* Congressman Tim Johnson just rented an apartment in Litchfield, which is in the middle of his new congressional district. He talked about the move and his pending run for reelection with the Champaign News Gazette…
“I’ve said before that the (redistricting) process was flawed, that it wasn’t transparent and, frankly, it’s kind of an embarrassment to the Legislature and to good government. But nonetheless I’m not going to go to somebody in Bond County and say, ‘I think this is a flawed process and I hate it but I want you to vote for me.’ The reality is this is the district. We’re going to file a lawsuit but it’s not going to succeed, so you’ve just got to go forward with the way it is.” [Emphasis added.]
That won’t make him too popular with the powers that be, I’m sure.
* Johnson, by the way, has picked up a new Republican primary opponent. Samuel Thomas Spradlin, a Springfield truck driver, has a website, but no plans to raise much money…
“His campaign war chest is approximately $200,000,” Spradlin said. “I’m sure he can make that $2 million overnight. And I’d be lucky to raise $2,000. That’s the truth.”
* Redistricting’s Bottom Line Might Surprise You: Democratic gains in just two states, Illinois and California, will almost completely offset the party’s losses elsewhere. On the GOP side, gains in North Carolina, Texas and Georgia almost offset Republican losses in Illinois and California.
* Some Lake County Board Members Cry Foul Over Redistricting
*** UPDATE *** From Natasha Korecki’s Twitter feed…
And … day seven ends with #Blagojevich jurors gone, no verdict.
[ *** End Of Update *** ]
* It’s Day 7 of jury deliberations in the Rod Blagojevich trial. Eric Zorn wonders what’s going on…
I was pretty sure that the jurors would come back, refreshed and clear-eyed from their long weekend and finalize their verdict [yesterday]. That they did not indicates to me that there’s a fairly stout stalemate on the panel on at least one of the issues before them — maybe all of them.
* And WBEZ is the latest media outlet to examine what impact an eleven-woman, one-man jury might have on the verdict…
* One of my greatest disappointments in life is that the citizenry and our civic and political leaders repeatedly refuse to understand the extremely valuable lessons from Prohibition.
If you outlaw something that the people really want, they’re gonna get it anyway and it’ll be the outlaws who’ll supply them. For instance, here’s a story from today’s Tribune…
The Chicago mob once had as many as seven street crews, but is down to two or three, Rice said. It has found a steady source of revenue by controlling video poker machines, but authorities are catching on.
In December, Sarno and four co-defendants were found guilty of running a video poker racket, pulling off a string of armed robberies that spanned three years and four states, and protecting their gambling franchise by planting a bomb in front of a Berwyn business that encroached on their turf.
The recent legalization of video poker machines has been blasted by opponents as immoral and, weirdly enough, a boost to organized crime. The plain fact that just about every tavern in the state currently has the machines, and that the vast majority pay out illegally, and that many of those machines are controlled by the Outfit doesn’t seem to penetrate.
If you want to really hurt the mob, then cut it off from video poker. The best way to do that is by legalizing and regulating video poker. As far as the morality, I’m a big proponent of leaving individual morality up to the individual. Regulate it, sure, but banning it creates more problems than legalization. A legalized system won’t lead to bombs being planted by gangsters.
This is really not all that difficult to comprehend, and there is an even more direct historical connection than Prohibition. The state lottery destroyed the numbers rackets here.
* So, it was a pleasant surprise to watch Cook County Board President Toni Preckwinkle’s speech the other day marking the 40th anniversary of the nation’s “War on Drugs.” From her address…
“We all know that the ‘War on Drugs’ has failed to end drug use. Instead, it’s resulted in the incarceration of millions of people around the country and 100,000 here in Cook County on an annual basis. Drugs and the failed war on drugs have devastated lives, families and communities. For too long, we’ve treated drug use as a criminal justice issue rather than a public health issue, which is what it is. […]
“The cost is too great to continue this ‘War on Drugs’ with so little success.”
She didn’t explicitly call for legalization, but we cannot correct the problem until we first recognize that what we’ve done so far has been an abject failure. She most certainly sees that.
* Chicago’s new Chicago Police Superintendent Garry McCarthy also seems to have a grasp of the real problem here…
“It becomes the issue of mass incarceration,” he said during an interview for WBBM-AM 780’s “At Issue” program set to air at 9 a.m. and 9 p.m. Sunday. “There is an issue here. And law enforcement has gotten this wrong. Narcotics use is a criminalized social issue. It causes crime. Drug dealers get into violent disputes over turf. It’s about the money.”
McCarthy added: “It’s been so twisted up that law enforcement looks at narcotics as the crime, when it’s not. It’s the cause of the crime. So, we’ve had this wrong for a long time in law enforcement.”
You want to stop violent drug-related crime? Well, it’s a pretty darned safe bet that Walgreen’s and CVS employees aren’t going to be shooting at each other if their employers are the ones selling pot.
* IDOT Secretary Gary Hannig is set (again) to retire at the end of the month. Gov. Pat Quinn talked Hannig out of retiring earlier this year to at least the end of the spring legislative session. Quinn convinced Hannig to stick around for another month. So far, no replacement has been named, or even floated. But that hasn’t stopped former Senate Majority Leader and one-term US Rep. Debbie Halvorson from floating her name yet again…
With 10 days to go before he’s due to retire — again — it appears the governor still has not found a successor. A Quinn spokeswoman said the administration is reviewing candidates, but she did not elaborate.
Former U.S. Rep. Debbie Halvorson has been the highest profile contender for the post.
She argues that her experience in Washington D.C. and as a member of the Illinois Senate gives her an advantage over other potential candidates. And, she says she’s gotten a lot of encouragement from members of the state Senate, who must approve of whomever Quinn picks.
“They know I know how to get money from D.C.,” Halvorson said Monday.
Don’t hold your breath. The governor rebuked her once and I was told yesterday that Quinn’s position hasn’t changed. Also, she may not have the support she thinks she has in the Senate. She was reportedly offered other jobs, but turned them down. I have no idea what she’s thinking.
*** UPDATE *** Despite what Halvorson just told Lee News, she told an acquaintance of mine something different today…
Just read the story you posted about Debbie and wanted to send you an update. I talked to her and she said she is not going after the position and focused on finishing her book and spending time with her family.
[ *** End Of Update *** ]
* Congressman Jesse Jackson, Jr. has battled with Halvorson for years over the 3rd airport and he strongly condemned her desire to run IDOT earlier this year. Jackson has since taken on a new project. He wants the Southland to unite in its bid for a casino site…
As Southland towns gear up for battle over a long-coveted casino license, U.S. Rep. Jesse Jackson Jr. is warning such a plan could leave the Southland divided and conquered.
“There’s a history of the Southland not getting things because of too much infighting, and that might be an incentive for the governor, who’s already called this bill top-heavy, to reject the Southland proposal simply by not wanting to get involved in the fight,” said Rick Bryant, a spokesman for Jackson Jr. (D-2nd).
“If we can get communities working together, we can maximize the opportunities here.”
The congressman’s call to unite behind one location comes as Gov. Pat Quinn ponders a bill to massively expand gambling in the state by signing off on the creation of five new casinos, including one in Chicago, as well as adding slots machines to racetracks.
* So far, though, the reaction has been mixed at best…
But municipalities such as Country Club Hills and Ford Heights can make their own pitches to the Gaming Board. They have their own plans for sharing casino revenue with neighboring suburbs to gain political support. […]
Country Club Hills Mayor Dwight Welch said he likes Jackson’s “concept,” but he balked at having to give up considerable control and money to a commission run by other communities.
“I don’t know any mayor in their right mind who would go along with that,” Welch said.
Ford Heights Mayor Charles Griffin said late last week he wasn’t aware of the proposal. He said Jackson should wait until Quinn signs the legislation before considering such a move.
* If her state job bid doesn’t work out, Halvorson might end up running against Jackson for Congress. I’d almost pay to see that.
The economic recovery may have stalled in parts of the South and West hit hard by the housing bubble, but Rust Belt states, buoyed by a manufacturing comeback, have seen a steady decline in their jobless rates over the last year.
Of the 10 states where unemployment rates dipped the most from May 2010 to May 2011, Rust Belt states — Michigan, Indiana, Ohio, Pennsylvania and Illinois — account for half, according to Labor Department figures.
Locally, metropolitan areas in the five Rust Belt states accounted for 30 of the top 34 declines in regional unemployment rates since last year, as well.
Chicago hoteliers are having their best year since 2008, as both occupancy and room rates are climbing thanks to increasing business and leisure travel.
The average daily room rate at Chicago-area hotels through May was $107.44, up 5.7% from $101.61 through the same period last year. The occupancy rate, meanwhile, stood at 56.8% compared with 54.3% through May last year, according to Smith Travel Research.
