly committed for their own interests.” … The essence of a conviction for official misconduct, conflict of interest, or public corruption is that the public official has attempted “to personally enrich himself or another by an act exceeding his lawful authority as a public servant.” […]
(W)e also reject the contention that, because an officeholder could not engage in public corruption absent his position as officeholder, his personal legal defense fees for proven official misconduct or public corruption may be subsidized by campaign funds as an expenditure “to defray the customary and reasonable expenses of an officeholder in connection with the performance of governmental and public service functions.”
* The court then noted a New Jersey Supreme Court decision which ruled that using campaign funds to defend against corruption charges was not an ordinary and necessary expense: “A grand jury indictment is not a customary, or usual, or normal incident of holding public office, nor does it occur in the regular course of events,” that court decreed…
This court agrees. Allowing campaign monies to subsidize public corruption amounts to an unreasonable interpretation of the Election Code.
* But…
On the other hand, we also reject Sigcho-Lopez’s contention that legal fees incurred to pay for a public official’s criminal defense against investigations or charges of public corruption amount to a per se prohibited personal debt pursuant to the plain language and spirit of section 9-8.10(a)(3) of the Election Code (10 ILCS 5/9-8.10(a)(3) (West 2018). We cannot ignore that not all allegations by political rivals are sound and that baseless allegations are at times asserted against public officials because of their very capacity as public officials. […]
Therefore, in limited circumstances, pursuant to the plain language of the campaign disclosure and regulation provisions of the Election Code, the Board may appropriately allow the use of campaign funds to pay for legal expenses in defending such allegations. See Wright, 174 Ill. 2d at 404 (holding ordinance invalid to the extent it attempted to indemnify officials convicted of crimes for their attorney fees and costs incurred in their unsuccessful criminal defense but making no express determination regarding the authority of any municipality or home rule unit to indemnify its officers and employees for legal expenses incurred in a successful defense); see also State v. Ferguson, 709 N.E.2d 887 (Ohio 1998) (although public officeholder may generally not use campaign funds to pay for legal defense against criminal charges, use of campaign funds to pay attorney fees incurred in connection with dismissed indictment that failed to state prosecutable violation was not prohibited attorney fees).
Clear as mud?
…Adding… Press release…
The following is a statement from Ald. Byron Sigcho-Lopez (25th Ward) in response to today’s Illinois Supreme Court ruling in Byron Sigcho-Lopez v. Illinois State Board of Elections, 2022 IL 127253:
“If the law allows corrupt politicians to use campaign funds for legal defense fees, then it’s time to change the law.”
…Adding… Press release…
In response to the Illinois State Supreme Court’s decision today to dismiss cases in which campaign funds are used for criminal defense fees until specific legislation prohibiting the practice is put into law, State Representative Deanne Mazzochi (R-Elmhurst), issued the following statement:
“With this decision, the Supreme Court has made it abundantly clear that the General Assembly needs to act immediately. We have seen millions in campaign funds expended by Mike Madigan on his own legal defense for his corruption indictment. Madigan may be the most prominent, but he is certainly not the only politician to selfishly do so. The people of Illinois deserve better.
Officials using their campaign funds for their own defense after they are tangled up in public corruption scandals is yet another example of how insider power and privilege in Illinois protect their own. I filed legislation, HB 2929 because we cannot allow campaign donations to finance corrupt politicians’ efforts to keep themselves out of jail.
Unfortunately for the people of Illinois, like numerous other pieces of legislation filed by myself and my colleagues to tackle out of control corruption in Illinois, Democrats have refused to allow these bills to be heard and voted on. Democrats have stifled every attempt made this spring to restore public trust.”
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*** UPDATED x1 *** It’s just a bill
Thursday, Mar 24, 2022 - Posted by Rich Miller
* This bill is still on First Reading in the originating chamber. Long way to go. But it’ll get some local attention…
In an effort to improve consumer protections in health care and hold health insurance companies accountable, the Illinois Department of Insurance (IDOI) worked closely with Representative Sue Scherer and Senator Doris Turner on legislation to further enhance consumer protections within the state’s Network Adequacy Transparency Act (NATA). The landmark law ensures consumers have access to a network of health insurance providers that meets proper time and distance standards.
HB5729 will give IDOI the authority to put in place more stringent time/distance standards than current federal requirements for many specialties to ensure consumers can access in-network providers close to home. Under the bill, the Department will pursue emergency rules to update time/distance network adequacy standards to help protect consumers’ access to care. The bill also provides for greater transparency in IDOI’s enforcement efforts, removing a confidentiality requirement for market conduct exams to allow the Department to inform consumers that an insurance company is undergoing an exam, while keeping details confidential until exams are finalized. Market conduct exams are the Department’s primary enforcement tool to review the practices of insurance companies regulated by the Department.
“Sen. Turner and Rep. Scherer have worked tirelessly to make sure that their constituents get the care they deserve, and I appreciate their willingness to work with my Department of Insurance to ensure that our laws are strong enough to protect consumers’ care,” said Governor JB Pritzker. “This legislation will make our system operate more transparently and give people and regulators more tools to hold health care insurers accountable.”
“I care deeply about improving and expanding access to healthcare for my constituents. I’m glad to partner with the Department to help protect and inform Illinois insurance consumers. This legislation enhances penalties to ensure compliance with state laws,” said Representative Sue Scherer. “Also, it creates more generous provider-to-patient ratios for network adequacy than are currently recommended under federal regulations for many specialties.”
“The new law will provide necessary oversight with the creation of a Network Adequacy Advisory Council, comprised of consumer, provider, and insurer representation,” said Senator Doris Turner. “The council will regularly update network adequacy requirements, including reviewing time and distance standards, and ratios to apply to all provider networks. This is what health insurance consumers need, and our state leaders will deliver.”
Earlier this week, the Department issued fines totaling $339,000 for Health Care Service Corporation (HCSC), the parent company of Blue Cross Blue Shield of Illinois for violating the material change notice requirement in the state’s Network Adequacy and Transparency Act. The Department found that the company did not properly file updated network adequacy filings following the termination of its contract with Springfield Clinic.
“The new law provides for additional consumer protections when a provider contract ends, and it strengthens network adequacy requirements with robust penalties for noncompliance” said IDOI Director Dana Popish Severinghaus. “We want to protect patients from having to travel far from their homes or wait too long to receive care. The Department can now establish strict wait times, and if the wait time to see a particular provider is excessive, the insurer must pay for the patient to see an out of network provider at an in-network rate. Current statutory requirements are also improved upon for both issuers and providers to update their provider network directories with accurate information.”
* Federal bill with a state angle…
[US Rep. Rodney Davis] has signed on as a co-sponsor of legislation that would require providers to follow notification laws in a minor’s resident state when the minor travels to another state for an abortion.
Illinois recently repealed its notification law, which required the parents of a minor be informed their child was seeking an abortion. Notification will not be required after June 1.
About 1,180 of the 46,243 abortions performed in Illinois in 2020 were for girls 17 and under — 1,092 age 15 to 17 and 88 under 15 years old, according to the Illinois Department of Public Health. That number was down from 1,343 for the same age group the year prior. […]
“The extreme abortion expansion laws pushed by Gov. J.B. Pritzker and Illinois Democrats are a disgrace,” Davis said. “I am proudly pro-life and strongly support the rights of parents to be involved in their children’s lives. This legislation I’m supporting would make sure that when a minor crosses state lines into Illinois to receive an abortion, their home state’s parental involvement in abortion laws are upheld.”
* Sun-Times editorial…
138,000.
That’s how many children in Illinois sank back into poverty after monthly federal child tax credit payments ended in December, according to one estimate. Another estimate pegged the number at 150,000. Nationwide, 3.7 million children are in families that lost these payments of $250 to $300 a month depending on the age of the child.
“Giving families that extra boost each month works,” as Joanna A. Ain, associate director of policy for Washington, D.C.-based Prosperity Now, told us. Her group and others have been pushing Congress to resurrect the monthly payments and make them permanent, a move we endorse. They aren’t hopeful Congress will act anytime soon, nor are we.
Reinstating this vital lifeline for some of the country’s neediest people is unlikely because it’s tied up with President Joe Biden’s massive Build Back Better initiative, which is all but dead.
There is something state lawmakers can do, however: Pass a state child tax credit. This was a key component of Gov. J.B. Pritzker’s platform when he was running for governor and later when he tried unsuccessfully to get the income tax referendum on the ballot.
* Press release…
A measure by State Senator Dave Koehler (D-Peoria) to offer nutritional, plant-based lunch options to students across the state advanced out of the Senate Education Committee on Tuesday.
