* The Senate might return this summer, apparently, but they are adjourning today without taking up the pension borrowing bill. From the Senate Democrats…
The Senate is returning to the floor to vote on the Emergency Budget Act, the McPier Trailer Bill and a list of other measures. The pension borrowing bill is not on that list.
President Cullerton supports the bill, but it is clear that there are not enough votes to pass it today.
Like last year’s pension borrowing solution, the Governor will need Republican support before the bill passes the Senate. A few House Republicans took responsible action on the borrowing bill, and we will need a similar number of Senate Republicans to support the measure here.
If there is evidence of Republican support in the next few weeks, President Cullerton is will reconvene the Senate this summer to pass the bill.
Senate President John Cullerton talked to reporters much earlier today about his problems passing the bill…
Ask yourself this: If you were in charge of Illinois, would you take out a 10-year, $12 billion loan with strong provisions for quick payback in return for two things:
* tax rebates for Illinois families totaling $690 billion from 2021 to 2045; and
* a constitutionally-protected spending growth limit that reins in spending to the rate of inflation plus population and cannot be changed without voter approval?
This is the choice offered by implementing our Pension Funding and Fairness Act, in combination with the modest pension benefit reforms proposed by Governor Pat Quinn in 2009.
We think the choice is obvious. Do we stick with “business as usual” in Illinois and continue to bankrupt our state, or choose long-term, fiscally responsible programs that address the harsh realities facing our state? […]
True, our proposal reluctantly endorses borrowing. But it does so to address the real political and policy challenges facing Illinois in a proactive and practical way.
And the Illinois Policy Institute’s press release today on pension borrowing…
The lack of leadership from elected officials in our state reared its ugly head again this week. Illinois will likely be stuck with another unbalanced budget this year, thanks in large part to two retiring Republican legislators.
Rep. Bill Black and Rep. Bob Biggins joined House Democrats in voting for a $3.7 billion borrowing plan to make the state’s annual pension payment. Instead of putting the pension contribution at the front of the payment line—where it belongs after years of neglect—and then allocating remaining resources to various programs, this plan takes the pressure off the General Assembly to balance the budget without gimmicks. This irresponsible borrowing package was such a bad idea that leaders had to bring it up for a vote twice in order to pass it.
Then again, maybe it is easier to stick the next generation with a bigger bill when you’re retiring from office and won’t have to deal with the consequences next year and thereafter. Unfortunately, taxpayers continue to pay the salaries of elected officials who choose punting the hard decisions until next year instead of rolling up their sleeves to do the job they were elected to do – even the ones retiring.
A loan to make pension payments and fund tax rebates is sound policy but a loan to make pension payments and avoid a tax increase while still making budget cuts is not?
* Meanwhile, Attorney General Lisa Madigan showed her tax returns to Greg Hinz…
There wasn’t much in the reports — she and her husband have survived exclusively on her state pay and her husband’s sporadic income as an artist, paid their taxes and given a bit to charity — so there’s not much the public needs to know.
But that’s not the case all time, so the pressure will continue on, say, wealthy GOP gubernatorial candidate Jason Plummer to tell us how much he paid in taxes.
* House Speaker Michael Madigan spent about 15 minutes with reporters today after he adjourned the chamber to the call of the chair.
Part 2 is the more interesting video. Right off the bat, he bluntly admits that the budget he passed is not balanced, which is a blatant admission that it’s unconstitutional.
Madigan also talks about the impact the Rod Blagojevich trial will have on the election, and particularly on his own House members. He cracked how the Bill Brady campaign is the “best thing for the Quinn campaign.” It’s well worth a watch…
Quinn campaign aides confirm that the Teamsters on April 23 sent him checks for $50,000 and $25,000. And buzz is that local Teamsters chief John Coli has sent or is about to send another $100,000.
As I’ve already told you, the Teamsters want to take over the Riggers union at McCormick Place and Quinn included that very provision in his amendatory veto of the McPier reform bill.
Yikes.
Sen. Bill Brady issued a statement claiming that Quinn was “working to cut a deal to support the same insiders who led us into this mess in the first place and who he is courting to help his own political career.”
Brady didn’t mention the issue while talking to reporters today about the governor’s AV.
The House and Senate both voted to override the governor’s veto today.
* Speaking of quid pro quo, there is lots of chatter about some major logrolling going on during the Senate’s attempt to pass the pension borrowing bill. And Sen. Rickey Hendon probably didn’t help matters much during committee today when he asked the budget director to remember the Democrats when it comes time to divvy up the state cash.
Sales tax and revenue (STAR) bonds legislation failed to get enough support to move out of a state senate committee today, according to State Sen. Kyle McCarter (R-Lebanon). […]
“They didn’t call it because there weren’t enough votes to get it out of State Government (Committee),” McCarter said Thursday.
Ah, but have no fear, the bill was sent back to the Committee on Assignments, which reassigned the measure to the Senate Labor Committee. The chairman of Labor is Sen. Gary Forby, who is sponsoring the bill.
*** UPDATE *** It’s about to be called the “Worst Law Ever.” The bill passed 34-17-3 and is heading to the governor.
[ *** End of Update *** ]
* A few days ago, a House Republican campaign operative pointed out a story I had missed. The Rock Island County Board had voted for 12.7 percent pay raises over four years, with no pay raises the first two. Three days later, the county asked its union employees to take voluntary furloughs.
It’s relevant to me because Republican county board member Rich Morthland is running for an open House seat against Democrat Dennis Ahern. The Republicans think they have a shot there, and were thrilled to be handed the issue. Morthland is milking it for all it’s worth…
County Board Member, Rich Morthland, calls this action “Immoral and unjust”. This is the time for the people of Rock island County to tell their elected officials that enough is enough. This is the time for us to take back our government and bring these people to account.
And they’ve completely integrated the local repeal effort into Morthland’s campaign…
At the news conference [to kick off a repeal the raises petition drive], Morthland referred to a website asking for donations of $500 to $2,500 for the repeal effort.
Visitors who click on the site’s donation button are taken to a separate page, where they’re told the money is for the repeal effort but that it will go to Morthland’s campaign committee.
“In the event that all such contributions are not necessary to support the (repeal), remaining contributions may be used to directly support the Committee to Elect Rich Morthland,” the website says. […]
“I can’t have a separate campaign that also might benefit me not go through my campaign fund,” [Morthland] said.
Somebody else could’ve set up the campaign fund, but since Morthland’s campaign is running the whole show, he’s probably right.
Yesterday, the House Democrats stepped in. Rep. Mike Boland, who represents the county, filed a bill to freeze county officials’ pay at their current levels.
So, what happened? Well, the Republicans tried to nitpick the bill to death during debate. They pointed out that Boland had voted for or gainst this or that bill in the past to say he was a hypocrite, etc. Here’s one example…
In the end, the bill passed with 70 votes. Republicans made up most of the “No” votes.
To sum up: The Republicans found a great campaign issue. The Democrats realized they had a campaign problem and moved quickly to address it via legislation. The Republicans pitched a fit because they’ve now lost a campaign issue. The Democrats, on the other hand, have set a pretty dangerous precedent by bigfooting the locals on what ought to be a county matter.
*** UPDATE *** Sen. Mike Boland, who also represents Rock Island County, took over sponsorship of the Boland bill today and apparently will sit on it…
Sen. Mike Jacobs, D-East Moline, suggested the measure may have a tough time getting a hearing in the chamber before lawmakers adjourn for the summer.
“I don’t know what business it is of the state to tell local governments how to balance their checkbooks when the state can’t balance its own,” Jacobs said.
It includes several provisions, but the most controversial deals with its requirement that 12 separate counties, including Champaign, Coles and McLean counties in East Central Illinois, establish separate early voting and grace period registration sites on [college] campuses for the Nov. 2 general election only.
The GOP response is all about self-preservation, since college-aged people trend Democratic and several universities are represented by Republican legislators, not to mention the statewide race this fall…
Among those voting no was Sen. Dale Righter, R-Charleston, whose district includes the Eastern Illinois University campus.
“I think it’s inappropriate for Springfield to say we’re more worried about registration and early voting for college students than we are for seniors, individuals with disabilities, or racial minorities or whoever else may be served by that county clerk at all,” said Righter. “That’s what this bill does by saying you’re going to put an office on the college campus as opposed to anywhere else.”
The Democrat-controlled Senate is expected to pass the bill today.
* The House passed a bill not long ago taking away free rides for seniors. The bill ran into opposition in the Senate, which then sent the House a bill that reformed the free rides program by putting an income limit on it. The House adjourned today without taking action, so the matter is dead for now. But one Republican gave the Democrats some cover on the issue…
A suburban lawmaker who pushed legislation to eliminate the controversial free rides for seniors program said she isn’t interested in supporting changes the Senate made.
State Rep. Suzie Bassi, a Palatine Republican, said the Senate version that would limit free public transit rides for single seniors making more than $41,515 wouldn’t save enough money over the long term.
A Chicago-area atheist activist isn’t happy that $20,000 in state money is going to an 11-story cross on southern Illinois’ highest point, and he wants the landmark’s overseers to give the money back or be sued.
