Quinn signs Chicago pension bill
Monday, Jun 9, 2014 - Posted by Rich Miller
* As expected…
Gov. Pat Quinn today signed into law a pension measure backed by Mayor Rahm Emanuel that would cut benefits and raise the retirement age for workers in two of the city’s pension funds.
Today was the deadline for Quinn to act on the legislation, and he had been mulling it over since lawmakers sent it to him in April. The bill presented a bit of a political quandary for the re-election-seeking Quinn. That’s because it requires the city to make higher yearly pension contributions, which Emanuel has said he would seek to pay for through a property tax increase. Quinn has campaigned on reducing the property tax burden.
Quinn received cover in the form of a separate bill he signed last week that will allow the city to raise 911 fees on land lines and cellphones by up to $1.40 a month, to $3.90. If the City Council increases the fee by the full amount, it would generate an estimated $50 million a year – which could put off the need for a property tax increase until after next year’s city elections.
* Rauner’s response…
Gubernatorial candidate Bruce Rauner today criticized Gov. Pat Quinn for breaking his promise to Chicago homeowners by signing a law that will force City Hall to raise their property taxes.
“I would have vetoed this law – but Pat Quinn likes to raise taxes and left homeowners holding the bag again,” Rauner said. “This should have been a no-brainer – veto the bill, don’t squeeze Chicago families even more.”
Despite pledging to lower property taxes for homeowners, Gov. Quinn broke yet another promise by signing the Chicago pension bill into law, thereby forcing City Hall to raise property taxes on hardworking Chicagoans. Even if the city diverted $50 million in new 911 emergency phone tax revenue to pay for the pension bill, City Hall would still face a massive shortfall over the five-year phase-in, paving the way for a massive property tax hike.
It also should be noted that the 911 tax will only cover the first year of the pension reform legislation - because it’s just a $50 million tax and sunsets in a year.
* From the ILGOP…
Tim Schneider, the Chairman of the Illinois Republican Party, released the following statement this afternoon following Gov. Pat Quinn’s signature of the Chicago pension legislation:
“Pat Quinn just signed the hardworking taxpayers up for five straight years of property tax hikes.
“He said he ‘read the fine print,’ said his ‘conscience’ guided his decision, and then he signed the bill anyway.
“It shouldn’t surprise anyone: Pat Quinn has spent the last five years putting government first and the taxpayers last in every decision he’s made. Illinois families already struggle with some of the highest property taxes in the country, forcing seniors out of their homes and doing real damage to our business climate. And despite all that, Pat Quinn just put them on the hook for hundreds of millions more.
“It’s clear that we need a major change in Illinois, starting with a governor who will finally stand up to tax hikes, not sign them.”
* Gov. Quinn’s signing statement…
* Mayor Rahm Emanuel…
Since day one, my administration has worked to strengthen the City’s finances by making the necessary cuts and reforms to spending, which have resulted in reducing the structural deficit by half. Finding a long-term solution to our pension crisis is a critical piece to securing Chicago’s economic future.
Working with 30 union leaders who were willing to compromise and be part of the solution, and with the General Assembly and Governor Quinn, we have taken a big step in addressing Chicago’s pension crisis. This pension reform and retirement security plan marks a significant step forward for Chicago. It ensures that we can continue to deliver the services that residents rely upon, safeguards the retirements that 61,000 workers and retirees expect, and respects our taxpayers.
This balanced plan relies on efficiencies and savings as part of a long-term funding solution, and I intend to work with City Council in the coming months to find alternative options to replace property taxes as the source of the City’s first pension payment.
Today’s action is another step toward correcting the series of financial challenges that have been building over the last few decades. I thank the Governor for his leadership, the General Assembly, and our partners in labor who worked with us to reach a responsible long-term solution that will allow us to chart a stronger future for Chicago.
* From the We Are One coalition…
“Mayor Rahm Emanuel’s pension-slashing plan, now signed by the Governor, is wrong for Chicago. This is no victory for the Mayor, but a huge, missed opportunity to find a truly fair, constitutional solution.
“Senate Bill 1922 would slash the value of pensions by one-third within twenty years of retirement. It inordinately hurts women, people of color, and low-income workers and retirees, disrupting and harming our city’s communities.
“Our coalition has presented numerous alternatives that would rebalance our tax code and ask those who can most afford it — the wealthiest among us — to pay their fair share. Unfortunately, some elected officials have chosen to ignore the constitution and these fairer revenue alternatives, opting instead to slash the retirement life savings of our city’s public health professionals, teachers’ aides, librarians, cafeteria workers, and other public employees and retirees.
“The Mayor’s plan is unfair and unconstitutional, and our unions intend to seek justice and will be preparing to file suit.”
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Plastic micro-beads to be phased out here
Monday, Jun 9, 2014 - Posted by Rich Miller
* AP…
Gov. Pat Quinn has signed a law he says makes Illinois the first state nationwide to ban products containing so-called microbeads.
Synthetic plastic microbeads are found in soaps and cosmetics and billed as a way to exfoliate.
* The little beads were apparently on their way out anyway…
Johnson & Johnson, Unilever and L’Oreal already have information on their websites explaining their plans for gradually eliminating the scrub beads from their products and testing for natural alternatives, like ground seeds or nuts.
Unilever says on its website that it plans to complete its phaseout of microbeads globally by 2015.
Until the products are off the shelves, consumers who don’t wish to use products with the plastic bits should watch out for products that list polyethylene and polypropylene in their ingredient lists, according to the Alliance for the Great Lakes, an advocate for protection of the Great Lakes.
* The problems they cause…
These tiny plastic particles have been the focus of environmentalists who argue they pose long-term pollution problems because of their small size, particularly in the Great Lakes which contain 20 percent of the world’s freshwater. Microbeads are so small they can pass through water filtration systems and be mistaken as food by fish in the Great Lakes.
The ability of microbeads to soak up toxins in the water has scientists and environmentalists concerned those chemicals will eventually work their way up the food chain where they’ll be ingested by other animals and even humans. Sherri Mason, an associate professor of chemistry at State University in New York, told NPR Lake Ontario contains as much as 1.1 million plastic particles per square kilometer.
