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Giannoulias responds to bank closure

Friday, Apr 23, 2010 - Posted by Rich Miller

* Channel 5 has posted the raw video of Alexi Giannoulias’ statement to the gathered media tonight. At one point, he appeared to fight back tears…

* Giannoulias also issued a statement to his supporters, and it included some fighting words for Congressman Mark Kirk…

Rather than run on his record, Congressman Mark Kirk’s entire campaign to date has revolved around hoping and praying that this family business would fail. Is that the kind of Senator we want, one that cheerleads for an Illinois business to fail while bailing out the Wall Street banks that helped get us into this mess in the first place?

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This just in… Broadway among 7 Illinois banks seized by FDIC - React from Kirk - 4 more IL banks put on notice

Friday, Apr 23, 2010 - Posted by Rich Miller

* 6:17 pm - The FDIC’s list of eated banks has just been released. They’re all from Illinois

New Century Bank [Chicago]
Citizens Bank and Trust Company of Chicago
Broadway Bank [Chicago]
Amcore Bank [Rockford]

Of course, the media is gonna focus on just one of them.

* 6:18 pm - MB Financial is taking over Broadway

All deposit accounts. excluding certain brokered deposits, have been transferred to MB Financial Bank, National Association (N.A.), Chicago, IL (”assuming institution”) and will be available immediately. The former Broadway Bank locations will reopen as branches of MB Financial Bank, N.A. during regular business hours.

* MB Financial received $193 million from the federal financial industry bailout, aka TARP. The company still owes the government $184 million.

* Alexi Giannoulias plans to hold a press conference tonight at 7 at the Hotel Allegro. Check back. We may have live video.

* Amcore appears to be the biggest bank on today’s seizure list. From ABC7

“Amcore is another bank on the ropes. It is 3 or 4 times bigger than Broadway. From a business perspective, Amcore is a way bigger story but the detail of a US Senate Candidate makes [Broadway] more interesting,” said Brian Battle, Performance Capital Partners.

Amcore was taken over by Harris.

*** 6:35 pm *** The Illinois banking bloodbath may get worse tonight

Three other Chicago-area lenders — Lincoln Park Savings Bank, Citizens Bank & Trust of Chicago and Peotone Bank — are expected to fail Friday evening. They close at 7 p.m. and announcements of their buyers would take place after that, sources say.

Seven in one day. Well, isn’t Illinois special?

* Here are the costs to the FDIC’s bank-funded insurance fund for each of the seized institutions so far…

* Broadway: $394.3 million
* Amcore: $220.3 million
* New Century: $125.3 million
* Citizens: $20.9 million

So far, anyway, Broadway is tops on that list.

* ABC7’s coverage


*** 7:17 pm *** Eated

Wheatland Bank, Naperville, IL
Peotone Bank and Trust, Peotone, IL
Lincoln Park Savings Bank, Chicago, IL

* Let’s update the FDIC insurance cost list…

* Broadway: $394.3 million
* Amcore: $220.3 million
* Northbrook: $141.5 million
* Wheatland: $133.0 million
* New Century: $125.3 million
* Peotone: $57.5 million
* Citizens: $20.9 million

* 7:25 pm - From a Mark Kirk campaign spokesperson

“While years of risky lending schemes, hot money investments and loans to organized crime led to today’s failure, it’s a sad day for Broadway Bank employees who may lose their jobs due to Mr. Giannoulias’ reckless business practices.”

* 7:29 pm - The Giannoulias campaign has updated its “The Truth About the Bank” website with info on how the FDIC insurance system is funded.

* 7:43 pm - History

The one-day record for Illinois bank failures was March 16, 1989, when 10 were seized by regulators.

In 2009, 21 Illinois banks failed. Year to date before today, three Illinois banks have failed.

*** 9:27 pm *** Four more Illinois banks were put on notice today that they need to raise capital or face an FDIC eating…

The State of Illinois Department of Financial and Professional Regulation issued consent decrees for these four banks this afternoon:

Institution Name: First Personal Bank
Charter Address: 14701 S. Ravinia Avenue, Orland Park

Institution Name: Waukegan Savings Bank
Charter Address: 1324 Golf Road, Waukegan

Institution Name: Norstates Bank
Charter Address: 1601 North Lewis Avenue, Waukegan

Institution Name: Brickyard Bank
Charter Address: 6676 North Lincoln Avenue, Lincolnwood, Illinois

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Reader comments closed for the weekend

Friday, Apr 23, 2010 - Posted by Rich Miller

* I will probably update later tonight and through the weekend, considering the number of breaking stories today. Also, it turns out that Sen. Bill Brady didn’t have to pay federal income taxes for 2009 because of a provision in the stimulus package. So, it’s all Obama’s fault. Heh.

Anyway, comments are off and I’m gonna go rest for a while.

* I’ve always loved this melancholy tune


Can you take me back where I came from?

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*** UPDATED x3 *** NBC5: Giannoulias bank will be closed today

Friday, Apr 23, 2010 - Posted by Rich Miller

* It’s not on the FDIC’s list as of 3:26 pm, but NBC5 is reporting that the end is coming at 5 o’clock

A worker at the main Broadway Bank on Broadway and Granville says “it’s over.”

The bank is open now — but the worker says at close of business they’ve been told “that’s it.”

One worker walked out of the building with a box of belongings.

Black curtains have been put up today. You can’t see in.

*** UPDATE 1 *** ABC7 is now reporting the same thing

After 30 years in business Broadway Bank’s employees are telling customers it’s the end of the line.

“They said it would no longer be Broadway Bank on Monday but our funds are safe under the FDIC,” said Bob Kitsos, Broadway Bank customer.

As is CBS2

CBS 2’s Suzanne Le Mignot reports customers are being told Broadway Bank will close after 6 p.m. Friday and will re-open Saturday under a new name. It was not immediately clear if another bank is in line to take control of the bank right away. […]

Sources tell CBS 2 the FDIC will shut down several Chicago banks Friday afternoon.

*** UPDATE 2 *** It looks like the White House got the message that Dick Durbin was trying to send: Get off the dime and start helping Giannoulias

Obama’s deputy press secretary says the president intends to help Democratic candidates in Illinois “up and down the ballot.” […]

Durbin said Friday that the White House inquired about the state of Giannoulias’ campaign, asking about organization and fundraising. Durbin also defended Giannoulias and says he believes he can win the race against Rep. Mark Kirk.

*** UPDATE 3 *** It’s over

Banking regulators entered the Chicago headquarters of Broadway Bank after 5 p.m. Friday, the apparent concluding step in the government’s expected takeover of the family-run lender that helped launched U.S. Senate candidate Alexi Giannoulias’ political career.

Two sources with knowledge of the bank’s situation said they anticipated that the government would seize Broadway Bank later this evening. Broadway was unable to raise the $85 million it needed to remain independent.

  61 Comments      


*** UPDATED x8 - Quinn responds *** Brady paid no federal/state taxes in 2008, no federal taxes in ‘09

Friday, Apr 23, 2010 - Posted by Rich Miller

* Bill Brady’s campaign just issued a summary of his adjusted gross income and the taxes he paid. The document shows he paid no state or federal taxes in 2008 because of a federal tax break. From the campaign…

Brady’s taxable income from 2009 came under a provision of the IRS in 2009 to help small business fight through and survive by allowing the sales of assets.

More from the campaign…

The Bradys paid 22 percent of their taxable income as taxes in the last six reporting periods. They contributed more than six percent to charity during that time.

During the past three years, due to the recession and the unprecedented housing recession the Brady partnerships and combined business’ has lost a significant amount of money. […]

Anticipating the economic downturn, the Brady family began retooling their company in 2006. At its height, Brady Homes employed 34 employees. But facing the new economic reality, the company and staff had to be downsized through tough and painful decisions. The Realty side of the business saw a loss from 150 to 70 employees.

Here’s the summary…

2009

Adjusted Gross Income: $119,910
Taxable Income: $ 49,733
Federal Tax Paid $ -
State Tax Paid: $ 3,309

2008

Adjusted Gross Income: ($116,679)
Taxable Income: $ -
Federal Tax Paid: $ -
State Tax Paid: $ -

2007

Adjusted Gross Income: $372,355
Taxable Income: $318,796
Federal Tax Paid: $ 41,699
State Tax Paid: $ 10,802

2006

Adjusted Gross Income: $130,326
Taxable Income: $ 24,551
Federal Tax Paid: $ 1,228
State Tax Paid: $ 3,610

2005

Adjusted Gross Income $549,685
Taxable Income $466,314
Federal Tax Paid: $124,255
State Tax Paid: $ 20,058

2004

Adjusted Gross Income: $558,798
Taxable Income: $495,517
Federal Tax Paid: $158,454
State Tax Paid: $ 16,622

More later.

…Adding… Commenter “Scooby” wins the comment of the week award for this gem…

It’s a good thing his family business wasn’t a bank.