“Students may require plant-based meal options for religious, health-based or other, personal reasons,” Koehler said. “Our schools should be prepared to offer nutritional options for students with dietary restrictions.”
House Bill 4089 requires school districts to provide a plant-based school lunch option that complies with federal nutritional standards to any student who submits a prior request.
The U.S. Department of Agriculture encourages the use of fresh fruits and vegetables in school meals, and offers a Fresh Fruit and Vegetable Program to grant access to students at least twice a week at times during the school day other than meal periods. The USDA encourages schools to develop innovative and varied methods to offer the fruits and vegetables to students, and a plant-based lunch option would be one way of doing so.
Plant-based school lunch options would also suffice as Halal options for Muslim students so long as there are no alcohol or alcohol byproducts, such as vanilla extract or other extracts, used in the preparation of the meal.
“All students deserve the opportunity to have a well-rounded, nutritional meal at school that meets their dietary needs,” Koehler said. “For some kids it may be the only substantial meal they get that day, and they need to be able to make the most of it.”
The legislation now awaits further consideration.
*** UPDATE *** Likely about to become a law…
A plan will be presented this fall to replace dismantled vehicle emissions inspection stations in Chicago after a measure spearheaded by State Senator Robert Martwick (D-Chicago) passed the House Wednesday.
“This legislation will help restore a much-needed service to the residents of Chicago and the near suburbs,” Martwick said. “People shouldn’t have to drive for miles and wait in long lines to test their vehicles.”
Senate Bill 1234 would require the Illinois Environmental Protection Agency to submit a written report to the General Assembly by Oct. 1 2022, which would include a plan to replace the dismantled emissions inspection stations within the city of Chicago. The plan would help establish a pilot program or permanent replacement program as well as a timeline to implement the plan.
The measure is designed to address the lack of available vehicle emissions testing stations in Chicago following the closure of four stations in 2016. Test sites in Bucktown and Harwood Heights were closed leaving the city of Chicago without a testing station. Two suburban facilities in Elk Grove Village and Tinley Park were also closed.
“The closure of these stations in 2016 created a burden for our residents, and I’m glad that we are one step closer to creating a plan that will make emissions testing more convenient for the residents of Chicago and the near suburbs,” Martwick said.
Senate Bill 1234 passed the House Wednesday with bipartisan support. It now heads to the governor’s desk.
* More…
* “We can stop sinking”: Legislators celebrate anniversary of Illinois’ break-up with payday lending
* Tougher insurance regulations surface in new House proposal following Target 3 report
* Suburban House Democrat proposes lifting ban on nuclear expansion to build microreactors: Rep. Mark Walker (D-Arlington Heights) sponsored a measure that would allow data centers, factories, or other large energy consumers to install smaller nuclear microreactors on site to help lighten the load on the rest of the energy grid that is becoming increasingly reliant on wind and solar energy.
* Illinois manufacturers seek passage of resolution urging White House to expand domestic oil exploration
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* Democratic Party of Illinois email…
Dear Illinois Democratic Campaign Leaders,
As you likely know, on Wednesday, March 16, members of IBEW Local 1220 called a strike against Window to the World (“WTTW”) Communications, the Chicagoland PBS affiliate. IBEW represents over two dozen workers responsible for various productions and shows on the channel, including the nightly local affairs program Chicago Tonight.
WTTW is currently inviting Democratic candidates in the 2022 primary elections to participate in their “2022 Primary Election Voter Guide.” We have been informed by the Chicago Federation of Labor and the Illinois AFL-CIO that participating in WTTW programming while the strike is ongoing would be considered crossing a picket line.
DPI Chair Rep. Robin Kelly has sent a letter expressing our support for IBEW Local 1220 and requesting Democratic candidates be given an opportunity to participate in programming, including the “2022 Primary Election Voter Guide,” after the strike is resolved. Until then, while the Democratic Party of Illinois supports the general mission of public television and understands the need for campaigns to communicate with voters this election cycle, we hope that you consider the seriousness of crossing a picket line before choosing to participate.
Workers are the backbone of the Democratic Party, and we will continue to stand with labor unions in the fight for fairness for all working people.
* Chair Kelly’s letter to WTTW…
March 24, 2022
Sandra Cordova Micek
President and Chief Executive Officer Window To The World Communications
Dear Ms. Micek:
As you know, on Wednesday, March 16, members of IBEW Local 1220 called a strike against Window to the World (“WTTW”) Communications. IBEW represents over two dozen workers responsible for various productions and shows on the channel, including the nightly local affairs program Chicago Tonight.
In recent days, we have become aware that WTTW is inviting Democratic candidates running in the 2022 primary elections to participate in their “2022 Primary Election Voter Guide” programming. We have been informed by the Chicago Federation of Labor and the Illinois AFL-CIO that participating in WTTW programming while the strike is ongoing would be considered crossing a picket line, and we have in turn notified Illinois Democratic campaigns.
While we support the general mission of public television, the Democratic Party of Illinois stands in solidarity with IBEW Local 1220 in their fight for a fair contract. Our hope is that a fair contract agreement can be reached soon, and that Democratic candidates who would like to participate in WTTW programming, including the “2022 Primary Election Voter Guide,” without crossing the picket line will be given an opportunity to do so once the situation is resolved.
Sincerely,
Rep. Robin Kelly
Chair, Democratic Party of Illinois
* Background from Robert Feder…
As the first strike in WTTW-Channel 11’s history enters its second week, politicians are being urged to honor the picket lines — both real and virtual. In an email to political candidates Wednesday, the Chicago Federation of Labor asked them not to participate in remotely recorded Zoom interviews on the public television station while the strike goes on. Local Union 1220 of the International Brotherhood of Electrical Workers, representing more than two dozen technicians, graphic artists and floor crew members, walked out March 16 over work jurisdiction and job protection issues. Among those who declined to appear on the “2022 Primary Election Voter Guide” was Chicago Alderman Pat Dowell, who’s running to succeed U.S. Rep. Bobby Rush in Congress. “Whether in person or online I will not cross a picket line at WTTW,” Dowell said. “I encourage other candidates not to be a part of the WTTW Voter Guide until the workers’ demands are met.” On-air employees and producers at the station, represented by Screen Actors Guild-American Federation of Television and Radio Artists, continue to do their jobs under contracts that bar sympathy strikes. A Window to the World Communications spokesperson said: “The company stands ready to return to good faith negotiations with the bargaining team’s representatives as soon as possible.” The last work stoppage at a Chicago station resulted in an 11-week lockout for camera operators, news writers and other technical workers represented by the National Association of Broadcast Employees and Technicians at ABC-owned WLS-Channel 7 in 1998. It was part of a nationwide labor dispute at the ABC Television Network.
*** UPDATE 1 *** Speaker Welch’s office…
In response to the International Brotherhood of Electrical Workers Local 1220 members striking against WTTW-Channel 11, Illinois House Speaker Emanuel ‘Chris’ Welch and the Democrats for the Illinois House released the following statement:
“IBEW represents over two dozen workers responsible for many of the stories and television productions that help to inform and shape our communities. These workers, and union workers everywhere, are the backbone of our state and our party. We stand in solidarity as they advocate for fair collective bargaining. We ask all Democratic Candidates running for the House to stand with us and not cross the picket lines. We will continue to stand with unions and the men and women of IBEW Local 1220 in their fight for fairness for working people.”
*** UPDATE 2 *** Gov. Pritzker’s campaign…
In response to the International Brotherhood of Electrical Workers Local 1220 members striking against WTTW-Channel 11, Governor JB Pritzker released the following statement:
“I’ve always supported the right for workers to organize and bargain collectively. Until WTTW-Channel 11 can come to an agreement on a fair contract, I stand in solidarity with the men and women of IBEW Local 1220 and will honor their strike.”
…Adding… Comptroller Mendoza…
I stand in strong solidarity with members of the International Brotherhood of Electrical Workers Local 1220 in their fight for a fair contract. I encourage WTTW to settle this dispute fairly and quickly. In support of our working men and women on the picket line at WTTW, I will respect the picket line and will not cross it.
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Does ballot order matter?
Thursday, Mar 24, 2022 - Posted by Rich Miller
* I posted the Board of Elections ballot position lottery results yesterday, but Taylor Avery fleshes it out for Sun-Times readers…
In a crowded race, candidates vie for any advantage they hope will mean the difference on Election Day — such as being listed first on the ballot.