Seeing room rate and occupancies increase during the winter months is a strong indicator that the upcoming peak summer season won’t disappoint, says Brian Flanagan, president of Property Valuation Advisors Inc., a Chicago-based hotel appraisal and consulting firm.
Last year, Illinois generated $29.3 billion in revenue from the tourism industry, an increase of more than $2.2 billion from 2009, according to tourism data from Quinn’s office. Illinois visitor numbers increased by 5 percent, to 84.7 million, according to the data.
Fewer leisure travelers came to Chicago last year, marking a low point for the city’s tourism in the past six years. But business travel perked back up.
A total of 38.1 million people came to Chicago in 2010, according to figures released Monday by Gov. Pat Quinn’s office. That was down 3.5% from 39.5 million visitors in 2009 and a 16.6% drop from 45.7 million in 2008. (Travel to Chicago peaked in the past decade in 2007, when 46.3 million people visited the city.)
Don Welsh, president and CEO of the Chicago Convention and Tourism Bureau, pins the drop on people reluctant to make day trips into the city.
“We’ve had a couple of spikes in gasoline prices, so in many cases, people will stay closer to home,” Mr. Welsh said.
But he says he is encouraged by the data showing the number of overnight visitors to Chicago rose 7.4% in 2010.
A $64.7-million state deal last September to keep Navistar International Corp. in Illinois lacks a guarantee that the truck and engine maker won’t cut jobs here. […]
In its application for state tax credits, Navistar said it employed 3,100 workers in four Chicago-area locations but planned to pare that number to 2,200, while hiring 400 more “over the next several years.”
Because of efficiencies and “normal attrition,” it added, “it is anticipated that the current work number will be reduced by 15-20%.”
Don Sharp, Navistar’s chief information officer and the company executive who negotiated the deal, said local employment should rebound to “that 3,100 number or above” by the end of next year, spurred by the closing of a truck plant in Ft. Wayne, Ind., and other consolidation.
Asked yesterday about a similar incentive for Motorola, which allowed it to reduce its state workforce by 800 people and still retain its $100 million tax package, Quinn said the proposal was a good one and added “They’re not going to be cutting back.”
Quinn also talked about reports that Sears is shopping around for a new headquarters. Listen…
* Gov. Pat Quinn yesterday defended his push to strip union membership from thousands of state workers while forbidding others from ever joining a union…
Quinn is pushing Senate lawmakers to vote on the plan when they return to Springfield on Wednesday. House lawmakers signed off on the idea earlier this year, but support is low among Senate Democrats.
“I fervently support the right to bargaining, right to form a union,” Quinn said after speaking at the annual Rainbow/PUSH conference. “At the same time, there have to be some positions in government which are management positions and we’re trying to draw a fair line.”
Quinn’s office argues the move would save the state money and make government more efficient, saying the bill would apply to high-level management positions such as attorneys, legislative liaisons and deputy chiefs of staffs for state agencies. The idea is to prevent situations where there is no clear leadership at state facilities because all the workers are union members and managers can’t discipline employees under them.
“Our state has more people belonging to a union than any other state,” Quinn said. “But you also have to have some people in management. You can’t have everybody in the union.”
Quinn also pointed to legislative liaisons, most of whom have now joined AFSCME. “That’s part of management. That’s a policy-making position. You can’t have them saying, ‘Well, it’s five o’clock we have to go home now.’”
Quinn called criticism by union leaders “unfair.”
* As I told you yesterday, the bill faces a tough road even after it’s called in the Senate. The legislation has an immediate effective date, so it’ll require a three-fifths majority. The bill received just 62 votes in the House - two more than the bare majority. More than two-dozen House Republicans voted against the bill. Expect a higher percentage of Senate Republicans to vote for the bill and a lower percentage of Senate Democrats to do so.
* AFSCME, by the way, is ratcheting up its rhetoric. This is what the union told its members after it helped block the bill at the end of session…
Though AFSCME members in Illinois are not facing the same kind of sweeping assault on collective bargaining seen in Wisconsin, Ohio, Indiana, Florida and other states, Illinois Democrats - who should be solidly in labor’s corner - have joined with Republicans in a continuing effort to strip thousands of state employees of their bargaining rights by redefining “managerial and supervisory” under state labor law.
Hundreds of thousands of public employees to our north in Wisconsin have had their bargaining rights stripped from them by their Governor. Let’s not let Governor Quinn and his legislative allies get away with it here in Illinois.
* By now, most of us have received a phony spam e-mail from a “friend” who was “stranded” overseas and needed help getting home. I just received another one…
Hello
How are you? i traveled to wales for a conference at the imperial college gallery section, Wales) and unfortunately for me the hotel i lodged got razed by fire.all my valuables including cash, cell phones and my traveling documents were destroyed during the inferno but luckily for me i still have my passport with me.i have contacted the police but they are not responding to the matter effectively they only asked me to write a statement about the incident and referred me to the embassy which is over there in london please i really need your assistance for me to go to the embassy and also to the airline office so i can start processing a new flight ticket.i am also having problems settling outstanding hotel bills and the hotel management are not helping matters at all please let me know if you can help me out
Waiting for your mail
Why is this spammer so despicable? The e-mail was “from” Tom Roeser. Tom died last month.
I’m sure Tom would’ve been amused if he were still alive. He was also pretty careful about his grammar, spelling and punctuation, so nobody would’ve believed it was him if he was still around. But to hack a dead man’s e-mail account is just wrong on so many levels.
* Just about every major bill passed by the Republican legislative majority early in the 1995 session has been struck down by the courts. And the parental notification law has been in limbo ever since…
An unenforced 1995 law that requires physicians to notify a minor’s parent or guardian before performing an abortion should be returned to Cook County Circuit Court to determine its constitutionality, a state appeals court ruled Friday.
“Today’s ruling is extremely significant,” said Lorie A. Chaiten, director of the American Civil Liberties Union of Illinois’ Reproductive Rights Project, which represented a Granite City abortion clinic and University of Illinois at Chicago physician in challenging the law.
“The court’s decision recognizes that there are serious constitutional issues raised by the Illinois Parental Notice of Abortion Act and permits our clients to return to the circuit court to present our strong case showing that the act threatens the health and well-being of young women,” Chaiten said.
Abortion-rights advocates turned to the state courts after a federal appeals panel ruled in August 2009 that the Illinois law did not run afoul of the U.S. Constitution. But after that, a Cook County circuit judge refused to permit the lawsuit since the federal courts already had weighed in, prompting the ACLU appeal to the Illinois Appellate Court.
The state appeals court ruling reverses the circuit court decision that lifted a restraining order barring implementation of the law, which was a GOP legislative centerpiece when Republicans last controlled both the Legislature and governor’s office in the mid-1990s.
As of Friday, the attorney general’s office had no comment.
Health care providers are failing to detail abortion complications to the state as required by law, one of many gaps in a surveillance system viewed as crucial to protecting patients, a Tribune review has found.
The state’s system for tracking abortions is so broken that regulators also may be missing more than 7,000 of the procedures per year. […]
• This reporting is the only tool Illinois authorities have to monitor some abortion providers, yet regulators may be allowing doctors and clinics to operate off the books. Regulators collect reports from 26 providers, but the abortion rights research group [Guttmacher Institute] has identified 37 providers doing business in the state.
• Also unknown to officials are the types of abortion-related problems experienced by women. Nearly 4,000 reports of abortion complications involving Illinois residents in 2009 were missing the required description.
• Health care providers who intentionally fail to submit accurate and complete reports are committing a criminal act, and a failure to report abortion complications is grounds for revoking their licenses, but the Department of Public Health has never sought disciplinary action against a provider.
Wrongful convictions of men and women for violent crimes in Illinois have cost taxpayers $214 million and have imprisoned innocent people for 926 years, according to a seven-month investigation by the Better Government Association and the Center on Wrongful Convictions.
The joint investigation, which tracked exonerations from 1989 through 2010, also determined that while 85 people were wrongfully incarcerated, the actual perpetrators were on a collective crime spree that included 14 murders, 11 sexual assaults, 10 kidnappings and at least 59 other felonies. […]
The study also revealed that it is far cheaper to incarcerate the innocent than to compensate them afterward.
Over the period of time studied, which covers the past 35 years, the BGA/CWC investigation found that the cost of keeping the 85 in jail and prison for a total of 926 years came to $18.5 million.
To be fair, they seem to have overlooked one financial consideration that would lower the overall cost of wrongful convictions to taxpayers. If police hadn’t impetuously arrested the wrong persons, in some cases they might eventually have arrested the right ones, and the same daily costs of incarceration would have had to be paid.
Government error and misconduct appeared in 81 out of the 85 cases, and purported eyewitnesses fingered the wrong person in 46, according to the investigations.
False confessions occurred in 33 cases, allegations of ineffective assistance of counsel appeared in 23, and incentivized witness testimony in 30 (an incentivized witness is someone who testifies with the expectation of some reward or benefit from law enforcement officials).