Atheist Rob Sherman has told the group Friends of Bald of Knob Cross that a religious symbol getting taxpayer money is inappropriate. […]
The 47-year-old cross near Alto Pass is undergoing a renovation expected to be completed this summer.
* The Question: Is this an appropriate use of state money? Explain.
They say they don’t know who Scott Lee Cohen is, why he’s running for governor or who his opponents are.
They don’t know who can legally sign a petition.
But that’s not stopping people hired off the street on behalf of the Cohen campaign from collecting petition signatures for a dollar each.
You should really read the whole story. It’s unintentionally hilarious. Allegations of “junkies” being recruited to circulate petition sheets, a base of operations at a Cohen pawn shop and the flop-house upstairs, and then there’s this fantastic quote from Cohen’s spokesperson…
“There are thousands upon thousands of people collecting signatures for Scott around the state.”
Yeah. Right. I totally believe that “thousands upon thousands” of people are passing sheets for Cohen. Ridiculous.
* In other unusual campaign news, Green Party gubernatorial nominee Rich Whitney is getting quite a bit of local coverage of his statewide tour…
The Green Party candidate for governor is using the state’s public transit systems to push a green agenda.
Rich Whitney is in the midst of a nearly 700-mile tour of the state, which he is traveling exclusively by rail and bicycle. He hopes the journey will draw attention to the need to upgrade the state’s public transit infrastructure, and lessen Illinoisan’s dependence on cars.
And, unlike a certain lt. governor nominee I can think of, he’s promised to release his tax returns…
When asked about releasing his tax return, Whitney said he would likely get around to doing so after redacting some of his wife’s information. He characterized the joint return as reflecting “lower-middle class” incomes of a “people’s attorney” and a nurse.
He hemmed and hawed a little bit in Springfield this week, however. Watch…
* Yesterday, the governor’s staff told Crain’s that the trade shows supported his amendatory veto of the McPier reform bill…
The trade show people are OK with the gov’s action.
I followed up and asked the governor’s spokesman to provide some names of trade show folks who backed the AV. Here’s his response…
We’ve met with and been in communication with several of the major trade shows, including Housewares and the Restaurant show. The governor promised them swift action and to not weaken the reforms in the bill. We’ve responded by strengthening the reforms based on their demands for more efficient and streamlined operations at McPier. They have been supportive of stregthening the bill and want certainty by Friday, which will happen.
“I’m desperately concerned, when you start with different amendatory pieces, that you could unintentionally dilute what you’re trying to do and what you can deliver to the customer,” said Mary Pat Heftman, who runs the National Restaurant Association’s annual show here. The show is waiting for a final outcome in Springfield before deciding whether to remain in Chicago beyond 2011.
The mayor voiced support for an override of Quinn’s amendatory veto, saying a failure to do so could lead to the exit of a number of trade shows.
“It would put a lot of people in jeopardy, because a lot of these conventions sign five years or 10 years out. Will they not sign a five-year contract? That is the problem, and uncertainty,” he said. “When you have uncertainty, when you lose some of them, we’re afraid to start losing more and more.”
Daley spoke against the $2 increase in taxicab rides from the city’s two airports the other day, but he’s now changed his tune…
Daley lobbied against increasing the tax on taxi and limousine rides to and from the airport for fear that it would hurt struggling cabbies and single out Chicago airports. But he said the money was needed to boost Chicago’s meager tourism budget against rival cities that have “unlimited” marketing budgets.
The governor also rejected a $2 tax increase on taxi and limo rides at the city’s airports, to pay for convention marketing. That higher tax would be “counterproductive” to efforts to boost the convention industry, Quinn said.
Hey, we’re glad to see the governor acknowledge that tax increases have economic consequences.
But, really. He’s taking a stand against $8 million in taxi fees while he pushes a $2.8 billion income tax increase? Come on.
The biggest howler of all in Quinn’s veto message was this quote: “As long as I have been governor, my message has been clear: When it comes to reform, half measures do not suffice. The only real reform is comprehensive reform.”
Oh my goodness, Governor! Can you really say that with a straight face to Patrick Collins and the other members of the ethics commission you appointed last year? You set them up and promptly abandoned them and their comprehensive ideas. You signed half-measure after half-measure that you called ethics “reform.”
* Since last year, a small group of local citizens has been fighting Navistar’s plans to build a corporate headquarters in Lisle and bring 4,000 jobs to the site. They’ve forced the town to hold large numbers of hours-long zoning hearings on the matter, they forced subpoenas to be issued and depositions to be taken, threatened lawsuits and recently filed suit to restart the excruciating hearing process all over again. Lisle has spent $200,000 on the process.
Navistar scaled back its plans in March, but that didn’t satisfy the opponents and now the company has thrown in the towel…
Navistar officials said Wednesday the company is no longer interested in moving its international headquarters to Lisle.
The announcement took many by surprise, and prompted a flurry of activity, including an attempt by Gov. Pat Quinn to step in. Business leaders and county policymakers were quick to condemn a vocal few for thwarting the plan.
Stung by what they called unfair criticism that was sullying the engine-building giant’s reputation, Navistar will begin looking for other sites, possibly but not necessarily in Illinois, said Don Sharp, Navistar’s vice president of communications.
“We certainly never signed up for our company to be put on trial by a small group of people opposing economic development,” Sharp said. “In our view, we are being put on trial for things simply beyond zoning issues.”
* But the opponents are still unmoved…
Rich Wilkie, another neighbor who spoke against the proposed plans repeatedly, is skeptical that the company is really walking away.
“All Navistar has said is that they will be stepping back from the zoning hearings and revisiting other locations that they previously considered,” he said. “It could very well be a strong-arm tactic to cause backlash to those who oppose elements of their proposal.”
He reiterated his wish to have Navistar put in writing the assurances it has made in public meetings.
“Many public officials were subpoenaed for these hearings, in an effort to get at the truth and determine what has gone on in the back rooms,” Wilkie said. “There is no question that Navistar has the zoning board and village board votes to get the deal done, so there are other forces at work here. The public should not be so quick to play into their hands and condemn this as a bad thing. There is a lot more to this story.”
* Indiana is now working hard to woo the company to Fort Wayne…
The cost of running a combined operation in Fort Wayne would be about $33 million less annually than the cost of doing it in Lisle, according to an Ernst & Young 2009 comparison study commissioned by Navistar. The economics are in Fort Wayne’s favor, Udris said.
* This all started because parents of children attending a nearby school for autistic children were worried about about the company’s plans to build a diesel engine testing facility on-site. It snowballed into something bigger and Navistar couldn’t stop the opposition even after addressing the parents’ concerns.
* As I told subscribers this morning, the Center for Tax and Budget Accountability has a new report out analyzing next fiscal year’s state budget. Here’s the meat…
That means the state will have to come up with at least $3.1 billion again next year just to keep the deficit at $7 billion. And that doesn’t include the pension payments. Oy.
More from the CTBA…
After all revenue sources, recurring and non-recurring are included, Illinois’s 2011 budget deficit is 26.7% of its General Revenue Fund. Consider that over 90% of General Funds are spent on four areas: Education; Healthcare; Human Services; and Public Safety.
The General Fund is the area of the budget that elected officials have the ability to manipulate. So, if the budget is to be balanced by cutting 26.7% of spending, these four areas, all of which provide critical services to Illinoisans, will be first on the chopping block.
Under the Emergency Budget Act the Governor has been given the authority to make additional cuts in two areas: “discretionary human services” up to $ 2.2 B, and “discretionary operational and state government” up to $ 1.2 B.
In the [current] FY 2010 budget, human services (including the Departments of Aging, Children and Family Services, and Human Services) were cut by $ 2.1 B (38%) from FY 2009.
“We overspent,” Madigan said. “We took on too much and it’s legitimate to say we’ve got to reduce thresholds. Not nickel and dime stuff, but threshold questions: Can we afford this?”
Madigan acknowledged the budget passed by the House Tuesday evening “isn’t pretty” but said borrowing and giving Quinn the responsibility to allocate next year’s funds was the legislature’s best option facing a $13 billion budget deficit.
“There’s a built-in reason why (Quinn) will do a good job managing, because if he doesn’t it will reflect poorly on his performance and he’s a candidate in a few months for election,” Madigan said.
State support for education would drop about $585 million, or nearly 8 percent, according to a House Republican analysis. Higher education would see a 4.5 percent cut. The agency that provides medical care for the poor would be cut 10.7 percent. The Department of Children and Family Services would see a 28.7 percent reduction.
Suburban school districts already strapped for cash are bracing for major state funding cuts unless lawmakers raise the cigarette tax or Gov. Pat Quinn can find money elsewhere.
An estimated $327 million would be cut from programs under a budget plan sent to Quinn this week. Special-education funding would be cut by about $246 million and transportation by about $81 million.
Quinn has vowed to use his budget cutting powers to preserve education funding, but that’s a tall order. And the cigarette tax hike is going nowhere fast in the House right now…
State Rep. John Bradley, D-Marion, said he doesn’t like the idea of higher cigarette taxes, but remains open to the concept. With the legislative session winding down, however, and a handful of lawmakers already leaving Springfield, a vote doesn’t appear imminent.