Whether that coveted position will turn the tide for Darren Bailey remains to be seen, but the state senator from southern Illinois was celebrating Wednesday after he won the lottery for the top spot on the June primary ballot for governor.
“GOOD NEWS: we’re first on the Republican Primary ballot to fire JB Pritzker,” the Xenia Republican shared on Facebook and Twitter following the lottery. […]
“It’s tradition. It’s part of the summer camp aspect of campaigning,” [Christopher Mooney, a political science professor at the University of Illinois at Chicago] said. “But does it have an impact on average? No, it doesn’t. But again, in an individual case, who’s to say? We don’t know.”
Jesse Sullivan got the last spot on the ballot.
* Kina Collins fundraising email…
With the help of over 100 volunteer petition circulators, our campaign submitted six times the minimum number of petitions required to get on the ballot. But to be first on the ballot in Illinois, you have to win a lottery. Literally.
Well, guess what? We WON the lottery. Yesterday, we found out that my name will be listed first on the ballot on June 28th. Above the incumbent! This is a huge opportunity for our campaign. Studies suggest that being first on the ballot can add as much as 10% to a candidate’s vote share.
Collins is up against US Rep. Danny Davis.
From the study she referenced…
Abstract
Texas primary and runoff elections provide an ideal test of the ballot order hypothesis, because ballot order is randomized within each county and there are many counties and contests to analyze. Doing so for all statewide offices contested in the 2014 Democratic and Republican primaries and runoffs yields precise estimates of the ballot order effect across twenty-four different contests. Except for a few high-profile, high-information races, the ballot order effect is large, especially in down-ballot races and judicial positions. In these, going from last to first on the ballot raises a candidate’s vote share by nearly ten percentage points.
Governor’s races are high-profile, high-information contests and Collins is running against a legendary political figure. The study found a big impact on down-ballot races with “high rates of voter abstention.” This is mainly due to voter fatigue as they move down the ballot. Local judges are often at the bottom, so that’s where the biggest voter abstentions are and where ballot position is most important.
…Adding… Alexi Giannoulias fundraising email…
This month has been a defining moment for our campaign for Secretary of State. We filed our petitions and are now officially on the ballot, winning the FIRST position on the ballot. I’m immensely grateful for all the overwhelming support we’ve received as we head into the final 100 days of the primary campaign. We could not have achieved this momentum without your early support of our campaig
This is, of course, another high profile, up-ballot race.
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* Greg Hinz…
The Illinois House has approved legislation to fill most of a huge hole in the state’s unemployment trust fund with leftover money from the last federal COVID relief bill, the American Recovery Plan Act.
But Springfield Republicans say the figure agreed to in the bill is too stingy and would force a “back-door tax increase.” And with negotiations between labor and business groups over how to refill the remaining $1.7 billion hole at least temporarily stalled, the money will have to come from a combination of tax hikes on employers and benefit cuts for workers, they contend.
The legislative action came Wednesday night on a largely party-line 68-43 roll call, when the House voted to allot $2.7 billion of the state’s remaining $3.5 billion in ARPA funds to fill a $4.5 billion gap in the trust fund that covers unemployment claims within the state. The Senate had passed $2 billion earlier, but called that a placeholder.
A spokesman for Gov. J.B. Pritzker confirmed that he supports the $2.7 billion figure allocated in the legislation, but House GOP leaders and gubernatorial hopeful Richard Irvin charged that the state should allot all $3.5 billion in available ARPA money.
* Dan Petrella and Jeremy Gorner…
Pritzker and the Democratic-controlled General Assembly previously allocated about $4.6 billion from the federal relief plan for a variety of purposes such as grants for hospitals, violence prevention programs and infrastructure projects.
But Republicans, who since last spring have repeatedly criticized the majority party for not addressing the unemployment fund debt in the current year’s $42 billion operating budget, maintained that only about $1.2 billion of the federal relief money has actually been spent, leaving enough money to cover the full debt in the unemployment fund.
[…]
Illinois and a host of other states borrowed from the federal government in the early phase of the pandemic to keep unemployment checks going out to out-of-work residents as businesses shut down, in large part due to Pritzker’s executive orders.
Lawmakers are up against an April 1 deadline to allocate the federal relief dollars to the unemployment fund. If they don’t act by then, rules from the U.S. Treasury Department would prohibit Illinois from reducing the amount or length of unemployment benefits until 2025.
* Jerry Nowicki…
As of Wednesday, the state had already accrued $41 million of interest on the debt at a rate of 1.59 percent. That interest was due to be paid by Sept. 30, according to the U.S. Treasury.
By November, without action, that interest was expected to grow to $80 million, Hoffman said. Interest can’t be paid through ARPA, so it would require a General Revenue Fund allotment, he added. Taking action by November would diminish that amount, he said.
The measure also allocated $898 million to pay off old group health insurance bills, an added $300 million to pension payments beyond statutory levels and $230 million to pay off the unfunded liabilities of the College Illinois savings program – all cornerstones of Gov. JB Pritzker’s debt retirement initiatives put forth in his budget proposal. Those allotments will come from the state’s General Revenue Funds from an anticipated Fiscal Year 2022 surplus.
The pension spending would create $1 billion in savings to the state’s pension system over its life, while the group health insurance payments would save over $100 million in interest and the College Illinois payment would create a $75 million savings, according to estimates from House Democrats.
* Gov. Pritzker…
Illinois is putting our fiscal house in order and paying off our debt. I applaud House Democrats for prioritizing legislation that will use our resources in the most fiscally responsible way: SB2803 will pay down more than $4.1 billion in debt. I especially appreciate the tireless work to dedicate additional revenues to one-time efforts that will produce a stronger budget for years to come, and I extend my gratitude in particular to Leaders Greg Harris, Marcus Evans and Jay Hoffman and Reps. Will Davis, Robyn Gabel, Lisa Hernandez and Michael Zalewski for advancing this priority.
I’m disappointed that Republicans are putting their politics ahead of fiscal responsibility while Democrats in the General Assembly are taking the lead to put our fiscal house in order.
SB 2803 Key Facts
• As amended in the House, SB 2803 accomplishes several key goals the Governor laid out in his State of the State and budget proposal, paying off $4.1 billion in debt:
• Dedicates a substantial amount of remaining ARPA recovery fund dollars to ($2.7 billion) to stabilize the state’s unemployment insurance trust fund, helping small businesses
• Eradicates unfunded liabilities in the College Illinois! program, which has been on the brink of insolvency
• Pays of nearly $900 million in legacy debt for employee health insurance
• Makes an extra payment of $300 million to the state’s pension funds, reducing liabilities over $1 billion
* Rep. Mark Batinick…
In response to the Illinois House’s passage of Senate Bill 2803 on Wednesday night, State Representative Mark Batinick (R-Plainfield) released the following statement:
“House Republicans have had a plan for a year: plug the $4.5 billion hole in our Unemployment Insurance Trust Fund and solve the problem. The plan passed tonight was rushed and only fixes a little over half the problem and spends the rest on Democrat pork projects.
“The reality of the situation is there is still a $1.8 billion shortfall in the Unemployment Insurance Trust Fund that will need to be plugged. How will it be plugged? Either through tax increases on jobs or benefit cuts on people who receive unemployment insurance.
“The fiscally responsible route we could have taken would have been to pass legislation paying off our debt in full to avoid these two consequences. This would have also avoided unnecessary interest penalties and prepared us financially in case there’s another emergency. The legislation passed out of our chamber tonight instead will help fulfill Governor Pritzker’s spending wish list and leave taxpayers on the hook for the remaining balance in the fund.”
* Richard Irvin…
Aurora Mayor and candidate for Governor Richard Irvin released the following statement after the House voted to pass JB Pritzker’s latest tax hike on Illinois families:
“After trying to pass the largest tax hike in our state’s history, the Tax-Hiker-In-Chief is trying once more to tax Illinois families and businesses out of this state. Thanks to his reckless disregard for shoring up the Unemployment Insurance Trust Fund, Illinois employers and workers will have to make up the difference, resulting in billions of dollars in tax increases and benefit cuts. Tonight’s vote is yet another example as to why voters don’t trust Pritzker and Springfield politicians to do anything right, and exactly why we must take our state back.”
Illinois workers will see cuts to their unemployment benefits, and the fund will continue to accrue millions in interest charges. Many other states across the country used federal stimulus funds to repay loans to their unemployment systems, but under Pritzker’s lead, Illinois spent those dollars elsewhere. Despite warnings and urging from lawmakers to utilize federal ARPA money to replenish the fund, he instead willfully chose to use the money for election-year gimmickry and increased state spending that will now result in raising taxes on the residents of Illinois.