*** UPDATE 1 *** According to his returns, Brady reported losses of $369,500 in 2008 and $67,033 in 2009.

*** UPDATE 2 *** The initial Tribune story does not even report that Brady paid no taxes in 2008. Interesting.

*** UPDATE 3 *** State Board of Elections records show that Brady loaned his gubernatorial campaign $101,000 on December 31st of 2009. Yet he paid no federal income tax for the year and showed a taxable income of $49,733.

*** UPDATE 4 *** Brady loaned his campaign $30,000 in 2008 despite paying no federal or state income taxes for that calendar year.

*** UPDATE 5 *** The Associated Press reports that Brady paid no federal taxes in 2009, but does not mention that he paid no federal or state taxes in 2008.

*** UPDATE 6 *** Sun-Times

Republican candidate for governor Bill Brady disclosed today that he has not had to pay federal income taxes for the past two years and did not pay state income taxes for his 2008 filing.

According to tax returns made available briefly to the media this afternoon, Brady’s business interests took a significant hit in 2008, causing a net income loss of $116,679. As a result, Brady, a state senator and businessman from Bloomington, did not have to pay any income taxes for that year.

*** UPDATE 7 *** From the Pat Quinn campaign…

Today, after significant pressure, Senator Brady agreed to share several years of his past tax returns with the press. But there were conditions: instead of making copies available to the taxpayers of the state, select members of the media were invited to “view” his returns only for a limited period of time. This sounds more like a glimpse of Haley’s Comet or of a solar eclipse than the full disclosure the public deserves.

The original Tea Party’s rallying cry was “no taxation without representation.” Apparently, Senator Brady misinterpreted this line as “no taxation for elected representatives.” Since the public was not afforded the opportunity to view his returns, it’s likely we won’t know how he managed to pay no income taxes on over $100,000 of income in more than one tax year.

Given his track record—of supporting tax cuts for the wealthy but voting against a minimum wage, and of avoiding taxes on the salaries of his campaign officials—it’s not surprising that Bill Brady believes a different standard should apply to him.

If Senator Brady is this secretive and controlling about basic information like his tax returns, just imagine how he would govern. After two recent scandal-plagued administrations, Illinois residents deserve better.

*** UPDATE 8 *** Brady’s campaign is doing a conference call at 5 o’clock to discuss the issue. Atorney Jason Barickman will be answering questions. Barickman is also the chairman of the Champaign County Republican Party.

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Blagojevich lawyers subpoenaed Durbin - Quinn, Cullerton, Lisa Madigan, Speaker Madigan weren’t subpoenaed

Friday, Apr 23, 2010 - Posted by Rich Miller

* He’s just gonna drag everybody in, apparently. I think I should just send out a blast e-mail to everyone in Illinois politics asking if they’ve been subpoenaed, too…

U.S. Senator Dick Durbin, the chamber’s No. 2 Democrat, said he was subpoenaed by the defense to testify in the June 3 corruption trial of former Illinois Governor Rod Blagojevich.

“Whether I’m going to be called, I don’t know,” Durbin said, adding that he received the subpoena “several” weeks ago. “But, you know, a subpoena is an order of the court to appear. And if I’m called to appear, I will.”

Blagojevich’s lawyers are asking the federal judge overseeing his case to compel President Barack Obama to testify in order to dispute allegations against the impeached governor.

U.S. District Judge James Zagel will consider that request on April 30. White House Press Secretary Robert Gibbs wouldn’t comment on the possibility of the president being subpoenaed in the case.

Durbin said he was interviewed for about 30 minutes “several months” ago by federal investigators in the Blagojevich case.

More

Last year, Durbin was interviewed by the federal prosecution for the case. At that time he said he had one 10 to 15 minute conversation with Blagojevich about the U.S. Senate seat left vacant by President Barack Obama, which Blagojevich is accused of trying to sell. Durbin said he suggested 10-20 names that should be considered for the replacement.

…Adding… I sent out some e-mails to various spokespersons and just got my first reply. The governor’s office says Gov. Quinn has not been subpoenaed.

…Adding… Senate President Cullerton’s office said he has not been subpoenaed, either.

…Adding… Lisa Madigan is a “no” as well.

…Adding… Speaker Madigan is a “no.”

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On the media

Friday, Apr 23, 2010 - Posted by Rich Miller

* Lee Enterprises (which publishes the Post-Dispatch, the Pantagraph and the Southern, among others) reported its third profitable quarter in a row this week. Gannett’s first quarter profits jumped 51 percent. McLatchy and the New York Times also had some good news to report.

Part of the reason for this apparent comeback is that the companies have so aggressively cut staff that their spending is now more in line with the revenues they can reasonably generate. Also, newsprint prices have fallen dramatically, as papers have slimmed way down or gone out of business. The ad revenue depression appears to be slowing, if not exactly bottoming out. And at least one analyst is pleased

I’ve always stressed that print won’t die though it will shrink and radically change. The problem is the inertia and denial which leads many executives to think that these revolutionary changes won’t affect them but the next generation of leaders at magazine and newspaper companies.

Ironically, the recession accelerated history and the main trends and that forced some print companies to shape up. We saw Conde Nast lay off a lot of people, for example, despite historically having a lot of overhead. We also saw both Gannett (GCI) (parent of USA Today) and McClatchy (MNI) go through some painful steps that explain why in Q1 2010 both companies reported profits. […]

All print companies need more than the iPad to save their bacon. As I’ve long argued, if they really want to come back with a vengeance they would look at how they can leverage video online, which is totally incremental revenue for them (unlike TV and film companies).

He’s mostly right, but there’s still the big problem of reporting staffs stretched to the limit of breaking. What newspapers ought to be doing is clearing out their front offices of the expensive dead weight. It’s the content, stupid. Better content will drive more - and better - eyeballs. Bells and whistles are fine, but strong, timely content is king, baby. The Tribune is probably doing the best job of this of any media company in Illinois. They’ve shown a remarkable willingness to experiment with new ideas, and some of their reporters are eagerly embracing the new online news venues.

But newspapers ain’t out of the woods yet. They are, for the most part, still far too stuck in the past. The State Journal-Register, for instance, hired Ryan Keith away from the AP and gave him the task of handling the paper’s new media duties. Ryan initially did things like live-blog political events, debates, etc. He also created and staffed its aggregator page. But the paper has seemed to be returning to more traditional stuff in recent months. Ryan was reportedly frustrated with the mindset and announced today that he’s leaving the SJ-R for a career in public relations. From a press release…

Veteran statehouse reporter Ryan Keith is leaving as bureau chief for The State Journal-Register/GateHouse Media to join the public relations/public affairs firm of Mac Strategies Group, led by Ryan McLaughlin. Keith will head Springfield operations for the firm. This expansion will provide a day-to-day presence for the firm, strengthening its ability to service client both before the Chicago and Springfield press corps. Keith worked in the Springfield press room for 10 years, previously working for the Associated Press and starting as an intern with the Chicago Tribune in 2000.

I’m really sorry to see Ryan go. He was a huge asset to that paper, but he was woefully underutilized. Mac Strategies will be a good fit for him, though. Best wishes, man.

* As we’ve discussed before, newspapers make a nice chunk of change off publishing official legal notices. State law requires local and state government notices to be published in newspapers, and the papers charge for the privilege. So it’s no surprise that a bill that cleared the Senate this year which would allow fire protection districts to post a couple of types of notices on their own websites has the Illinois Press Association up in arms.

The IPA has published a “guest editorial” by its own executive director on their site, and you may see it in your local papers soon…

This proposal is the quintessential reason why government should not be allowed to report on itself and clearly demonstrates why government needs to remain transparent and not try to serve as both judge and jury in the business of public notices. Aside from the inherent conflict of interest, this legislation makes little sense for a state that is trying to rid itself of an image of pay-to-play politics, public corruption, unbridled graft and imprisoned governors.

Um, “report on itself”? If this was “reporting,” then why do newspapers want to be paid to run the notices?

The bill does have an obvious flaw…

For example, guess what was conveniently left out of the legislation? You guessed it, any frequency or time requirements that would mandate how long or how often government must post this vital information on their Web site. Under the proposed legislation, it could be 10 days, 10 hours, or even 10 minutes. It is alarming that however long the notice remains publicly available would be solely at the discretion of the public body posting its own notices.

Just because newspapers have been publishing notices since “before the days of Abraham Lincoln,” as the IPA exec director writes, that doesn’t mean we should be continuing to do it now. Instead of this flawed little bill, the GA ought to be thinking about setting up a central online clearinghouse for these notices which could be easily accessed and navigated by the public. Money could be saved and the public might be better served. It’s worth a debate, anyway.