“I don’t think there’s sufficient support for that,” Bradley said.
Proposing that state retirees not yet old enough for Medicare should pay a portion of their own health-care premiums, May said, “They need to feel the pain.”
“I would have, could have, should have, said, ‘We must all share the pain,’” May clarified Wednesday. “If it came out differently, I apologize.”
“There are members of the Senate Democratic caucus that don’t support borrowing for the pension, so we will definitely need Republican votes,” said Rikeesha Phelon, spokeswoman for Senate President John Cullerton, D-Chicago.
That could be a major problem.
“I have been told there are no votes in the Republican caucus for borrowing,” said Sen. John Sullivan, D-Rushville, one of the Democrats’ budget negotiators. […]
Sen. Larry Bomke, R-Springfield, said Republicans have not yet taken a position on the pension borrowing bill.
“The governor called me (Tuesday). I said I will consider it. Right now, I haven’t ruled it out or decided to support it,” Bomke said.
Brady, the state GOP chairman, said [Republican Rep. Bill Black] was not singled out for criticism because he attended the House GOP caucus while Biggins skipped it for a meeting in Quinn’s office.
“That’s what raises questions,” Brady said. “I think questions have been raised. We just want to know.”
Biggins said Brady should call him for his reasons for voting instead of issuing critical news releases.
“When the GOP has the guts to call me and ask me why I voted for it, I’ll provide them with the answer for this fiscally responsible vote,” Biggins said. “The Republican position was fiscally unsound.”
From Brady’s press release…
“On the eve of the Blagojevich trial, Pat Quinn seems content to use the same pay-to-play politics of his former running mate. Whether secret meetings behind closed doors were held with a Democrat or Republican doesn’t matter. Governor Quinn, Rep. (David) Miller and Rep. (Bob) Biggins have some explaining to do. Just what did Quinn offer in exchange for their votes for his irresponsible borrowing plan?”
On Wednesday, Quinn said rumors that Biggins had been guaranteed a job in his administration were “completely ridiculous.” Asked if that meant he’d never hire Biggins even if re-elected, Quinn launched into a story.
“Bob Biggins, I’ve known him for a long, long time,” the governor said. He then related how one day years ago while attending to business at Chicago’s City Hall, he came across Biggins, who’d had a stroke. Quinn called for emergency assistance. […]
Biggins attributed his recovery to the immediate medical assistance he received.
Biggins said the story did not come up Tuesday night when he met with one of Quinn’s top aides and ultimately chose to switch his vote and support the borrowing plan.
* Gov. Quinn is also holding out on signing a bill to allow universities to borrow money while awaiting late state payments until after the pension bond bill is passed. Several Republicans represent university towns…
At a press conference Wednesday, the governor was asked whether he will sign the university borrowing bill that legislators approved more than two weeks ago. Quinn said he first wants the Illinois Senate to vote on the $4 billion pension bill narrowly approved by the House on Tuesday.
“I’ll look at other borrowing after that,” Quinn said.
Quinn sent out a news release Tuesday morning saying he wanted to include the university borrowing bill in the pension legislation. He argued the comprehensive borrowing plan would bring more competitive interest rates on state bonds, lowering costs for taxpayers. The university measure was temporarily combined with the pension bill, but that amendment was later dropped.
“We’re going to address that one, and we’ll address it properly,” Quinn said Wednesday. “But front and center is the borrowing for the pensions.”
Meanwhile, the one decent piece of budgetary legislation in this whole mess sits unsigned. In Carbondale, Edwardsville, Champaign, Charleston and throughout the state, state university officials wonder how they’ll pay their people this summer and fund next semester’s operations.
As SIU President Glenn Poshard has noted, the university will need about 30 days before it can get commercial paper on the market. Naturally, SIU would like to meet its July and August payroll.
Governor, we’d really appreciate if you would put the politics aside, pick up your pen and sign the university borrowing bill. The university communities do not deserve to be held hostage. And, by the way, we vote.
One day after the House approved Gov. Quinn’s $3.7 billion pension borrowing plan with help from two outgoing Republicans, Daley accused lawmakers of mortgaging Illinois’ future.
“Just like the federal government, they borrow and print money. . . . Find out how it’s gonna affect every taxpayer here. Is it gonna affect you next year, the following year, the following year? That is the big problem,” Daley said.
“If you keep borrowing money — just like foreclosure — someone has to pay it back eventually. Who’s gonna pay it back? Is it gonna be my child, my grandchild or great grandchild? That’s the big question everybody has to ask.”
Borrowing money to pay bills is usually a really dumb idea. But when you arrive at a place where not paying those bills is an even worse idea — and that’s the reality for the State of Illinois now — there is no other choice. […]
Though hard to fathom, borrowing is actually much cheaper for a pension system that is already one of the most underfunded in the nation.
Getting a loan to pay the $3.7 billion bill will cost the state about $1 billion over the next eight years. In contrast, skipping the payment would cost at least $20 billion in lost investment income over the next 20 years, the governor’s office estimates.
This is not how we hoped the spring legislative session would end. But we’re done dreaming. It’s time for the state Legislature to do the same and make at least one responsible choice.
Metra appointed a firm headed by former Chicago Police Supt. Terry Hillard to run a new inspector general’s office in the wake of the discovery that its former executive director took hundreds of thousands of dollars in unauthorized pay.
The Metra board approved the interim appointment of Hillard Heintze on Wednesday to investigate fraud and abuse at the agency after Metra determined that the late Phil Pagano took $475,000 in unauthorized payments. The new office will take tips from any source, including anonymous sources, Metra said.
* Top Metra official says she knows of no other illegalities
Doris also disclosed during a meeting with the Tribune’s editorial board that she rejected a suggestion that she quietly resolve the Pagano scandal rather than go public with the disclosure that he improperly took money and forged her signature to get it.
Chicago Public Schools says fewer students have fallen victim to gun violence this school year. CEO Ron Huberman says his high-profile safety plan is beginning to work.
“We just don’t want any gang problems at the beach,” said Ald. Vi Daley (43rd), whose lakefront ward includes North Avenue beach. “Beaches are there for people to enjoy, to play volleyball, swim and walk along the beach. We want to make sure it’s a safe place for people to go.'’
Several incidents Monday have focused attention on the beach.
First it was state Sen. Dan Cronin, R-Elmhurst, who failed in his attempt to consolidate the troubled commission under the County Board.
Now his opponent in the upcoming race for DuPage County Board chairman, Aurora Democrat Carole Cheney, is taking aim with a different tactic. Early this week, Cheney called for “more equitable representation” for municipalities on the commission. She’s referring to the seven of 12 commissioners appointed by the County Board and its chair, that is, whomever wins the November election.
Beginning Sunday, The State Journal-Register will publish some articles in the print edition first instead of publishing simultaneously in print and online.
Covering the Capitol for The Associated Press, O’Connor’s dogged pursuit of stories and meticulous research of state records has resulted in stories of waste and mismanagement in state government that are far too numerous to list here. (For one random example, O’Connor’s comparison of travel and campaign records in January 2009 showed that former Gov. Rod Blagojevich had raised $42,000 in campaign funds the previous November during an official visit to southern Illinois, where he had traveled on a state plane.)
The AP recognized O’Connor’s work this week by awarding him its 2010 Oliver S. Gramling Journalism Award.
* I don’t believe that I’ve ever seen anything quite like the press release that Joe Berrios’ campaign just sent out. Berrios, of course, is running for Cook County Assessor, is the chairman of the county Democratic Party and is a Statehouse lobbyist.
One of Berrios’ lobbying clients is the Illinois Coin Machine Operators Association. Berrios was instrumental in pushing the original video poker law, which will put the machines in taverns, clubs and truck stops all over the state.
This afternoon, the House passed a trailer bill which has been sharply (and somewhat unfairly) criticized by the Illinois Gaming Board’s chairman as too lenient on possible criminals. The bill now goes to the governor. Berrios lobbied for that one, too.
Oddly enough, Berrios’ campaign sent out a press release touting his lobbying involvement…
Cook County Assessor candidate Joseph Berrios on Wednesday praised Illinois lawmakers for passing a bill with the potential to create $500 million in jobs and revenue for the state during a tough economic crisis.
House Bill 4927, which was sponsored by State Rep. Lou Lang (D-Skokie) and State Sen. Terry Link (D-Waukegan) in the Senate, will allow truck stops to legally host paying video gambling machines under Illinois’ video gaming law. The bill now goes to Gov. Pat Quinn for his signature.
“At a time when the state is struggling for revenue, this measure will bring in $250 million to $500 million a year for use in state capital projects like roads and school construction,” said Berrios, who lobbied for the measure on behalf of the Illinois Coin Operators’ Association. “It’s a win-win for the state. Our unemployment rate is at an all-time high and our schools are crumbling. This new revenue will help in so many ways.”
The bill, which had bi-partisan support, was presented to lawmakers as a way to make Illinois’ original law more efficient and profitable, in part by allowing truck stops and VFW halls to host the machines. The state has already legalized video gambling in bars and restaurants, though it will probably be the end of this year before the state’s Gaming Board formally allows the official start of video gambling in those establishments.