They’ll probably just bond it out.
…Adding… Hannah Meisel has a very good story and some great charts…
…Adding… From an exchange with a top Dem…
If we don’t pass a law regarding ARPA funds use for unemployment insurance by the end of the month, the ability to reduce benefits – and use ARPA dollars – comes off the table.
Labor doesn’t want to reduce benefits. But Democrats are advancing legislation to try to make sure the traditional balance used to solve these problems remains viable.
The GOP is going to all vote no, which would have the effect of stringing out the process and likely, ironically, reduce options and put far more dire consequences on business.
…Adding… This is how Speaker Chris Welch is framing the issue for his constituents back home…
House Democrats vote to pay off over $4 billion in debts
On party lines, the Illinois House approved a measure to get the state’s fiscal house in order and pay off over $4 billion in debt. This proposal includes:
• $2.7 billion in the unemployment trust fund that took a serious hit during the coronavirus pandemic
• $300 million in extra pension payments which will yield more than $1 billion in savings
• $900 million toward the group health bill backlog likely saving taxpayers $100 million in interest payments
• $230 million toward the College Illinois program to ensure 25 thousand families have funding for education
“This is exactly what fiscal responsibility looks like,” said Speaker Welch. “It’s disappointing that every Republican voted against paying off our debt, but I’m incredibly proud Democrats are united in building a strong financial future for Illinois.”
…Adding… Sullivan campaign…
Jesse Sullivan, Republican candidate for governor, released the following statement in response to the House passage of SB 2803:
“J.B. Pritzker has never met a tax hike he doesn’t like. And his failure to pursue commonsense budgeting is now costing Illinois families and businesses millions of dollars. The governor could have fixed this problem more than a year ago by using federal aid money to replenish our unemployment insurance trust fund, as more than 30 states have done. Instead, he went on a corrupt spending spree, including $1 billion in capital projects controlled by Democrats. Taxpayers and small businesses deserve better.”
…Adding… The Senate just passed the bill 39-16. From Leader McConchie…
Senate Republican Leader Dan McConchie (R-Hawthorn Woods) issued the following statement after the Illinois Senate passed legislation that failed to fully fund the Unemployment Trust Fund:
“Illinois has long been known for its financial issues, and today’s decision to leave a large hole in the unemployment trust fund is just another example of how Democrats continue to mismanage this state. Despite this payment, Illinois still has the fourth largest deficit in the country and is left with the second largest shortfall in state history. The impact this will have on employers across the state will be devastating. To no fault of their own, they were forced to lay off workers and close their doors, and will now be on the hook to pay for the unemployment costs ensued by the pandemic and the fraud that engulfed the Department of Employment Security. These industries and their workers deserve better, but they were failed today.”
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Question of the day
Wednesday, Mar 23, 2022 - Posted by Rich Miller
* Current…
Broadcast technicians employed by WTTW in Chicago have gone on strike after nearly a year of collective bargaining negotiations and concerns over protecting union jobs.
Local Union 1220 of the International Brotherhood of Electrical Workers called the strike March 16. IBEW represents around two dozen workers at WTTW, including technicians, graphic artists and floor crew members.
Workers allege that station management has threatened their work jurisdiction in an attempt to hire nonunion labor. Over the last four years, the union has filed four grievances that advanced to arbitration. In all cases, arbitrators ruled in favor of the union.
“The last decision was awarded just days before collective bargaining began on May 7, 2021,” according to an IBEW statement. “The night after bargaining had begun, WTTW’s counsel gave intent to terminate the entire agreement, setting the tone going forward.”
* Sun-Times…
Mayor Lori Lightfoot and other politicians turned out in support Monday of striking workers at WTTW-Channel 11, calling on the station to negotiate a fair contract that preserves union jobs.
“There can be no question that Chicago is a union town,” Lightfoot told pickets outside WTTW’s studios, 5400 N. St. Louis Ave. “And as we’ve seen over and over again, there’s immense power in people coming together and working and making sure that workers’ rights are affirmed.”
* Tribune…
The WTTW proposals under Micek are “directly attacking the jurisdiction” of the technicians and a prelude to phasing out the union, Rizzo said.
“That assertion is false,” Julia Maish, a WTTW spokeswoman, said in an email Monday. “WTTW President & CEO Sandra Cordova Micek has never said this and in fact she makes clear that she supports and respects the work of our IBEW Local 1220 union employees. The work we do in service of the public depends on the experience, skills, and work of every employee on our team, including IBEW members.”
The station said it was the union that chose to strike after receiving the company’s latest proposal March 16, and that WTTW stands ready to resume negotiations.
When the strike was called at 6 p.m. Wednesday, WTTW scrapped that evening’s planned live broadcast of “Chicago Tonight,” opting instead for a taped “best of” episode. But Thursday night, WTTW resumed production of the nightly 7 p.m. newscast, with executive producer Jay Smith and other management personnel handling the technical aspects of the live broadcast.
* From the CFL…
On Wednesday, March 16, members of IBEW Local 1220 called a strike against Window to the World (”WTTW”) Communications, the Chicagoland PBS affiliate. IBEW represents over two dozen technicians, graphic artists and floor crew members, responsible for various productions and shows on the channel, including the nightly local affairs program Chicago Tonight.
We understand that WTTW is inviting candidates to appear for a virtual filming, which will become part of their “2022 Primary Election Voter Guide.” However we trust that candidates, especially those seeking an endorsement from the Chicago Federation of Labor, will honor IBEW’s strike.
In Solidarity,
Andrea Kluger
Deputy Chief of Staff—Government Affairs
Chicago Federation of Labor
That’ll give some candidates heartburn, especially those with constituents who watch a lot of Public Television. As I’ve already told you, Ald. Pat Dowell’s congressional campaign won’t be participating in the station’s virtual voter guide.
* The Question: Should candidates refuse to participate in the WTTW voter guide project as long as the strike continues? Explain.
…Adding… Press release…
Litesa Wallace, Democratic candidate for Congress in Illinois’ 17th district, on Wednesday announced that she will honor IBEW’s strike against WTTW Communications and will not participate in candidate interviews with the Chicago PBS affiliate while the strike is ongoing.
“As the daughter of two union members, I stand with organized labor,” Wallace said. “Although I believe that WTTW serves an important role in our democracy by offering candidates the opportunity to make their case directly to voters, I cannot in good conscience violate IBEW’s strike by participating in the 2022 Primary Election Voter Guide at this time. For the sake of all concerned, I hope this strike will be resolved quickly, and I look forward to participating in this important project in the future.”
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*** UPDATED x1 *** Campaign notebook
Wednesday, Mar 23, 2022 - Posted by Rich Miller
* Early voting begins September 29. From Jon Seidel at the Sun-Times…
Three weeks after the indictment of former Illinois House Speaker Michael J. Madigan, federal prosecutors told a judge they want to keep their Sept. 12 trial date in a related bribery case that involves Madigan co-defendant Michael McClain.
But in a surprise move during a status hearing Wednesday, McClain defense attorney Patrick Cotter told U.S. District Judge Harry Leinenweber the defendants in that case would prefer to have it go forward as a bench trial — decided by the judge — rather than as a jury trial.
Assistant U.S. Attorney Amarjeet Bhachu told Leinenweber it was the first he’d been made aware of the defendants’ preference. Leinenweber set another hearing for April 26 to give the feds time to consider the request. All sides would have to agree to it, a requirement that makes bench trials rare in federal court.
But there will be no new ethics bills this session…
The day a 22-count federal corruption indictment came down against former Democratic House Speaker Michael Madigan, those controlling Illinois’ state government quickly reacted to the horrors of the racketeering and bribery allegations. […]
Despite all of those still-fresh superlatives of shock and outrage, the chances of Democrats pushing through a new round of post-Madigan indictment ethics reforms appear bleak at the moment, with less than three weeks left before the scheduled end of the Legislature’s spring calendar.
Irvin campaign…
“Even with one of the largest corruption investigations in our state’s history coming to light, J.B. Pritzker is silent on pushing for meaningful ethics reforms, but it shouldn’t come as a surprise given he funded Mike Madigan’s Criminal Enterprise to the tune of $10 million,” said Irvin for Illinois Spokesperson Eleni Demertzis.
…Adding… Natalie Edelstein at the Pritzker campaign…
“The governor passed comprehensive ethics reform last September and stands ready to work with the general assembly to do even more to restore the public’s trust in government, as he has frequently said. It is laughable that a mayor who has repeatedly doled out city contracts to his top campaign donors would try to throw stones when he lives in an ethical glass house.”