* Phase-out schedule…
The law would phase out the small plastic beads that are used in some exfoliating body scrubs and whitening toothpastes. Manufacturers will have to stop including the beads in products by 2017, and stores can no longer sell products with them after 2018. The use of the beads in prescription medicines, such as toothpastes or acne washes, will be eliminated in 2019. Consumers can identify products containing the plastic pieces by checking for polyethylene or polypropylene in the ingredients list.
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Question of the day
Monday, Jun 9, 2014 - Posted by Rich Miller
* The Democratic Party of Illinois is to _____ as the Illinois Republican Party is to _____?
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But for a bounced check…
Monday, Jun 9, 2014 - Posted by Rich Miller
* The Quinnsters have repeatedly said that “not one penny” was spent before the election on the governor’s anti-violence initiative. True. But only because they essentially bounced a check…
Gov. Pat Quinn’s administration has long said its troubled, $54 million anti-violence program didn’t spend a dime before the governor’s 2010 general election, despite opponents contending it was a rush-job, “political slush fund,” the governor used to drive critical voters to the polls.
New emails obtained by the Sun-Times, however, indicate the administration had attempted to move large amounts of tax dollars into the Neighborhood Recovery Initiative three weeks before the Nov. 2 election, a critical period when Quinn was in a tough contest against Republican challenger Bill Brady. Quinn eventually prevailed, winning by about 31,000 votes.
Attempts to move the money onto the streets early on failed, however, when there were “insufficient funds” ready to pay for the new initiative. […]
Records show the Illinois comptroller’s office issued a voucher, saying the money would be used for “Gov Neighborhood Recovery Initiative.” However, the attempts backfired, when there were “insufficient funds” to pay the request made by the then-head of the anti-violence program.
Oops.
* Meanwhile…
Bruce Rauner has been citing Gov. Pat Quinn’s troubled $54.5 million anti-violence initiative as an example of “corruption and patronage” in Quinn’s administration — even though a church led by a Rauner ally got some of the state anti-violence cash.
Rauner, the Republican candidate for governor, for years served with the Rev. Marshall Hatch on a charter-school board and has talked about his relationship with Hatch and other African-American leaders on the campaign trail.
A onetime failed 29th Ward aldermanic candidate, Hatch, 56, is senior pastor of New Mount Pilgrim Missionary Baptist Church, 4301 W. Washington, which was awarded $192,000 in grant money through Quinn’s Neighborhood Recovery Initiative — the anti-violence program Rauner has blasted.
At his church, Hatch works with Benton Cook III, who has been a minister there for eight years. Cook, the husband of Cook County Circuit Court Clerk Dorothy Brown, has become a lightning rod for criticism of the Quinn program because he was paid $146,401 in salary and benefits over 22 months to work for it despite having a felony conviction for writing bad checks.
There are two morals to this story…
1) The Sun-Times can creatively tie pretty much anyone to Dorothy Brown.
2) When you play in Chicago politics, as Rauner is doing, there are consequences, no matter how tenuous the ties.
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And speaking of the “shadow governor”…
Monday, Jun 9, 2014 - Posted by Rich Miller
* Greg Hinz reports that Bruce Rauner appears to be siding with Bob Schillerstrom for RTA Chairman over his vanquished GOP primary rival Kirk Dillard…
One source says Rauner staffers are making calls to RTA board members and those with influence on board members to urge backing for Mr. Schillerstrom. Another influential official says that Mr. Rauner himself has made it clear personally that Mr. Schillerstrom is his preferred candidate.
“There are issues there” between Messrs. Rauner and Dillard, said one official who regularly talks with Team Rauner. The nominee was upset when Mr. Dillard attended “a press conference” with Gov. Pat Quinn not too long after the primary, while failing to attend a post-primary GOP “unity breakfast” the day after the primary with the other three Republican gubernatorial candidates, the source said. […]
Mr. Dillard said talk about attending a “press conference” with Mr. Quinn apparently stems from the fact that both were at a recent groundbreaking for a building at Western Illinois University.
“There were 1,000 people there. I’m an alum. I sponsored the bill” appropriating funds for the building, Mr. Dillard said. “Am I not supposed to show up?”
Mess with the bull, get the horn, as they say. But could Rauner end up shoving Dillard even closer to Quinn?
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Quinn replies to Shakman’s lawsuit
Monday, Jun 9, 2014 - Posted by Rich Miller
* From the Associated Press…
Gov. Pat Quinn has asked a federal court to reject Michael Shakman’s challenge to state hiring, saying the Chicago anti-patronage attorney has no authority to raise questions and seeks resolution that would unnecessarily disrupt government and undermine gubernatorial authority.
The Democratic governor’s request, which blames the now-imprisoned ex-Gov. Rod Blagojevich for any misconduct in hiring, was filed late Friday in U.S. District Court in Chicago.
Shakman, author of a landmark 1972 court decree prohibiting political hiring in Cook County government, renewed his suit against Quinn in April. It claims the administration violated the Shakman decree and another that regulates state hiring by improperly considering politics in employment and promotion at the Illinois Department of Transportation.
Shakman wants an investigation completed and a “special master” appointed to monitor and ensure proper hiring at all agencies under the governor’s control, a move Quinn’s lawyers reject as superfluous and threatening to duties — in this case, hiring — entrusted to government officials.
* The filing is here. One of the objections made by the Quinn administration is that some of this stuff is really old…
The allegations pertaining to the Blagojevich administration are based primarily on a Chicago Sun-Times article from October 16 and 17, 2009 which detailed violations from 2003-2005. As Blagojevich was removed from office on January 29, 2009, any claims pertaining to violations under his administration would have needed to have been brought by July 29, 2009 at the very latest.
* Timeliness is also an issue with the current administration…
Plaintiffs allege that the violations pertaining to the Quinn administration arise out conduct that ended in “early 2012.” … To timely recover for such conduct, Plaintiffs would have had to bring a claim by June 29, 2013 at the very latest. Plaintiffs did not file their motion until April 22, 2014. Even assuming Plaintiffs were unaware of such conduct until the BGA report came out on August 14, 2013, Plaintiffs had until February 10, 2014 to seek relief for such claims. Plaintiffs did not contact Defendant until March 13, 2014 and did not file the most recent motion until April 22, 2014. Thus, their request for relief as to the current administration is untimely and is barred.