* Meanwhile, there was a bit of a behind-the-scenes blowup yesterday over a claim by NBC 5 that they had the “exclusive” story about how the redacted material on a filing by Rod Blagojevich’s attorneys could be seen by simply copying and pasting the pdf file into a text file.

The station blasted out a mass e-mail late yesterday afternoon announcing their exclusive. But they made the mistake of not blind-copying the recipients. So, I hit the “reply to all” button and pointed out that I published the story hours before they did. They apologized profusely and corrected the story.

This is truly not a big deal, although I must admit that I did enjoy dinging the NBC guys a bit.

More importantly, though, I didn’t even realize that my own story actually appeared nine minutes after Natasha Korecki published the entire, unredacted document yesterday. Natasha should get credit for the scoop.

Things move fast in this business. When I was focused on writing my piece on the redaction problems, I didn’t even bother looking around to see if anyone else had it. I imagine that the same thing happened with others as well. Heck, I just realized that my Giannoulias story headline is almost identical to NBC5’s. I honestly don’t know if I saw their hed and it stuck in my mind, or if I came up with it on my own. Weird.

Also, I didn’t figure out this redaction thing on my own. CBS2’s Internet guru is the one who mentioned it to me. Information sometimes moves in unusual ways.

…Adding… I started to write this piece because the IlliniPundit blog has been shut down. And then I forgot to post the darned story. Sheesh.

From Gordy Hulten, the IlliniPundit’s longtime publisher

Last night, I was appointed to the Champaign City Council, representing District 5. This is an enormous honor and an even larger responsibility. The time constraints of serving as a Council member (and running for election!) while balancing everything else in my life led to me to pledge during the application process that I would set aside IlliniPundit.com. I am doing so now, and I will no longer administer the site or participate on it. Reaching that decision was very difficult for me as IlliniPundit.com has been an overwhelmingly a positive experience for me, but I am confident that it is the correct decision. There just simply isn’t enough time to do both things well.

Gordy will continue blogging at his campaign website, which is here. I’m hearing that he’s accepting offers to buy the IlliniPundit blog. Good luck, Gordy, with everything you’re doing!

* Related…

* Former sports editor Bill Adee steers Chicago Tribune’s online strategy: Mr. Adee is working with the Tribune’s technology experts on new applications for the iPad, Kindle and other devices. The goal is to create newspaper downloads that readers will pay more for than they do currently.

* Adventures in Google Ads: Roskam might want to target better

* Obama’s 2008 internal report doesn’t mention call to Balanoff about Jarrett

* Lawyers summoned to court after Obama filing accidentally made public

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Question of the day

Friday, Apr 23, 2010 - Posted by Rich Miller

* As you know by now, Sen. Bill Brady will release his tax returns today. But there are some conditions

(R)eporters in Illinois will have only three hours to review the documents — and only if they’re at his Springfield campaign office. That’s the only way Brady has said he will make them available.

“We’ve made our decision,” Brady told reporters about the conditions for reviewing the tax returns. Asked whether he was doing enough to ensure adequate public scrutiny and transparency, he repeatedly replied, “You’ll have access to it.”

No copies. Just a lookie-look. And only in Springfield. Gov. Pat Quinn’s campaign responded…

“The lack of access to Sen. Brady’s tax returns does not meet Gov. Quinn’s standard for transparency and openess,” campaign spokeswoman Mica Matsoff wrote to the Current.

Quinn did the same thing last year, however. Reporters had to make a reservation to review the guv’s tax returns and couldn’t make copies. He did make copies available this year, however.

* The Question: Should Brady allow reporters to make copies of his tax returns? Explain fully, please.

  32 Comments      


How was the free rides rollback bill killed? Hinz has the answer

Friday, Apr 23, 2010 - Posted by Rich Miller

* Greg Hinz has a must-read story which looks at how a bipartisan bill requiring means testing of seniors to qualify for free mass transit rides was killed in the Senate Executive Committee this week…

By a narrow 6-7 vote, the committee rejected the bill co-sponsored by Senate Transportation Committee Chairman Martin Sandoval, a Chicago Democrat, and Christine Radogno, the Senate GOP leader from La Grange. All seven votes came from Democrats.

And they did it even though the biggest Senate Democrat of them all, President John Cullerton, voted to move the bill to the Senate floor — and even though the Executive Committee traditionally does exactly what the Senate president wants it to do. […]

Mr. Cullerton’s spokeswoman says the president prides himself on not being a political boss but on allowing his members to vote their conscience. But that doesn’t explain why after Senate Executive Committee member Donald Harmon came down with food poisoning — he quite possibly would have voted for the bill —Mr. Cullerton replaced him on the committee with a definite “no” vote, Sen. Donne Trotter.

So Mr. Cullerton voted “yes” — reflecting the view of his district, his spokeswoman says. But he took an action to kill the bill upon which he voted “yes.”

Sen. Trotter is a regular replacement for members who can’t make Exec meetings, but Greg is certainly correct that Cullerton could’ve moved that bill to the floor if he wanted to. Instead, it was a nicely orchestrated bit of theater.

The Sun-Times was not amused

Is it any wonder the state can’t get a handle on its $13 billion deficit?

Our so-called statesmen in Springfield — led on this one by Sen. Rickey Hendon, a Chicago Democrat — can’t even deny a free bus ride to a senior who can comfortably do without it.

The true insult is to the many seniors who say they are willing to give up this little perk for the good of the greater cause — fixing the state’s budget mess. They know shameless pandering when they see it.

If this is the best Springfield can do, why drag out this legislative session another day?

Let’s give up now.

Phil Kadner cut the Dems a new one

They’ve failed to pay for state employees’ pension systems, which have become an unsustainable burden on the state. They’re months behind in making payments to hospitals, doctors and school districts.

Why not give free rides to seniors? In fact, why not give free rides to everyone?

Senior citizens I have encountered think the perk is madness. If a person can afford to pay his way, let him, they say.

I don’t know where the Tea Party folks are on this one.

And there were thousands of people rallying outside the state Capitol, begging for tax hikes to avoid cuts, when the Senate Democrats proudly protected free rides for seniors. If ever elected officials should have been run out of town on a rail, that was the moment.

* Speaking of this week’s rally, I’m not sure that Neil Steinberg fully understands who was at the event. He claims they were all “state workers.” Not true, unless you think teachers are state employees. Also, there were tons of employees of not-for-profit groups and companies at the event

Still, I would have felt better had those been private-sector Illinoisans begging for more taxes. But that would be unlikely, given those most affected by government cuts — the poor, the sick, children — aren’t about to bus themselves to Springfield and wave signs.

There were plenty of poor people at that rally. All he had to do was read the coverage.

* The Responsible Budget Coalition has a new TV ad slamming “the politicians in Springfield” for wanting to “walk away” from the budget morass and adjourn early. “Don’t let them come home without a responsible budget,” the ad concludes. Watch it


* Also worth a read is Eric Zorn’s long examination of Adam Andrzejewski’s demand for a forensic audit

When I reached the Council of State Governments in Lexington, Ky., executive director David Adkins told me, “I’d never heard the term until your phone call today.”

Adkins is important because he was a Republican state legislator in Kansas from 1993 until 2005, and those who are now calling for a forensic audit of Illinois government frequently claim that a forensic audit in the Jayhawk State in 2003 saved taxpayers $1 billion.

It’s true, said Adkins, that then-Democratic Gov. Kathleen Sebelius instituted an aggressive review of state spending practices early in her first term. “But most of the savings came from picking low-hanging fruit,” he said, such as selling off state vehicles.

And he quoted Auditor General Bill Holland saying the audit wouldn’t save money…

“These resolutions would require my office to re-examine 135 million transactions and check all the details on about 50,000 contracts a year going back nine years,” said Illinois Auditor General William Holland. “It would be a mind-boggling, astronomical cost. We’re talking hundreds of millions of dollars.”

Holland, whose office is nonpartisan, was once chief of staff to former Democratic Senate President Phil Rock. And though Holland formally takes no position on any bill, he said it’s “very doubtful” that such an undertaking would pay for itself.

Andrzejewski vehemently disagrees and Zorn lays out his entire reasoning, so go check it out.

* Jamey Dunn, meanwhile, writes about Senate Republican claims that Gov. Quinn’s net budget cuts only amount to $200 million

“The governor came out and wants to convince people that he heard the people of this state when they said they want government to rein in spending. He is trying to convince people he’s going to cut $2.6 billion, when it’s clear that at best, he’s got $200 million up there in unspecified cuts [if his proposed 1 percentage point tax increase passes], and this is from a guy who’s got a track record of claiming he is going to cut and not having the guts to go ahead and do it,” he said.

However, Kelly Kraft, spokeswoman for Quinn’s Office of Management and Budget, said if the governor’s proposed income tax increase passes, there would still be $900 million in cuts. She added that Quinn is seeking to make $400 million more in reductions, in addition to the cuts he proposed in March.