* A Democratic candidate fundraiser co-hosted by Mrs. Rauner…
Um.
…Adding… Dowell campaign…
Diana Rauner is a long-time supporter and a Democrat who as President of Start Early has done great work in the City Of Chicago. Pat Dowell has worked with her for years and has seen the positive impact Ms. Rauner has made in the community. Alderman Dowell has a long history of building coalitions to solve problems.
* Several people I know received a text poll earlier this week and it sure looked like US Rep. Mike Quigley is testing the waters for the 2023 mayor’s race. Click here, here, here, here, here, and here, here for just some of the screen shots.
* Pritzker campaign…
On the 12th anniversary of President Barack Obama signing the Affordable Care Act, one of the most transformative pieces of health care legislation in American history, into law, Illinois Republicans have shown they’re more determined than ever to strip away critical health care protections from working families. The GOP candidates for governor would waste no time kicking Illinois families off of their insurance, rolling back protections for pre-existing conditions, and increasing the costs of health care if given the chance.
Extreme conservative Darren Bailey, who was an ardent supporter of the GOP’s 2017 tax scam that would have stripped ACA coverage from 13 million Americans, has proven that this field of GOP candidates will not stand up for working families. Meanwhile, Governor Pritzker knows health care is a right, not a privilege.
As Governor he has been fighting to expand access to care, improve the quality of care available, and make it more affordable. He reduced the Medicaid backlog left by the previous administration, providing health care to over 130,000 Illinoisans and enshrined reproductive rights in state law, protecting the freedom of choice from the potential overturning of Roe v. Wade by the U.S. Supreme Court. From capping the price of insulin to strengthening critical access hospitals in rural communities, Governor Pritzker is committed to ensuring that everyone in Illinois can access quality care they can afford, whenever they need it.
Video is here.
* Illinois Review…
Monday, Michelle Smith, a GOP candidate in the Illinois House 97th district was called upon to withdraw from the June 28th GOP primary ballot by her opponent Thomas McCullagh.
Smith told Illinois Review this week that she’s not reacting to her opponent’s challenge.
“I don’t take moral cues from someone who does fundraisers with Rod Blagojevich. Like many typical politicians, Mr. McCullagh believes voters aren’t smart enough to see through his lies,” Smith said in a written statement. “Unfortunately, he’s going to find out that childish political games won’t work and he has to actually earn their vote. These types of games are exactly what makes good people not run for office.”
Ouch.
* Daily Herald…
Questions about U.S. Rep. Brad Schneider’s residency could knock him off the ballot this year.
In an objection filed Monday with the Illinois State Board of Elections, two Lake Forest residents claim Schneider doesn’t live at the Highland Park address he listed as his home on nominating petition sheets and a statement of candidacy. […]
Objectors Alan R. Palmer and Laura La Barbera also claim in their complaint that Highland Park hasn’t issued an occupancy certificate for the house, which is newly built. A city building department employee on Tuesday said a temporary certificate had been issued for the house, but she didn’t recall when. […]
The house at that address, however, doesn’t appear lived in. The driveway isn’t finished, there’s no grass where the front lawn should be, a large trash container sits on the driveway blocking the garage doors and construction debris is visible outside.
* OK, wanna really get into the weeds of petition requirements? Let’s start here…
• According to Section 7-10 (h) of the Illinois Election Code, nomination papers for the vacancy in the 2nd Supreme Court District “must contain the number of signatures equal to 0.4% of the number of votes cast in that district for the candidate for his or her political party for the office of Governor at the last general election at which a Governor was elected, but in no event less than 500 signatures.” Section 2A-1.1b(b) of the Illinois Election Code then reduced that requirement by one-third.
• 296,552 votes were cast in the five counties of the 2nd District for Governor JB Pritzker in 2018. By completing the formula outlined in the Illinois Election Code, you get 791 signatures needed to qualify for the ballot.
• While the 2022 Candidate’s Guide from the State Board of Elections said only 394 signatures were needed, the guide also makes clear that it should not be taken as law or relied on for legal advice. The State Board of Elections miscalculated in this case.
o “Legal information contained in this guide is not binding and should not be construed as legal advice or sufficient argument in response to an objection to any candidate’s nominating papers. The State Board of Elections recommends that all prospective candidates consult with competent legal counsel when preparing their nomination papers.”
• Nancy Rotering only filed 669 petitions, significantly below the threshold needed.
• Judge Rochford submitted more than 1,700 signatures.
The objection is here.
* Counter-point from an attorney who is not involved with this petition objection issue…
The statute requires signatures equal to at least 0.4% (.004) of the number of votes cast in that district for the candidate for their political party for the office of Governor at the last General Election at which a Governor was elected, but in no event less than 500 signatures. The judicial districts were redistricted in 2021 and there hasn’t been an election for Governor in “that district.” Even though you could technically determine the number of votes in the new districts since they encompass full counties, the plain text requires the number of signatures in “that district.” Since no Governor has been voted for in that district, the Board relied on the 500 signature minimum. Since the signature requirement was reduced by 1/3 for 2022, the number of required signatures is 334. That’s what the Board included in the candidate’s guide.
See pp. 32-33: https://assets01.aws.connect.clarityelections.com/Assets/Connect/RootPublish/will-il.connect.clarityelections.com/Elections/2022GeneralPrimary/CandidateGuide.pdf
That’s why we have lawyers, I guess.
* From the polling memo on a Chicago remap proposal…
The Chicago United plan has a valuable supporter in retiring Illinois Secretary of State Jesse White. Two- thirds of voters (66%) say they approve of the job that White is doing as Secretary of State, to just 17% who disapprove of White’s job performance.
* Hope none of these House members needed to use their cars…
…Adding… I forgot to post this…
Pat Dowell, IL 1st CD Candidate Announces Support for Striking Workers at WTTW Channel 11 - Will Not Cross Picket Line for WTTW Election Guide
“I support the men and women of Local 1220 of the International Brotherhood of Electrical Workers who are on strike against WTTW Channel 11. Management of WTTW needs to return to the bargaining table and negatoate a fair contract.”
“Yesterday, WTTW reached out to me, asking me to participate in their 2022 Primary Election Voter Guide. While I appreciate every opportunity to communicate with voters, I have told WTTW that I will not participate in this project. Whether in person or online I will not cross a picket line at WTTW. I encourage other candidates not to be a part of the WTTW voter guide until the workers’ demands are met,” said Ald. Pat Dowell, candidate for the Democratic nomination for Illinois’ 1st Congressional District.
*** UPDATE *** The Board of Elections spokesperson explained the ballot position lottery results: “Since there are eight GOP gubernatorial candidates, you throw out 9th alphabetical and move 8,7,5,3 up.” Here you go…
State Board Lottery for ballot position
Using last name in Alpha order - Ballot position
1st alpha …………… 1st
4th alpha …………… 2nd
2nd alpha …………… 3rd
6th alpha …………… 4th
9th alpha …………… 5th
8th alpha …………… 6th
7th alpha …………… 7th
5th alpha …………… 8th
3rd alpha …………… 9th
And last place order is: 3, 4, 1, 2
* Related…
* Candidates in Illinois Often Get Booted from the Ballot for Ticky-Tack* Reasons
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* Jeremy Gorner and Clare Spaulding at the Tribune…
The Illinois Senate on Tuesday took the rare step of rejecting one of Democratic Gov. J.B. Pritzker’s nominees to a state agency, in this case the Prisoner Review Board.
The Democratic-controlled Senate’s 22-19 vote fell short of the 30 votes needed to confirm Jeffrey Mears’ nomination to the board, which has duties that include deciding whether prisoners should be released early on parole.
All 18 Senate Republicans voted against Mears’ confirmation as did one Democrat, Patrick Joyce of Essex. But 18 Democrats sat out the vote. […]
State Sen. Bill Cunningham, a Chicago Democrat who voted Tuesday in favor of Mears’ appointment, said he intends next week to vote against the nominations of Oreal James and Eleanor Wilson to the board. The two were appointed by Pritzker and voted last year to grant parole for Hurst and Veal [two men accused of killing police officers more than 50 years ago].
“I’m, personally, of the belief that individuals who kill police officers should serve a life sentence without any possibility of parole,” Cunningham, whose district is inhabited by a lot of Chicago police officers, said Tuesday after the Senate adjourned.
Cunningham is not just any state Senator, he’s the Senate President Pro Tempore. And Ms. Wilson is not just any ordinary PRB member. She’s the godmother to former President Barack Obama’s kids.
