I’d like to take a moment before we begin to recognize the incredible bravery and dedication of our first responders. Already in the 51 days I’ve served as governor, we have laid a State Trooper to rest, seen five police officers injured after running into a workplace shooting that took five lives, mourned a Godfrey district firefighter who died in the line of duty, and another law enforcement officer shot today while executing a warrant. All of Illinois grieves for the fallen, and our prayers are with their families and those injured in the line of duty. We owe all of them a debt of gratitude.
Thanks for joining us.
My administration has begun negotiations over the fair income tax so we can finally put Illinois on course toward firm fiscal footing. As I said throughout the campaign, Illinois’ flat tax system is unfair to the middle class and those striving to get there. People like me should pay more and people like you should pay less. That’s what the fair tax will do.
Before I get into the details, it’s important to talk about how Illinois got here, and what our choices are.
I was sworn in just 51 days ago, and the first thing I did was begin to dive into the details of the state’s precarious fiscal condition. It was worse than we thought. Over the ensuing weeks our work showed that the damage done in previous years was beyond the assumed $2 billion deficit and even beyond the $2.7 billion in the Comptroller’s excellent report. As our study showed, Illinois actually faces a $3.2 billion-dollar budget deficit next year, and that the prior four years had left the state with nearly $10 billion of additional late payment debt – on top of the $5 billion backlog at the beginning of the last term. The state has been operating with a multi-billion-dollar structural deficit that has a tremendously destabilizing effect on our state’s economy, businesses, jobs and the future of our working families. I don’t know anyone in Illinois that thinks we can any longer just whistle past the graveyard and ignore the fiscal challenges we face. And no one thinks the right answer is to replay the last four years of gridlock and dysfunction.
So my administration has been diligently working on a comprehensive approach to solving the problem and getting our state on track to economic growth and balanced budgets.
Instituting a fair tax as I’ve proposed, will improve the arc of our state’s finances forever and make our system more fair for everyone.
It’s wrong that I would pay the same tax rate as someone earning $100,000 – or even worse pay the same tax rate as someone earning $30,000 – which is why 33 states and the federal government use lower rates for lower earnings and higher rates for higher earnings.
As I outlined when I addressed the General Assembly, those who oppose this choice have very few options to stabilize our finances.
They might choose to cut education, public safety, environmental protection and other government services by 15 percent. That means larger class sizes, higher costs for kids going to college, more hollowing out of critical human services, and fewer State Police. Most damningly, this would lead to a very predictable increase in your local property taxes. This type of thing was tried, and it failed – resoundingly. And this approach certainly won’t create good paying jobs and build the Illinois we deserve or we want for our children.
Another choice they could make is to raise taxes by 20 percent on every person in the state of Illinois. To generate enough revenue, they would need to raise the state income tax on the working poor and the middle class from today’s 4.95 percent to at least 5.95 percent. For a mom making $61,000 that would mean a tax increase of $521 per year. All while the wealthy aren’t paying their fair share.
There is a better, more fair way. And it protects working families. My proposal accomplishes several goals that I outlined from day one.
First, the fair tax would eliminate the budget deficit, balance future budgets and reduce the pension liability by producing revenue of $3.4 billion.
Second, under this plan, everyone who earns up to $250,000 will pay the same or less than what they’re paying today. That’s 97% of Illinoisans. In some cases this reduction will be very modest, and in some cases, especially for families with children, it will amount to hundreds of dollars. That’s real money that working families can use for an emergency car repair, groceries to feed their kids, or child care expenses.
Third, working families are buried under a property tax system that asks them to carry too much of the load. My proposal provides much needed property tax relief with a $100 million increase in the property tax credit. A single homeowner who makes less than $250,000 will see an increase in their property tax write-off of 20 percent. A couple who makes less than $500,000 will also see a property tax write-off of 20%. To be clear, approaching property tax relief in this way benefits homeowners and doesn’t jeopardize schools or local communities.
Fourth, included in this proposal is a new tax credit of $100 per child for families raising children, especially those families who most need it. Single parents earning less than $40,000 a year will get the full credit, and single parents who earn more than $40,000 will get the credit on a sliding scale up to $80,000. For two-income families, they get $100 per child up to $60,000 a year on a sliding scale up to $100,000.
Fifth, this proposal keeps Illinois competitive with our neighbors. Most families in Iowa and Wisconsin pay more in income taxes under their current tax systems than they would if they lived in Illinois under our proposed fair tax.