Since it’s highly doubtful that the approximately $3 billion income tax hike will pass, this is mostly an empty argument.

* Related…

* Rep. Jack Franks: Want to solve the budget crisis? Say no to spending

* Speaker Michael Madigan, Where Did the Money Go? - by Adam Andrzejewski

* Quinn Backs Off Music Downloads Tax

* Illinois education groups underscore tax hike request

* Groups continue lobby effort to block budget cuts

* Where will the funding come from?

* Community colleges need bigger slice of aid

* Community colleges could be able to take out loans

* Canoe czar is symbol of much bigger problem

* More school options needed; vouchers a good tool to have

* Momentum for choice

* Group rallies for after-school care

* State bill would guarantee most rape kits would be tested

  27 Comments      


D-Day for Giannoulias

Friday, Apr 23, 2010 - Posted by Rich Miller

* The FDIC’s deadline for Broadway Bank to find $85 million in new capitalization expires today, so Alexi Giannoulias’ family bank could get “eated” later this afternoon

If a bidder has not been found for the Giannoulias family’s Broadway Bank, today could be the day federal and state regulators walk in and shut it down.

Nearly 90 days ago, the bank entered into a consent decree with government officials in which bank officials agreed to try to raise $85 million to recapitalize the bank. […]

It could be the FDIC found another bank willing to buy Broadway Bank. Broadway Bank officials won’t know until the regulators arrive.

Or regulators could wait another week past Monday’s 90-day deadline.

* If the seizure does happen today, you can expect a gigantified firestorm as hostile reporters and pundits try to force US Senate candidate Giannoulias off the statewide ticket. Politico set the tone with a story about how the White House refused to commit to getting the president involved in the campaign

At the moment, the White House seems open to the idea of losing Obama’s old seat rather than putting the president’s prestige on the line for Giannoulias, the brash and boyish Illinois state treasurer — and onetime Obama basketball buddy — whose campaign has been rocked by the financial meltdown of his family’s bank.

Durbin said Emanuel was sympathetic to his pleas but ultimately noncommittal, telling him that the White House was “considering the race, weighing their options and weighing a decision on what to do.”

Politico reports that Giannoulias wasn’t even told that President Obama could be visiting Quincy soon, although the publication noted that other congressional candidates are grumbling about the same lack of communication from the White House. The publication also claims that it’s an “open secret” that the White House is watching to see if a bank failure forces Giannoulias out of the race before deciding what to do.

Sen. Dick Durbin was the focus of the article, and he was clearly trying to call out Obama for his inaction. But Durbin, who is Giannoulias’ campaign chairman, wasn’t exactly a 100 percenter today either…

To an extent, Durbin’s political stock is tied to Giannoulias’s, Democratic insiders say. As chairman of the campaign, Durbin could take some blame for a Giannoulias loss — just as he gears up for a possible majority leader’s race against New York Sen. Chuck Schumer this fall, and just as Schumer could get credit for helping guide New York Democratic Sen. Kirsten Gillibrand’s path to a likely victory.

But Durbin dismissed such talk, saying he expects Reid to win his reelection in Nevada and continue as majority leader. And he distanced himself from the problems of the candidate.

“There’s certain things I can control, certain things I can’t control,” Durbin said. “I’m not the candidate; someone else is. I can give advice and try to analyze this as best I can. Ultimately, Alexi has to make these decisions personally.”

That sound you just heard was the thump of Durbin throwing his little buddy under the bus.

The Giannoulias people say that this isn’t the first time he’s been under pressure to drop out of a campaign. When he first ran for state treasurer four years ago, Speaker Madigan tried to force him out so that his own candidate could win unopposed. After Giannoulias won the primary, reporters and pundits took notice that Madigan still seemed rather hostile to Giannoulias (because of allegations about the bank) and was distancing the state party from him. Then, last year when the White House was openly courting Lisa Madigan and others to run, Giannoulias was pressured in the media to drop off the ticket.

Through it all, he has perservered, and the candidate believes that come election day six months from now the bank failure will be old news and not a big deal.

The problem with that theory is that the state’s political reporters and pundits are infinitely more hostile to Giannoulias than anybody currently running for office here. They don’t show any signs of letting up, either. And the fire-roasting they are preparing for Giannoulias today will be a sight to behold

Giannoulias’ campaign won’t talk specifically about the strategy for dealing with a bank failure. Spokeswoman Kathleen Strand said he will focus on the economy and creating jobs, arguing that the bank’s problems are not major issue for some people.

“We are going to keep talking to voters about what matters to them most,” she said.

Changing the subject won’t be easy.

“You can’t overcome that … especially Giannoulias, who four years ago ran for treasurer touting his experience and expertise. I mean, you can’t have it both ways,” said David Yepsen, director of the Paul Simon Public Policy Institute at Southern Illinois University in Carbondale. “This is going to be an indelible stain on him.”

* Also today, the Tribune published an op-ed by Giannoulias’ banker brother

Over the past few years, we made decisions that — though sound at the time — resulted in a high level of nonperforming assets. We have paid a significant price for those decisions, but we can survive and, given time, thrive. To do this, we do not need assistance from taxpayers; all we need is patience from regulators. Where big banks got a bailout, all we ask is to be allowed to live, with the capital we have, until the market turns around — as it already has for the big banks.

There is little risk to such an approach and much to gain. Current regulators are relying on an outdated belief that a bank in trouble on some capital ratios should be shut down quickly as the most cost-effective solution. But most of today’s troubled institutions have low levels of capital because they are forced to value assets in the worst possible light at the worst possible time, and to realize these losses immediately. Given the global conditions, it is difficult to see how closing banks early is a lower-cost option. Why force a sale when the market is at the bottom? […]

We are not asking for a bailout, just time to turn things around. Our bank, our customers and our communities are all experiencing a great economic dislocation. Wall Street banks got taxpayer money to survive — all we seek is a chance to pull ourselves up.

We may not be too big to fail, but we shouldn’t be deemed too small to live.

The bank is currently turning a profit, so his ideas do make some sense. Lots of small banks are being gobbled up by the very same “too big to fail” institutions that got hundreds of billions in government bailouts - making them even bigger at a fraction of market rates because these post-seizure fire sales are quite yummy for them. But it’s highly doubtful that he has swayed the FDIC at all.

  91 Comments      


Protected: SUBSCRIBERS ONLY - Today’s edition of Capitol Fax (use all CAPS in password)

Friday, Apr 23, 2010 - Posted by Rich Miller

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Afternoon videos: Hendon, Giannoulias, Kirk, Peraica and Ozzie

Thursday, Apr 22, 2010 - Posted by Rich Miller

* Sen. Rickey Hendon very reluctantly relinquished the roving House vs. Senate softball game trophy this afternoon. The House annihilated the Senate last night 21-5 in a total embarrassment for the alleged “upper” chamber. Rep. Art Turner, who won the House’s MVP award yesterday, got in some digs while Hendon was in the room. Watch


* Alexi Giannoulias’ campaign has a new Internet video slamming Mark Kirk for not returning contributions from other corporations that, like Goldman Sachs, have been accused or found guilty of fraud. Have a look


* Meanwhile, Mark Kirk has taped an Earth Day message


* Tony Peraica says Cook County has a “coffee czar”


* And Ozzie Guillen gets a haircut and explains why his hair is turning white…


  14 Comments      


No iTunes tax, and other predictable developments

Thursday, Apr 22, 2010 - Posted by Rich Miller

* I expressed some doubt to subscribers yesterday that the iTunes tax was going anywhere, based on conversations I’d had with some high-level players and my own gut feeling that the tax on music and video downloads would make nervous legislators even more nervous because it would attract way too much attention. Quinn backed off today

Gov. Pat Quinn is backing off a proposal to tax music and video downloads in an effort to plug the state’s massive budget hole, saying he still believes raising the income tax is the best way to generate money for the state.

Quinn floated the idea of taxing downloads from online services such as iTunes in a meeting with legislative leaders earlier this week, but the proposal received a cold reception in Springfield. Today, Quinn said that he was simply offering suggestions on ways to solve the state’s budget crisis and does not support the plan, which would have generated $5 million to $10 million a year.

“We had a meeting with the legislative leaders the other day, we made a list of all the possible things that could happen,” Quinn said. “I didn’t advocate that. I’m not interested in doing that, frankly.”

* We’ve known for some time that there was no way the Senate would approve this bill this year

Regardless of their income, senior citizens can continue riding Chicago-area mass transit for free after the state Senate Wednesday preserved what a GOP critic called one of impeached, ex-Gov. Blagojevich’s “last and most impulsive acts.”

A Democratic-led Senate panel narrowly rejected a Republican push to prevent affluent seniors from skirting fares on buses and trains and tying the free-rides program to a retirees’ income.