* The Quinn response also claims that “Plaintiffs’ request for relief with respect to those allegations in the 2009 motion has been abandoned by Plaintiffs“…
Plaintiffs filed a strikingly similar motion in 2009 to which the Governor’s Office filed a response requesting the court dismiss such request for relief. Despite the Governor’s Office filing a response requesting dismissal, Plaintiffs failed to respond, either before or after the parties’ settlement discussions, but rather let the Governor’s response linger on the docket for more than four years without taking any action. Plaintiffs now attempt to resurrect those same claims. Because Plaintiffs never responded to the Office of the Governor’s response, to the extent Plaintiffs now seek relief based on the allegations contained in their 2009 motion, such relief must be denied.
* The plaintiffs don’t have the right to pursue relief concerning hiring practices, Quinn believes…
Plaintiffs have never secured a judgment against any Governor with respect to hiring practices… because no previous Governor was a signatory to any of the other Shakman decrees, Governor Quinn is not bound by any of their terms… In sum, Plaintiffs are not seeking to enforce an existing judgment between themselves and the Governor in their plea for injunctive relief with respect to allegations about hiring practices. Instead, they attempt to avoid ever litigating this issue by bootstrapping their claim to the terms of the 1972 Consent Decree via the Court’s decision in Rutan.
* Plaintiffs don’t have standing, Quinn argues…
There is no basis to conclude that Plaintiffs are suffering a “continuing, present” harm that is “sufficiently real and immediate” to justify the extraordinary injunctive relief they now seek… As the Supreme Court has made clear, “‘[p]ast exposure to illegal conduct does not in itself show a present case or controversy regarding injunctive relief . . . if unaccompanied by any continuing, present adverse effects.’”
* And there is no need for a special master…
Plaintiffs’ allegations, which are based on information and belief derived primarily from media sources, only allege violations pertaining to IDOT. Yet Plaintiffs seek a Special Master to cover all employment under the Governor within the Northern District of Illinois. The Governor oversees the vast majority of the State’s agencies and as a result, state employees. There is no basis for a Special Master to monitor all of the employment under the Governor when the allegations relate only to IDOT.
Further, as Plaintiffs allege, the OEIG commenced an investigation into the alleged wrongful practices. The OEIG has not issued its report and recommendations. To appoint a Special Master is unwarranted and, in advance of the OEIG concluding its investigation and issuing its report and recommendations, is premature.
* But the most immediate political issue is Shakman’s request for discovery. Quinn wants the court to rule on its objections before allowing discovery to proceed. The implications are obvious here. If Shakman goes nosing around the Quinn administration’s hiring practices, who knows what sort of targeted leaks could result?
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Today’s quotables
Monday, Jun 9, 2014 - Posted by Rich Miller
* Illinois Coal Association President Phil Gonet…
“I’m a global warming denier. I’ll be upfront about that,” Gonet said. “I think that this climate change issue is the greatest hoax that’s ever been perpetuated upon a human race.”
* Mayor Rahm Emanuel…
Chicago police Superintendent Garry McCarthy was “cracking jokes” not long after undergoing a medical procedure to unblock his arteries Thursday at a downtown hospital, his second-in command said, but the department disclosed scant details about what happened. […]
Asked if he had any concerns about McCarthy returning to his high-pressured job, Emanuel quipped, “I’m a spin doctor, not a medical doctor.”
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The “shadow governor”
Monday, Jun 9, 2014 - Posted by Rich Miller
* My weekly syndicated newspaper column…
There were lots and of losers during the state legislative session which ended last month. But there were a few winners, so let’s take a look at them.
First up, Republican gubernatorial nominee Bruce Rauner.
Never before has a political party nominated a gubernatorial candidate who’s had more impact on legislative session than did Rauner. The gazillionaire’s unlimited supply of money and his constant threats to “Shake up Springfield” clearly put legislators of both parties on edge all spring - going back to even before he won the primary.
The Democrats surely know in their guts that much of what Rauner says about Springfield ain’t false. The long-entrenched powers that be stifle innovation and prevent actual compromise. Why wasn’t a scaled back income tax hike ever once debated? Because the top dogs didn’t want to talk about it. End of story.
House Speaker Michael Madigan introduced numerous pieces of legislation designed with Rauner in mind, including a tax surcharge on millionaires, which ended up as a non-binding question on the November ballot.
Rauner railed repeatedly against extending the income tax hike, and Democrats had to back off. Instead, they opted to punt the ball until after the election. If Rauner had lost the primary to a weaker Republican, odds are that the tax hike extension would’ve had a better chance of passage. Of course, if Rauner goes on to defeat Gov. Pat Quinn, the massive fiscal hole the General Assembly has created will be his problem - which ultimately makes him a loser as well.
Rauner’s hand was seen everywhere. Cook County pension reform failed, many say, because Rauner pushed against it. The $1.1 billion end of session road construction/repair bill was reportedly only agreed to by Republicans after Rauner OK’d it, hoping to please the GOP-leaning road builders.
Rauner became almost a shadow governor this spring.
Senate President John Cullerton was another winner.
The Senate President’s electoral prowess meant once again that he could do pretty much anything he wanted. His 40 Democratic votes out of 59 total Senate seats gave him enough cushion to sit back and watch while Speaker Madigan struggled all year to deal with his own, smaller super-majority.
Cullerton stood his ground on the budget when the income tax hike extension fell apart and made sure his members’ top interests were taken care of, particularly with a small Medicaid expansion. He pushed back when Madigan tried to muscle through a major change in the way the Abraham Lincoln Presidential Library and Museum was administrated. He stood firm when pushed by Madigan to insert a requirement into the reauthorization of the court-stricken state eavesdropping law to require police to wear body cameras. He muscled through an innovative bill with his former chief of staff Sen. Andy Manar to fundamentally alter the way education is funded in Illinois. And out of all the Democrats under the dome, he appeared to be the least rattled by Rauner’s primary win. Cullerton may not have always made the best decisions (particularly when it came to ultimately killing the eavesdropping bill), but he appears to be coming into his own as a far more confident leader.
Legislative Republicans did pretty well too.
The weekend after the session ended, Kendall County Young Republican Chairman Brian Russell was busily scurrying to get himself onto the November ballot. He needed to collect 1,000 valid petition signatures in just three days to be appointed as the challenger to Sen. Linda Holmes (D-Aurora). Russell said he hadn’t heard it, but word was that Team Rauner had pledged six figures to back Russell’s candidacy.