Now, there are those who want to scare people by claiming that this proposal will cause residents and businesses to flee Illinois. They couldn’t be more wrong. They ignore the fact that people and businesses are fleeing our state now under our current regressive tax system, yet states with fair tax systems on average grow faster and create more jobs than Illinois.
It’s time we stabilized our state’s finances, so we can give businesses and new entrepreneurs the certainty that Illinois has its fiscal house in order. This fair tax proposal is fiscally responsible and makes Illinois a more predictable place for existing businesses to operate, and for new businesses to start and grow.
In the weeks ahead, we’re looking forward to discussing and debating this proposal with members of the General Assembly on both sides of the aisle. I respect the right of opponents to disagree with this proposal. But they should do so in good faith with a specific counter proposal. Not pie in the sky. We should all demand that they tell you specifically what they support that will address a $3.2 billion-dollar budget deficit, pay down $15 billion of debt from unpaid bills, and protect working families.
The principle options for fixing state finances are:
1. Make a drastic 15 percent cut to schools, public safety, transportation, and universities.
2. Raise income taxes by 20 percent on the middle class and everyone else in Illinois. Or
3. Implement a fair income tax that only raises taxes on 3% of people in Illinois.
Pritzker’s projected graduated tax revenue is equal to about a one percentage point increase in the existing flat tax, from 4.95 percent to 5.95 percent on everybody.
The state government could also cut spending by 15 percent across the board for K-12 and higher education, DCFS and other social services, the Illinois State Police and other public safety programs, DNR, agriculture, health care and on and on and on. It’s not a direct comparison, but to give you a kinda rough idea what that would look like, think of the impasse’s cuts and deficit/backlogged spending after a 1.25 percentage-point reduction in the income tax.
Now, they could conceivably cut spending by less than that, but some folks I’ve spoken with today don’t believe that even the $3.4 billion raised by the graduated tax produces enough revenue to fix the structural deficit and make the necessary investments in education, etc. So, for argument’s sake, let’s stick with that.
* The Question: Your choice? Take the poll and then explain your answer in comments, please…
* Posted in the order they were received. Illinois Republican Party Chairman Tim Schneider…
More tax hikes will not solve Illinois’ fiscal problems. Pritzker’s proposed $3.4 billion tax increase will lead to even more out-migration of Illinois families, businesses, and jobs. Tax-and-spend Illinois Democrats cannot be trusted with more of our tax dollars. That is why Illinois Republicans stand united against the Pritzker-Madigan tax hike and will continue to support reforms that will lower taxes, create jobs, and make our state thrive once again.
* From the pro-Pritzker dark money group Think Big Illinois’ Executive Director Quentin Fulks…
“Today’s proposed tax rates are an important step toward creating a fair tax system that works for everyone, so it shouldn’t come as a surprise that outside groups funded by the wealthiest Illinoisans are quick to launch desperate, false attacks. While these outside groups and their wealthy donors will do or say anything to avoid finally having to pay their fair share, the fact is Illinois needs a fair tax to modernize our tax code, boost the economy, and address the dire financial situation we’ve been left in after years of irresponsible governance and mismanagement.
“Under the fair tax system, 97% of Illinoisans will receive tax relief, with only families making upwards of $250,000 a year paying more. This structure will also lift the burden off middle-class and working families and provide $100 million in property tax relief, but that won’t stop opponents from fighting to prevent Illinoisans from even having the opportunity to vote to implement a fair tax.
“False attacks from those whose bottom lines will be hurt by a fair tax will undoubtedly continue, but Think Big Illinois remains committed to standing with working families and educating Illinoisans about how a fair tax will help them, their communities, and our state.”
* AFSCME Council 31 Executive Director Roberta Lynch…
“Under Governor Pritzker’s fair tax plan, millionaires would pay more while working people pay less. Public services and schools would get needed reinvestment and the state could pay its bills.
“Raising needed revenue from those who can afford to pay a little more—while cutting or keeping taxes low for 97 percent of filers—is the fair tax reform that’s long overdue in Illinois.
“Our union will work with lawmakers to pass the legislation needed to put the fair tax plan on the 2020 ballot.”
* linois Federation of Teachers President Dan Montgomery…
The Illinois Federation of Teachers applauds Governor JB Pritzker’s commitment to working families and putting Illinois on a more fair, prosperous path forward.