There was no breakdown offered of how many of those were errors and how many involved misconduct. But Andy Shaw of the BGA has no sympathy either way…
“These aren’t garbage men; these are highly trained police officers and prosecutors who passed bar exams and took an oath on the Bible to do their jobs,” said Andy Shaw, executive director of the association. “But they didn’t.”
The study recommended several reforms, including the videotaping of interrogations related to all violent crimes, not just murders; an overhaul of error-prone lineup procedures; a ban on court testimony by jailhouse informants; and increased transparency in the review process for complaints of police abuse. Mr. Shaw said the recommended reforms were standard practice in other states.
In the two years since video gambling was legalized in Illinois, some 80 different jurisdictions in the state have “opted out” of the law by approving local ordinances banning the gambling devices in their communities — mostly in Chicago’s suburbs.
That leaves more than 1,100 cities, towns, villages and counties where video gambling operators are still welcome to set up shop — if the state Supreme Court ever clears the way by signing off on the constitutionality of the multi-pronged law that was intended to help pay for a state construction program.
Now there’s discussion of flip-flopping the law so that towns that want to allow video poker machines and the like will have to approve local ordinances specifically legalizing them, instead of the other way around. […]
It was Quinn who I’m told brought up the idea during a meeting this past Thursday with legislative leaders who were trying to convince him to sign the gambling bill
Quinn did mention the idea, but Rep. Lou Lang said today that he told the governor it was a “non-starter.”
Also, you may recall, “opt-out” was Quinn’s idea in the first place. Now he apparently wants to change that to “opt-in.”
* The Question: Should the video gaming law’s “opt-out” provision be changed to “opt-in”? Take the poll and then explain your answer in comments, please.
* There’s something you need to keep in mind when reading this AP report about the problems that will be created by pushing off $1.2 billion in Medicaid payments until after next fiscal year ends…
Illinois is on the verge of approving a Medicaid budget that could mean doctors and hospitals wait months to be paid and poor people have a harder time finding care while state government falls deeper into a financial hole.
The budget passed by lawmakers last month promises doctors and hospitals the same pay they get now. The same number of poor Illinoisans will be entitled to virtually the same services. But the amount of money set aside for Medicaid falls about $1.2 billion short of covering all those costs. […]
The payment delays would mean financial pain for anyone who treats the poor, experts said. More doctors and dentists might choose not to see patients who depend on Medicaid. Hospitals and nursing homes would face pressure to cut staff or delay improvements.
Howard Peters, executive vice president of policy and advocacy for the Illinois Hospital Association, told the house budgeting committee that his members favored a delay in payments over a cut in rates. “We know that extending the payment cycle is not desirable. It’s not desirable for you. It’s not desirable for our members. But it is a far better solution. A far better solution than taking an inadequate Medicaid payment and making it even more inadequate,” Peters said. “Given the choices that you may have before you, we would encourage you to think extending the payment cycle rather than cutting the rates across the board. Much greater harm is done by cutting the rates.” […]
Putting off Medicaid payments would allow the state to cut costs out of the Fiscal Year 2012 budget by pushing them into FY 2013. However some lawmakers have warned that delaying the payments along with a loss in federal dollars could mean trouble on the horizon for Medicaid budget in FY 2013. Chicago Democratic Rep. Sarah Feigenholtz, who chairs the House Human Services Appropriations Committee, said the overall Medicaid budget — which is spread out over several state agencies — is slated to lose $765 million in federal stimulus funding in FY 2012.
“In FY 13, when we come look at our Medicaid numbers, we’re all going to faint. We’re all going to faint,” she said.
It’s not guaranteed that Quinn will deal with the cuts by delaying payments. Spokeswoman Brie Callahan said the governor and aides are still studying the options. One of many possibilities under review would be to continue paying at the normal rate even if it means burning through all available money by March, she said. Then lawmakers might be forced to provide more money rather than see Medicaid services shudder to a halt.
Medicaid isn’t the only budget area that was underfunded. Schools took a $150 million cut even though the General State Aid formula was not changed. That’s just one of the things Senate President John Cullerton was referring to in his press release last week…
“There are still major structural deficiencies in the House budget that will become clear in the months ahead. I look forward to having the opportunity to address issues such as the underfunding of education and social service commitments.”
There are still plenty of places to cut the state budget. If you don’t believe us, ask the Illinois Policy Institute.
We don’t have enough information to unquestionably endorse all 10 actions outlined in the institute’s “Get Out the Veto Pen” report. We don’t know whether some of the suggested cuts would violate terms of contracts or create other problems.
How about picking up the phone and just, you know, asking around? Also, the IPI identified just $49 million in cuts, and the Pantagraph opposed the biggest one…
The biggest ticket on the Top 10 list is $23.8 million for tourism promotion.
Cutting out all spending on tourism promotion could do more harm than good. Tourism is a viable industry that brings in revenue and supports jobs in Illinois.
The head of the Illinois Policy Institute, which bills itself as a “nonpartisan research organization dedicated to supporting free market principles and liberty-based public policy initiatives,” is now running a political action committee.
Joining JOHN TILLMAN, CEO of the think tank, in the endeavor is DAN PROFT, listed as treasurer of the new Illinois Liberty PAC.
The address of the PAC on LaSalle Street in Chicago is the same as that of the policy institute, though Tillman said that’s just a convenience to get mail, and there will be a new address soon. […]
According to a 2009 report to the Internal Revenue Service, Tillman was paid more than $175,000 annually as CEO and chairman of the institute, which rails against what it considers wasteful government spending.
Those guys are just way too blatant. And, according to Bernie’s column, they still haven’t issued a retraction for the most bogus story of the year. The IPI claimed that Rep. Bob Rita was ineligible to serve in the House because he’d been convicted of a felony. Except, he was never convicted of a felony and felons who have completed their sentences are clearly not barred from serving in the General Assembly. They also more than implied that I was doing the bidding of the House Democrats because I pointed out their goofy errors. There’s been no public retraction on that one, either. They’ve asked for a private meeting, but I think I’ll wait for the apology first.
* There are two large and relevant worries about Gov. Pat Quinn handing out all these tax incentives lately to big corporations.
1) He’s not a great negotiator’ and
2) He’s negotiating from a position of weakness, considering the recent corporate tax hike and the well-known problems with Illinois’ business climate.
* And now it turns out that Motorola got a far sweeter deal than the public was told. The state would dole out $110 million over ten years to the company in exchange for keeping its corporate headquarters in the state and retaining 3,000 jobs. Turns out, that last little detail was part of what the governor calls an “oral agreement” with the corporation…
What was not disclosed at the time is that the agreement specifically requires Motorola Mobility to retain a workforce here of 2,500 workers. The company disclosed in the contract that it employs 3,290 people at its locations in Libertyville and Chicago, which therefore allows it to reduce the size of its workforce and still get the credits.
That detail was contained in the state’s contract with Motorola Mobility, one of 10 tax incentive contracts the state provided to the Chicago Tribune as a result of a Freedom of Information Act request. Motorola Mobility’s contract represents about half of the $217 million in tax credit deals the state has made this year. […]
“We have an oral agreement with them,” Quinn said in a telephone interview Friday. “They told us that they were going to maintain 3,000 employees in their site in Libertyville and we believe them.” […]
The contract also includes a clause that Motorola Mobility is not required to hire any workers to qualify for the incentives. But if it does, the company could keep 100 percent of the taxes the new employees would have paid the state.
No such clause exists in the other nine incentive packages finalized this year under the state’s cornerstone economic development program, based on a review by the Tribune.
Sears Holdings Corp., owner of the Sears and Kmart retail chains, is considering the [Washington DC] area as a place to relocate its corporate headquarters, according to two people familiar with the company’s plans.
The company is one of more than 100 in Illinois with tax breaks that are scheduled to expire and last month suggested that it would considering leaving. It has reportedly been considering several states including Georgia, New Jersey, North Carolina and Texas. […]
Two weeks ago the company began to inquire about possible sites in the Washington area, according to the sources, who spoke on the condition of anonymity because they were not authorized by the company to discuss its plans.
If the company moves from the Chicago area, where it was founded as Sears, Roebuck and Co. in 1893, it would mean a colossal relocation of jobs. At its current headquarters in the Chicago suburb Hoffman Estates, Sears occupies 2.4 million square feet and employs 6,200 people. The numbers dwarf those of other high-visibility relocations to the Washington region, such as Northrop Grumman, which will employ about 300 people at a 333,000-square-foot building in Falls Church.
Sears spokeswoman Kimberly Freely said the company would not discuss a possible relocation. “Speculation about whether Sears will remain in Hoffman Estates is not fair to our associates, particularly so early in this process,” Freely said in a statement.