Holmes’ district is pretty solidly Democratic, but this does show you why legislative Republicans have strutted around with renewed confidence since the March primary. They finally have a candidate at the top of the ticket who will not only give the Democrats a run for their money, but who will ensure that their own candidates have enough cash to compete. Holmes wasn’t even on the Republicans’ radar. They simply didn’t have the resources to challenge her.
But if Rauner wins this November, Republican legislators will have to do something completely different - vote for some pretty distasteful things to support their GOP governor or risk his considerable ire. For over a decade, the Republicans often sat back and hit their red buttons when it came time to pass important bills. But they’ll finally have to help govern if Rauner is in the mansion. That spectacle right there would almost be worth seeing Rauner win.
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Question of the day
Friday, Jun 6, 2014 - Posted by Rich Miller
* The other day, we did a caption contest featuring Gov. Pat Quinn’s new government press secretary Grant Klinzman, who replaced Brooke Anderson on staff. Anderson has moved over to the campaign.
Here’s a recent pic of Brooke with Gov. Quinn…
* The Question: Caption?
And, please, keep it clean. Thanks.
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Quinn signs Chicago 911 tax hike into law
Friday, Jun 6, 2014 - Posted by Rich Miller
* From the Twitters…
So, now that Quinn has freed up about $50 million in Chicago general revenue cash, Rahm Emanuel could use that money to pay the increased pension costs associated with his pension reform bill instead of hiking property taxes, which Quinn opposes. So Quinn could now sign that pension bill into law (or just let it become law without his signature) and claim a property tax hike has been avoided.
Or, maybe I’m wrong. But this sure looks wired to my eyes. Yours?
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Another thwarted conspiracy theory
Friday, Jun 6, 2014 - Posted by Rich Miller
* From a Thursday Tribune editorial…
State election officials say the campaign to change how Illinois draws its legislative maps came up way short of the signatures needed to get its measure on the November ballot. Yes for Independent Maps says it can prove otherwise.
It’s a steep hill to climb. Why is the State Board of Elections determined to block the path?
Could it be because this is a campaign to take power from the politicians and give it to the people?
The conspiracy, according to the Tribune, revolves around a hearing officer’s ruling to extend a deadline for the proponents to come up with the evidence to challenge the tossed out signatures. Instead of extending the deadline a week, as the hearing officer ruled, the state board voted to extend it by only a single day. The Trib is outraged…
Campaign workers are scrambling to “rehabilitate” many of the rejected signatures. To do so, they have to get certified copies of voter registration documents from 70 local elections offices. They have to visit individual voters and obtain affidavits swearing that yes, that’s their signature.
It’s difficult, time-intensive work. […]
The board needs to extend the deadline. The people of Illinois deserve that much.
* But in a fundraising appeal today, the Yes for Independent Maps Coalition claims to have gathered all the evidence it needs…
We’re about to deliver evidence to the Illinois State Board of Elections, showing what you’ve known all along: That our bipartisan coalition collected enough signatures to earn a place on the ballot. Can you help us keep the momentum going by contributing $25 today?
The last few weeks of deadline fiascoes and political grandstanding have only confirmed our suspicions that those in power don’t want to see reform come to Illinois. That’s too bad, because the more than 500,000 people who signed our petition think otherwise.
Time and again, the doubters and cynics have written us off. But instead of wringing our hands, we’re fighting to build a better Illinois. Keep us on this path by contributing $25 right now!
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Another phony controversy
Friday, Jun 6, 2014 - Posted by Rich Miller
* The state’s medical marijuana law mandates just 22, enclosed, high-security, high-tech cultivation centers be built. They’re multimillion-dollar affairs. You can’t just start planting seeds on an open field. In my opinion, the law is way overly cautious, but whatever.
One of those facilities is being proposed in St. Clair County, on the outskirts of the tiny town of Marissa (population 2100 or so). If you click here and roam around, you’ll see that the only thing besides empty land close to the proposed site is a Masonic lodge. It’s out in the middle of nowhere.
The proposed facility would be owned by a man who also owns two “regular” greenhouses nearby. He’s not some fly by night guy.
* But, of course, the local paper went looking for an opponent…
One of the proposed center’s neighboring property owners, Jimmy Baker of Red Bud, said he is concerned the center will lower property values, cause traffic problems and create other problems.
“I’m worried about the kind of people you are going to attract to an area like that. There’s undoubtedly going to be some undesirables,” Baker said. […]
Members of the county’s Zoning Board will review the proposal during a meeting at 7 p.m. June 16. Baker said he believes the hearing is “just a formality” and the proposal will receive approval.
“I’m just thinking it’s a done deal whether people in the area like it or not,” Baker said. “These politicians are going to do what they want and it’s not going to be for the good of the people in the area.”
Mr. Baker most certainly has a right to express his opinion. And some folks just don’t like the idea of this new and “different” industry popping up in the cornfields.
But as I said above, this is not gonna be some thrown together weed joint. Employees will have to undergo background checks, so “undesirables” aren’t likely to be milling about. Yes, there will be traffic, but what does that mean? J-O-B-S. Marissa’s unemployment rate is 8.6 percent. How about we create some well-paying jobs and in the process ease the suffering of the sick? Maybe Mr. Baker, who lives 23 miles by car away from Marissa, can put some new service-related businesses on his adjacent land to take advantage of those new jobs. Maybe make some money for himself. Create some of his own new jobs.
Illinois is in desperate need of new jobs. Let’s not go backwards.
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Today’s number: $4 million
Friday, Jun 6, 2014 - Posted by Rich Miller
* Two legislator-approved constitutional amendments and maybe two constitutional amendments pushed by others means the state has some serious printing and mailing costs ahead…
Officials say Illinois will spend about $4 million to print and mail educational materials about several efforts to change the state constitution in the November election.
Secretary of State spokesman Dave Druker told The Associated Press on Friday that his agency is required to mail about 5.2 million pamphlets to Illinois households. They’re also required to advertise in newspapers in every county. The information will include the pros and cons of each proposal.
…Adding… As OneMan wryly notes in comments, it’ll be fascinating to see the officially sanctioned counter argument to the anti voter suppression amendment.