“I’m pleased that I could help get this bill passed during such a difficult fiscal time,” Berrios said. “However, as I have noted since last fall, once I become Assessor I will resign as a lobbyist and my sole priority will be serving the people of Cook County with fairness and efficiency.”
Berrios has been a commissioner on the Cook County Board of Review, which oversees property tax appeals, since 1988. He won the Democratic nomination for Cook County Assessor in February. Prior to being elected five times as commissioner, he served three terms as an Illinois state representative. He is chairman of the Cook County Democratic Party. Berrios was the first Hispanic elected chairman of the party, a commissioner to the Board of Review and to the Illinois General Assembly.
I guess I can see his point here, especially the part about mentioning how he’s stepping down as a lobster if he’s elected. But it’s just weird to me that his campaign would be touting his lobbying business, particularly since most regular folks hear “lobbyist” and think “bad guy.”
What’s next? A press release touting his fight against the governor’s proposed cigarette tax increase on behalf of Altria? Probably not.
Thoughts?
*** UPDATE *** The Forrest Claypool campaign has responded. From a press release…
Citizens for Claypool campaign manager Tom Bowen released the following statement in response to a release by gambling lobbyist Joe Berrios’ political campaign.
“How much did the gambling industry pay you to say that?” said Bowen
Earlier this week, Independent Candidate for Assessor Forrest Claypool called on Mr. Berrios to disclose his ties and contracts to the gambling industry in order to provide the voters of Cook County a way to judge the extent of Mr. Berrios’ conflicts of interest.
* I met with Attorney General Lisa Madigan yesterday to take a look at her tax returns. As we’ve discussed before, her campaign originally refused to release the returns, but then Madigan called and offered to let me take a look at them.
Pretty much all the income the couple reported for 2009 was AG Madigan’s state salary. Madigan’s husband Patrick has been focusing his time as a stay-at-home father and reported less than $1,000 in income from his cartoonist gig. They reported a $3,000 capital gains loss and had an adjusted gross income of just under $137,000. They paid $14,518 in federal taxes.
Patrick did much better in 2008, earning $66,880. The couple reported an adjusted gross income of $187,6612 and paid $38,432 in federal taxes. She showed me the 2007 returns as well, and they were pretty much the same. $126,656 in income for Lisa, $31,966 for Patrick, an AGR of $160,452 and $27,749 in federal taxes.
Bottom line: No surprises.
* AG Madigan’s Republican opponent Steve Kim e-mailed me his 2009 tax returns yesterday. Kim reported $69,204 in income and paid $11,314 in federal taxes. He reported income from three different sources, his law firm ($54,207 in passive income), the Korea UIC Education Group ($35,000 in nonpassive income) and S & C Corp ($20,003 in nonpassive losses).
* The Bill Brady campaign was saying this week that Jason Plummer didn’t have to disclose his income tax returns because Lisa Madigan hadn’t done it, so this story ought to be the end of the lame excuses and I am absolutely certain that Plummer will be following through soon and keeping his campaign promise to always be scrupulously transparent and accountable.
[Subscriber password removed because the governor just issued a press release so this is now in the public domain.]
* 12:24 pm -Click here for the complete text of Gov. Pat Quinn’s amendatory veto of the McCormick Place reform bill. More in a bit.
* 12:26 pm - The governor’s office is officially filing the AV right now at Index.
* The governor claims in the AV that the legislature “has taken only half a step towards reforming” the convention industry. “As long as I have been Governor, my message has been clear: when it comes to reform, half measures do not suffice.” Heh.
* “For the authority to fully fuel the Illinois economy, we must also eliminate tax increases that are counter-productive to the purpose of the bill.” Wow. It’s almost like this is pure snark.
The above passage is, of course, about the “departure” tax on taxicab rides from Chicago’s two airports.
* The governor states that the bill violates Article IV, Section 13 of the Illinois Constitution by specifically naming James Reilly as the new McPier trustee. The Article: “The General Assembly shall pass no special or local law when a general law is or can be made applicable.”
* Quinn also complains in the AV that there is no mechanism to replace Reilly. But that was addressed in a trailer proposal sponsored by Speaker Madigan and which passed Exec this morning.
* As I told subscribers the other day, Quinn’s “real” reason for this veto is to give two of the big McPier unions control over the two smallest unions, the Riggers and the Decorators, by allowing them to absorb the unions. “Reducing the number of the Authority’s work jurisdictions will allow the Authority to continue to offer service superior to that found in other large convention destinations,” Quinn wrote.
* Here’s the official language for that passage on the Riggers and Decorators…
The Authority shall not recognize (l) more than a single bargaining unit for employees engaged in drayage, rigging, and related duties and (ll) more than a single bargaining unit for employees engaged in carpentry, decorating and related duties.
Translation: “Drayage” means Teamsters, so they get the Riggers. The Carpenters Union gets the Decorators.
* Expect a veto override perhaps as early this afternoon by the Senate.
* 12:40 pm - The governor has announced a 1 o’clock Statehouse press conference to discuss the AV. We’ll have video.
* 12:57 pm - The Senate will apparently not take up the AV today. From the Senate Democrats…
Committees will not be scheduled for this evening and there will be no major floor action. Tonight, the Senate we will read in messages from the House, the Governor. Additionally, we will file all concurrence motions and read in any new Senate bills and resolutions.
After a Committee on Assignments meeting, we will make committee announcements. We plan to start committees around 9:30 on Thursday morning.
* 1:06 pm - More from the Senate Democrats…
The Senate intends to override the Governor’s McPier AV. A joint statement from Cullerton and Radogno will be issued shortly.
* 1:45 pm - From a press release…
JOINT STATEMENT REGARDING THE GOVERNOR’S VETO OF McCORMICK PLACE REFORM LEGISLATION (SB28)
SPRINGFIELD, Illinois - Moments ago, Governor Pat Quinn vetoed Senate Bill 28, the McPier reform legislation that was born out of months-long bipartisan negotiations by key stakeholders and top legislative leaders.
Illinois Senate President John Cullerton and Senate Republican Leader Christine Radogno helped to craft the agreed reforms in Senate Bill 28. As leaders of their caucuses, both worked diligently to earn bipartisan passage of the legislation earlier this month.
Numerous associations, organizations and industries have long complained of the high surcharges and bureaucratic guidelines that have reduced the attractiveness of hosting conventions and trade shows at McCormick Place.
Just this week, the National Restaurant Association held its annual trade show at McCormick Place, bringing with it an estimated $100 million of economic activity to Chicago. After more than six decades of making McCormick Place its annual convention headquarters, officials of the association announced that, unless the reforms in Senate Bill 28 become law, a new home will be chosen for its future events. Additionally, officials of the National Housewares Show issued a similar statement this week.
For this reason Senate leaders expressed disappointment in the governor’s veto decisions:
“Governor Pat Quinn’s decision today to veto key elements of the bipartisan McPier Reform Package has the potential to destabilize one of the most productive economic engines in the State of Illinois.
After months of public hearings and discussions with stakeholders, members of the Illinois General Assembly passed this reform package to stop the pattern of canceled trade shows and wary convention decision makers who found other venues more attractive, affordable and with less red tape. Democrats and Republicans came to retain and grow tens of thousands of jobs and reaffirm a commitment to investing in tourism for the City of Chicago and the State of Illinois.
This proposal cuts bureaucracy, establishes strict ethics standards, and recognizes the importance of attracting new and returning convention business through aggressive promotion. Without providing an alternative funding source, the Governor’s veto decimates a well-thought-out plan to show off our world-class facilities.
By working together, we created a significant reform plan that will bring millions of visitors and billions of dollars in economic investment to our state. Our negotiations lasted for weeks. But, we believe an override of the Governor’s veto is a prudent course of action.”
The Senate will begin the override process in committee on Thursday morning.
*** 2:31 pm *** Gov. Quinn’s press conference, part 1…
*** 3:30 pm *** The governor’s office claims that the “trade show people” are OK with his changes…
“If [Mr. Quinn’s] changes go through it will produce a stronger bill that trade shows would like. If not, the trade show people are satisfied with the current bill….The trade show people are OK with the gov’s action.”
The [tax] amnesty program is expected to generate about $250 million. From Oct. 1 to Nov. 8, people can make good on taxes owed that were accumulated between June 30, 2002, and July 1, 2009. The bill also allows the state to sell debt to private collection agencies. […]
The wide-ranging [Emergency Budget Act] bill also calls for the state to take out a loan against money it would receive in future years from the national tobacco settlement, a deal worth about $1.2 billion in upfront money. Republicans warned the move is shortsighted because the state uses annual money from the tobacco settlement to fund a variety of programs, including $580 million in prescription drug assistance.
The bill further authorizes Quinn to borrow money from restricted state funds, which previously were “swept” of money to divert to other state expenses and not repaid. This bill requires the money to be repaid with interest, although skeptical lawmakers doubt that will happen. Currie said the administration expects to borrow about $1 billion from the funds. The bill also requires lawmakers, statewide officials and top agency employees to take 12 furlough days in the next budget year. […]
Currie said the [state budget] bill calls for $26.2 billion in general fund spending, the part of the budget over which the state has the most control. She said that is about $400 million less than the current budget, reflecting a 5 percent across-the-board cut in spending for operations.