* Other state-business news…
* Illinois senators differ on approach to privatization of public infrastructure - Republican Mark Kirk favors fewer restrictions on public-private partnerships, while Dick Durbin wants to guarantee a return on federal taxpayer investment
* Backlog of Cases Gives a Reprieve on Foreclosures: In New York State, it would take lenders 62 years at their current pace, the longest time frame in the nation, to repossess the 213,000 houses now in severe default or foreclosure, according to calculations by LPS Applied Analytics, a prominent real estate data firm. Clearing the pipeline in New Jersey, which like New York handles foreclosures through the courts, would take 49 years. In Florida, Massachusetts and Illinois, it would take a decade.
* United Airlines returning to normal after computer glitch snarled weekend travel
* Blue Cross profits surge: The parent of Blue Cross & Blue Shield of Illinois raked in $1.1 billion in profit last year, a doubling of 2009’s results that is likely to stoke the controversy over skyrocketing health insurance costs.
Nearly 2,000 state employees could be ejected from unions representing them and another 1,700 would be prevented from joining collective bargaining units under a bill that could be called in the Illinois Senate next week.
Tensions between Gov. Pat Quinn and his traditional labor allies have flared up over the legislation. The administration said it needs fewer employees in unions so it can effectively manage state government, but union officials say the bill is an attack on unions.
Senate Bill 1556, which passed the House 62-52 in the wee hours of the legislative session on May 31, will need a supermajority of 36 votes to clear the Senate and head to Quinn’s desk. Legislation considered by a chamber after May 31 needs the support of three-fifths of lawmakers in order to become law immediately.
The Senate is returning on Wednesday to consider a construction spending bill. A spokesman for Senate President John Cullerton, D-Chicago, said the union measure will be discussed by Senate Democrats next week.
The Quinn Administration is alleging that these employees are not committed to their jobs, simply because they belong to a union. This is an insult to every union member in the state of Illinois who gets up every day, goes to work, and gives their very best to the jobs that they do.
Without a shred of evidence, Quinn’s lobbyists are spreading the lie that employees in certain higher level titles cannot be counted on to perform their jobs with diligence and integrity now that they are part of the union. […]
If SB 1556 passes, thousands of state employees could be stripped of union representation. Call your senator today to urge him or her to oppose this assault on basic collective bargaining rights.
Hundreds of thousands of public employees to our north in Wisconsin have had their bargaining rights stripped from them by their Governor. Let’s not let Governor Quinn and his legislative allies get away with it here in Illinois.
The bill has little support among Senate Democrats, however.
…Adding… I forgot to mention that the legislation will now require a three-fifths majority to pass. Unless something drastically changes in the Senate Democratic caucus, that ain’t gonna happen. So, Quinn will get his vote and the unions will likely win.
* The media pretty much ignored the House’s passage of the bill in late May, but as subscribers already know, the Illinois AFL-CIO released a statement shortly after the session ended which was not at all complimentary of the governor...
Governor Quinn has recently taken a more active leadership role in the National Democratic Governors’ Association, particularly in fundraising efforts. He has, as recently as April 2011, chided Republican Governors for stripping public employees’ collective bargaining rights around the country. Behind the scenes, national labor leaders, including National AFL-CIO President Trumka, called Governor Quinn to request further negotiations on this issue. Quinn continued to pursue SB 1556 despite the calls. It remains unclear whether Governor Quinn will be an effective fundraiser for the Democratic Governors’ Association following his pursuit of this anti-worker legislation
Richard Trumka doesn’t make calls to governors on bills he doesn’t care about. That statement was definitely a shot across Quinn’s bow, but he has ignored it. The DGA may pay the price.
Senators are expected to approve pay cuts for lawmakers that include forgoing a yearly cost-of-living increase and requiring them to take 12 unpaid days off in the next 12 months. It’s a continuation of a cost-cutting move they put in place last year and would result in a nearly 5 percent pay reduction for lawmakers. Starting salary for legislators is $67,000. The furlough days alone will save taxpayers about $565,000. […]
The Senate also is expected to act on a handful of recent Quinn appointments, including naming former Chicago mayoral candidate Gery Chico to head the Illinois State Board of Education.
Otherwise, lawmakers will consider a number of minor issues, including language to clean up drafting errors in a bill that allows the state to borrow millions of dollars in order to capture an increased payment match from the federal government. In all, it’s expected lawmakers will be in town for just 24 hours.
“I don’t expect any fireworks,” said Rep. Barbara Flynn Currie, D-Chicago.
There actually may be some fireworks. Democrats expect that Jay Rowell’s nomination to run the Illinois Department of Employment Security will be loudly opposed by the Senate Republicans. Rowell ran the Senate Democrats’ campaigns last year.
Gov. Pat Quinn was willing to offer up only the tiniest of face-saving possibilities to the Illinois Senate Democrats last week: Drop your budget demands, and we’ll talk about them this fall, but do it soon or bad things will happen.
On the last day of the spring legislative session, the Senate Democrats tried to add about $430 million in extra state program spending to a bill that was supposed to only pay for construction projects. They tacked on the spending to force the House to bow to their demands. The idea was that the House would want to protect the construction projects so much that they’d be willing to accept the Senate’s increased budget spending.
It didn’t work.
The House Republicans refused to go along, and Democratic House Speaker Michael Madigan wouldn’t agree either because he’d made a budget pact with the Republicans months earlier. No spending would be approved without both parties first agreeing to it, and the Republicans used their veto power.
Even the Senate Republicans made it crystal clear that they were firmly opposed to anything other than a “clean” capital bill with no additional budget spending. The Senate Republicans have long made capital spending a top priority. They even broke ranks with Madigan to side with then-Gov. Rod Blagojevich over passing a capital bill a few years ago.
But Senate GOP Leader Christine Radogno has been the greatest advocate for keeping contruction spending completely separate from the budget. Two years ago, when Quinn first agreed to that budget/capital separation and then attempted to combine the two anyway, Speaker Madigan publicly warned that Quinn would run into a “buzz saw” of opposition from Radogno. The governor eventually backed off.
Many road builders and the construction unions were also totally opposed to any sort of deal that mixed capital projects and the budget. Their opposition empowered Radogno.
Quinn, who publicly sympathized for months with the Senate Democrats’ desire to spend more money, couldn’t even bring himself to jump on board the final Senate Democratic demand that the construction program be approved for just six months instead of twelve so that a new budget deal could be crafted in January.
The construction projects — including roads, bridges, schools and a host of other things — are just too important to the economy to play games with, the governor reportedly told all four legislative leaders during a meeting last week. He also warned that construction projects would begin to shut down within a few days if a decision wasn’t made quickly.
Quinn’s attempt to tie the capital and budget issues together two years caused him big problems during last year’s campaign. Unions representing the construction industry were so upset at the governor’s games that they refused to endorse him until after Republican candidate Bill Brady moved way too far to the right (Brady eventually backed a “right to work” plank). The governor apparently learned his lesson.
With Quinn on the other side, the Senate Democratic members who pushed for that extra spending were completely surrounded by hostile forces. Failure looked imminent.
Many Senate Democrats who earlier disagreed with tying the extra spending to the construction projects had laid low for weeks. The last two caucus meetings about this topic had been exceptionally brutal. So, they were naturally fearful of being subjected once again to the same way-over-the-top personal attacks that were levied at them during those end-of-session private meetings, which wound up forcing everybody down what turned out to be a dead-end street.
The Senate Democrats met together via teleconference the day after the governor sat down with the four legislative leaders. Without that face-to-face pressure of physically meeting together in Senate President John Cullerton’s Statehouse office, the members who disagreed with the caucus’ course were emboldened to speak out. Democrats who quietly took abuse in previous meetings jumped in early to say enough was enough and the battle needed to end.
The meeting lasted about an hour, and in the end they decided to back off. Quinn’s decision to go against the Senate Democrats turned out to be the deciding factor. When you have a guy who’s pushed for more spending all year suddenly decide to not push for more spending, it quickly became obvious that their attempt to spend more money had become a losing cause.
* Attorney General Lisa Madigan sent out numerous press releases blasting ComEd’s bill that would’ve raised rates by about $3 a month. She was involved in several other legislative negotiations as well, including a bill to relax the new FOIA law a bit. But she said not one public word about workers’ compensation reform, until now, long after the bill has passed…
Illinois Attorney General Lisa Madigan says a recently approved legislative overhaul of the state’s workers’ compensation program contains positive factors but misses on a key issue: raising the standard necessary to prove that taxpayer money should pay for an injury.
“To say we’ve reformed the workers’ comp system is a gross overstatement,” Madigan said during an interview with the News-Democrat.
Madigan, a Democrat, said: “Because the causation standard is fairly low, the work accident doesn’t need to be the sole cause, or even a primary cause of the employee’s injury.” […]
To defend against cases where the employee’s duties are not the primary cause of an injury, Madigan said her lawyers must “present independent medical testimony stating that it’s not possible that the work even slightly aggravated a pre-existing condition. That’s very difficult to do, if not impossible, in many of these cases.”