This fair tax proposal, which provides relief for more than 97% of taxpayers, will be a welcome change for our members and the communities we serve.
It’s no secret that Illinois’ dire financial situation has taken decades to develop and was made exponentially worse in recent years. Solving our problems will take both time and real structural change. The Governor’s proposal asks the wealthy to pay their fair share so we can invest in schools, higher education, and vital services – and that is something the IFT supports.
As Governor Pritzker has noted, alternatives to this plan would be raising taxes on everyone, including those who can least afford it, or cutting public education and services to the bone in a Rauner Replay.
That is unacceptable. It’s time for change. Our current tax system is unfair and unsustainable, and this is a strong first step. We look forward to working with the administration and lawmakers to build the future we all deserve.
I’ll post ‘em when I get ‘em.
…Adding… Americans for Prosperity-Illinois State Director Andrew Nelms…
“Giving lawmakers a graduated income tax would be like giving them a blank check. Make no mistake, this is a tax hike on Illinois job creators that will only drive jobs out of our state and hasten residents’ departure. Illinois’ political landscape is strewn with broken promises when it comes to taxes. When the Illinois Senate passed the temporary income tax increase in the middle of the night in January, 2011, politicians told the people of Illinois that it would partially expire in 2015 and roll back even further in 2025. Then, over Independence Day weekend in 2017, lawmakers raised the income tax permanently. But they still want even more of our hard-earned money.
“Don’t be fooled – Illinois lawmakers have consistently raised our taxes and are now pretending to lower them. As we’ve said time and again, the last thing we should do right now is let lawmakers wield greater power to levy higher taxes. Taxpayers shouldn’t fall victim to the hope of a meager property tax credit in exchange for giving Springfield politicians a blank check to raise income tax rates, add brackets, and reduce the thresholds at which higher rates apply in the future.”
* Illinois Network of CILs…
In order to build a strong and inclusive state, our government needs adequate revenue.
Today Governor Pritzker released a plan that would lower individual income tax rates for 97% of Illinois individual taxpayers. Those who earn less than $250,000 would pay less, and those earning more would pay higher rates. Illinois CILs applaud this proposal.
If enacted, this reasonable proposal will not only bring relief to tens of thousands of taxpayers with disabilities, it will help secure the empowerment and civil rights of all people. For too long, Illinois has been unable to properly fund so many urgent priorities, including programs that support Independent Living. The Governor’s plan represents a giant step forward.
…Adding… Senate Republican Caucus…
Without guaranteed protections for middle class families, we are opposed to the governor’s $3.4 billion tax increase.
I’m not sure what that means, so I’ll ask.
* Illinois AFL-CIO President Michael T. Carrigan…
“The Fair Tax proposal is responsible, sustainable and practical. The Illinois AFL-CIO commends Gov. Pritzker for taking bold action with this proposal. We have long supported a progressive tax system to alleviate the burden on the middle class and move our state forward.”
* LiUNA Vice President and Midwest Regional Manager John F. Penn…
“We are pleased that Gov. Pritzker is again following through on his commitment to stand with working families, including the hardworking men and women of the Laborers’ Union, who help build our state’s roads and schools and who serve the public at all levels of government. Asking the wealthy to pay their fair share will offset a tax cut for 97 percent of taxpayers – anyone who makes less than $250,000 per year – and will put Illinois back on the path to fiscal stability. Illinoisans deserve a fair tax structure like the one proposed by the Governor today.”
* Kristina Zahorik, President of the Illinois Democratic County Chairs’ Association…
Illinois has been desperately awaiting two critical changes from an Illinois governor. First, we needed bold leadership. Second, we needed a legitimate path toward stability for the state. JB Pritzker delivered on both of these needs today.
The IDCCA stands with the Governor and applauds his refreshing, straightforward honesty about our fiscal challenges. He’s shown true leadership by proposing a way to cut or stabilize taxes for 97 percent of our residents while adjusting taxes on millionaires who’ve financially fared quite well throughout the years.
We understand that passing a Constitutional Amendment for a fair tax won’t be easy. So we’re ready to offer more than simple lip service. We’re already working with our network of volunteers, activists and partners to support the plan as it becomes an election issue. Rank and file Democrats will work exceptionally hard to build support for a fair tax amendment in 2020.