* The setup is about Rep. Bob Biggins’ vote-switch on the pension borrowing plan. As you’ll no doubt recall, Biggins voted “No” the first time the bill was called, then voted “Yes” the second time. From the Sun-Times…
Cross condemned Biggins for skipping a House GOP caucus on the borrowing plan and opting instead to meet with Quinn’s chief of staff, Jerry Stermer. Cross said he’d “heard some scuttlebutt” about a possible deal Biggins cut with Quinn in exchange for his vote.
Biggins denied discussing with Stermer a possible job in the Quinn administration, which could significantly increase the nine-term lawmaker’s pension.
“I asked for nothing,” Biggins said in a hallway behind the House as one of his GOP colleagues passed by and could be heard muttering “two-faced son of a b—-.”
Some on Cross’ leadership team said there likely will be discussions about expelling Biggins from the House Republican caucus.
* As I’ve often said before, this whole “living in the governor’s mansion” issue is silly. I defended Rod Blagojevih time and time again on it, and grew sick of the whining from Springfieldians that the guy didn’t want his kids going to school here. I didn’t blame him one bit, particularly since he wasn’t all that popular with state employees, thousands of whom also send their kids to school here.
Gov. Quinn, however, promised he’d live in the mansion, and the Tribune reports that he hasn’t really done so…
…Quinn stays at the ornate, taxpayer-funded house only sporadically. During his first year in office, Quinn slept there 55 nights, mostly while lawmakers were in session. He didn’t spend more than three consecutive nights in the executive mansion.
He over-promised, plain and simple. But the fact that he doesn’t live in an “ornate, taxpayer-funded” mansion does not, as the Tribune story claims, “belies the populist image” Quinn projects. If anything, living in his own modest Chicago home is far more populist, as far as I believe.
* The real meat of the Tribune story, however, is that Quinn has on at least a couple of occasions appeared to misuse his state plane to go back and forth between Springfield and Chicago…
On a handful of occasions, Quinn took a state plane to Springfield during the day, only to fly back to Chicago the same night. Among these cases were trips to attend a campaign fundraiser and his aunt’s funeral. Quinn defended the funeral round trip as an appropriate use of taxpayer money because he was honoring a woman who was a “citizen of Illinois for eight decades.” […]
On June 29, Quinn met with Mayor Richard Daley in Chicago before flying to Springfield to huddle with Democratic legislative leaders. Quinn was there for just over two hours before flying back to Chicago, where he hosted an evening campaign fundraiser at the downtown Hyatt.
Quinn said his use of the plane was appropriate and he did not make the round trip because of the fundraiser, but because he planned to attend the annual Rainbow/PUSH meeting in Chicago the following morning. […]
On Oct. 10, Quinn flew from Chicago in the afternoon to host a Springfield reception for his former Northwestern University law classmates, then flew back to Chicago about five hours later. On Dec. 19, Quinn flew to Springfield to host a holiday open house and staff party before returning to Chicago a few hours later.
He should give that stuff a rest. And the campaign use ought to be strictly verboten.
* Speaking of the state plane, the Tribune also had a piece on that today…
Lawmakers are proposing a wide variety of ways to cut the woefully out-of-balance budget, but curbing their use of state aircraft is not at the top of the list.
Dozens of lawmakers fly between Chicago and Springfield on the state’s fleet of four executive airplanes at discounted rates subsidized by taxpayers, according to Illinois Department of Transportation records.
Legislators who’ve taken the most flights defended their use of state planes, saying they would get reimbursed for mileage if they drove.
It’s a legit hit, but I doubt they mind too much.
* Related…
* Graphic: Top Illinois legislators using state aircraft
* The House Executive Committee voted today to move a proposal to the floor which allows video gaming in bars and restaurants that have off-track betting parlors in them. The new trend is to put the OTBs into large entertainment centers, so the proposal would ensure that those facilities were not put at a disadvantage against other bars and restaurants in the area, according to its sponsor, Rep. Lou Lang.
Rep. Bob Biggins asked a most unusual question during the committee’s debate, however. Watch…
* Meanwhile, the disinformation campaign against the main video poker “trailer bill” is still in full force. From the Sun-Times…
(T)he Illinois Senate has passed a bill that also passed out of a House committee on Monday. The bill would take away the board’s discretion, allowing it to bar only those who are convicted of a gambling-related felony.
The reality, Jaffe says, is that most of those caught dabbling in illegal video poker wind up convicted only of lesser charges.
“I am absolutely opposed to what the Legislature is trying to do,” Jaffe says. “They are taking away discretion from the board. It gives an exemption to people who have been involved in criminal activity.”
It’s absolutely not true that the bill would “bar only those who are convicted of a gambling-related felony” from having a video poker license. The bill actually says anyone convicted of any violation of Article 28 of the Criminal Code of 1961 is a disqualification. Article 28 also includes several misdemeanor penalties.
Also, I’ve talked to several people who swear on their mother that Jaffe’s own Gaming Board staff signed off on this video poker bill in order to bring some clarity to how tavern owners and fraternal organizations like the VFW could be denied a license.
* So, how did the group of ten House Democrats who pushed for extensive budget cuts do yesterday? It was, at best, a mixed bag.
The House did pass a $200 million Medicaid cut pushed by the group, which House Majority Leader Barb Currie referred to as “the only real savings” the House approved yesterday.
But a proposal to make state retirees pay health insurance premiums failed. A measure to cut the budgets of constitutional officers fell short. The $400 million in education cuts (K-12 and higher ed) were overwhelmingly rejected in committee. Reducing state mileage reimbursements to 39 cents per mile from 50 cents failed. Eliminating state paid stipends for some local elected officials died.
A proposal, however, by Elgin state Rep. Keith Farnham advanced to the full House that would limit the travel allowance for lawmakers to 39 cents for the next year. It also would reduce lawmakers’ travel allowance for housing and meals - currently $139 a day - to $111. […]
Meanwhile, a proposal that could potentially save $300 million by canceling and rebidding state contracts for a total of more than $1.2 billion also cleared the committee.
“There’s a pattern of renewing contracts just year after year,” Jakobsson said. “We just renew them and don’t ask questions.”
Rep. Elaine Nekritz was one of the chief motivators behind the move to cut the budget. She tried to put the best face on the defeats to my intern Barton Lorimor. Have a look…
* House Speaker Michael Madigan just passed a “clean-up” measure for the McCormick Place reform bill out of his Executive Committee. Click here to read it.
Among other things, the proposal requires McCormick Place to follow the state’s procurement code, rather than allowing it to have a “substantially similar” procurement process. It also provides for a means to oust the new trustee, or czar, provides for appointing his replacement in case of a vacancy, subjects him to the governor’s constitutional removal authority, and makes it even more clear that he is subject to the one-year revolving door prohibition.
These appear to be Gov. Quinn’s reforms. The governor has not yet issued any statement on his expected amendatory veto of the original McCormick Place bill. Click here today to see its status.
* As I told you last night, Gov. Quinn’s campaign blasted Sen. Bill Brady for voting to double the taxicab “departure tax” which is included in the McPier reform bill. Here is the Brady campaign’s response…
Governor Quinn is pushing a 33 percent income tax increase on the taxpayers of Illinois, a dozen tax increases on Illinois’s job creators and fee hikes on citizens. Despite the efforts at distraction – that’s the Quinn record. Bill Brady opposes the Quinn tax increases.
The city of Chicago – and people of Illinois – anxiously await his action on the bipartisan solution passed by the legislature to keep as many as 66,000 jobs in the Chicago area convention and trade show industry.
McCormick Place has approximately 3 million visitors a year—most of whom are out-of-town conventioneers who spend their money on everything from airline tickets and taxi rides to hotel rooms and theater tickets. Democrats and Republicans worked together to impose labor work rule reforms, eliminate costly mark-ups and put in place professional management that will make McCormick Place competitive again in the convention industry. At the same time, the cost to the state and its taxpayers will be reduced by more than $300 million in the coming years with stringent ethical standards and sunshine that eliminates backroom deals.
This week the National Restaurant Association – which for 61 years has come to McCormick Place for its annual trade show – announced it will move elsewhere unless the reforms become law. This one trade show brings more than $100 million annually into the city.
Governor Quinn needs to set aside the political rhetoric and sign the McCormick Place reforms into law. If he continues to kowtow to political interests – Chicago stands to lose one its prime economic engines.
Tribune Co. plans to pay top executives and managers bonuses of $16.2 million when its bankruptcy reorganization plan takes effect, the company said in a court filing.
The Chicago-based company — owner of the Chicago Tribune, Los Angeles Times and broadcast outlets — said in a revised reorganization plan filed Monday that it will pay $10.3 million in incentive compensation to its top 19 executives, who earned the maximum amount possible for their performances last year, and $1.3 million to other employees who made “valuable contributions.”
Under a separate bonus program that rewards some of the same executives, another $4.6 million will be paid out to business unit leaders, the filing said.
The payouts follow a move in February to award $42 million in bonuses under the same programs to top managers for their work last year.