* I wrote weeks ago that it was highly doubtful that McCormick Place would really try to take on the two gigantic contractors which control the big trade shows. Yep

The trade unions have been pushing for audits of trade-show contractors to ensure they pass along labor cost savings to customers. The McPier board approved a softer version, recommending only that McPier have the right to review and verify contractor billing statements.

The contractors are hugely powerful and the insiders know it. They can very easily direct shows away from McCormick Place to the point where the buildings would be forever empty. And the unions are right that we ought to know how big their markups really are. But, the contractors have the biggest guns in the room by far, so they were coddled.

The board’s biggest decision was to eliminate Focus One…

(T)he board voted 4-3 to recommend eliminating Focus One, the in-house electrical service whose high prices have been a source of customer anger, and to allow trade shows to hire outside contractors.

Mind-boggling markups on electricity, electrical services, Internet, etc. had to go. Problem is, that’s how McPier pays its staff salaries. So, they want an annual operating subsidy and a debt restructuring…

To make the recommended package click, McPier is seeking a $20 million to $25 million annual operating subsidy from Springfield, in addition to a restructuring of its expansion debt.

I was told yesterday that the subsidy probably wouldn’t begin for about 18 months.

The rest of the board’s proposed reforms don’t look too bad, however

# In terms of new work rules, the interim board recommends making union workers employees of McPier and reducing by half the number of crews required to set up a trade show.

# State and city marketing dollars allocated to the Chicago Convention and Tourism Bureau to attract trade shows should go directly to McPier, the board decided. […]

# Exhibitors will now be allowed to bring in food from outside restaurants and caterers.

Even the Tribune editorial board was laudatory

These changes, at first blush, look like they would go a long way to answer the biggest criticisms of McCormick Place customers who have been threatening to take some of the nation’s biggest trade shows to other cities. The customers have been begging McCormick Place to make its operations affordable. They’re tired of getting fleeced.

* Roundup…

* Truth in tuition

* Push to eliminate free rides for seniors fails in state Senate

* All seniors get to keep riding the train for free

* Two lawmakers fight for good government

* State wants every child to have savings account

  20 Comments      


*** UPDATED x1 *** Blagojevich hurls allegations at Obama in bid to force testimony

Thursday, Apr 22, 2010 - Posted by Rich Miller

* Rod Blagojevich’s attorneys filed a motion today to subpoena President Obama to testify at the former governor’s trial

“President Obama has direct knowledge to allegations made in the indictment. In addition, President Obama’s public statements contradict other witness statements, specifically those made by labor union official and Senate Candidate B,” the motion said.

The motion is here. Several parts are redacted, but you can easily copy and paste the entire motion into a text file and view all the redacted material. Oops on somebody’s part.

* All of the most explosive allegations in the motion were redacted.

Blagojevich’s lawyers allege that Tony Rezko admitted to violating the law by personally contributing “a large sum of cash” to a public official’s campaign, which the Blagojevich people say is Obama.

The lawyers claim that Obama may not have been telling the truth when he said Rezko never relayed a request from a lobbyist to hold a fundraiser for Obama in exchange for favorable legislative action (Obama, however, refused to agree to the offer, Rezko allegedly says).

They also claim that Obama allegedly lied when he said he didn’t have any conversations with Rezko about a casino license…

In a recent in camera proceeding, the government tendered a three paragraph letter indicating that Rezko “has stated in interviews with the government that he engaged in election law violations by personally contributing a large sum of cash to the campaign of a public official who is not Rod Blagojevich. … Further, the public official denies being aware of cash contributions to his campaign by Rezko or others and denies having conversations with Rezko related to cash contributions.

Rezko has also stated in interviews with the government that he believed he transmitted a quid pro quo offer from a lobbyist to the public official, whereby the lobbyist would hold a fundraiser for the official in exchange for favorable official action, but that the public official rejected the offer. The public official denies any such conversation.

In addition, Rezko has stated to the government that he and the public official had certain conversations about gaming legislation and administration, which the public official denies having had.

President Obama is the only one who can testify as to the veracity of Mr. Rezko’s allegations above.

A redacted footnote offers further explanation…

The defense has a good faith belief that this public official is Barack Obama.

As its proof, the Blagojevich people reference a 2006 Sun-Times story…

Senator Barack Obama was asked: “Did Rezko or his companies ever solicit your support on any matter involving state or federal government? Did Al Johnson, who was trying to get a casino license along with Tony Rezko, or Rezko himself ever discuss casino matters with you?”

Senator Obama answered: “No, I have never been asked to do anything to advance his business interest. In 1999, when I was a State Senator, I opposed legislation to bring a casino to Rosemont and allow casino gambling at docked riverboats which news reports said Al Johnson and Tony Rezko were interested in being part of. I never discussed a casino license with either of them. I was a vocal opponent of the legislation.”

* The rest of the redacted stuff mostly involves claims by the Blagojevich team that Barack Obama was not totally truthful during FBI questioning. “Senate Candidate B” is Valerie Jarrett, who is now one of three senior advisers to the president…

9. Yet, despite President Obama stating that no representatives of his had any part of any deals, labor union president told the FBI and the United States Attorneys that he
spoke to labor union official on November 3, 2008 who received a phone message from Obama that evening. After labor union official listened to the message labor union official told labor union president “I’m the one”. Labor union president took that to mean that labor union official was to be the one to deliver the message on behalf of Obama that Senate Candidate B was his pick.

10. Labor union official told the FBI and the United States Attorneys “Obama expressed his belief that [Senate Candidate B] would be a good Senator for the people of Illinois and would be a candidate who could win re-election. [Labor union official] advised Obama that [labor union official] would reach out to Governor Blagojevich and advocate for [Senate Candidate B].. . . [Labor union official] called [labor union president] and told [labor union president] that Obama was aware that [labor union official] would be reaching out to Blagojevich.” (Labor union official 302, February 3, 2009 p. 3).

11. According to Senate Candidate B, on November, 4 2008, Senate Candidate B spoke with labor union official about the Senate seat. Labor union official said he spoke to Obama. Labor union official said he was going to meet with Blagojevich and said “he was going to push Blagojevich hard on this.

* There is also an allegation of an attempted quid pro quo on the Jarrett Senate appointment…

Supporter of Presidential Candidate Obama is mentioned in a phone call on November 3, 2008, having offered “fundraising” in exchange for Senate Candidate B for senator (Blagojevich Home Phone Call # 149).

…Adding… Obama allegedly shot down former Senate President Emil Jones’ name when it was floated by the Blagojevich team as a possible Senate appointment. And Rahm Emanuel floated Cheryle Jackson’s name…

President’s Chief of Staff told the FBI that he had a conversation discussing the Senate seat with Obama on December 7, 2008 in Obama’s car. President’s Chief of Staff told the FBI “Obama expressed concern about Senate Candidate D being appointed as Senator.

“[President’s Chief of Staff] suggested they might need an expanded list to possibly include names of African Americans that came out of the business world. [President’s Chief of Staff] thought he suggested Senate Candidate E who was the head of the Urban League and with President’s Chief of Staff’s suggestion.”

*** UPDATE *** The New York Times hasn’t figured out that the redactions can be seen…

Judging from what can be seen of the motion, which is full of blacked-out sentences and words (to comply with rules about sealed information), Mr. Blagojevich’s lawyers are hoping the president himself will point up contradictions in the prosecution case and testify about whether he had sent “emissaries” to Mr. Blagojevich with regard to who the White House would prefer fill the Senate seat.

  89 Comments      


Question of the day

Thursday, Apr 22, 2010 - Posted by Rich Miller

[I’ve decided to rename this post and rewrite it slightly to make it our QOTD.]

* We’ve often complained here that the State Board of Elections’ website is a heaping pile of stinking electronic decay.

Well, they appear to have completely revamped their site. I haven’t had a chance to do much with it yet, but I figure we ought to run it through the paces today. So, click here, look around, and pick it apart. Thanks.

* The Question(s): What do you like about the board’s new site? What do you hate the most? Explain.

  28 Comments      


*** UPDATED x1 *** Campaign 2010 roundup

Thursday, Apr 22, 2010 - Posted by Rich Miller

* State Republican Party Chairman Pat Brady says fundraising is going well

When the state GOP holds its annual fundraising dinner tonight, there just may be a little more bubbly in their toasts than usual.

“We’ve raised more in the first quarter than the party did all last year. I think there is a lot enthusiasm,” [Brady said]. “The Democrats keep giving us opportunities every day - bringing in lot of new donors.”

* Bill Brady’s campaign sent out a notice today that Brady’s tax returns will be “made available to the media Friday, April 23rd between 1p.m.-4p.m. in the Citizens for Bill Brady Springfield office.” No word yet on whether Brady will allow copies to be made or if it’s just gonna be a lookie-look. I’ve asked, but haven’t heard back. I’ll let you know when I do.

*** UPDATE *** From the Brady campaign…

Those who go to the office in Springfield will be able to look at 5 years worth the returns, and talk to Bill’s attorney. Everyone will get a summary to take with them.