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Asked and kinda sorta answered
Friday, Jun 6, 2014 - Posted by Rich Miller
* NFIB member Ken Jarosch penned a letter to the editor for the Daily Herald which was reprinted by Reboot…
In a published report last month, Michael Madigan clearly displays his disdain for businesses. “I’m not here for employers…” says Madigan, as he pushes for a minimum wage referendum to appear on the ballot.
I am an employer, Speaker Madigan. I take offense to your remarks. Evidently, you do not represent me in Springfield, even though I willingly paid an additional 67 percent tax on my income. As an employer, I also sent 67 percent more tax from each of my 60-plus employees. […]
We have given minimum wage jobs to immigrants with limited skills. We provided opportunities to gain skills and increase their wages. Several are now top-tier bakers, raising families, buying homes and putting kids through college. How ‘bout a high-five, Mike? […]
We have paid our bills. You have not. We have created jobs. You have not. We not misled the taxpayers (your employers), but you have, Michael Madigan. You’re “not here for employers.” Well, who are you here for?
* Madigan answered that question during the hearing…
“I’m not here for employers. I’m here for workers, for people [like the ones sitting before you] who are up against it, and they want the government to give them a little help in this United States of America,” Madigan said. “The simple question is do you want the government to help the people at the bottom or do you not. That’s it.”
That was some seriously white-hot populist rhetoric, but that’s pretty much all it was. Madigan didn’t really push all that hard for a minimum wage hike this year. He’s very close to the Illinois Retail Merchants Association and IRMA was dead set against it. So, he put the question on the ballot instead.
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The nightmare scenario may just be a dream
Friday, Jun 6, 2014 - Posted by Rich Miller
* If you talk to Illinois Republican types about 2016, their nightmare scenario is Hillary Clinton at the top of the ticket and Michelle Obama running for US Senate. Greg Hinz…
As the effort to boost former first lady Hillary Clinton’s presidential prospects hits town, a Washington wag is suggesting that current first lady Michelle Obama has her eye set on another political post: the Illinois U.S. Senate seat held by Republican Mark Kirk.
Barring something totally unforeseen, it’s a pretty safe bet that Mrs. Clinton will be the Democratic nominee, which is gonna push a ton of women to the polls in the state where she grew up. Add Mrs. Obama into the mix, and, well, like I noted at the top, a nightmare scenario for the GOP.
* But the DC columnist mentioned in Greg’s piece had zero evidence of any movement toward a Senate bid. And another DC wag, Eleanor Clift, penned a recent column based on nothing but “buzz.”
* Back to Hinz…
A top Obama confidant who asks not to be named is knocking down the speculation. “She is more likely to play linebacker for the Bears than to run for office,” that source says.
And Clift…
“Without asking her, I would guess that the last thing Michelle would do after leaving the White House would be to run for public office,” former Obama senior strategist David Axelrod said in an email. “She has a lifelong commitment to service, but not to politics. I can’t see her going that route.”
Discuss without using DC talking points. Thanks.
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* The Tribune reports today that former Pennsylvania Gov. Ed Rendell put in a good word for Bruce Rauner’s investment company with state pension systems after Rauner contributed $300,000 to Rendell’s campaign…
“What happened is what I would do with anyone who gave me money,” said Rendell, who pointed out that he didn’t control pension officials. “I would say to the pension boards … I’d just say, ‘Listen, this is a company that I know is doing good things.’ I knew Bruce’s company was very successful. I said, ‘Take a look at them.’ And that was the best I could do.” […]
“I didn’t control the votes, but by opening up access it always helped. No question about it,” Rendell said. “But believe me, every hedge fund, every handler that invests money in the country has that same relationship.”
That’s not exactly pay to play, and Rendell didn’t ever say that Rauner asked for help or even mentioned it. But the Quinn campaign made the most of it today via press release…
Rauner Caught Red Handed Profiting From Pay-to-Play
Another Day, Another Pay-to-Play Scandal for Bruce Rauner
CHICAGO – The Chicago Tribune today confirmed a longstanding allegation: billionaire Bruce Rauner profited from pay-to-play when seeking business from the Pennsylvania State Employee Retirement System. Rauner - who was head of GTCR at the time - made massive campaign contributions of $300,000 to the future Governor of Pennsylvania’s 2002 campaign. Soon after, Rauner doubled his company’s business from the Pennsylvania pension system, amounting to a $4 million profit for his firm.
Senator Kirk Dillard had pushed for answers to the pay-to-play allegations in the Republican primary against Rauner. But it wasn’t until yesterday that the people of Illinois finally got an answer.
Up to now, Rauner had claimed that he never discussed pension business with Rendell, a point in direct contrast to what the former Governor of Pennsylvania told the Chicago Tribune in an interview yesterday.
“This is extremely disturbing,” said Quinn for Illinois Communications Director Brooke Anderson. “As Billionaire Bruce Rauner is running around Illinois railing against ‘Springfield’s pay-to-play culture,’ we have yet more proof of Rauner engaging in that exact behavior.
“One thing we know - this is how Bruce Rauner operates. When it comes to getting public pension business, it’s anything goes.
“This underlines why he and his firm GTCR should immediately refund all fees they collected from the Illinois Teachers’ Retirement System after deceiving the Board of Trustees.”
This is not the first time Rauner has been caught red handed engaging in pay-to-play to benefit himself.
In 2003, Rauner’s firm was awarded a deal worth $50 million from the Illinois Teachers’ Retirement System. Later, an investigation revealed that a company owned by Rauner’s firm was secretly paying $25,000 a month to a board member of that retirement system - Stuart Levine - who helped Rauner get the $50 million deal. And Rauner never disclosed that. That same board member, Levine, was later convicted for corruption.
Governor Quinn has called for Rauner to return the handsome fees his company was paid.
* The Rauner campaign’s response to the Tribune…
“After dining with Pat Quinn less than two months ago, Democrat Ed Rendell is now making wild accusations that fly in the face of reason and indisputable facts. Pennsylvania began investing in GTCR six years before he became governor and approved four separate investments prior to Rendell taking office,” Schrimpf said in an email.