There is no doubt a university presidency is a difficult, 24/7 job. But the fact that new U of I President Michael Hogan’s salary of $620,000 is more than the $177,412 that Gov. Pat Quinn earns and President Barack Obama’s $400,000 salary shows how university administrator salaries have gotten out of hand.
* No Invasive Asian Carp Turn Up in Recent Fish Kill
The Illinois Department of Natural Resources led the effort to poison two and a half miles of the Little Calumet River. It’s just a few miles from the lake.
* Fish kill fails to turn up any Asian carp in Little Calumet River
With mounted police lining the route, teachers decried Schools CEO Ron Huberman’s plan to raise class sizes to 35 — causing up to 3,000 Chicago Teachers Union layoffs — to battle an estimated $600 million deficit.
* Stroger vetoes bill requiring board vote on pay raises
Daley’s 2010 budget was precariously balanced by draining revenues from the $1.15 billion deal that privatized Chicago parking meters and ordering city employees to take unpaid furlough days that amounted to a nine percent pay cut.
Since then, top mayoral aides have been forced to propose a $160 million short-term borrowing to bankroll back pay raises for Chicago police officers mandated by an independent arbitrator.
Foreclosed and abandoned Chicago buildings are “the same type of disaster as the BP oil slick” in Louisiana, a Northwest Side alderman said today, demanding a full-court press by city, state and federal officials and by banks that owned the buildings.
“It’s not an exaggeration,” said Ald. Richard Mell (33rd). “They’re having the same devastating effect in communities and neighborhoods as the oil slick is.
Lawrence became enraged at the previous council meeting when his request to ask questions of Aurora Housing Authority appointee Avis Miller was denied by Weisner. Lawrence is a longtime thorn in the side of the authority, questioning its use of tax dollars and the conditions of many of the authority’s properties. He routinely calls for the dismantling of the board.
Weisner has said he denied Lawrence’s line of questioning so as not to allow Lawrence to unfairly “rip into” Miller
Chrysler is an economic engine for the Rock River Valley that must be fueled. In today’s Register Star print edition, we run an exclusive report that the plant may be in line for a 592,000-square-foot expansion that would be a welcome addition to the local economy.
However, as encouraging as it seems that the expansion may happen in Belvidere as soon as this fall, we know that nothing is certain until the first shovel is turned.
That makes it imperative for local, state and federal representatives to do whatever is legally and morally necessary to get the deal done.
* As I told you earlier, Gov. Quinn is expected to issue an amendatory veto on the McCormick Place reform bill soon. He’s going to use the so-called “departure tax” hike as an excuse, according to an e-mail from his campaign. The reform bill doubles the tax on cab rides leaving O’Hare and Midway airports to fund Chicago Convention and Tourism Bureau, with 25 percent going to Rosemont’s convention center. Take it away, Quinn campaign…
As we know, Brady voted for the McPier reforms and is urging for it to be signed as is. However, the reform doubles the departure tax. It is raised by 100%.
This from the person who recently signed the “no tax pledge” - and has spent the last few months publicly railing against any taxes - yet he voted for this tax increase.
One of the first chances he had to vote for a hike in taxes, he took it.
And someone should ask him if he knows where the money from the departure tax goes. This tax is already going to McPier and it collects about $8 million annually. This is estimated to collect another $8 million, 75% of the new revenue would go to CCTB to help market McPier. 25% of this would go to also market the Rosemont convention center.
Here is the Brady campaign press release issued after I wrote that Quinn would likely AV the McPier bill…
Bill Brady, Candidate for Governor, released the following statement on McCormick Place Reform today;
Why is Pat Quinn standing against jobs and reform? This is a clear opportunity to be on the side of growth and to make a clean break from insider Illinois politics. Today the bill went to the Governor’s desk; he has no more excuses. He should sign the bill. This is bipartisan and has widespread support for a good reason: It will mean jobs and reform.
Several trade shows have canceled here and others waiting before making future commitments. This could mean the loss of a billion dollars in local spending. As I said last week, Pat Quinn has failed the children of Chicago by opposing the Meeks school voucher bill, and he is failing the people of the Pullman neighborhood.
I hope Governor Quinn, on behalf of the people of Chicago, gets this one right and signs the bill.
* 6:14 pm - The House is now debating a motion to reconsider the pension borrowing bill, which came up one vote short. Rep. David Miller made the motion to reconsider, and he is expected to vote “Yes” when the actual bill comes up for a vote.
But if that happens, and Miller votes “Yes,” GOP Rep. Pritchard just told my intern Barton Lorimor that he is switching from “Yes” to “No.” Pritchard wouldn’t say why he was switching his vote. But Pritchard’s decision comes after an hour-long House Republican caucus meeting.
So, if Miller votes for it and Pritchard votes against it and nobody else changes their mind, then they’re still at 70 - one vote short.
* UPDATE 1 - 6:32 pm - We went back to talk to Pritchard and he’s actually going to vote “Present.” Same dif. Video in a bit.
* UPDATE 2 - 6:34 pm - Rep. David Miller’s motion to reconsider finally was called for a vote after a long delay. Apparently, they were looking for some missing members. The motion passed with 71 votes.
* OK, now a verification. And it passed.
* UPDATE 3 - 6:39 pm - As I mentioned below, Gov. Quinn stormed onto the House floor during House GOP Leader Tom Cross’ speech against the pension borrowing bill. Quinn stopped in the middle of the chamber, turned and glared at Cross. Watch it…
* UPDATE 4 - 6:41 pm - Rep. Pritchard just explained his vote. He said he’s voting “Present” because he wants some bipartisanship. Odd.
* UPDATE 5 - 6:45 pm - Crain’s just fell for an old Rod Blagojevich spin. Blagojevich used to say he was “signing” a bill when he was actually using his amendatory veto powers. An AV isn’t a signature. Period. Subscribers already knew what was going on, but here you go…
Gov. Pat Quinn is expected this week to sign the long-awaited bill to overhaul operations at McCormick Place, though the measure will come with a few changes, according to legislative and convention officials familiar with the situation.
Mr. Quinn could sign his amended version of the bill as soon as Wednesday.
Sources weren’t aware of the specific changes Mr. Quinn will make to the bill, but the governor has raised repeated concerns about numerous issues. Those include a lack of a succession plan for the interim trustee — expected to be Jim Reilly, chairman of the Regional Transportation Authority and liaison to the legislative panel that examines operations at McCormick Place — as well as securing oversight of changes made by the trustee and addressing organized labor’s concerns, to avoid legal challenges.
If Mr. Quinn does present an amended bill, legislators will have the choice of supporting it or overriding it.
Sources said legislators would more than likely overturn his amended bill since the measure in its current form unanimously passed the House and Senate.
* UPDATE 6 - 6:48 pm - Word from the floor is that the Democrats have picked up a Republican vote to replace Rep. Pritchard’s flip-flop. Stay tuned, but this looks like it may pass now. The word is, from several sources, that the new HGOP member is Rep. Bob Biggins.
* UPDATE 7 - 6:55 pm - After ducking reporters for more than an hour and spending time in both House Speaker Michael Madigan’s office and Gov. Quinn’s office, Rep. David Miller is now saying that the pension bond bill will save money. This after he voted “No” the first time around. Video in a bit.
But Miller, who had sought to raise taxes in prior years to help the state’s bleak finances, said he would vote for borrowing “because it’s the right thing to do” now.
“You’ve got to do the mature thing which is to at least get us through this crisis, no matter how bad it is,” Miller told reporters after the vote.
Miller said he’s not sure how his vote will impact his run for comptroller, but said his focus today was not on his future but the people he represents now.
“At some point you have to do some soul searching about why you’re here in the first place.”
He said he was not offered anything in return for his vote by the governor.
* UPDATE 8 - 7:03 pm - The pension borrowing bill passed with 71 votes and 44 voting no. Rep. Bob Biggins did, indeed, vote “Yes” on the bill.
* UPDATE 9 - 7:56 pm - There’s been a strong rumor in the building that Rep. Biggins switched his vote to “Yes” on the pension borrowing bill in exchange for a job. I’ll have more for subscribers tomorrow, but House GOP Leader Tom Cross just said he has heard the same rumors. He also talked about what he said to Rep. Pritchard to get him to change his vote. Video in a bit.
* UPDATE 11 - 8:15 pm - The Emergency Budget Act just passed with 67 votes. The bill gives extraordinary budget powers to the governor, among many other things House GOP Leader Tom Cross said a bit ago that just about everything would pass now that the pension borrowing bill cleared the chamber. Looks like he was right. The budget bill is up now.
* UPDATE 12 - 8:30 pm - And the budget just passed. It all seems so anti climactic.
* UPDATE 13 - 8:43 pm - The BIMP just passed.
* UPDATE 14 - 9:23 pm - And they’re done for the night.
* GOP Rep. Don Moffitt is a moderate Republican who was thought to be maybe leaning towards voting for the pension borrowing plan. My intern Barton Lorimor caught up with Moffitt after the House GOP caucus meeting a while ago and Moffitt said he’s sticking with his fellow HGOPs against the borrowing plan. Watch…
House GOP Leader Tom Cross affirmed that his caucus is united on the pension bond plan…
So much for that idea. At least for now.