[ *** End of Update *** ]

* Speaking of taxes, Greg Hinz noticed something about some recent camapaign finance disclosures

Almost across the board in major races for governor, U.S. senator and Congress, Democratic candidates have put their campaign workers — at least some of them — on the payroll and have been paying FICA and other taxes on them.

But not Republicans. Though some now say they’re changing, they’ve followed a different approach, treating all of their campaign managers, press aides and the like as independent contractors, which makes the individual and not the “employer” responsible for any tax liability. […]

In the race for Illinois governor, during the last six months of 2009 — the latest for which figures are available — Mr. Quinn’s campaign reported paying $52,000 to the IRS and another $5,200 to the Illinois Department of Revenue for payroll taxes. That’s money Mr. Quinn surely could have used for other purposes, like TV ads.

The GOP nominee, state Sen. Bill Brady, reported no such payments. Which means that folks who made as much as $12,500 in the last half of the year worked for his campaign on “consulting” or “contractual services,” as Mr. Brady’s state disclosure put it.

Mark Kirk was the only Republican Hinz could find who paid payroll taxes. Sen. Brady’s campaign has recently put its employees on the regular payroll and is paying payroll taxes.

Gov. Quinn’s campaign responded a few minutes ago via press release…

“Senator Brady talks about lowering taxes. Who realized he was really talking about his own? […]

“By shifting the tax burden to his employees, Bill Brady has once again demonstrated his core belief that the upper class should exploit every opportunity to avoid paying their fair share, leaving hard-working Illinois residents to carry the load. Bill Brady’s actions undermine the safety net of Medicare and Social Security and once again demonstrate his disdain for average Illinois residents. From opposing the minimum wage and equal pay for equal work to allowing discrimination in the workplace, Brady would rather protect his own interests than those of the working class. Illinois residents deserve better.”

…Adding… Thanks to a commenter, here’s the Dan Seals campaign commenting on the Bob Dold campaign’s failure to pay payroll taxes

“Avoiding taxes is illegal and it is wrong. As a small business owner, Bob Dold should know better.”

According to IllinoisBusinessAttorney.com: “A worker is generally an employee when the business has the right to direct and control his work, even if the business does not actually exercise the right to direct or control how the work is done.” Furthermore, according to the Internal Revenue Service, the burden of proof is on the employer to demonstrate that the workers are independent contractors and not employees, which require business tax payments.

* Speaking of class warfare, a class-action suit has been filed against Gov. Quinn. From a press release…

With free legal aid from National Right to Work Foundation attorneys, a group of home-based personal care providers today filed a class-action lawsuit in federal court against Governor Pat Quinn and union officials for their efforts to force Illinois personal care providers under unwanted union boss control.

The suit stems from an executive order issued by disgraced former-Governor Rod Blagojevich shortly after his election, later codified, in which over 20,000 personal care providers who care for individuals with disabilities were designated as “public employees” of the state of Illinois for the purpose of granting Service Employees International Union (SEIU) bosses monopoly “representation” and forced dues privileges over them.

Following the Rod Blagojevich blueprint of forced unionism, Quinn signed an executive order last June that made an additional 4,500 home-based personal care providers susceptible to unwanted union boss bargaining and political “representation.” Not coincidentally, Quinn received the SEIU union bosses’ political endorsement and support during his recent closely-contested primary campaign for the Democratic nomination for Governor.

The additional 4,500 home-care providers who are not yet under union control soundly rejected union membership by a two-to-one margin in a mail-in vote. However, per Quinn’s executive order, the home-care providers may again be subject to out-of-state SEIU and American Federation of State, County, and Municipal Employees (AFSCME) union organizers making “home visits” attempting to organize the home-care providers through coercive “card check” unionization tactics.

The complaint can be downloaded by clicking here.

* Quinn’s campaign also issued a press release today touting the governor’s environmental record and blasting Sen. Brady’s…

…Senator Brady has displayed a hostile attitude toward environmental protection and sustainability. He claims that human activity doesn’t contribute to global warming, no matter what scientists say. His outdated thinking matches his 17-year record, which includes votes against reducing Illinois’ greenhouse gasses, emissions testing for diesel trucks, and the prohibition of sludge treatment plants near Lake Michigan.

That’s an environmental vision from 1910 — not for 2010.

Nice line at the end.

* Related…

* Broadway Bank Looms Over Illinois U.S. Senate Race: A big deadline is just a few days away for Chicago-based Broadway Bank. The family of U.S. Senate candidate Alexi Giannoulias owns the bank, which has been ordered by regulators to raise millions in capital.

* Hare Refuses to Release Poll Results

* Houlihan’s office responds to Berrios’ “blatant falsehood”

  27 Comments      


First ever poll of southern Illinois shows foul mood, Republican leanings

Thursday, Apr 22, 2010 - Posted by Rich Miller

* As I told subscribers this morning, the Paul Simon Public Policy Institute has a released a poll of southern Illinois voters

For the first time, a poll has been conducted solely of Southern Illinois residents, showing how people in the region feel about many important issues. And the general consensus is they don’t feel good.

The Paul Simon Public Policy Institute released on Tuesday the first results of the Southern Illinois Poll, which focuses on an 18-county region spanning the southern part of the state. It is the first such poll conducted on a local level by the institute. […]

“I’m struck by what a bad mood people are in,” said institute Director David Yepsen said. “People think things are headed in the wrong direction in the country, overwhelmingly so in the state, and it’s pretty clear to me that people of Southern Illinois are in a bad mood.”

Toplines are here.

The counties polled…

Alexander, Franklin, Gallatin, Hamilton, Hardin, Jackson, Jefferson, Johnson, Massac, Perry, Pope, Pulaski, Randolph, Saline, Union, Washington, White and Williamson

* Some questions…

The election for Governor of Illinois… if the election were held today, would you vote for…
Quinn 25.4%
Brady 48.6%
Whitney 5.2%
Someone else 1.5%
Other/Don’t know 19.2%

Next, the election for the US Senator from Illinois… if the election were held today, would you vote for…
Giannoulias 24.7%
Kirk 42.1%
Jones 4.5%
Someone else 3.0%
Other/Don’t know 25.7%

Those who thought that Kirk wouldn’t do well in the deep south may be in for a surprise.

* Approval ratings…

Speaker of the Illinois House of Representatives Mike Madigan
Strongly approve 3.2%
Somewhat approve 20.2%
Somewhat disapprove 15.5%
Strongly disapprove 23.2%
Other/Don’t know 37.9%

President Barack Obama.
Strongly approve 17.5%
Somewhat approve 19.2%
Somewhat disapprove 14.0%
Strongly disapprove 45.6%
Other/Don’t know 3.7%

Illinois Governor Pat Quinn.
Strongly approve 3.7%
Somewhat approve 27.2%
Somewhat disapprove 25.2%
Strongly disapprove 29.4%
Other/Don’t know 14.5%

While 38 percent don’t know enough about Madigan to rate him, his disapproval numbers are certainly ominous for his candidates.

* Right track, wrong track…

Generally speaking, do you think things in our country are going in the right direction, or are they off track and heading in the wrong direction?
Right direction 22.7%
Wrong direction 69.8%
Other/Don’t know 7.5%

And what about the direction of the State of Illinois?
Right direction 6.5%
Wrong direction 85.3%
Other/Don’t know 8.2%

And how are things going in your city or area of the state?
Right direction 47.6%
Wrong direction 41.9%
Other/Don’t know 10.5%

Regardless of what you think about the direction in your part of the state, tell us what you think about the overall quality of life in your area.
Excellent 4.5%
Good 31.9%
Average 35.9%
Not so good 18.5%
Poor 9.2%

Translation: The direction of the country sucks, the direction of the state sucks way more, but we’re more positive on the direction of southern Illinois and find it a decent place to live.

* Party ID…

Strong Democratic 14.2%
Not-strong Democratic 14.5%
Independent-Democratic 5.2%
Pure Independent 7.7%
Independent-Republican 14.5%
Not-strong Republican 16.2% Strong Republican 16.7%
Other/Don’t know 11.0%

* Also, 53 percent say the new national health insurance law is a “bad thing,” while just 27 percent say it’s a “good thing.” 55 percent identify as conservatives, 24 percent say they’re moderates and 18 percent say they’re liberals.

* Details…

The poll of 401 registered voters in the area was taken April 5 to 13 and has a margin of error of 4.9 percent. The poll was conducted for the Institute by Customer Research International of San Marcos, Texas. It reports no Illinois political figures as clients and was paid with non-tax dollars from the Institute’s endowment fund.

* Your thoughts?