* IMA…
“Today’s massive tax hike proposal will further harm the state’s manufacturing sector, which has already lost more than 300,000 jobs since the turn of the century. Illinois cannot afford to lose more of these good, high-paying middle-class jobs,” said Mark Denzler, president and CEO of the Illinois Manufacturers’ Association. “Taxing and spending are not the answer to our daunting challenges. The governor’s plan will vault Illinois to the 3rd highest corporate tax rate and 8th highest individual tax rate in the United States. Given that we already face the highest property taxes in the nation, the most glaring part of today’s announcement is what is not included: there is no mention of property tax relief for job creators or curtailed government spending.”
* IEA President Kathi Griffin…
“The Illinois Education Association supports a Fair Tax for Illinois. Surveys show voters support a Fair Tax for Illinois. It is imperative that we redirect Illinois to a path of economic recovery that will help our students access the tools and resources that will allow them to reach their full potential. This will strengthen our institutions of higher education, allow our public schools to thrive and strengthen communities throughout Illinois. It is perplexing that we are one of only nine states that hangs on to the flat tax while more than 30 other states have graduated tax rates. Our structure is woefully regressive. Gov. Pritzker’s plan will put us on a better path – a path to not only recover from the two-year budget impasse, but also to grow and stabilize our economy.”
…Adding… A couple more…
The Responsible Budget Coalition applauds Governor JB Pritzker’s push for a Fair Tax. A Fair Tax would give relief to working families while raising much-needed revenue to fund essential state services.
Under Illinois’ current flat tax, wealthier residents do not pay their fair share of state and local taxes. Furthermore, the regressive tax structure perpetuates the state’s dire financial circumstances, an untenable situation made worse by the years-long budget impasse. Illinois’ revenue deficiencies have forced unconscionable cuts to vital services and a chronic failure to pay our bills on time. More revenue is needed in order to put Illinois on a path to fiscal health.
A Fair Tax would bolster our economy and raise billions in revenue to fund our schools and social services. A more just tax system is long overdue. Join us in supporting this necessary measure. Call your Illinois senators and representatives and tell them to support a Fair Tax.
* And…
“The Illinois Chamber realizes that Governor Pritzker has inherited real and serious fiscal problems,” said Chamber President and CEO Todd Maisch. “Unfortunately, his plan for a new tax increase is very unlikely to solve them. Taxing businesses and business owners without restraining state spending nor taking measures that will spur economic growth sends exactly the wrong message to job creators who are already questioning their commitment to Illinois. When they choose to move investment across state lines, government loses tax revenue and our communities take a hit.
“It is important to note that the increase on the ‘2.7 percent’ of taxpayers the governor is targeting will pay much more than the $3.4 billion net income the plan claims it will generate. They will also pay for the ‘tax relief’ afforded to other taxpayers. Clearly, this plan will trigger a serious reaction from employers, especially since the plan only addresses the perceived budget deficit and does not make any meaningful dent in Illinois’ backlog of unpaid bills nor the future spending demands of progressive members of the governor’s party. The plan should be viewed for what it is: merely a first installment.”
* Secretary of State Jesse White and Ald. Walter Burnett endorsed Toni Preckwinkle for mayor yesterday. Lori Lightfoot was not impressed…
“We need someone who’s going to run the city of Chicago who has experience,” White said. […]
“Toni Preckwinkle is the epitome of those entrenched political interests, so it’s not surprising to me that she is seeking people who she has worked with for decades,” Lightfoot said.
I do not remember the last time a Democrat said something harsh about Secretary White. Burnett? Sure. White? Nope.
* Secretary White responded today…
Unfortunately, Lori Lightfoot seems to feel like she has to attack everyone who disagrees with her. That’s no way to get things done and that’s not what Chicagoans expect in their elected officials. Like Toni, I’m honored to have been re-elected by my constituents for making real change in Illinois. And I’ve done it by working together with the concerned citizens and other elected officials.
* Toni Preckwinkle…
Corporate lawyer Lori Lightfoot’s attack on Jesse White is almost as disgusting as her making millions as co-owner of a law firm that represents Big Tobacco, Big Pharma, and big polluters. Secretary White is a three-time military veteran — he served as a paratrooper with the 101st Airborne Division, the Army Reserves, and the National Guard. And as Secretary of State Jesse White has implemented countless programs to improve the lives of Illinoisans including reforming the teen driving program which reduced teen driving deaths by 54 percent. Unfortunately, Lori has made it clear that, instead of listening to folks who disagree with her, she will instead point fingers and attack. That’s no way to lead a city.