“Bruce and Rendell never discussed pension business but did discuss Bruce’s passion for education reform in Chicago and the need for nationwide coordination of reform efforts,” Schrimpf said. “It’s clear that national Democrats are closing ranks around the worst governor in America and will say anything to try and save him. Pathetic.” […]
Asked whether Rauner had any idea when he made donations to Rendell that the Democrat would one day talk up GTCR to pension officials, Schrimpf said: “Let me be clear. Answer is no.”
Discuss.
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I’m back…
Friday, Jun 6, 2014 - Posted by Rich Miller
* Six of my late grandma’s grandchildren served as pallbearers at her funeral yesterday. I was honored to be one of those men.
Her service yesterday consisted solely of family members telling stories about Grandma. We didn’t want anybody speaking who didn’t know her. Our consolation came from each other.
It’s been a truly rough week for me, but I’m back in the saddle and ready to get on with life. The funeral home was directly across the street from House Republican candidate Glenn Nixon’s campaign office. After her burial, I was back at the funeral home waiting for people to gather and decided, ah, what the heck, and walked across the street. Nixon wasn’t there, but I was able to check out his office a bit and surprised the heck out of his staffer in the process. It was like therapy for me, and I know Grandma would’ve gotten a kick out of the shocked look on that kid’s face when I told him who I was.
Heh.
* Many thanks to all who sent flowers, came to the wake and/or the funeral and who donated to the Arc of Iroquois County in Grandma’s memory.
Here’s Gramma Cuz in happier days with my brother Denny, who was also a pallbearer yesterday…
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Question of the day
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* I received several calls, texts and e-mails yesterday after writing about the life and death of my grandmother. I knew some of the folks who reached out, I didn’t know others. Thanks to everyone for their sympathy and for their admiration of a woman I adored, respected and loved. Many of them also shared their own stories about loss and grief and hope.
I closed comments on the post because my feelings about Grandma’s death were just too raw. I didn’t want to discuss it. I wrote what I wrote and that’s that.
But some of the replies I received yesterday were so beautiful and touching that I figured we should do something about that today. So…
* The Question: Did yesterday’s story make you think of one of your own family members? Tell us about that special person, please.
* By the way, this is Grandma’s obit in the Kankakee Daily Journal…
Lucille Arnold Miller “Gramma Cuz” Cousin, 93, of Martinton, passed away Sunday (June 1, 2014) at Sheldon Healthcare.
She was born Oct. 13, 1920, in London, Ky., the daughter of George and Etta Arthur Arnold. Lucille was married to LaVerne Miller from 1938 to 1963 and Maurice Cousin from 1964 to 1965. After they were married, she farmed with her husband in Limestone Township. She retired from General Foods, Gaines Division, and had previously worked at Bear Brand Hosiery, both in Kankakee.
She loved her children and their families more than anything else. She enjoyed traveling, whether to Europe, throughout the U.S., or on the roads around the Kankakee area. She was a great storyteller, providing facts and remembrances such as staying warm under a buffalo robe in the family’s open touring car and riding her horse to school along with her brother, Welty. The details she provided made her stories come alive to those who would sit and listen, learn and remember. A good joke and a hardy laugh were her trademarks.
A lifelong Cubs fan, she tried to attend at least one game a year in Chicago. She enjoyed going to the “boats” once gambling opened up in Illinois. And, she was an expert dancer who could keep up with the younger generations until her early 80s. Her hobbies included spending time with family, reading, crocheting, talking on the phone daily and doing word puzzles.
Surviving are sons, Richard Wayne (Barb) Miller, of Geneseo, Dennis Ray (Lynne) Miller, of Bradley; daughters, Phyllis Ann (Gary Billadeau) Redman, of Kankakee, Marilyn Rose Schultz, of Watseka, Marsha Lynn (Marlon) Gersky, of St. Petersburg, Fla.; sisters, Dora, Dorothy and Mardene Arnold, all of Watseka; brother-in-law, George Wingerter, of Martinton; best friend, Pearle Peterson, of Chicago Heights; and 22 grandchildren.
Lucille was preceded in death by her parents; one son, Vernon Luther “Bill” Miller, of Martinton; two brothers, Welty (Martha) and George “Berle” Arnold, of Kankakee; four sisters, Gertrude (Everett) Martin, of Pittsfield, Tevis Wingerter, of Martinton, Edith Palmero, of Kempton, and Velma Blanton, of Crete.
Visitation will be from 4 p.m. to 8 p.m. Wednesday at Clancy-Gernon-Hertz Funeral Home, west Kankakee, where funeral services will be at 10 a.m. Thursday. Burial will be in Kankakee Memorial Gardens, Aroma Township. In lieu of flowers, memorials may be made to The Arc of Iroquois County.
They just had to get that Cubs reference in there.
* My Great Aunt Mardine (Grandma’s sister) has Down Syndrome and has been in an Arc of Iroquois County CILA for the past few years. They make some really cool furniture, which you can check out by clicking here. Aunt Mardine loves the programs the organization provides. You can donate to The Arc of Iroquois County by clicking here. Thanks.
* Also, I’m leaving for the wake in a few minutes, so don’t expect any posts the rest of the day. Grandma’s funeral is at 10 o’clock tomorrow, so I doubt there will be any posts Thursday, either.
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Fun with numbers
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* AP…
Illinois Senate President John Cullerton says he’s “extremely disappointed” with the private company that runs the state lottery.
Cullerton says lawmakers believed a private firm would operate the lottery better than the state. He says financial reports indicate Northstar Lottery Group “is unable to live up to its commitments.”
Reports filed with the Lottery Control Board show Northstar is projected to be $716 million short of its $3.5 billion required sales target this fiscal year. The company must make “shortfall payments” to the state when it misses targets.
* But this is also a state failure. Scroll way down in this Tribune story and you’ll see this…
The firm became the nation’s first private manager of a state lottery in 2010. The selection process itself was not without controversy, prompting a scathing report from the state auditor general, which highlighted some irregularities and questionable practices. In one instance, a member of the evaluation team chosen by the governor to review and recommend a winner reportedly read nearly 2,000 pages of bid proposals in a single day. […]
Shortly after the company took over the lottery in July 2011, it began requesting that the state lower the net revenue promises set forth in the contract.
And scroll even further and you’ll see this…
In an appearance last month before the Lottery Control Board, Northstar CEO Timothy Simonson defended the company’s performance. He said the lottery has brought in an additional $450 million to fund education and capital improvements and such charitable causes as breast cancer research and veteran support programs.