* Capitol News Illinois…
Pritzker spokesperson Jordan Abudayyeh in an email blamed Republicans for the denial Tuesday and touted Mears’ resume.
“Republicans have set out on a mission to dismantle a constitutional function of government, just like the previous governor,” she said in a statement. “We remain committed to ensuring that highly qualified nominees fill these roles, especially because we must fulfill our constitutional obligations for justice and cannot jeopardize key public safety functions of the board like revoking parole for those who violate the terms of their release.”
The statement was referring to the approximately 4,500 parole revocation hearings held by the PRB each year at locations around the state about 15 to 20 times per month. Three board members must be present at each hearing to render a decision on whether to terminate an offender’s parole, otherwise the offender would be released and deemed not in violation of parole.
Pritzker had sent a letter to Executive Appointments Chair Sen. Laura Murphy, D-Des Plaines, and Sen. Jason Plummer, R-Edwardsville, on March 15 urging them to act on appointments to address the potential of not having enough board members for the revocation hearings.
…Adding… Ellie Leonard with the Senate Republicans…
In regard to Jordan’s statement about Rauner…all of his appointees (12) to PRB were confirmed in a timely manner without any “no” votes. Only one member has been confirmed the entire time Pritzker has been in office. That was Lisa Daniels on 5/31/19 and she was a Rauner appointee. Therefore, Rauner has more confirmed PRB members during Pritzker’s term in office than Pritzker himself. Not a great statistic for someone who wants to blame Republicans and Rauner for the issues within PRB. 🙃
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* For decades, business and labor have sat down to negotiate how to solve any issues related to the state’s unemployment insurance program. The resulting compromises were then taken to the leadership in both parties and bills would be passed on a bipartisan basis because the leaders all give their word to stick to the deal. But negotiations apparently aren’t going well and a deadline is looming, so this letter from the House GOP Leader appears to break from the past in a major way…
Governor Pritzker,
Before the pandemic, our state’s unemployment insurance trust fund had a positive balance of more than $2.2 billion. The historic surge of unemployment benefit applications that began with the stay-at-home order quickly drained that balance and has now put the trust fund over $4.5 billion in debt—a debt that continues to grow as interest charges accrue daily. On top of the legitimate unemployment claims, Illinois also experienced a historic level of fraud—the total dollar amount of which your administration still refuses to estimate or release. These claims worsened the fund’s financial condition through no fault of employers or workers.
More than a year ago, my colleagues and I called attention to this debt and warned of the consequences of inaction, specifically that failing to pay off the debt would require a massive tax increase on businesses and a reduction in unemployment benefits for Illinois workers.
Unlike many of the other structural problems Illinois faces, this one-time COVID-related debt also came with a one-time COVID-related solution: Coronavirus Aid, Relief, and Economic Security Act (CARES) and American Recovery Plan Act (ARPA) funds. Many other states faced the same challenge we do, and they responsibly used these federal relief dollars to pay off their unemployment insurance debt and avoid tax increases or benefit reductions.
Unfortunately, the current fiscal year budget passed by Democrats in the House and Senate did not dedicate a single dime to paying off this pandemic-era debt. When the budget came to your desk, you used your amendatory veto authority to make changes to certain enactment dates in the poorly drafted and hastily enacted budget. You had an opportunity to address the unemployment insurance trust fund debt at this point in time, but you instead chose to ignore the problem, just like you ignored the roughly $1.5 billion in ARPA “pet project” spending that was added in by democrat legislators in the final hours of the spring legislative session.
While Illinois cannot recover the $40 million paid in interest due to ignoring this problem so far, it’s not too late to stem the bleeding now. Of the more than $11.5 billion in CARES and ARPA funding the State of Illinois has received from the federal government, it appears that nearly $6.94 billion has not yet been spent. That means we still have sufficient funding to eliminate the unemployment insurance debt entirely and still have almost $2.5 billion remaining to pay for real COVID-related costs.
This problem could have been solved a year ago, and we could have avoided tens of millions of dollars in interest charges. But instead, Springfield is doing what it so often does: playing a game of brinkmanship with an April 1 federal deadline looming.
Let’s not raise taxes on Illinois businesses as they fight to emerge from the pandemic. Let’s not cut benefits for Illinois workers who may soon need the protection that unemployment insurance offers. Instead, let’s use the federal funds we have available to solve this problem once and for all.
Sincerely,
House Republican Leader Jim Durkin
Deputy Republican Leader Tom Demmer
I asked for their breakdown of available ARPA money…
Notice that the chart says “spent” appropriations. According to the governor’s office, another $3 billion or so has already been appropriated by the legislature and is awaiting approval from the US Treasury. This unspent money is mainly capital projects, but there are also several one-time items like violence prevention programs.
What’s actually left, the governor’s office says, is $3.5 billion.
Bottom line is the Republicans don’t want to vote for any election-year employer tax hikes at all even if unions agree to benefit cuts. The agreed bill process may be on its last legs.
…Adding… Similar or coordinated message from the Richard Irvin campaign earlier today…
While JB Pritzker continues to push his election year gimmicks, his failure to lead will result in higher taxes and lower wages across Illinois as the gaping hole in the Unemployment Insurance (UI) Trust Fund continues to grow. Pritzker has thus far refused to use federal ARPA funds to replenish the shortfall and create a reserve balance in this crucial social safety net program. His lack of action results in $2 million in interest charges a week.
Instead of using the federal funds to fill this hole, Pritzker chose to pledge them towards one-time election year gimmicks of fake tax relief. If Pritzker continues to withhold the federal bailout funds, employers could see their unemployment taxes go up and employees could see their benefits cut.
The state’s Unemployment Insurance Trust Fund currently has a deficit of over $4 billion – plus interest. That number would just cover the deficit; much more will be needed to replenish the fund’s reserves. Even worse, a recent news investigation found the Department of Employment Security knowingly gave money to scammers and the Pritzker Administration refuses to disclose how much the Unemployment Insurance Trust Fund has lost due to fraud.
“JB Pritzker has never seen a tax increase he didn’t like, so it’s no surprise he’s angling to pull the wool over the eyes of Illinoisans once again,” said Irvin for Illinois spokesperson Eleni Demertzis. “This is his failure that taxpayers are now on the hook for, something that could have and should have been prevented.”
According to IRMA, state law has ‘speed bumps’ written into it that are expected to trigger $500 million in tax increases for employers and $500 million in benefit cuts for employees. Despite lawmakers pushing for Pritzker to use federal funds to replenish the debt, he has continued to stall as an April 1st federal deadline looms. Without action, higher taxes on employers and reduced benefits for workers are inevitable.
…Adding… Pritzker campaign…
At a time when working families across the state need assistance, we need to be honest about what Richard Irvin is objecting to in the governor’s budget proposal: tax relief for Illinoisans. Ken Griffin’s hold on Irvin remains so tight that even Bruce Rauner would blush at his rejection of policies that would help working families. Voters can see this candidacy and these embarrassing objections for exactly what they are and no amount of spin from Irvin’s team of Rauner rejects can change the truth.
…Adding… Jordan Abudayyeh…
Following the established agreed bill process, that for years has resulted in compromise, there have been 13 formal meetings and countless discussions since January 11th between business and labor along with lawmakers from both sides of the aisle. Earlier this year, Rep. Demmer asked the Governor’s Office what it means to have a seat at the grown-ups table. We would tell the Representative it means not abandoning a bipartisan and sincere effort to follow a decades long agreed bill process in favor of scoring cheap political points at a critical moment in the negotiations. The Pritzker administration will continue to convene all parties and negotiate in good faith for a compromise that is fair to both businesses and workers.
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* Media advisory…
Illinois State Treasurer Michael Frerichs will stand with workers and employers who participate in Secure Choice, the innovative plan that created a mobile retirement savings account that travels with the worker.
Frerichs spearheaded the Secure Choice retirement savings program to combat the retirement savings crisis in Illinois and across the country. Illinois is a national leader in offering an auto‑enroll IRA program.
WHO: Illinois State Treasurer Michael Frerichs and Central Illinois workers and employers.
WHAT: Employees, employers and advocates will explain how Secure Choice works, how it combats the retirement savings crisis gripping the nation, and why it can save taxpayers money.
More than 100,000 workers and 6,400 employers participate in Secure Choice, with $82 million already saved.
WHEN: 10:30 a.m. on Monday, March 21, 2022.
WHERE: Capitol Blue Room in Springfield.
Chef Michael Higgins from Maldaner’s was one of the press conference participants and he talked about how he wishes he’d had something like this available when he was younger and about the benefits for his workers.