* Meanwhile, Lightfoot is staying on message…
Today, Chicago mayoral candidate Lori Lightfoot released a new TV ad, “Why.” The ad questions the motivations behind Toni Preckwinkle’s recent attacks on Lightfoot and points to Preckwinkle’s history of regressive tax hikes and old-school machine politics. The ad is Lightfoot’s third of the campaign, and second of the runoff. Lightfoot released her first TV ad of the runoff, “Change,” on March 1.
“Why is Toni Preckwinkle launching a ‘full blown,’ and ‘incorrect’ attack against Lori Lightfoot?” asks the narrator. The ad then features news stories about Preckwinkle’s ties to the broken Chicago machine and history of regressive taxation. “An entrenched political insider won’t lead Chicago forward. It’s time to bring in the light,” the narrator concludes as the ad features footage from Lightfoot’s election night celebration.
Tonight, former teacher Toni Preckwinkle and corporate attorney Lori Lightfoot square off in the first televised debate of the runoff.
The spotlight will be on Lightfoot, whose record is now starting to come into focus for Chicago voters.
Here are five questions she must answer for Chicago voters tonight:
* Does she think it was progressive to defend a Wall Street bank being sued for racial discrimination or to make a profit as equity partner of a firm that represents Big Tobacco, Big Pharma, Wall Street banks, and corporate polluters?
* If she is such a progressive, why would she accept the endorsement of two anti-immigrant aldermen, Anthony Napolitano and Nick Sposato?
* Why did she represent Republican politicians trying to protect their power?
* What was her justification for overruling her own investigators to justify police shootings?
* Why did a political operative for Alderman Scott Waguespack say that she promised him a powerful position on the council if it wasn’t true?
Mayoral candidate Lori Lightfoot is leading rival Toni Preckwinkle in nearly every category and has a lead of 30 points more than three weeks before the April 2, according to an internal poll provided by Lightfoot’s campaign.
Lightfoot is leading among union households, self-described liberals as well as those who voted for Bill Daley or Jerry Joyce; Amara Enyia or Willie Wilson; and Susana Mendoza or Gery Chico.
The Chicago Firefighters Union Local 2 endorsed Lori Lightfoot for mayor at a press conference on Thursday. Lightfoot announced the endorsement at the historic formerly all-Black firehouse on 35th and Calumet. Today marked Lightfoot’s second union endorsement. The Illinois Education Association Region 67 endorsed Lightfoot in February.
“It’s my great pleasure to accept this endorsement, and I’m humbled by it,” said Lightfoot. “Our first responders do a tremendous job in our communities and are really part of the fabric of our neighborhoods. We need to make sure that we’re doing everything we can to provide them with the support and resources that they need. It is a great honor to be here at this historic firehouse and accept the support of this important group.”
“We are here to throw our support behind Lori Lightfoot for mayor,” said Chicago Firefighters Union Local 2 President Jim Tracy. “She comes from a union home and understands the importance of unions and their roles in lifting up the middle class. Lori understands Local 2’s needs when it comes to our staffing, antiquated rigs, and the need for more ambulances. We all understand the roadblocks ahead when it comes to pension payments and higher property taxes, and Lori strikes a balance that can take care of the economic development downtown, and in turn, take care of some of the blighted communities such as Englewood and the West Side. We need that economic development to make the city a more fair and balanced place, and Local 2 is here to support our next mayor, Lori Lightfoot.”
A McHenry County sheriff’s officer was shot and critically wounded while serving a warrant at a motel in Rockford Thursday morning, sparking a high-speed chase that ended with a crash south of Bloomington, according to police and law enforcement sources.
Reports from troopers involved in the chase, which reached speeds over 100 mph, said the suspect crashed his car near Lincoln around 11:30 a.m. but refused to leave his car. One report said he was pointing a rifle out the car.
A SWAT team has been called in, and all lanes of I-55 remained shut down as of 1:15 p.m.
* From the Illinois State Police a few minutes ago…
UPDATE. 55 is still closed. We are now directing traffic I 55 north to I 155 north to Route 136 east to I 55. This is the McLean exit on 55.
Be careful driving home if you’re heading north. And if you’re going to the Chicago area, you might wanna consider taking 72 over to 57.
A McHenry County Sheriff’s deputy working on behalf of the U.S. Marshals has died following a shooting Thursday morning in Rockford.