* I find it hard to disagree with the Belleville News-Democrat on this one…
Madigan frequently uses the bully pulpit to advocate for legislative and other changes, everything from cracking down on meth dealers to opening up public records.
This spring she championed bills to strengthen the prevailing wage, protect consumers when a car dealership shuts down, crack down on meth repeat offenders and others. She vigorously opposed a bill to allow automatic rate hikes for public utilities. She called for Apple and Google to address privacy issues and Pabst Brewery to lessen the alcohol level in its new drink Blast.
But not even one press release on workers’ comp reform, which she said is a top issue for Illinois. […]
It’s disappointing that Madigan didn’t lead on workers’ comp reform this spring. Let’s hope she finds her voice in the next legislative session.
Agreed. If she felt this strongly about workers’ comp reform, she most definitely should’ve said something long ago. The General Assembly has been actively working on a bill since last fall. It doesn’t make sense that she would hold her tongue so long. Perhaps she didn’t want to offend her allies in organized labor and the trial bar. Too bad. She should’ve stepped up to the plate months ago.
*** UPDATE *** An e-mail from the Senate Republicans…
Leader Radogno met with AG Madigan on Feb. 23 – and ASKED her to participate in the workers’ compensation reform discussion. She specifically sought her input on the issue of causation. Nothing.
* As you know, I try to stay away from national issues as much as possible here. But, congressional campaigns qualify as state politics, so I do posts on them when appropriate.
The problem, of course, is that national politics brings out the crazy in people. And national political posts bring crazy people to the blog. We had some commenter problems earlier this week with a congressional post, and I just deleted a couple of comments from a rather strange person in today’s post.
* The Question: What advice would regular commenters/readers give to newbie commenters here?
* This is obviously a significant boost for Krishnamoorthi over Tammy Duckworth…
Democratic congressional hopeful Raja Krishmanoorthi just added a big - and often elusive - name to his list of supporters.
He says that former 8th District Congresswoman Melissa Bean, of Barrington, plans to release a statement supporting the Hoffman Estates lawyer and laboratory president. We got first dibs.
“Raja’s priorities are well aligned with the families and businesses of Illinois’ 8th Congressional District. He and his wife have been raising their two sons in Hoffman Estates, so they know the challenges that families here are facing and are invested personally in the success of suburban public schools. As President of a small business, he also recognizes that greater innovation is critical to our economic strength. His candidacy brings extensive public sector experience, an impressive academic background, and a Midwest work ethic to the race,” the statement reads.
Krishnamoorthi is a perpetual motion machine. He never stopped working even after he lost that close statewide primary to David Miller last year. He called me so many times that I started getting irritated. Like I cared about a guy who lost a primary. But I knew he’d be back, I just didn’t know where. Duckworth is a good candidate, but she has her work cut out for her here.
A former state representative from Madison County said he may challenge U.S. Rep. Tim Johnson, R-Urbana, in the new 13th Congressional District.
Jay Hoffman of Collinsville is the second Democrat to express interest in the race. David Gill, a physician from Bloomington, said Wednesday that he also may seek the Democratic nomination in the newly redrawn congressional district that runs from Urbana through 14 central and southwestern Illinois counties to the Metro East suburbs. It also includes Decatur, Springfield and most of Bloomington-Normal.
“The district is such,” Hoffman said Thursday, “that I think the issues I’ve always stood for — job creation, ensuring that working families have a voice — would be a good fit for me.
“But I’m also looking at other options, including returning to the Illinois General Assembly.”
Hoffman said “a lot of people,” including officials with the Democratic Congressional Campaign Committee, have contacted him about the 13th District seat.
Hoffman told me this week that he’d probably decide by the middle of July whether to make the congressional bid. There are those who think that Johnson won’t run again if he draws a tough Democratic challenger. We’ll see. Hoffman, of course, has his downsides. He was Rod Blagojevich’s House floor leader back in the day. But he played no role in the two trials, so that helps his cause.
* And Springfield fixture Gene Callahan’s daughter appears to be gearing up hard for the 17th District seat…
East Moline Alderwoman Cheri Bustos is moving toward a Democratic bid for the 17th Congressional District nomination.
Bustos said Wednesday she will resign her position as vice president of communications for Iowa Health System at the end of the month and tentatively plans to make an announcement about a candidacy on June 30. […]
Bustos, a former Quad-City Times reporter, joined Trinity about 10 years ago and went to Iowa Health System in 2008. She was elected as East Moline’s 4th ward alderwoman in 2007. […]
Already, state Sen. Dave Koehler, D-Peoria, has announced his candidacy and made his first visit as a candidate to the Quad-Cities on Tuesday. Former Rock Island Mayor Mark Schwiebert, former state Rep. Mike Boland of East Moline and Porter McNeil of Moline have said they might make bids, too. McNeil was the spokesman for former state comptroller Dan Hynes.
* GOP Civil War Erupts: Tea Party Freshman Rips Chamber CEO Tom Donahue: Rep. Joe Walsh (R-IL) appeared on Fox News, where he tore into Donohue for threatening House Republicans: I found Tom Donahue’s comments outrageous, tone-deaf, totally establishment, and doesn’t understand at all where we’re at right now…If Tom Donahue is more comfortable having Nancy Pelosi as Speaker next year because he wants to get rid of all of us tea party, fiscally-conservative freshman who came here on a mission to save our kids from the debt we’re placing on their backs, then fine. He can have Nancy Pelosi as his Speaker.
* Some deficit hawks have major debts: In other cases, freshman lawmakers had been living on more modest means. Rep. Joe Walsh, R-Ill., who squeaked to victory with tea party backing, reported that his assets might be as low as $3,004.
* Prominent Congressmen Dumped BP Stock After Oil Spill
* House Retirement Watch Begins: Although both GOP Reps. Judy Biggert (Ill.) and Joe Barton (Texas) have signaled they plan to run for re-election, the proposed maps in their respective states include lots of changes to the territory they represent. Democrats are keeping tabs on both.
* The war of statistics over Chicago teacher pay raises has begun in earnest. The administration points to these numbers…
* Even without the four percent previously-negotiated raises, 75 percent of all teachers will get automatic raises of between 1 percent and 5 percent for adding another year of experience or for increasing their credentials.
* Based on base salary alone, the minimum CPS starting teachers salary of $50,577 is No. 1 among the nation’s 10 largest cities. Its maximum salary, requiring a master’s degree, of $87,673 is No. 2, behind New York City. Its average salary also is among the top one or two, Human Capital Officer Alicia Winckler told board members.
Lewis called some of Winckler’s numbers “ridiculous’’ and claimed the added pay for another year of experience or added credentials amount to. at most, $35 to $50 more in take home pay every two weeks over 26 pay periods. “People tell me, `Oh, I thought I would get a raise and it’s only 20 bucks,’” Lewis said.
She also noted that across the state, CPS teacher pay is not that competitive. Lewis cited a May 31 Chicago Sun-Times report that found that CPS high school teachers average total compensation, with benefits, ranks No. 71 in the state. CPS elementary teachers came in No. 38.
* Private sector worker pay raises, from Aon Hewitt…
Average raise last year for Chicago workers: 2.6%
Average raise last year for U.S. workers: 2.4%
Average raise for Chicago workers this year: 2.8%*
Average raise for U.S. workers this year: 2.9%*
CPS teachers expected raise this year: 4% (rejected by school board)
The Board of Education simply has no more rabbits to pull from its budget hat.
We say that cautiously, knowing that CPS said much the same last year as it tried to persuade teachers to forgo their raise. And then, voila, CPS managed to fill its deficit without increasing class size or scaling back programs significantly.
But the big fixes available in the Great Recession years — including $364 million in extra federal dollars, $160 million in bond restructuring and $400 million in delayed pension payments — are gone.
The union has already notified the board that it wants to reopen the section of the contract regarding salaries, something it has the right to do. That could lead to compromise solutions or to reopening the entire agreement for negotiations. […]
If the board and union reopen negotiations and those talks stall, the new state legislation dictates that the two enter a fact-finding process with a third-party arbitrator. Then 75 percent of the voting union membership would be required to authorize a strike.
The angrier teachers become, the easier it’s gonna be to reach that 75 percent threshold. And comments like these probably aren’t helping…
Chicago public school students “got the shaft” under a union contract that ensured labor peace and guaranteed teachers annual 4 percent raises, Mayor Rahm Emanuel said Thursday.
A strike may be looming if Chicago teachers’ salaries aren’t increased, but it reportedly is not deterring Chicago Teachers Union chief Karen Lewis from going on a planned vacation. Hawaii?