* About a half an hour before the press conference…
Republican State Representative Tom Demmer issued the following statement in advance of Treasurer Frerichs’ press conference on Illinois’ Secure Choice Retirement Program.
“Two years ago, Treasurer Frerichs joined with Governor Pritzker to support a radical tax increase plan on Illinois families. Frerichs even took the measure a step further by saying it could be ultimately used to tax retirement income—including pensions and 401ks—like Secure Choice. Thankfully voters rejected Frerichs’ call for taxing retirement income. However, with Frerichs continuously advocating for tax increases—even taxing retirement income—Illinois families and retirees have anything but secure choices for their hard-earned income and savings.”
In addition, over the last 8 years Frerichs has accepted over $275,000 from former indicted Speaker Michael Madigan’s run political action committees. To date, Frerichs has not returned any of these questionable contributions.
My first thought was that Demmer wants Frerichs to help pay Madigan’s legal expenses by refunding contributions.
* Frerichs was asked about both topics in his press conference. First up, taxing retirement income…
Q: Right around the time I sat down in this chair, I got an email from your opponent’s campaign saying ‘Retirement savings? Well, retirement income is just what Treasurer Frerichs wants to tax.’ What is it you want to do? And how are you going to drive away from this, I don’t know if you want to call it an albatross or some other sort of winged or assorted animal, is this going to continue?
A: This is only gonna continue because my opponent continues to talk about something that’s not an issue. I have stated clearly, time and time again in front of the media that I don’t support a retirement tax, I’ve proposed no retirement tax, I’m not going to propose any sort of retirement tax. My opponent keeps talking about this because he doesn’t want to talk about the real issues of retirement. His numerous votes to reduce retirement benefits. His vote against creation of Illinois Secure Choice, something that’s going to give people a better retirement.
* Madigan…
Q: Your opponent also in the email he sent out before your news conference talked about 275,000 you got from Madigan-linked political campaign funds. Do you just plan on giving that back somehow? What’s your reaction to this?
A: My opponent’s not reached out, I’ve not seen this. I don’t know what he’s referring to or how many [crosstalk, restating the question]
A: I think the justice system is working right now. Indictments have been filed. There’ll be a trial. And I think that we need to do, especially root out corruption in the state of Illinois. We need to have greater transparency and greater ethics to make sure that we don’t have corruption in our state.
Q: What about the campaign funds that you may have gotten from DPI under Madigan’s control? What should happen with those dollars?
A: I’m not aware of the funds he’s talking about.
* ILGOP press release after the press conference…
Illinois Treasurer Mike Frerichs was a deer in headlights today when asked if he would return over $275,000 in tainted campaign contributions from the former Madigan-run Democratic Party of Illinois over his tenure, claiming he now doesn’t recall one of his largest campaign donors.
Frerichs said he was unclear what the sources of campaign cash were, so let’s look at the most recent Madigan contributions to Frerichs’ campaigns for Treasurer:
• On October 17, 2014 Frerichs reported $38,712.96 from Madigan’s DPI Committee.
• On October 24, 2014 Frerichs reported $37,363.40 from Madigan’s DPI Committee.
• On October 27, 2014 Frerichs reported $73,632.24 from Madigan’s DPI Committee
• On November 24, 2014 Frerichs reported $40,000 from Madigan’s DPI Committee
• On October 31, 2018 Frerichs reported $55,400 from Madigan’s DPI Committee
• On November 15, 2018 Frerichs reported $30,000 from Madigan’s DPI Committee.
During his 15 years in Springfield, Frerichs has accepted over $275,000 in contributions from former indicted Speaker Michael Madigan’s run political action committees. To date, Frerichs has not returned any of these questionable contributions.
“It’s incredibly clear that Mike Frerichs has a Mike Madigan problem. Madigan was one of Frerichs’ largest donors in his campaigns for Treasurer, but now Frerichs says he doesn’t remember those contributions. Unbelievable, but true,” said Shaun McCabe, Executive Director of the ILGOP. “Frerichs needs to own up to his past support for and from Madigan and tell taxpayers what he intends to do with the over quarter of a million dollars in tainted contributions.”
DPI contributions are often pass-throughs from other sources so the candidates can obtain postage discounts. More than half of the above-mentioned DPI contributions were in-kinds for mailers.
…Adding… From Rep. Stephanie Kifowit (D-Oswego)…
My son who is in the Navy currently participates in an auto enroll type IRA. He has quite the nest egg already at 20 years old. I wish the military would have had that when I was in.
…Adding… Frerichs press release…
The innovative plan to create a mobile retirement savings account that travels with the worker topped the 100,000 enrollment milestone, Illinois State Treasurer Michael Frerichs said today.
Frerichs set up the Secure Choice retirement savings program to combat the retirement savings crisis in Illinois and across the country. Illinois is a national leader in offering an auto enroll IRA program. Workers in Illinois began saving in July, 2018.
“A retirement savings tool that can travel from job-to-job with the worker makes it easier to save, allows a worker to retire with dignity, and saves taxpayer money by reducing the need for publicly funded safety net programs,” Frerichs said.
Today, more than 100,000 workers and 6,400 employers participate in Secure Choice, with $82 million already saved. None of this was possible without Secure Choice. The 100,000 milestone was surpassed in the first quarter of this year.
“I chose to enroll in Illinois Secure Choice to increase my retirement options,” said Sam Hall, a father of three children who works as the program director for DREAAM in Champaign, the Rantoul Division, a social services organization helping boys and young men between the ages of 5 and 24. “The enrollment process was easy, and I feel more secure knowing I have a plan for retirement.”
DREAAM stands for Driven to Reach Excellence and Academic Achievement for Males. Tracy D. Dace is the Founder. “As a CEO, I was impressed with the ongoing support from the Illinois Secure Choice team to establish an account, enroll employees, and manage the administration of the deductions,” Dace said. “The built-in support indicated a commitment to excellent customer service and overall program quality.”
The General Assembly required employers to either offer a retirement savings plan or participate in Secure Choice, which is overseen by a seven-person board chaired by Frerichs. Secure Choice investments are managed by a private-sector financial services firm and kept in a trust outside of state government and its finances.
Key to passing legislation that created Secure Choice was the assurance that employers would not be financially liable for plan administration and would not be legally liable for investment changes. Employees can opt-out of the program at any time.
“I supported the expansion of Secure Choice as a state legislators because we need to be able to do more for our workers and small businesses,” said Mike Murphy, a former Republican lawmaker from Springfield and current President and CEO of the Greater Springfield Chamber of Commerce.
Enrollment began in 2018 with companies at least two years old and with 500 or more employees. Smaller companies enrolled in phases thereafter to ensure a smooth transition. The success was so strong that most business groups initially neutral or opposed to Secure Choice did not oppose the legislation passed by the General Assembly in 2021 to expand the program. That legislation requires employers with at least five employees to provide a retirement vehicle, or access to Secure Choice, by November, 2023.
The access is critical:
• Nearly half of all working-age families have nothing saved for retirement.
• Although Social Security is not intended to be the sole source of retirement income, 23 percent of Illinois retirees rely on Social Security for at least 90 percent of their retirement income.
• Workers are 15 times more likely to save for retirement if they can do so at work.
• However, 40 percent of Illinois private-sector employees work for a business that does not offer a retirement savings plan.
About Illinois Secure Choice
Illinois Secure Choice is managed by Ascensus, a private-sector financial services firm responsible for all recordkeeping and day-to-day aspects. Fund options include BlackRock, Charles Schwab, and State Street Global Advisors. Participants are enrolled in a default target-date Roth IRA with a five percent contribution rate. Participants can choose to change their contribution level or fund option at any time. More information can be found at www.ilsecurechoice.com.
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* Press release…
For the first time ever, the Illinois Department of Insurance (IDOI) announced today fines totaling $339,000 for Health Care Service Corporation (HCSC), the parent company of Blue Cross Blue Shield of Illinois, for violating the material change notice requirement in the state’s Network Adequacy and Transparency Act.
Network adequacy filings are an important tool to help ensure that consumers have access to a network of providers that meets proper time and distance standards. This is critical to ensuring that patients have access to care that they need.
The Department found that the company did not properly file updated network adequacy filings following the termination of its contract with Springfield Clinic which serves approximately 100,000 consumers in Central Illinois. After months of delay, the Department finally received BCBS’s final filing for its network adequacy review on Thursday. The Department determined that the filings were 244 days late and 95 days late, accumulating a total fine of $339,000. Late fees are $1,000 per day.