Gov. JB Pritzker tweeted, “The people of Illinois join the family of the fallen officer in mourning his loss, and with our deepest gratitude for his courageous service.”
Illinois State Police in Logan County also confirmed his death around 2:30 p.m. Wedneday.
A state lawmaker and a major advocacy group are pushing stiffer penalties for short-staffed nursing homes as a way to limit deadly sepsis infections and boost overall care. […]
Collins and AARP Illinois are supporting the legislation partly in response to the findings of an investigation published in September by Kaiser Health News and the Chicago Tribune. The investigation found that about 6,000 Illinois nursing home patients a year who were hospitalized had sepsis, with roughly 1 in 5 dying. […]
There is little agreement on how many caregivers should be employed by nursing homes, nor any federal regulations setting a rate per-resident. A recommendation from a 2001 federal study suggested 4.1 hours of total nursing time per resident.
Illinois, like most states, has a lower legal standard: requiring at least 2.5 hours of direct care daily for residents. Yet, the joint KHN Tribune investigation found that at least a fourth of Chicago-area nursing home residents live in facilities that aren’t consistently providing that much care.
* The Senate Democrats put out an advisory yesterday specifically saying Sen. Morrison “might” be moving her Tobacco 21 bill. When she found out it wasn’t ready, she didn’t call it. It’ll pass eventually…
‘Tobacco 21’ bill stalls in Illinois Senate
Legislation raising the minimum age to purchase tobacco products in Illinois was expected for a vote in the state Senate on Wednesday, but the sponsor decided to hold back because of hesitation on the part of new members.
State Sen. Julie Morrison, a Deerfield Democrat, said freshmen in her party had questions about the Tobacco 21 initiative. She said those members did not feel comfortable voting on the bill without being fully informed, so she held the measure. […]
About two weeks ago, state Rep. Camille Lilly, D-Oak Park, who sponsors the House version of the bill, said advocates were going to try a different approach this session.
“What we’re doing this time is running it through the House first, because we have more people to deal with,” she said. “In the Senate, there’s only 56 people — there’s 118 in the House. It’s easy to get it through the Senate.”
Legislation has been introduced in Springfield that would rescind a statewide ban on rent control.
We understand the good intentions behind the bills, HB 255 and HB 2192. We get why the Lift the Ban Coalition, a group of community organizations, has ramped up an effort to build public support for scrapping the 22-year-old ban. […]
Rent control would seem to be the easy fix. Just cap what landlords can charge.
But it’s a superficial and ultimately counterproductive fix, as the experiences of other cities have shown. And there are better ways to address the problem of too little affordable housing in Chicago.
The governor is planning a 2 o’clock press conference. Watch the live coverage post for immediate updates.
…Adding… House GOP Leader Jim Durkin…
The House Republican Caucus stands united in opposition to a $3.4 billion tax increase on Illinois families and businesses.
…Adding… Applying the top rate to all income once that income hits $1 million is unusual. Usually, graduated taxes only apply to income earned above a certain rate. That is the case with Pritzker’s plan until taxpayers reach a million bucks. So, I’m assuming those close to that level will do whatever they can to avoid reaching a million dollars on paper, because that would hugely jack up their tax bills. But, hey, they could also hire somebody or give some cash to charity to stay below a million.
Also, the state’s current corporate income tax rate is 7 percent. This proposal would raise that rate to 7.95 percent.
The current personal income tax rate is 4.95.
…Adding… If your property tax bill is $6,000 per year, you currently receive a $300 annual state income tax credit. That credit would rise to $360 under this plan. Sixty bucks a year ain’t a lot of relief.
…Adding… Ideas Illinois Chairman Greg Baise…
“We can’t trust Springfield politicians – the same people who in the last 8 years have raised taxes twice – with a blank check,” Ideas Illinois Chairman Greg Baise said. “Today’s proposal is just a massive jobs tax on Illinois families and will destroy the Illinois economy and further accelerate people fleeing the state.”
Key Questions for Governor Pritzker
Are you going to lock these rates into the Constitution, so voters know EXACTLY what they are voting on?
Illinois has had 2 tax increases in the last 8 years - can you promise that these tax rates will not change?
Have you done an analysis on what this jobs tax will do to job creators?
In the past, you have said that this will pay for schools, infrastructure, pensions, and social services along with a property tax break – is this enough money because the math doesn’t seem to add up.
Do you trust the legislature to be responsible or will this be another blank check to raise taxes whenever they want?