The increase shows the firm has grown sales at a rate of 12 percent annually, compared with the 3 percent growth the lottery experienced under state control, Simonson said.
By the state’s own estimate, it would have taken a decade to reach the net revenue figures that Northstar achieved in the first year after taking over day-to-day operations of the lottery, he said.
This bid was goofy from the start. Northstar obviously over-promised and a cash-starved state fell for it hook, line and sinker. Northstar should be punished for its behavior, but spare me the outrage because there’s also no doubt whatsoever that moving to a private manager has considerably increased state revenues.
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Cross wants budget veto
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* Rep. Tom Cross voted against the new state budget. Sen. Michael Frerichs voted for it. Cross is now trying to make this a campaign issue in the race for state treasurer. From a press release…
Illinois State Representative and candidate for Illinois State Treasurer Tom Cross today released a letter he sent to Governor Quinn urging him to veto the unbalanced budget approved by the Illinois General Assembly. Cross also informs Quinn that should the legislature’s budget become law, and should he be elected State Treasurer by the people of Illinois, his first official will be to challenge the legality of the budget by defending the state’s constitutional requirement for a balanced budget.
Excerpts from the Letter
“The General Assembly’s inability to honestly address the budget situation has led to the passage of an unbalanced and irresponsible budget that relies heavily on borrowing, one-time revenues and delaying the payment of bills. The budget approved by the General Assembly exacerbates Illinois’ worsening fiscal condition while increasing our state’s backlog of bills and creating a multi-billion dollar budget deficit for FY16.
“I strongly urge you to use the powers given to the Governor and reject the budget as passed by the General Assembly. Now more than ever, Illinois needs a responsible and honestly balanced budget. If this budget is signed into law and should I be so fortunate to be elected Illinois State Treasurer, my first act upon taking the oath of office will be to immediately seek to protect Illinois taxpayers by asking for the courts to declare the budget in violation of the state’s constitutional requirement of a balanced budget.”
* Meanwhile, Frerichs voted to expand the sales tax to services a few years back, and he’s talking about it again…
Frerichs says he would work to create a more fair revenue stream… in part by pushing to expand the sales tax to include services, while lowering the overall rate to make it a more progressive tax.
* Frerichs’ campaign supporters basically say [changed because the campaign isn’t actually saying that, but some supporters are - I was moving too fast when I wrote it] three things…
1) Illinois is a “blue” state
2) Statewide Democrats who outspend Republican opponents never lose
3) Frerichs has outraised Cross and will outspend Cross
Except that ever since Cross voted against the state pension reform bill that he helped negotiate, there’s been rampant speculation that Cross essentially traded that vote for bigtime monetary support from Team Rauner.
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Today’s number: 0
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* Bob Starks, a professor emeritus at Northeastern Illinois University….
I’ve been watching, with great interest, Bruce Rauner’s TV ads, and it certainly creates the impression that he places a high value on diversity. Several African-Americans, Latinos and women appear in the ads. […]
So I reviewed GTCR’s website, the private equity firm founded by Rauner in 1980, and from which he retired in 2012. By my count, of the 51 people on the GTCR staff website, http://www.gtcr.com/who-we-are/, I found:
▪ 0 African Americans
▪ 1 Latino
▪ 3 Asians
▪ 6 Women
Discuss.
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Caption contest!
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* Failed gubernatorial candidate Tio Hardiman has more delusions of grandeur…
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Smith “hounded for weeks” by federal mole
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* Sun-Times…
The pile of 70 crisp $100 bills had been neatly stacked into bundles.
“One, two, three, four, five — damn, stuck together, six, seven,” the federal mole counted out loud, as he handed over an alleged $7,000 bribe to state Rep. Derrick Smith, D-Chicago.
“You don’t want me to give you yours now?” Smith replied as they sat together in his parked car on a West Side street.
“I’ll get at you later,” the mole told him, splitting without taking his cut.
Played in court for jurors Tuesday, a devastating audio recording of that March 10, 2012, conversation could land Smith in prison.
* But Eric Zorn points to this Tribune excerpt…
State Rep. Derrick Smith had been hounded for weeks by a campaign worker intent on bringing him a $7,000 bribe from a day care worker who needed a letter of support to win a state grant. In secretly recorded conversations, the campaign worker – a felon named Pete who was cooperating with the FBI – had asked Smith repeatedly when he was going to write the letter and how he wanted to receive his kickback. …The recordings depicted a frazzled Smith who was trying to win his first election since his appointment to the legislature a year earlier. Many of the conversations played out over the phone while Smith was either headed to or from Springfield. He expressed disappointment and mistrust of other campaign workers and also frustration over Pete’s continued push for the letter of support, even though he hadn’t given Smith the details about the project.
That story has since been rewritten and no longer appears on the website as it is above.
* But here is one excerpt from the re-written piece along those same lines…
[FBI Special Agent Bryan Butler] also acknowledged that Pete didn’t always play by the rules. He used up to five different cell phones during the investigation despite the request by agents that he use only one. Pete also met with Smith without telling agents and many conversations went unrecorded, Butler said.
Besides capturing the alleged bribe in progress, the conversations that jurors have heard offer a glimpse into Smith’s campaign. In several calls, Smith expressed disappointment and mistrust of other campaign workers and worried about the correct strategy against his opponent, Tom Swiss, whom Smith described as “white and Republican.”
But by March, Smith seemed optimistic that his campaign had gained traction and he would prevail. But in other calls, he seemed frustrated over Pete’s continued push for the letter of support even though he hadn’t given Smith the details about the project.
“This stuff is serious,” Smith said in another conversation.
Later, Smith was given a draft letter that purportedly was from the day care operator but had actually been written by the FBI. Smith balked at the lack of detail in the draft and sent it back to Pete asking for it to be fleshed out. After a second try, the FBI got it right – Smith’s office sent an email back to the day care saying his signature would be on it soon.
* Zorn’s conclusion…
I’m not a lawyer but I do know enough law to realize that the entrapment defense is usually a stretch. Even still, gee, from what I read it looks an awful lot like this informant hassled Smith until Smith yielded to the temptation of some easy “cheddar.”
Look, Smith probably deserves whatever he’s gonna get.