To wit: Liz Brown, a CTU spokeswoman tells Sneed: “She [Lewis] has a private life and all of us need to take a vacation some time.” Although it was unclear when Lewis was actually leaving on vacation, word is she had scheduled it for this weekend.
Buckshot: Sneed hears Lewis sent new schools CEO Jean-Claude Brizard an ultimatum demanding negotiations on teacher salaries Wednesday night. “If Brizard wanted to meet with her for a cup of coffee immediately, it might be difficult if she’s in Hawaii,” said a source.
In 1966, a starting salary of $5,500 was the equivalent of $38,358 in 2011 dollars. By 1972, the starting salary of $9,570 was $51,739 in 2011 dollars—the highest of the nation’s ten largest cities. His successor, Robert Healey, asked for a ten percent raise the next year, which the board’s chief negotiator called “insane”; they settled for a presumably less insane 6.3 percent raise to $10,000, or $50,892. How did a 6.3 percent increase turn into a drop in current dollars? That’s what happens when you adjust to the wild inflation of the 1970s. Accordingly, the CTU came back the next year and asked for a 12 percent raise to compensate. […]
By 1976, CPS faced a budget deficit of $70.8 million ($281 million in 2001 dollars); teachers were then making $11,000 ($43,683) to $22,600 ($89,750), and the school board passed an 8.5 percent salary cut.
1978: teachers were making $11,900 ($41,243) to $24,800 ($85,950), the latter for a teacher with a doctorate and 15 years of experience. […]
1985: the minimum salary was $15,471 ($33,647) for a teacher with a bachelor’s degree. The maximum salary, for a teacher with a doctorate and 15 years experience, was $32,883 ($71,515). The average was $26,296 ($57,189). […]
1993: the minimum was $27,241 ($42,599); the maximum was $48,467 ($75,790); the article made a point to note that the starting salary for CPS was relatively high, while the maximum salary was relatively low. In other words, the pay range for Chicago Public Schools, compared to nearby regional districts, was narrow.
2000: the minimum was $35,000 ($49,928); the average was $48,879 ($64,140).
2003: the minimum salary was $34,538 ($42,415); the maximum was $61,451 ($75,466).
Friday, Jun 17, 2011 - Posted by Advertising Department
[The following is a paid advertisement.]
How About Illinois?
Illinois lawmakers aren’t the only policymakers talking about benefits of Smart Grid deployment. A new White House report, A Policy Framework for the 21st Century Grid, says the future of clean energy and its potential for economic development and jobs relies on a smart grid. We agree.
The White House report talks about building a “cost-effective smart grid,” “empowering consumers,” “facilitating a clean energy economy,” and “unlocking the potential for innovation.” Sound familiar? These are the same concepts embodied in Senate Bill 1652, the Energy Infrastructure Modernization Act.
SB 1652 seeks to strengthen our economy and create 2,000 jobs by investing an estimated $3 billion in a modern grid — while also strengthening regulatory oversight, accountability by utilities and giving consumers new tools to reduce their own energy usage and costs.
So, as the national conversation grows about the benefits of a smart grid on our economy, the environment, our homes and pocketbooks, Illinois is poised to become a leader rather than a follower. SB 1652 can help us deliver reliable power, bolster our economy and put Illinois at the forefront of innovation.
A $400,000 windfall is expected to allow the city to add a pair of playgrounds and a concession area to the Family Sports Park.
“The money is for a grant application that we filed a year and a half ago,” Parks and Recreation Department Director Mary Jeanne Hutchison said. “We just learned that we’re supposed to get it. But we’re trying not to get too excited because we’re dealing with the state of Illinois.”
Hutchison said the state’s budget woes have caused money for non-essential projects to dry up in many cases. She wasn’t optimistic about getting the grant. And she said she won’t rest easy about the funds until the check arrives in the city’s bank account.
John Micheli of Dalzell is a retired state employee and the state had given him a choice of health care options: Sign with a costly preferred plan or with a discounted HMO.
The savings should have made this an easy choice, but there was a problem. He and his wife Linda couldn’t find a single doctor in La Salle County signed up with the HMO. The state had, effectively, offered him no choice at all.
To make matters worse, Micheli’s wife Linda went to Ottawa on Wednesday for a scheduled meeting with Central Management Services to get some answers. She arrived, John Micheli said, to find the doors “locked tighter than a drum.” Nobody showed.
“I’m disgusted,” John Micheli said, adding sarcastically, “It’s Illinois government at its best.”
In short, back in April the state dropped insurance options offered beginning July 1 by Health Alliance and Humana, and added HMO options offered by Blue Cross Blue Shield of Illinois under the argument that the changeover could save as much as $100 million a year. But those moves were challenged both legally, by the dropped insurers, and legislatively, by lawmakers upset by both the lack of concrete answers offered by Gov. Pat Quinn’s administration and the dearth of choices available in some downstate communities.
Eventually, the state had to extend the sign-up deadlines, first through Friday, and then through Monday, to help people work through their confusion.
The matter got more complex when a state judge ordered some “open-access” plans dropped last week.
“They couldn’t have messed this up more if they’d stayed up nights trying,” said state Rep. David Leitch, R-Peoria. “What they’re putting all these people through is just ridiculous. . . . A lot of elderly and sick people are already in turmoil and already have a lot of things to be worrying about.”
From more than 100 jurors questioned, 11 women and just one man are tackling 20 counts remaining against Blagojevich, charged with fraud, extortion and corruption.
Is that a good thing for the former governor?
Yes, according to a lawyer involved in Blagojevich’s first trial.
“I told Shelly [Sorosky, defense attorney], ‘Knock every man off,’” said Michael Ettinger, the former attorney for Robert Blagojevich, Rod’s brother, campaign fund manager and codefendant before prosecutors dropped charges against him last year. “If I was picking the jury, I’d have excused every man I could.”
Illinois took one more small step Thursday in its Rod Blagojevich detox program.
From now on, politicians of the Blagojevich ilk can no longer use state dollars to plaster their names on state signs in a thinly disguised attempt to boost their political fortunes.
While the dispute over civil unions and foster care languishes between downstate Catholic Charities agencies and the state of Illinois, a child welfare agency based in Ottawa has agreed to take all of the foster care cases and hire all of the caseworkers and staff once handled by Catholic Charities in Rockford.
Illinois Department of Children and Family Services will transfer about 300 cases to Youth Services Bureau of Illinois Valley. […]
“We welcome that sort of effort by social work professionals to help children,” said Anthony Riordan, chief operating officer of Catholic Charities of the Diocese of Peoria.
Jurors at former Illinois Gov. Rod Blagojevich’s corruption retrial have finished their fifth day of deliberations without a verdict.
The jurors headed home Thursday, hours after they sent a note to the judge. A court official at the federal court in Chicago says the jurors will resume on Monday.
Friday is my wife’s birthday, so posting will be light.
“The state’s construction program should continue uninterrupted. The Senate intends to return to the Capitol on Wednesday to fully fund the construction program for the full 12-month period.
There are still major structural deficiencies in the House budget that will become clear in the months ahead. I look forward to having the opportunity to address issues such as the underfunding of education and social service commitments.”
The Senate is scheduled to return to regular session at noon on Wednesday, June 22.
Translation: The Senate Democrats have backed off their attempt to attach budgetary add-ons to the capital/road bill. The drama appears to be over. Subscribers can learn lots more by clicking here.
…Adding… The House Speaker has already directed his members to return next Wednesday and his spokesman said that nothing has changed so far.
…Adding More… The decision couldn’t have come too soon. Illinois’ unemployment rate rose for the first time in 15 months…
Illinois employers added 8,200 new jobs in May but the state’s unemployment rate inched up to 8.9 percent from 8.7 percent in April as more 9,800 people joined the ranks of job seekers, the Illinois Department of Employment Security reported Thursday. […]
Since the recovery began, Illinois has experienced 1.9 percent job growth versus 1.4 percent nationally. But the May statistics indicate that while the state continues to add new jobs, the rate of growth is slowing. The three-month moving average of monthly job additions slipped to 6,600 in May from 15,400 in March. The agency also revised April’s reported increase of 9,900 new jobs down to 9,100.
That could help explain the uptick in the state’s unemployment rate, which derives from a separate survey. But an agency spokesman said the increase may also owe to other seasonal and cyclical factors and wasn’t entirely unexpected.
He said May tends to produce a surge in the number of people looking for jobs because students and workers whose jobs are tied to the school year begin to enter the workforce. Also, at this point in the economic cycle people who lost their jobs during the recession and became too discouraged to look for a new one may be reentering the market, which increases the percentage of unemployed, but may actually reflect increased optimism.
…Adding still more… From the governor’s office…
In a decision that is critical to Illinois’ continued economic recovery, the four legislative caucuses have agreed to the Governor’s proposal to pass a 12-month capital appropriations bill next week, and in the fall discuss reallocation of funding within the $33.2 billion state budget based on the priorities of the Senate Democrats.