* And Gov. Quinn was openly threatened today by the Housewares Show…
op executives with the International Home + Housewares Show fired off an email to Gov. Pat Quinn today, saying they could not recommend Chicago as the show’s venue for 2012 and beyond when their board meets later this week unless the governor signs the McCormick Place overhaul legislation.
“The lack of signature to this bill will ultimately send us and other vitally important trade show business elsewhere,” the email stated. It was signed by Phil Brandl, president of the International Housewares Association, and Mia Rampersad, the group’s vice president/trade shows. The association’s show has been a cornerstone of the city’s convention business since 1939.
If the bill is not signed, “the letter is pretty specific as to what will happen,” Mr. Brandl said. If Mr. Quinn signs it, renewing in Chicago “will be a much simpler process.”
The show is prepared to renew for “three to five years” in Chicago if the legislation is signed, Mr. Brandl said. The show attracted nearly 60,000 participants in March and injected an estimated $82 million into Chicago’s economy, he said.
* Quinn’s office has issued a press release announcing the governor’s support of university borrowing…
Governor Pat Quinn today spoke with University of Illinois President Stanley O. Ikenberry and Southern Illinois University President Glenn Poshard regarding a legislative initiative to allow state universities to borrow money to cover expenses during the current economic crisis.
“After careful consideration, I believe it is in the best interest of Illinois taxpayers to include state university borrowing in the comprehensive borrowing bill now before the Illinois General Assembly.
The university presidents and I agree that this is a more fiscally-responsible way of addressing the state universities’ financial issues while also protecting the interests of Illinois taxpayers. A comprehensive plan will result in a stronger response from the bond market, more manageable and competitive interest rates on state bonds and ultimately lower costs to taxpayers.
Proceeds from a comprehensive borrowing plan will be used to pay for vital state services, including university expenses.”
ontinuing to deflect notions that President Barack Obama isn’t backing him, Democratic Senate candidate Alexi Giannoulias announced today two White House officials will be coming to Illinois next month to campaign for him.
Secretary of Education and former Chicago schools chief Arne Duncan will join Giannoulias on the campaign trail on June 17, followed two days later by Deputy Chief of Staff Jim Messina, the campaign said. Duncan and Giannoulias have been friends for years and both were among a group with then state-senator Obama that regularly played basketball together.
* UPDATE 1 - 2:39 pm - The House Executive Committee voted on several budget-cutting ideas this afternoon. An amendment pushed by Rep. Elaine Nekritz to lower state employee mileage reimbursement failed, 4-0 with seven abstentions. Another amendment making state retirees pay more for their health insurance premiums failed. But a proposal to suspend per diem payments to legislators for one year was approved.
* UPDATE 3 - 2:39 pm - All amendments proposed by the coalition of Democrats pushing for cuts were either killed by the House Appropriations General Services Committee this afternoon or were withdrawn. One such proposal would’ve cut statewide officers’ budgets by 5 percent.
And here’s a press release from the Responsible Budget Coalition…
“Lawmakers have returned to Springfield to work towards a spending plan for the coming fiscal year, but appear no closer to approving a real, responsible budget with adequate new revenue to meet the state’s obligations and prevent devastating cuts to vital services and jobs.
“Instead, too many legislators are proposing to repeat and compound past mistakes by slashing education, health care, human services and jobs, and failing to pay the state’s bills.
“For example, under Senate Bill 3660, legislators—for the second straight year—would abandon their constitutional responsibility to set appropriations for essential public services. Instead, they would cede to the governor vast powers to reduce or eliminate such services. This is not part of a responsible, comprehensive solution that sets Illinois on a path to adequately fund vital programs, pay our bills, and avoid repetition of the problems that have landed us in a $13 billion revenue hole. The Responsible Budget Coalition demands a comprehensive solution to the problem.
* UPDATE 4 - 3:52 pm - After refusing to vote for the pension bond bill a couple of weeks ago, some House Republicans are now complaining that the Democrats are loading up the borrowing bill with amendments designed to entice them to vote for the bill - like specific borrowing proposals that have already been introduced by House Republicans.
So, the House Democrats have now moved to table all the amendments except one. That one would authorize an additional $1.5 billion in borrowing authority for school construction. It passed with 78 votes, including numerous Republicans. [That one was withdrawn as well.]
Welcome to silly season.
* UPDATE 5 - 4:47 pm - The pension borrowing bill fell just one vote short, 70-46-1. Democratic Reps. Jack Franks and David Miller (the Democratic nominee for comptroller) voted “No.” GOP Rep. Beth Coulson voted “Present.”
Republican “Yes” votes were Black, Pritchard. GOP Rep. Jerry Mitchell has an excused absence. Republican Reps. Raymond Poe and Rich Brauer, who have a whole lot of AFSCME members in their districts, voted “No.” The roll call will eventually be posted here.
* Speaker Madigan is on the floor now talking with Rep. Miller. We hope to have his explanation for his “No” vote and Rep. Coulson’s explanation for her “Present” vote soon.
* UPDATE 6 - 5:01 pm - Rep. David Miller has just moved to reconsider the vote.
The Republicans have asked for an immediate caucus. They’ve asked for an hour.
Not exactly the most courageous vote I’ve ever seen in the Illinois General Assembly.
Coulson said she wants to get the budget out of the way before considering the borrowing bill, but she also said she wants to “look at the municipality [pension] reforms” before she’s be ready to vote for the borrowing bill. Doesn’t sound like she’ll be a “Yes,” but that still doesn’t explain her “Present” vote.
House Republican leader Tom Cross was berating Democrats for being irresponsible with state finances when Gov. Pat Quinn suddenly sprinted into the House, stomped down the center aisle and stood, hands on hips, glaring at Cross.
* We had a bit of fun with my refusal to cut my hair or trim my beard yesterday. In response, my old buddy Jak Tichenor sent me a photo from the latest “Illinois Lawmakers” program I did with him. And since we’ve had caption contests on just about everybody else in politics, I thought it was probably only fair to do it to myself. I have a strong feeling that I’m gonna regret this, but whatever…
Gov. Pat Quinn took some oblique shots at political insider Jim Reilly Monday as he explained why he remains undecided on whether to sign the McCormick Place overhaul legislation.
The bill would name Reilly, chairman of the Regional Transportation Authority, as trustee, with broad decision-making power to oversee restructuring the Chicago convention center. Quinn said he wanted to be sure the legislation had adequate checks and balances in place. […]
The governor twice cited the scandal at commuter rail agency Metra, which is among several transit agencies overseen by the RTA. Federal authorities are probing the late Metra chief Phil Pagano’s receipt of $475,000 in unauthorized vacation pay.
In making his case for more oversight provisions in the McPier legislation, Quinn said Metra had been run by someone “who Metra thought, and RTA felt, was doing a good job.'’
Quinn also says he’s worried that one or two unions could file a lawsuit…
Speaking at an unrelated news conference, Quinn said he wants to make certain other terms of the reform don’t bring on a “cloud of litigation.”
Some McCormick Place unions are opposed to the proposal’s far-reaching changes in work rules. The intent is to lower costs for exhibitors.
“Without signing the bill which has passed the House and Senate, I cannot endorse Chicago as the most viable option for the restaurant’s show,” said [Mary Pat Heftman, executive vice president of the National Restaurant Association convention[.
A video gambling bill strongly opposed by state regulators advanced in a House committee today and now awaits a vote that could send it to the governor.
The state’s top gambling regulator predicted House lawmakers would pass the legislation, which he said would give amnesty to operators who have illegally operated video poker machines in bars for years.
“It’s a disaster,” said Aaron Jaffe, chairman of the Illinois Gaming Board. “I have no idea all the power plays that are going on down there (Springfield) right now, but I can tell you that they are all listening to the wrong people.”
As we’ve already discussed, Jaffe views tavern owners and places like VFWs who have “amusement only” video poker machines and have paid out as dangerous mob-connected criminals. That’s why he thinks this bill is a “disaster.” The bill requires a felony conviction before a tavern owner or facility operator can be denied a license to have the new, regulated video poker machines. “Disaster” is a bit much. More…
The problem for regulators is that in most cases. the owners of bars and even some of those rounded up in video gambling raids are never convicted. Many could plead guilty to lesser crimes that don’t fall under the gambling statutes. And bar owners, in particular, often face only a fine from the state’s liquor control commission.
Illinois Gaming Board Administrator Mark Ostrowski said the changes would make it essentially impossible to deny applications based on past instances of illegal machine use. He said convictions are rare.
But state Rep. Lou Lang, a Skokie Democrat sponsoring the proposal, said the Gaming Board brought this provision on itself by having vague regulations in this area.
Lang said the board’s stance was new violations would disqualify someone but past violations “may keep” someone from getting a license. He considered that inconsistent.
* As I told subscribers this morning, the House Democrats are advancing a plan to convince the Republicans to support the pension borrowing bill, which requires a super-majority to pass. The Tribune has part of the story…
To entice Republican support to get the 71 votes needed for approval, they would tie pension borrowing to approving new bonds to pay for road and school construction.