  45 Comments      


The anger isn’t only on the Right

Thursday, Apr 22, 2010 - Posted by Rich Miller

* Some of the rhetoric by speakers at yesterday’s big “Save Our State” rally was pretty heated

“We are going to be there this afternoon, and we are going to find you (lawmakers),” [Henry Bayer, director of AFSCME Council 31] told the crowd while pointing at the Capitol. “And if you try to leave town without doing your job, we are going to chase you. And when you come back home, we will be there.

“We will keep delivering this message till the job is done … until there is a responsible budget.”

But things went pretty smoothly yesterday and the protesters all seemed very well behaved, even if there was some doubt about the crowd estimates

The secretary of state’s office agreed with rally organizers that about 15,000 people were at Wednesday’s event.

Well, OK. Perhaps it was the location of the gathering, but I think a previous rally — on June 2, 1981 — was bigger. In that rally, the largest I had ever seen, just about the entire east lawn of the Statehouse was a sea of people. Folks were even in the trees. The State Journal-Register estimated that crowd at 5,000 to 15,000.

There was no doubt, however, that the protesters were mad as heck. Carol Marin had a spot-on analysis

But this protest is a sign of what the recent Pew poll shows….almost 80% of voters are fed up with government, regardless of party affiliation.

Yep. It seems like everbody’s angry.

* Then there was this

Maria Whelan, executive director of the child-welfare group Action for Children, told the sign-waving crowd that its voice was louder than anti-tax rallies involving the Tea Party despite getting less attention in the media.

“Isn’t it interesting that when 300 people who call themselves … the Tea Party show up, they’re on the cover of the New York Times? They’re on national television. And when 15,000-plus people show up demanding a responsible budget, we’re nothing?” she said.

Actually, they got a lot of attention yesterday. Most of the state’s big media was there to cover the event. And that coverage was generally favorable, although the opposition was afforded equal treatment

“I like having [the rally participants] come here because there is not better way for me to explain my position on what’s going in this building and the way I think this state works its way out of its fiscal mess than to talk one-on-one individually with those people,” said Sen. Dale Righter, a Mattoon Republican.

Righter said many of his constituents were at the rally but the message of chants such as “Raise our taxes” did not echo the opinions of the majority of the people he represents. “I don’t know that that kind of theater is necessarily representative of most the people in my district.”

Righter’s district includes Eastern Illinois University, among other facilities. Until the past few years, he was considered a Downstate moderate. No longer.

* At one point, protesters were asked to turn around and face the Statehouse to shout “Raise my taxes!”

“Raise my taxes! Raise my taxes! Raise my taxes!” they chanted, lined up shoulder to shoulder for a few hundred yards stretching a street in front of the Capitol.

Chuck Sweeny responds

The state should raise their taxes, and anyone else who wants to volunteer to pay more money to this state.

As for me, I prefer not to pay more to a corrupt government that can’t or won’t get its fiscal house in order BEFORE making the case for more money.

So, anyone who wants to donate more money, call the Department of Revenue and tell them you’d like to make an extra donation on top of the income tax you already gave.

* In related news, the Sun-Times likes a new budget proposal by Gov. Pat Quinn…

…we’re intrigued by a bill Quinn floated Tuesday to work around the Legislature. Though the particulars are in flux, Quinn’s “Emergency Budget Act” would give him new powers for one year to make some unilateral budget decisions, with an eye toward finding an additional $400 million in budget cuts, according to Quinn’s budget director.

The bill would, for example, let Quinn override the law that gives retired state employees free health care — rather than wait for legislators to reverse the law. It also would let him roll back some entitlement programs if revenue falls short. Options include increasing co-pays or reducing benefits.

Given the General Assembly’s profound unwillingness to do what’s necessary to balance the budget, we’re open to Quinn’s idea.

* If you missed our videos from yesterday’s event, just click here.

Thoughts on all this?

  48 Comments      


Judge punches back hard

Thursday, Apr 22, 2010 - Posted by Rich Miller

* Our quote of the day goes to boxing trainer Pat LaCassa, even though it’s an old quote from bygone days. LaCassa coached Rod Blagojevich during his short-lived Golden Gloves career

“[Blagojevich] wasn’t a very good boxer, but he liked to fight.” LaCassa said Blago lost his second and final Golden Gloves fight because he kept his gloves up to defend his face.

In other words, he loved to fight, but was afraid to take a punch to his pretty face. Some things never change.

* Blagojevich took a hard right to the chin yesterday

What began with a bombastic news conference Tuesday — at which Rod Blagojevich summoned U.S. Attorney Patrick Fitzgerald to show up in court and explain why his office opposed playing all the secret FBI recordings at trial — ended with a federal judge handing down a dose of reality, using boxing analogies.

“I will not allow the legal equivalent of a head butt,” said U.S. District Judge James Zagel, who made it crystal clear that he — and only he — will decide which secret FBI wiretaps will be played at Blagojevich’s trial.

“I will not have the time of these jurors needlessly consumed,” Zagel said of playing all 500 hours of recordings.

Zagel invited the defense to privately submit to him the recordings they would like to play at the June 3 trial so he can rule on what the jury can hear.

He also took a nasty jab to the nose

Blagojevich can’t insist on playing just any tape, and Fitzgerald doesn’t get to decide either, the judge said. It’s like boxing — there are rules, he noted. The rules say you can’t shove, bite, kick or head-butt your opponent.

“Those rules are enforced by the referee, not by the boxers. I am that referee, no one else,” Zagel told lawyers in the case and Blagojevich, who stood directly in front of the bench, nodding slightly at times. “I will not permit the legal equivalent of head butts.” […]

The judge said the defense can generally air undercover tapes of its choosing at trial in two ways: to counter evidence introduced by the prosecution, and if Blagojevich testifies as he has pledged to do.

While the former governor is on the witness stand, tapes could be played that corroborate his defense. That’s allowed because Blagojevich could then be cross-examined, Zagel said. But the tapes must be relevant.

And the court decides what’s relevant. “Not the defendant, his lawyers, nor the prosecutors,” the judge said.

Kass’ observation was almost brilliant

Zagel: “Stop with the press conferences and talk of fighting people, before I get medieval on your behind.”

Rod: “How’s that, my friend?”

Zagel: “You ain’t my friend, palooka.”

Rod: “What did you say?”

Zagel: “You heard me just fine, punchy.”

* The brother wasn’t spared, either…

Earlier, Zagel turned down a request from Blagojevich’s brother, businessman Robert Blagojevich, to be tried separately.

Robert Blagojevich’s lawyer, Michael E. Ettinger, had argued that the evidence against the former governor could “spill over” and bias jurors against his client.

* Blagojevich’s bombastic attorney defended his punch-drunk client

Sam Adam, Senior is one of Blagojevich’s attorneys. He says he didn’t discourage his client from making that challenge.

ADAM: It may have been too personal. I don’t know. I can’t say. I think it was not. I think it was well deserved.

Here are a few of Blagojevich’s quotes from earlier this week…

- “In their proffer of lies, they are now hitting below the belt and attacking my wife.”
- “They are cowards and they are liars.”
- “The government is sneaking into court tomorrow to file a motion to keep all the tapes from being heard.”
- “There’s a smoking gun on those tapes.”
- “They’re covering up that big lie that foreseeably led to a chain of events that stole a governor from the people of Illinois and undid the will of the people.”
- “I’m here today to issue a challenge… I challenge Mr. Fitzgerald. Why don’t you show up in court tomorrow and explain to everybody, explain to the whole world why you don’t want all those tapes that you made played in court? I’ll be in court tomorrow. I hope you’re man enough to be there too.

Not insulting, eh? Sheesh.

* Meanwhile, some reporters who covered yesterday’s events suspected that a small crowd of Blagojevich well-wishers may actually have been Astroturf

Press in attendance openly mused whether the scene was staged.

Nothing, absolutely nothing, would surprise me about this guy.

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Thursday, Apr 22, 2010 - Posted by Rich Miller

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Question of the day

Wednesday, Apr 21, 2010 - Posted by Rich Miller

* What impact, if any, do you think today’s “Save Our State” rally will have? Explain fully, please.

  92 Comments      


Obama may visit Quincy as the rest of the state boils

Wednesday, Apr 21, 2010 - Posted by Rich Miller

* The President is about to embark on a small-town Midwestern swing which could take him to Quincy

Quincynews.org was reporting that several sources confirmed that an Obama advance team was setting up a possible visit to Quincy, with Wednesday appearing to be the most likely day. Various federal and state officials did not indicate any plans for a Peoria or Springfield stop.

Yeah. Springfield. Right. No way does he want to pop in near the end of session mess. And steering clear of Chicago’s craziness is also smart. Still, if he does come to Illinois, I’d like to see him pressed on what he thinks has happened to his home state since he departed.

* Meanwhile, Lynn Sweet says Obama’s chief of staff Rahm Emanuel is slightly walking back what he said on the Charlie Rose show this week about running for mayor if Daley decides to hang it up…

Emanuel told me Tuesday night he never intended to go as far as he did with Rose. The question came up at the end of a wide ranging interview. The usually disciplined Emanuel says he slipped up.