“Insurance companies must be able to show that they have adequate provider networks, so that Illinois consumers have access to the medical care and providers that they pay for,” said Governor JB Pritzker. “This fine should serve as notice that we will require insurers to maintain adequate provider networks and uphold all consumer protections under the law.”
Although the Department reviews every plan’s network for adequacy when the plan is filed, the law recognizes that a plan’s network may change mid-plan year. In anticipation of these potential changes, there is a provision that if there is a “material change” in the network, the company must submit updated network adequacy filings to demonstrate that the change has not rendered the network inadequate. Under state law, insurers are required to report to the Director any material change to an approved network plan within 15 days after the change occurs.
“This is the first time the Department has issued a fine for the material change filing requirement in the Network Adequacy Transparency Act,” said IDOI Director Dana Popish Severinghaus. “We’re disappointed that the company continues to evade acknowledging this material change. Under Illinois law, the removal of a major health system, like Springfield Clinic, is a material change that could render a network, or parts of a network, inadequate. We are committed to exercising the Department’s full authority to protect consumers from being harmed in a corporate contract dispute.”
Blue Cross Blue Shield must pay the fine immediately, and the company has 10 days to contest the fine. The Department will continue its review of the network adequacy filing for compliance with applicable state and federal laws.
The Notice of Apparent Liability for late filing of Network Adequacy can be found here.
* Last week, Richard Irvin’s campaign suggested imposing those daily fines, among other things…
• Swiftly investigate Blue Cross Blue Shield’s compliance with the state’s network adequacy requirements, and impose fines for every day it is in violation.
• Order Blue Cross Blue Shield to provide true continuity of care coverage as required by state law and re-adjudicate previous claims that should have been considered in-network.
• Consider capping Blue Cross Blue Shield’s enrollment if the company does not swiftly come into compliance with provider network adequacy requirements.
Now that the government has network adequacy requirement data, it can take a look at what’s actually going on. But the Department of Insurance dropped the ball here. No way should it have allowed BCBSI to not file those reports for so long, particularly since this impacts a hundred thousand people in central Illinois.
And though I doubt BCBSI would even notice a grand a day, the company is taking increasing Statehouse heat, including a recent call to strip its state tax-exempt status. Big Blue has stayed relatively mum so far, but they’re now starting to engage.
…Adding… A top official in the Pritzker administration says BCBSI is not a not for profit corporation, despite reporting to the contrary. “There is no tax exemption for BCBS in IL,” the official texted.
* From Harmony Harrington, Vice President, Government, Communications and Community Engagement at Blue Cross and Blue Shield of Illinois…
“Blue Cross and Blue Shield of Illinois has been working closely with the Illinois Department of Insurance since contract negotiations first began with Springfield Clinic last May. Though we had a reasonable and well-informed opinion that Springfield Clinic’s decision to leave our network did not trigger any network change filing, when the Department requested one within the past few weeks, we promptly complied. As we evaluate the Department’s decision, we will continue to work collaboratively and in compliance with applicable laws and regulations while ensuring access, affordability and quality in health care for the more than 8 million Illinoisans we cover.”
The insurance company has claimed that Springfield Clinic is demanding a 75 percent increase in what they claim is an already high reimbursement rate. As a Blue Cross policyholder and a Springfield Clinic patient, I want this to end now. I don’t know what the state can do if the clinic is indeed making outrageous demands, but if BCBSI is to be believed, they’re not totally at fault here and Springfield Clinic needs to get to the table with reasonable expectations. /rant
33 Comments
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* A Republican operative joked last week that they should probably be required to report Foxx as an in-kind contribution. From the Richard Irvin campaign…
In yet another example of his pro-criminal, anti- police positioning, J.B. Pritzker last year signed a law allowing far-left State’s Attorney Kim Foxx to petition for sentence reductions for violent criminals. Naturally, despite skyrocketing crime in Chicago and Cook County, Foxx announced that this week she will begin petitioning the courts to release violent criminals from prison early.
Thanks to Pritzker’s enabling, Foxx’s resentencing initiative will potentially grant early release to criminals serving long sentences for violent crimes. Foxx will present three resentencing motions as early as this week with more planned for later this month. In total, Foxx’s office anticipates the early release of as many as 25 people by the end of the year. This is the latest affront to crime victims, in addition to her support for ending cash bail and her call to allow Jussie Smollet to escape paying for his crimes.
“Whether via pardon or commutation, signing his anti-police crime bill or enabling Kim Foxx to push for lighter sentencing for criminals, J.B. Pritzker always sides with criminals over police and community safety,” said Irvin for Illinois Spokesperson Eleni Demertzis.
* From the linked story…
Three men are slated for possible resentencing next week, the first to potentially benefit from a new state law allowing prosecutors to petition for shorter sentences ”if the original sentence no longer advances the interests of justice.” […]
The office is first reviewing cases of people who have served at least 10 years for a drug, theft, robbery or burglary conviction; people 65 or older who have served at least 20 years for a case not related to a sex crime or homicide; and people who have served at least 15 years for a case other than a sex crime or homicide and who were younger than 21 when they committed the offense. […]
Victims in each case will be notified “at different steps of the resentencing process,” and will have a chance to submit statements to the judge to consider at sentencing, the office stated.
Foxx did not offer an estimate of how many cases may be eligible for resentencing under those criteria. But prosecutors are scheduled to present their first three resentencing requests in court [this] week, according to Foxx’s office.
* Sun-Times…
Larry Frazier, 63, is one of the men hoping to shave significant time off his sentence when his case goes back before a judge Wednesday.
Frazier was 40 when he was given 60 years in prison for a home invasion that took place in Calumet Park when he was 36, according to court records.
At the time he was sentenced in 1999, Frazier was given an extended sentence because the victim was 62 — only a year younger than Frazier is now, documents show. Details of the case were not immediately available, but other charges Frazier faced included weapons offenses and unlawful restraint.
By that time, Frazier had already amassed a significant criminal record of charges, including theft and armed robbery, going back to the early 1980s, state records show.
In their motion, prosecutors noted the victim wasn’t hurt physically in the home invasion and argued that since being locked up, Frazier “has taken substantial steps toward rehabilitation,” though no details were provided. […]
Ed Wojcicki, executive director of the Illinois Chiefs of Police Association, said he finds the idea of resentencing inmates for the crimes they were convicted of fundamentally unfair.
“The rules are what they were when they were sentenced,” he said when reached by phone Friday. Wojcicki said he worries about the impact the resentencing hearings will have on crime victims.
* WBEZ…
The small number of cases means the initial impact could be small, but the effort carries significant political risks for Foxx because it turns the conventional understanding of America’s adversarial court system on its head, putting prosecutors and defense attorneys on the same side, pushing for leniency and forgiveness.
Foxx said they are embarking with caution, seeking to prove to the people of Cook County that the early releases will not endanger public safety before expanding the effort. Ultimately, it will be up to judges whether they will grant the motions and what kinds of sentences will be handed out.
Still, the county’s controversial top prosecutor is taking up the initiative at a time when her office is already under fire because of a perception that Foxx is going easy on criminals during a surge in violence.
“I think we have to show people that it works … There are segments of our population who believe, ‘you’ve done the crime you do the time, even if you wouldn’t get that same time today,’ ” Foxx said. “So I think the initial foray into this is to show people what it looks like, to de-stigmatize what the process looks like, to demonstrate that this is actually good public policy and it’s actually good for us as a community.” […]
“I’m always expecting backlash because it’s different than what we’ve normally done,” Foxx said. “Here in Cook County, we have been very much entrenched in a culture with our justice system that had been very punitive, that … the way to fight crime was to just lock everybody up.”
Thoughts?
*** UPDATE *** Greg Hinz followed up…
Foxx is firing back: “As a former and longtime defense attorney, Mayor Irvin knows all too well, of the evolution in sentencing laws, which he has used to advocate for the criminal defendants whom he represented,” her office said in a statement. “The resentencing initiative recognizes that the sentences previously imposed would be less if imposed today. The purpose of the law is to address that discrepancy.”
The Pritzker folks took aim at both Foxx and Irvin.
“The governor had hoped prosecutors would’ve first prioritized those who committed non-violent offenses,” they said in a statement. “This decision sends the wrong message at this moment in time.”
Still, they added, “As we continue to put forth good-faith solutions to both reduce crime and reform our criminal justice system, we will not be lectured by Republicans who see crime as yet another issue to exploit for cheap political shots. Richard Irvin can’t seem to decide what side of his mouth he wants to talk out of today and while he continues to ignore his long career profiting off of keeping violent criminals out of jail and free from accountability.”
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