…Adding… Factor in the Personal Property Tax Replacement tax on corporations, and the rate corporations pay will rise from its current 9.5 percent (8.5 percent for partnerships, trusts, and S corporations), to 10.45 percent (9.45 percent for S corps etc.). That’ll give us one of the highest in the nation.
…Adding… SEIU Illinois State Council President Tom Balanoff…
“Illinois’ current tax code puts undue burden on the working people of our state, making it harder for them to put food on the table for their families and get ahead. Governor JB Pritzker campaigned on a promise to overhaul this unfair system, and today he is making good on that pledge.
“Governor Pritzker’s plan lowers tax rates for 97 percent of Illinois taxpayers while making sure the wealthy pay their fair share. This proposal will put our state on the path towards fiscal sustainability and good governance.
“The janitors, healthcare and home care workers, security officers and more of SEIU support Governor Pritzker’s fair tax plan, which will make Illinois a better, more equitable state for working families.”
Illinois Gov. J.B. Pritzker will participate in the state’s upcoming meetings with rating agencies to outline his pension and budget proposals, which have prompted warnings they could drive further credit deterioration.
The meetings are set for next week, according to market sources. Illinois is the lowest-rated state by several notches with its general obligation debt at Baa3 with a stable outlook from Moody’s Investors Service, BBB with a negative outlook from Fitch Ratings, and BBB-minus and stable from S&P Global Ratings.
Pritzker will attend the meetings with the finance team unlike his predecessor, Bruce Rauner, who left that task to his budget and capital markets team. […]
The state’s low ratings leave it with little room to maneuver to avoid a cut to speculative-grade status.
Several analysts said there’s no standard when it comes to a governor’s attendance at rating meetings but one said there “is value” in hearing directly from a new leader on his or her vision.
Well, at around that same time, Baise was being prepared for surgery to have a stent put into an artery near his heart. That artery was 99 percent blocked. He’s returning in a few weeks to have another less severe blockage dealt with.
Baise and I are old pals, and I didn’t write anything on the blog that I wouldn’t have said to his face. Although, obviously, I wouldn’t have said it to his face while he was lying on a hospital bed during surgery and if somebody had told me what was going on I would’ve at least waited a day or two to launch on him. Or three.
He told me this morning that people warned him via text not to read the blog because it might upset him. So, of course, he read the blog. It didn’t upset him. I’ve often said that I can always trust Baise to tell me exactly what he believes. And he’s always heard the same from me.
But he still had a little fun trying to make me feel just a wee bit guilty today, even though he sounded great. Here’s how our phone conversation began…
Me: Shouldn’t you be resting?
Him: You #@*%$@-&*$#%$!!!!
Good times.
* The point here is that people often think of political players as cartoon characters. But these are real people with real families and real lives of their own. You can have your disagreements, but in the end we’re all human beings.
Baise went back to work almost right away. I’m not kidding. He’s quoted in a story that was published yesterday.
Keep on keeping on, Greg. Here’s to a long and happy life.
The Peoria Republican, who resigned from office four years ago amid allegations of fiscal misconduct, entered a plea in a downtown Chicago courtroom on behalf of his campaign committee to a Federal Election Commission violation for inadequately keeping paperwork. Schock himself didn’t plead to anything. The committee, as an entity, was found in violation.
To be dropped were what’s left of nearly two dozen allegations against him claiming years of criminal activity. […]
A $25,000 fine was levied and he faces six months of supervision under the program, during which he must cooperate with the rest of the terms of the deal. Schock, 37, must repay his main campaign committee and the IRS money as outlined in the agreement.
Schock also acknowledged erring in his responsibility to accurately report expenses — including for mileage reimbursement — for his campaign committees. Three of those committees will collectively receive $67,956 according to the deal. He also stated in the document that he didn’t report income from the resale of some tickets, including to the World Series and Super Bowl, on his tax returns to the tune of $42,375. Both were items prosecutors had raised during the criminal case.
In an interview on Wednesday, Schock said that he is relieved that his four-year legal fight is over and blamed “a rogue prosecutor” for pursuing a case “without merit.”
“I have been trying to survive the last four years. When you go toe-to-toe with the federal government, they have an unlimited budget and most Americans don’t,” he said. “It’s come at significant cost to me financially and professionally and now that this is behind me, I’m looking forward to pursuing opportunities in the private sector. I’ll always have a heart to serve, that doesn’t’ mean I have to run for office. There are other ways to serve your community.” […]
Schock said the agreement to have his campaign committee plead guilty to a misdemeanor is mostly a technical matter.