This agreement will ensure that the state’s biggest jobs program continues, creating thousands of jobs building roads and repairing bridges throughout our state, and boosting our economic recovery.
* The media kinda freaked out a little today when Rod Blagojevich trial attorneys were called back to the federal courthouse. Turns out, the jury had a question…
In a written note to U.S. District Judge James Zagel, jurors said they wanted clarification on a paragraph of page 28 of their legal instructions that spell out four elements needed to prove wire fraud.
In the third of those four elements, the government must prove beyond a reasonable doubt that “the scheme to defraud involved a materially false and fraudulent pretense, representation, promise or concealment.” […]
The word “materiality” is defined in the instructions, leading the judge to speculate the jury might want more information on the part of the instruction that includes the terms “pretense, representation, promise or concealment.”
Zagel said the lawyers may have to do some legal research on the issue before answering the jury’s question.
There are 10 counts of wire fraud and they are the first 10 of the indictment. Nine relate to the senate seat charges, and one relates to the alleged shakedown of Children’s Memorial Hospital.
Attorneys and the judge said they will tell jurors to read further into the jury instructions, as there is some clarification there, and said they will ask the jury to be more specific about where their confusion lies.
There was no indication early Thursday afternoon that the jury wanted to meet Friday, which could indicate they aren’t very close to a verdict.
Counts 1 through 10 of the indictment charge the defendant with wire fraud.
To sustain the charge of wire fraud, as charged in Counts 1 through 10, the government must prove the following propositions beyond a reasonable doubt: First, that the defendant knowingly devised or participated in a scheme to defraud the public of its right to the honest services of Rod Blagojevich or John Harris by demanding, soliciting, seeking, asking for, or agreeing to accept, a bribe in the manner described in the particular Count you are considering;
Second, that the defendant did so with the intent to defraud;
Third, that the scheme to defraud involved a materially false and fraudulent pretense, representation, promise, or concealment; and
Fourth, that for the purpose of carrying out the scheme or attempting to do so, the defendant used or caused the use of interstate wire communications to take place in the manner charged in the particular Count you are considering.
If you find from your consideration of all the evidence that each of these propositions has been proved beyond a reasonable doubt, you should find the defendant guilty of the particular count you are considering. If, on the other hand, you find from your consideration of all the evidence that any of these propositions has not been proved beyond a reasonable doubt, you should find the defendant not guilty of the particular count you are considering.
Gov. Pat Quinn today signed a bill into law preventing state officials from putting their name or likeness on taxpayer funded signs.
The measure was a response to Gov. Rod Blagojevich’s decision years ago to plaster his name on nearly three dozen signs on the Illinois Tollway at what Quinn said was a cost of almost $500,000.
Lawmakers tried twice before to pass such a ban but failed. State law already banned such politician self-promotion in public service announcements and state-funded ads touting programs.
“Government belongs to the people,” said Governor Quinn. “When state government gets the word out about a program or service that will help people, it should not be an excuse for officials to promote themselves.”
Senate Bill 1344 adds billboards and electronic billboards to an existing law that prohibits state elected officials from using their names, likenesses and voices in television, radio, newspaper and magazine advertisements purchased as part of state program awareness efforts.
Under current law, state officials are also barred from using their names and likenesses on bumper stickers, buttons, magnets and other promotional items.
The legislation was sponsored by State Senator Matt Murphy (R-Palatine) and State Representative Chris Nybo (R-Elmhurst). The bill overwhelmingly passed the General Assembly with bipartisan support. It takes effect immediately.
“This is a common sense measure that’s long overdue,” said Representative Nybo. “Taxpayers deserve to have their hard-earned money treated more responsibly by their representatives who are elected to serve the people, not their own personal interests.”
Today’s event took place at the Cermak Toll Plaza on the Tri-State Tollway, which previously displayed the name of Illinois’ former Governor.
You also said the tax increase is temporarily. Can you categorically say taxes come down in four years?
Quinn’s response…
It’s a temporary tax in order to pay off bills that had to be paid off. The fiscally responsible thing to do is pay your bills. I think that’s the only honest way to go. In Illinois, I believe honesty is the only policy. As governor, we’ve been able to show that.
He should’ve started by being honest about the tax hike, which was designed to (mostly) erase the structural deficit and fund a massive, longterm bond plan to pay off overdue bills.
* Yesterday, CME Group Executive Chairman Terry Duffy was on CNBC and was asked about Gov. Quinn’s promise that the tax hike would be temporary…
“I’ve never seen too many taxes that are temporary,” Duffy commented Wednesday.
Illinois has increased its income tax rate just three times in 40 years. One increase was allowed to expire, one was made permanent after a Republican actively campaigned for governor on behalf of making it permanent while his Democratic opponent was against permanency, and now this one.
* The Question: Do you think the General Assembly will pass a bill in four years that will be signed into law making the current income tax increase permanent? Or, will the tax increase sunset, either because the permanency legislation fails or because of a conscious decision to let it go away? Take the poll and then explain your answer in comments.
* According to the AP, 107 companies will lose state tax breaks worth (on paper) over $100 million in the next three years. The tax breaks are handed out over time, so this isn’t a one-time budget hit. And, sometimes, companies don’t even use their credits because they haven’t followed through on their promises for one reason or another...
The companies that made deals that expire between 2012 and 2014 promised to keep more than 12,000 jobs in Illinois and create another more than 10,000 positions. In some cases, according to state records, those companies haven’t used the tax credits. Whitley and others said the most likely reasons are that the company didn’t add jobs as intended, or the company didn’t have profits to use the tax credit against.
Deals that expire next year include $34.7 million in tax breaks that J.P. Morgan Chase used after agreeing to keep 2,247 jobs at locations in Chicago, Elgin and Elk Grove Village, and $6.72 million in breaks provided to the Robert Bosch Tool Corp. after that company agreed not to move 444 jobs from a facility in Mount Prospect.
Deere & Company has used $7.28 million in tax credits as part of a deal expiring in 2013 that requires the company to keep 350 jobs in place and create 30 more at facilities in Moline, East Moline and Silvis.
In 2014, a deal with audio electronic maker Shure Inc. is set to expire. The company has cashed in $7.28 million in tax credits after agreeing to keep its headquarters and 570 jobs in state, in Niles, rather than look elsewhere. Also that year, a state deal with Abbot Laboratories to keep 260 jobs in Des Plaines and create another 50 expires.
MWSP points to a 49 percent surge in profit for Illinois-based companies during 2010, adding that the top five publicly traded corporations in the state made $19.7 billion in profit last year. That profit should translate to more revenue for the state, MWSP says, but that’s not likely.
The group points to a depreciation tax break for corporations that cost the state $600 million last year, saying Illinois needs to decouple from similar federal tax breaks that cost the state money.
“Large corporations in Illinois are raking in massive profits while the state struggles to make ends meet,” MWSP says, explaining that a temporary federal tax break for businesses in 2012 means companies can depreciate capital expenditures all at once instead of parceling them out over time. That will cost Illinois an estimated $600 million because the state’s corporate income tax is based on how much federal tax a corporation pays.
MWSP also claims that two large national banks operating in Illinois have greatly reduced their loans to small businesses, hampering business development. From 2007 to 2010, Bank of America reduced small business loans in Illinois by 97 percent, while JP Morgan Chase reduced the same loans by 70 percent, according to data from the U.S. Small Business Administration, which tracks the loans. MWSP says that decline has had “a dramatic effect on unemployment in Illinois,” citing the loss of 371,000 jobs in Illinois since 2008.
* MWSP’s state legislative agenda didn’t go so well this spring…
House Bill 1109, which would allow municipal governments to put liens on vacant properties owned by banks for failure to maintain the properties, died in committee. House Bill 1810 would have allowed the state to charge banks a $500 fee for each home foreclosure to go toward foreclosure counseling, but that bill also died in committee. The General Assembly did create a Foreclosure Prevention Program Fund to be supported by revenues from a major gambling expansion.
Thursday, Jun 16, 2011 - Posted by Advertising Department
[The following is a paid advertisement.]
How About Illinois?
Illinois lawmakers aren’t the only policymakers talking about benefits of Smart Grid deployment. A new White House report, A Policy Framework for the 21st Century Grid, says the future of clean energy and its potential for economic development and jobs relies on a smart grid. We agree.
The White House report talks about building a “cost-effective smart grid,” “empowering consumers,” “facilitating a clean energy economy,” and “unlocking the potential for innovation.” Sound familiar? These are the same concepts embodied in Senate Bill 1652, the Energy Infrastructure Modernization Act.
SB 1652 seeks to strengthen our economy and create 2,000 jobs by investing an estimated $3 billion in a modern grid — while also strengthening regulatory oversight, accountability by utilities and giving consumers new tools to reduce their own energy usage and costs.