But Zorn does have a point. When is enough enough? Don’t the feds have more important things to do than repeatedly dangle cash in front of somebody over a period of several weeks until he finally takes the bait?
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Tribune: Meh
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* Not surprisingly, considering the source, the Chicago Tribune editorial board rules that Bruce Rauner has plenty more time to talk about specifics…
Quinn wants Rauner to issue an austere budget plan so Quinn’s plan isn’t the only politically perilous one on voters’ radar.
Rauner plainly sees no reason to oblige for now. He’s surely relishing last week’s projection by the political numbers geeks at FiveThirtyEight.com: Early polling suggests that Quinn has a 25 percent chance of winning — and a 75 percent chance of losing — on Nov. 4. Of all the states with elections for governor this year, only Pennsylvania now has a higher likelihood than Illinois of switching parties.
Rauner will have to get more specific about his spending priorities. Voters aren’t paying much attention in June to an election to be held in November. But come fall, if Rauner doesn’t get into the dirty details, he’s going to invite comparisons to 1968 and Richard Nixon’s so-called secret plan to get the nation out of the Vietnam War.
So, because Rauner has a good chance of winning and voters aren’t paying much attention yet, he doesn’t have to say what he’ll do if elected.
Check.
* But about that projection. Here’s what FiveThirtyEight.com recently published…
Illinois’s Democratic governor, Pat Quinn, has trailed in nearly every single early poll against Republican businessman Bruce Rauner. This is one state where early polling may not be telling the whole story. Almost all the polls in Illinois have been conducted by automatic dialers that use a recorded message, which tend to overstate the GOP position (though the only live-interview poll we have also had Quinn down). Moreover, Quinn managed to win in 2010, despite trailing in most surveys during the campaign; it was probably the biggest general election polling blunder of the past six years.
The website back then had Quinn with almost no chance of winning because it made the very same mistake that many pollsters did. Instead of asking voters about all the candidates running, most pollsters cheaped out and just asked about Quinn and Bill Brady. But it turned out that third party candidate Scott Lee Cohen was taking more votes away from Brady than from Quinn. Garbage in, garbage out. The blunder wasn’t in the polls, per se, it was that the pollsters tried to short-cut the process and FiveThirtyEight failed to see what was going on. So, in the end, it was as much a blunder by the famed prognosticator and his computer program as it was by the pollsters. And now they’re trying to rewrite history.
Gov. Quinn has also been trying to rewrite history by repeated pointing to FiveThirtyEight’s horribly wrong prediction in 2010 as proof that he’ll be fine this year. But I wouldn’t be too sure of that if I were him. The website was wrong because the pollsters made a huge mistake and it didn’t catch that mistake, and still apparently doesn’t realize how badly it screwed up.
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Cubs, WGN Radio split after 90 years
Wednesday, Jun 4, 2014 - Posted by Rich Miller
* Cub games are moving to WBBM after appearing on WGN Radio since Calvin Coolidge was president…
The move to CBS marks the end of a 90-year relationship with WGN-AM 720. The Tribune Co.-owned station reportedly was losing money on the broadcasts and chose to exercise an option to reopen its radio contract with the team last fall. Station executives cited low ratings after losing 197 games over the last two seasons as contributing to revenue declines.
The previous deal was valued at $10 million, according to earlier reports in the Tribune. WGN had the right to match the new CBS offer, but chose not to, according to sources.
* More on the ratings decline and WGN’s losses…
WGN has faced cutbacks because of broad industry changes and fewer advertising dollars rolling in for poor Cubs baseball.
Advertisers typically pay for ads before a season starts based on the most recent ratings, but they can claim free air time when stations don’t live up to promised ratings. That has decimated WGN’s margins for airing Cubs games.
* Can Ricketts be more of a disaster as an owner? Well, yeah. Sam Zell was pretty darned awful, too…
The deal made by former Tribune Co. chairman Sam Zell when he sold the Cubs to Tom Ricketts in 2009 has been a financial disaster for WGN, which has lost $6 million a year, according to some estimates. “The economics of the deal that we inherited did not make business sense,” [Jimmy deCastro, president and general manager of WGN] told me. […]
“The economic terms just don’t make sense for us,” deCastro said. “So it’s really not us saying we don’t want them anymore. It’s the Cubs saying that the economics they need are much greater than what we think they’re worth or what we’ll pay. They chose to go another way economically and made a decision to move on.”
* WGN TV is also dumping Cubs baseball from its national cable broadcast, so fans who’ve moved away will not be able to watch their team. And the fate of the Cubs on the local station is also up in the air…
The Cubs last year opted out of their TV deal with the network, giving it a chance to either pay more for broadcasting rights beginning in 2015 than it currently does or lose the games to a rival network.
Those negotiations continue while the team shows few signs of promise on the field and while local TV ratings remain in a slump.
* Related…
* Wrigley rooftops go on offense, say Ricketts has ‘buyer’s remorse’
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* Gov. Pat Quinn in the Sun-Times…
“I’m the only one running for governor who has a plan to invest in education,” Quinn said. “The other people have nothing. It’s a sham. I think it’s time we call those folks out.”
At the news conference at Jane Addams Elementary School, Quinn added: “The other person is too timid, too fearful to lay out a plan.”
Quinn said he and staff are still going through the budget lawmakers sent his office and promised that education for this fiscal year would not suffer.
That could not be promised in future years without the help of the extension of a temporary income tax hike, which Quinn unsuccessfully pushed in his budget proposal.
“Now to be honest, if we don’t have the resources, in future fiscal years, we’ll be in trouble,” Quinn said. “So it’s important we win this battle.”
* But…
While Quinn criticized Rauner for failing to make his positions clear, the governor refused to say what he’d do with a bill that would put in place changes for portions of City Hall’s pension systems. The proposal is backed by Mayor Rahm Emanuel, who has said he would seek a property tax increase to pay for the extra $250 million the city would have to make in pension contributions over five years. […]
Quinn refused to say if he’d sign the city pension bill, which he must act on by Monday. He also declined to discuss whether the 911 fee measure could be a viable alternative to a property tax increase, therefore making him more inclined to sign off on the pension measure. […]
The governor also demurred on whether he’d sign the budget lawmakers sent him, which he has described as “incomplete.” Quinn said he’d have to review it carefully, but may consider making a few changes.
Thoughts?
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