Democrats still are not confident that Republicans would support the combined package, but noted that in the past, GOP members voted for additional highway bonding and school construction and might fear criticism for failing to bring jobs and pork projects back to their home districts.
One House Republican, Rep. Bill Black of Danville, said he’s willing to vote to borrow for pensions. “I don’t see how you can leave here and not borrow money,” said Black, a member of House GOP leadership who is not seeking re-election.
This might actually roll. We’ll see. The bill is here.
The emergency plan advanced Monday out of a key House committee would simply tell the governor he doesn’t have to make the pension payment until he has the money to do so.
That plan requires only a simple majority and, in theory, would be easier to pass. But it socks taxpayers with substantially higher interest charges. The borrowing plan would cost nearly $1 billion in interest over eight years. Skipping the pension payment incurs 8.5 percent interest and by the time the state makes up the shortfall, the interest cost is predicted at as much as $37 billion.
Even the Democrat sponsoring the deferred payment plan said it’s not a great option. “But it may turn out by the end of the week to be our only shot,” said Chicago state Rep. Barbara Flynn Currie.
She advised colleagues that there will be another vote this week on borrowing. “And I advise you to take me up on that offer.”
QUINN: It’s the most feasible way to save taxpayers’ money. Bottom line is, any other proposal will cost taxpayers in Illinois millions and millions of dollars.
* Rep. Elaine Nekritz (D-Northbrook) is not overly optimistic that budget cuts pushed by a group of fellow House Democrats will survive intact…
“Generally, when you’re talking about spending reductions and other things of that nature it runs into some challenges,” Nekritz said.
It’s unclear if these ideas from rank-and-file Democrats will get approved — or even debated —this week as lawmakers jockey to preserve their unique budget interests with state money tight.
State Rep. Bob Flider, D-Mount Zion, for example, opposes the having retirees pay for health insurance.
“It’s amazing we could ever agree on anything because we’re so diverse,” said Flider. “But I also feel people are reasonable. My feeling is, give people their shot at whatever proposal they’d like to put forward.”
…Adding… Rep. Feigenholtz’s proposal to cut Medicaid by $200 million just passed out of a House committee 13.2.
* A 5 percent reduction to the operating budgets of state agencies, saving about $300 million, and the General Assembly, saving about $2.5 million.
* $300 million in cuts to K-12 education.
* $100 million in cuts to higher education.
* $200 million in Medicaid cuts.
* Renegotiating contracts and putting some up for new bids, which legislators say could save up to $300 million.
* $4 million in cuts to local subsidies for assessors, supervisors and coroners.
* Cutting the reimbursement rate for car travel from to 50 cents a mile to 39 cents a mile, which legislators say could save $6 million.
* Eliminating salaries for members of part time boards and commissions, which would save an estimated $2.5 million.
* State Retirees would pay health care premiums according to a sliding scale based on their income, saving the state an estimated $100 million in fiscal year 2011.
However, Quinn did seem to approve of $1.2 billion in cuts outlined by some Democratic lawmakers unhappy with how the budget process has played out.
“Just about all of the things they’ve talked about I’ve tried already,” Quinn said. “If there’s a renewed vision by members of the Legislature, both houses, majority vote, that they can get done, that’s fine by me.”
“It’s hard for me to get too specific because I don’t have my people in place. The best information we have is often a two year old audit.
“Clearly the Medicaid system has to be put on managed care. You saw the mismanagement of All Kids, people should be have to be eligible.” The state audit of All Kids, a state health plan for children, said the program spent $70 million, but $55 million of that was spent on children who do not live in Illinois.
He also talked about K-12 public school cuts, saying they should be spread out among more education programs and grants “so that in the end we see a 2 to 3 percent cut.” Gov. Pat Quinn proposes a 17 percent cut in funding at the classroom level, Brady said.
“There’s no area of state government that’s not going to have to play a role” in cutting the budget, said Brady.
* And Sen. Dan Kotowski issued a press release this morning about his own budget idea, which was included with that House Democratic plan above…
Kotowski’s major contribution to the reform package is legislation calling for Results Budgeting (also known as Budgeting for Outcomes). Results Budgeting starts by defining spending priorities (such as job creation, education, human services, transportation, and public safety) and identifying how much revenue is actually available. It then requires the creation of performance-based measurements for these priorities and encourages state agencies to find creative ways to achieve these goals with limited resources. This process also includes built-in accountability and transparency by requiring the Governor to develop a state-wide reporting system comparing actual results with budgeted results. These measurements and results will then be posted on the State Comptroller’s web site for public viewing and evaluation.
* Attorney General Lisa Madigan called this morning and asked me to meet her when she gets to town so she can show me her tax returns.
Madigan’s campaign manager refused on Friday to release the returns after I’d requested them. I asked for them after speaking with Bill Brady’s campaign, which mocked requests for Jason Plummer’s returns because AG Madigan hadn’t disclosed hers. Madigan is now second in line to the governor’s office since the state does not currently have a lt. governor. I was told yesterday that Lisa Madigan was not fully aware that the returns were specifically requested by me, but only knew that Brady was trying to drag her into the debate.
Madigan’s release will likely put even more pressure on Republican lt. governor nominee Jason Plummer to disclose his returns. Plummer has adamantly refused to do so, but now that the Brady campaign has directly tied Madigan’s tax returns to Plummer, it’ll be even more difficult to continue his refusal.
* Late yesterday, the Illinois Republican Party issued a press release demanding that Attorney General Madigan release her tax returns…
Illinois Republican Party Chairman Pat Brady’s Response to Lisa Madigan’s Refusal to Release Her Tax Returns
CHICAGO - Lisa Madigan’s spokesperson dodged questions as to whether the Attorney General would release her tax returns. At the same time, Governor Quinn made the following statement regarding this very issue: “When these candidates play peek-a-boo, or not at all, with their tax returns, I think there’s legitimate questions to be asked.” Answers to the following simple questions would be a good start:
What is Lisa Madigan hiding?
When will the de-facto Governor, Mike Madigan, release his tax returns?
Will Pat Quinn apply the same standards he touts and ask both Madigans to open their tax returns for public viewing?
“People are fed up with single-party rule and the Democratic Party’s hypocritical stances regarding transparency,” said Illinois Republican Party Chairman Pat Brady. “They expect stronger leadership from both Governor Quinn and de facto Governor Mike Madigan. All they are getting is political gamesmanship.”
Again, now that AG Madigan is releasing her returns, that IL GOP statement just puts more pressure on Plummer. Talk about irony. Yesterday’s repeated demand by Mark Kirk that Alexi Giannoulias disclose his own tax returns (as soon as he files them) doesn’t help Plummer’s case, either. I’ll ask about Speaker Madigan’s returns today, along with the other three legislative leaders, including the two Republicans.
…ADDING… Oops. I forgot to mention that Lisa Madigan’s Republican opponent, Steve Kim, has also agreed to disclose his tax returns. Chalk up another loss for Plummer.
Plummer’s position is less defensible than Brady’s early refusal to release his returns. Plummer is a complete unknown. He is 27 years old and does not have an extensive record on which the public can judge him. He has said he will not draw a salary if elected. That’s a nice gesture, but it also invites the inevitable question of what he will live on without a state salary. Let’s not forget that some of the testimony in the George Ryan trial focused on Ryan always having money but not having bank records showing where it came from.
We’ll concede that releasing one’s personal income tax information can be uncomfortable. For someone like Plummer, with extensive business interests and family wealth, it can be quite a hassle. As an electorate, we need to be aware that, taken to its extreme, the discomfort of releasing income tax returns could keep quality candidates from seeking office. Should a state representative candidate be expected to release his or her tax returns? A county treasurer? An alderman?
But if you expect to be a step away from being governor, you ought to be ready for the attendant hassle. Your discomfort is a fair trade for the voters’ trust.
* Meanwhile, the Associated Press found the deeply buried nugget in the Tribune and ran its own story…
Republican gubernatorial candidate Bill Brady voted for legislation as an Illinois state senator in 2003 that could have benefited his business interests as a developer, according to a published report. ‘ […]
The following year in November, Brady voted to enact legislation giving local government the authority to take land for sewers near the interchange. That would have helped Brady’s development and property value. […]
His campaign spokeswoman Jaime Elich said Monday that Brady’s actions involving the interchange development were “normal business dealings.”
“Senator Brady has recused himself of voting when in fact he is concerned about a conflict of interest,” she said in an e-mailed statement.
“Normal business dealings” does not mean there is no conflict. Voting on legislation that directly impacts one’s business, and only one’s business, is a conflict of interest, plain and simple.
* Related…
* Sweep conducted at Jacksonville nursing home: Top officials from Illinois Attorney General Lisa Madigan’s office conducted a sweep at a Jacksonville nursing home Monday to check for violations of state law and regulations.
* Illinois AG unveils new aid to protect seniors from scams
* Attorney general often rules in favor of agencies in FOIA cases: Some redacted information, such as signatures of assistant attorneys general who sign letters that contain rulings on FOIA matters, is kept because of a concern about identity theft, said Cara Smith, who heads the public access counselor’s office. The names of lawyers do appear in print.