So, as the national conversation grows about the benefits of a smart grid on our economy, the environment, our homes and pocketbooks, Illinois is poised to become a leader rather than a follower. SB 1652 can help us deliver reliable power, bolster our economy and put Illinois at the forefront of innovation.
* We talked about this yesterday, but it’s worth going over again…
The state’s top gambling regulator blasted the large gambling expansion lawmakers approved last month, saying it was not well thought out and would erode oversight.
Illinois Gaming Board Chairman Aaron Jaffe criticized the way the proposal made its way through the General Assembly in the waning days of session, saying the bill is too big and too technical to have been approved in just two days. He also questioned efforts since then to re-shape the bill to avoid a possible veto from Gov. Pat Quinn, saying those conversations should have taken place before a vote, not after.
“You can’t make perfume out of a pile of garbage,” Jaffe said.
“I realize that the state is in financial trouble, if gaming is the way that our leaders want to go, so be it. But they should do it in a fashion other than the way they did this particular bill,” he added. “It’s chock-full of items, that in my opinion, would never pass on their own.”
* If you listen to the raw audio of the meeting, you’ll hear Chairman Jaffe say some other things that mostly went unreported.
For instance, Jaffe criticized the General Assembly on several points, and offered up some suggestions, including “Make sure that other legitimate businesses are not cannibalized.”
Jaffe didn’t specify whether these “legitimate businesses” were other casinos or whether they were restaurants, nightclubs, etc. near the new casinos. Either way, that sentiment does seem outside his purview.
* “I would like to know how these areas were selected and why they have come to life at this particular time,” Jaffe said about the bill’s site-specific language, adding “This board spent months finding the proper place for the tenth license.”
He’s right about that, but the General Assembly has picked sites in the past. They chose Rosemont, but the gaming board declined to site a casino there, claiming mob influence. Instead, they put the casino next door in Des Plaines, even though an internal report I obtained years ago warned that there would be little difference in problems by placing a casino in that town. By the way, the process to open that casino has taken more than a decade, not just months.
But the General Assembly also designated East St. Louis as a riverboat host many years ago. The chairman may have forgotten that.
And I’m not sure whether the chairman reads the newspapers, but Rockford, Danville the south suburbs (not site specific) and Park City have all been in the running for a casino for years, if not decades. This was no evil, underhanded ploy.
* “This bill was passed in two days,” Jaffe said, adding “They don’t follow parliamentary procedures as they should.”
Actually, the bill took about 20 years to pass. You run the bill when you have the votes, and that’s what they did. And, as far as I can tell, parliamentary procedures were followed.
* The chairman also seemed to be confused about the governor’s amendatory veto powers. He said the AV is only supposed to be used for “tweaks,” and that if they do a major AV, “I think we can only be assured that there will be another court case.”
First of all, the governor’s AV powers are extraordinary in this state. Secondly, the idea is not to do an AV, but to pass a trailer bill.
* Jaffe also said the General Assembly should make sure to “minimize social ills.” That’s not a bad idea at all, but I’m not sure how this is Jaffe’s business.
* That’s not to say that Chairman Jaffe didn’t make some good points. For instance…
Jaffe said the staff of the Gaming Board, which now numbers 210 people, would have to “double in size” in order to do an adequate job of policing the state’s expansive gambling industry, and no funding exists to permit that possibility.
He also said the drafters of the bill crafted it in a way that would lead to inevitable turf battles between the Gaming Board, the Illinois Racing Board and new boards that would be created to oversee casino gambling in Chicago and at the Illinois State Fairgrounds.
The board should have more oversight funds. And the complicated new board structure may, indeed, cause some problems, although some believe he’s just trying to protect his own turf.
“I have grave concerns about [Jaffe’s] comments. It’s clear he’s gone way beyond the borders of his job as a regulator,” [sponsoring Rep. Lou Lang] said Wednesday. “If he wants to go back and be a legislator, he ought to run for the Legislature. If he wants to postulate on the constitutionality of a bill, he ought to go back to being a judge. But he’s neither of those things.”
Jaffe does have a duty to blow the whistle when he thinks he sees something untoward. Not everything is his business, so he should confine it to his role. If he’d just made his points without going into all the extraneous sideshow, I’d have an easier time backing him up. But that wouldn’t have generated nearly as much media coverage. The guy knows what he’s doing. Give him credit for that.
* Meanwhile, as subscribers already know, Lang, Sen. Terry Link and other top legislators are meeting with the governor today to discuss the gaming bill…
Link said he is open to talking with Quinn if the governor has any suggestions on how to downsize the measure. But said the casino set to go in his district near Waukegan would have to remain.
House sponsor Lou Lang (D-16th) will also be in on talks with Quinn.
“To the extent that I can accommodate the governor, I’m willing to listen to him. Willing to hear what he wants to do. But I’m not willing to state upfront that I’m prepared to shrink the bill down,” Lang said.
However, Lang said he won’t accept substantial changes.
Governor Quinn today appointed Malcolm Weems as director of the Illinois Department of Central Management Services (CMS). Today’s action is the latest in a series of appointments the Governor is making as he continues to fulfill his commitment to creating jobs, fostering economic development and increasing efficiency and accountability in all areas of state government.
“The leadership and expertise Malcolm Weems has shown in helping my administration confront the most serious fiscal crisis in our state’s history make him perfectly-suited for this new role,” said Governor Quinn. “His experience will be invaluable as he leads the agency charged with finding savings and efficiencies throughout state government. I thank James Sledge for his years of dedicated service to the people of Illinois.”
Weems has served as chief of staff in the Governor’s Office of Management and Budget since 2009. He has also served as the agency’s associate director and as chief operations officer of procurement for CMS. Weems previously served as a finance manager for the Chicago Park district and is a member of the Governor’s Anti-Violence Commission.
“The Department of Central Management Services plays a critical role as the state continues to confront our fiscal challenges and looks to improve our minority contracting and hiring,” said Weems. “I look forward to utilizing my experience at the Office of Management and Budget to address these challenges and make our state government more efficient and effective.”
Weems is one of the few young, rising stars in this administration.
The median family income for a Freeport family is around $47,000 a year according to the 2010 U.S. Census. That compares to the U.S. median for a family of four at $50,006.
One day of special session for the Illinois General Assembly would cost Illinois’ beleaguered taxpayers $50,000.
Nonetheless, Gov. Pat Quinn this past week said he will call a special session this summer to address Illinois’ $31 billion statewide construction plan.
The governor will not actually be calling a “special session,” which would require that members receive their per diem checks. Per diem can’t be disbursed for regular session days after the end of May, and that’s what next week’s session will be. The two chamber leaders are calling their members back to town, so the taxpayers won’t be on the hook for that extra cost.
The Senate introduced a 12-day furlough plan, but never passed it. The House passed an identical proposal, but it’s still sitting in the Senate awaiting action.
Because this won’t be a special session, the General Assembly won’t be limited to what it can and cannot do. Members could take up that furlough plan, but there is opposition in the Senate. The media has completely ignored this failure to approve another furlough plan, so legislators may just ignore it.
* Now, onto the budget. The Senate Democrats were clearly hoping that Quinn would ally with them over their additional budgetary spending tacked onto the capital/road bill. As subscribers knew, the SDems also unveiled a plan a few days ago to extend the capital/road plan for just six months, so that the budget could be renegotiated in January. But Quinn wouldn’t go along with either plan…
“In his meeting with the legislative leaders, the governor was clear [in] his push for a 12-month capital budget with no conditions,” Matsoff said. “He also said that the leaders should come back in the fall when they could have discussions about reallocating some elements of the budget based on the Senate Democrats’ priorities — staying within the $33.2 billion” budget.
Yesterday’s meeting was a huge blow to the Senate Dems. They’re teleconferencing today to decide what to do. If they refuse to give in, we’re in for a nasty summer session.
* After some initial hesitation, the Republicans have decided that Quinn is right and that the state can’t fund construction projects after the end of the fiscal year and will have to start shutting down projects on Monday…
Cross says lawmakers are now on the fast-track to reach an agreement to keep the projects, which provide some 52,000 jobs, alive. He’s hesitantly setting aside his reservations about the governor’s claim that he can’t authorize spending beyond the end of the month to keep the projects running.
“The governor has a lot of authority in this arena and he’s taken the position he doesn’t have the authority, and I’ll take him at his word,” Cross said.
Agreeing with the governor simply puts more pressure on the recalcitrant Senate Democrats.
* Related…
* VIDEO: HGOP Leader Cross on capital, budget, etc.
* VIDEO: SGOP Leader Radogno on capital, budget, etc.
* We’ve never done one of these on Big Jim, so let’s give this a try. The former governor is holding a rare duck decoy, which he bought last year at an auction for $100,625. I kid you not…
Winner gets a free ticket to the July 25th White Sox game.