“So they want me to say what I said four years ago? Okay. I mean, when I left office I said I could have done a better job of back-office functions,” he said, conceding that between his congressional office work, committee assignments and work to elect other Republicans to Congress, he’d been less than careful with his paperwork.
Having the deal secured, Schock then returned fire. He said the Justice Department should investigate the prosecutor in Springfield in charge of the case against him.
Schock was referring to the one-time lead prosecutor on his case Timothy Bass, who was in the running to become the next U.S. Attorney for the Central District of Illinois at the same time he was pursuing Schock, his biggest “catch.”
Instead, President Donald Trump tapped John Milhiser for the Springfield-based post.
“I’ve been wronged in this process by a prosecutor who saw me as his ticket to stardom and who was allowed to go unchecked,” a relieved Schock said in the lobby.
[Director of Legal Studies at Illinois State University and former attorney Tom McClure] explains, “If you look at the agreement that was singed by everyone he acknowledges that he basically scalped tickets for over $42,000 worth of profits and that he evaded income taxes. So, he acknowledges some things that were clearly criminal acts.”
But it is his campaign committee, Schock for Congress, that leaves this situation with a misdemeanor charge, not Schock.
“I think that was something that Aaron Schock the man, instead upon. I think Aaron Schock had an excellent defense attorney and he held firm on this,” McClure said.
In the agreement, Schock admitted “he had a regular practice as a public officeholder of obtaining event tickets at face value” and then reselling them at a profit. He also copped to inflating mileage reimbursement claims and owing his own campaign $67,956 for claims that “in whole or in part were unsupported by adequate records.”
A bill levying a 7-cent tax on plastic and paper shopping bags advanced out of the state Senate’s revenue committee Wednesday with its sponsor promising to bring an amended proposal back to the committee in the coming weeks.
There was unanimous approval to advance the bag tax, Senate Bill 1240, from five Democrats and two Republicans present at the committee. […]
The Illinois Retail Merchants Association filed in support. Rob Karr, IRMA’s president, said the group is supportive because of the comprehensiveness of the plan in its promotion of solid waste management.
He also said every bag tax passed around the country thus far has given a portion back to retailers to administer the cost.
The Illinois Restaurant Association filed in opposition to the bill. Currently, SB 1240 does not contain exemptions for carry-out bags used at restaurants, which are part of the legislation in Chicago.
A state lawmaker is urging Gov. J.B. Pritzker to release emergency funding and appoint a full board for Western Illinois University as the school prepares to lay off 132 employees.
“Western is struggling, as most state universities are right now, and having a full board in place would help to ensure the university’s success,” said Rep. Norine Hammond (R-Macomb). “I am asking Governor Pritzker to take immediate action to fill six vacant positions on the board so Western can move forward. Additionally, I am asking him to release funds in an effort to reduce the negative impact not only to the university, but our area.”
I checked with the comptroller’s office…
There are no funds being held up. Our office prioritizes payments to higher ed. WIU, SIU, EIU, all the state colleges get their payments together earlier than they were getting their state funding in years past. Same with MAP grants.
* So, I asked a House Republican spokesperson what funding Rep. Hammond was talking about. Andrew Flach…
Until a supplemental appropriations is brought forward, a good first step would be to appoint a full board of trustees followed by expediting the remaining operational funds owed to the university for this fiscal year and prioritizing the campus’ deferred maintenance projects.
Thursday, Mar 7, 2019 - Posted by Advertising Department
The following is a paid advertisement.
Gov. J.B. Pritzker claims one of the reasons Illinois should axe its flat income tax protection is to reduce income inequality.
The numbers aren’t on his side.
States with progressive income taxes are home to higher income inequality than states without progressive income taxes. And the gap isn’t improving. From 2007 to 2017, states with and without progressive income taxes saw inequality rise at the same rate.
So why hasn’t Pritzker’s preferred tax regime reduced income inequality? One reason is that progressive income taxes have such a negative effect on the economy that they tend to make everyone worse off. Take Connecticut, the only state in the past 30 years to adopt a progressive income tax. Its poverty rate spiked 47 percent in the decade after its tax change while falling in the rest of the nation.
Not only will Pritzker’s progressive tax result in middle-class tax hikes – it won’t do a thing about income inequality.