The Sun-Times runs down a list of other possible Daley successors

Nor is [Rahm], necessarily, the frontrunner in that crowded field.

Attorney General Lisa Madigan, Cook County Sheriff Tom Dart, U.S. Rep. Jesse Jackson Jr., CTA Board Chairman Terry Peterson, City Colleges Board Chairman Gery Chico and former Chicago Inspector General David Hoffman are also high on the list.

Former U.S. Commerce Secretary William Daley, the natural politician of the Daley clan, could try to succeed his brother. The field might also include: former Schools CEO Paul Vallas; presidential adviser Valerie Jarrett; U.S. Rep. Luis Guitierrez; and Chicago aldermen Bob Fioretti (2nd), Edward M. Burke (14th), Brendan Reilly (42nd) and former Ald. Manny Flores (1st).

And Congressman Gutierrez makes a good point in that Sweet piece…

Earlier in the day, Rep. Luis Gutierrez, who is at odds with Emanuel over the slow pace of comprehensive immigration reform in the Obama White House, told me, “I am sure every word that he spoke was not some sort of off-the-cuff remark but calculated to achieve some political goal.

“When I see Rahm Emanuel, [from now on] I don’t know if I am talking to the president’s chief of staff and if that is his chief priority, or if I am talking to a future candidate for the mayor of the city of Chicago,” Gutierrez said.

FOOTNOTE: Emanuel never liquidated his political war chest when he joined the White House; as of April 15, he had $1,175,109.76 cash on hand that could be transferred to a mayoral campaign.

* The Trib runs down the negatives

But back in Chicago, where Emanuel made his political bones, the former congressman and political insider’s sharp elbows and national cachet aren’t much of a guarantee that he will replace the man who remains firmly in control of Chicago.

Just ask the Daleys.

“Absolutely not, and I don’t think anyone would say that,” said Cook County Commissioner John Daley when asked Tuesday if Emanuel would be the front-runner in a mayor’s race that didn’t involve his brother. “And I don’t think (Emanuel) would say that, knowing the electorate of Chicago.”

A return home to run for mayor means Emanuel, who renewed his interest in the job on national TV Monday, would have to address some long-standing political baggage. Questions abound about his quick stockpiling of wealth on Wall Street, help from a Daley patronage army to win a seat in Congress and chats with disgraced ex- Gov. Rod Blagojevich about filling a vacant U.S. Senate seat.

* And Congressman Quigley shoots down the whole idea

“This is all b.s. The mayor is running again,” Quigley answered adamantly, not using the abbreviation. […]

“I’ve met with the mayor three or four times since I’ve been elected,” Quigley said. “He is focused. He is knowledgeable. And I think he wants to go out on his own terms, whenever that is.”

On top of that, maybe there is a little inside information.

“I hear their operation is getting put together,” Quigley said, meaning that he has been told by others that Daley is assembling a political team in preparation for a 2011 re-election bid. He couldn’t supply any details.

* And Fran Spielman writes that Rahm’s trial balloon, if it was that, didn’t go over well on the 5th Floor

Mayor Daley’s popularity is at an all-time low, city finances are in the toilet, the Olympics went to Rio and his wife, Maggie, is battling a series of cancer setbacks.

So Rahm Emanuel’s announcement that he’d like to be mayor some day understandably touched a nerve in the Daley camp.

* Campaign and Statehouse roundup…

* Brady, Quinn release tax returns

* Gov. Pat Quinn pressures rival Bill Brady into releasing tax returns

* Brady Gives In, Agrees to Make Tax Returns Public

* ‘Tax-return politics’ vex candidates

* Is a candidate’s 1040 important 411?

* Quinn abandons pal Claypool in assessor race

* Quinn reacts to reports of Cohen as possible independent opponent

* Quinn to Cohen: Bring it on

* Downstater sure to win as lieutenant governor

* Keats pushes reforms, slaps Madigan, Berrios

* Tested waters are clear: Don’t raise tolls

* Liberate the kids

* David Leuthold: Proposed debt settlement law would hurt consumers

* Our View: When will we learn? Texting, driving a bad mix

* Illinois Senate says no to four-day school week

* State Capitol Q&A: Legislation would regulate eyeball tattooing

* Quinn wants review of state vehicles after DUI flap with Senate leader’s son

* Quinn Calls for Review of State-Licensed Vehicles

* Cullerton says he’ll look into limiting fleet

* Illinois legislators can’t let Chicago’s convention industry slip under the waves

  29 Comments      


The SJ-R’s straight talk on remap plans

Wednesday, Apr 21, 2010 - Posted by Rich Miller

* Editorial pages almost always parrot the reformers, even (or especially) when they don’t fully understand the issues at hand. Today’s Sun-Times editorial blasting the Democratic redistricting reform proposal and supporting the Republican-backed “Fair Map” plan is a case in point

In the post-Blagojevich era, a time when Illinois voters are fed up with the status quo, we refuse to back another reform-lite proposal.

The Fair Map Amendment would bring real, meaningful reform to Illinois. Anything less is simply more of the same.

The state’s edit boards are basing most of their opinion on op-eds like this by League of Women Voters President Nancy Marcus

Support the Fair Map Amendment. Let your voices be heard because if you don’t the proposal that is being rammed through the Legislature just might be worse than the system we currently have.

But, lo and behold, the Paul Simon Institute thinks that both proposals qualify as reform

“Our position is both of these plans are reform, and the Paul Simon Institute wants reform.”

That quote was contained in an editorial today by the State Journal-Register, which also dinged Ms. Marcus a bit…

But the Democrats, who are looking out for their own interests in rejecting the Republican/reform group plan and writing their own, make a point that is difficult to quarrel with: Is a nine-person commission, in which eight members are picked by the legislative leaders, going to be truly independent?

The answer is not definitive to the point that the reformers can assert, as League of Women Voters President Nancy Marcus did on this page on Sunday, that the Democratic plan “just might be worse than the system we currently have.”

That notion should be flatly rejected. While it has flaws, the Democratic plan is not worse than allowing a lottery determine which party gets to draw the map, as the current system does.

The SJ-R and the Paul Simon Institute would like the Democrats to “tweak” their proposal to require a three-fifths majority to pass a new map. Doing so, they say, would protect the rights of the minority party.

If the majority and minority parties could be trusted to compromise in good faith, that might not be a bad idea. But the Statehouse political waters are poisoned right now, so I’m not sure if anything would pass under that proposal. Still, it’s something, and the SJ-R ought to be commended for not falling into the old trap of believing everything reformers say. After all, the Cutback Amendment was a highly touted and very popular reform back when it was put on the ballot. It didn’t work out so well.

It’s been my experience over the years that almost all reformers are good, decent people who want to do what’s right. But nobody’s arguments should ever be given a free pass in the political arena. Challenging them to make their cases shouldn’t be seen as an insult to the reformers, instead, putting some thought into proposed ideas is supposed to be the American way.

  16 Comments      


*** UPDATED *** LIVE VIDEO of the “Save Our State” rally

Wednesday, Apr 21, 2010 - Posted by Rich Miller

[Bumped up for visibility and updated.]

* We’ll be posting videos throughout the day. I’m not sure when this stream will start [UPDATE: I’m told the live stream will begin at around 11 o’clock], but organizers say we’ll be able to watch today’s massive Statehouse rally live right here


* Street closures

* Capitol Avenue — closed at 6 p.m. Tuesday between Second and Third streets.

* Monroe Street between Second and Pasfield streets — the south parking lane and next two driving lanes will be closed at 8:30 a.m. Wednesday for bus drop-off. The north parking lane and driving lane will remain open for traffic use.

* Second Street between Monroe and Jackson streets will be closed at 9 a.m. Wednesday

* Second to Edwards, Edwards to College, College to Monroe and Monroe to Second will be closed at noon to allow for a march around the Capitol complex.

* 9:18 am - You can follow the rally on Twitter. The hashtag is #sosrally. Here’s the link.

* 9:45 am - My intern Dan Weber has a video shot of the stage across the street from the Capitol, where supporters will gather. Take a look


* 9:53 am - From the Tweet stream come two pics of the rally. Two Jumbotrons are being set up and IEA members are starting to arrive.

* 9:57 am - Some pre-rally news coverage…

* City prepares for massive Statehouse rally

* Thousands expected at Capitol rally today to protest teacher cuts

* 10:19 am - More video from Dan. The crowd begins to gather


And the governor commented on today’s rally yesterday…

“Tomorrow’s rally will show there’s a lot of people in Illinois, a great majority, that don’t want draconian cuts in education,” Quinn said of [today’s] rally.

* 11:22 am - I’ve been hearing for days that AFSCME has been planning some sort of “action” to “shut down” the Statehouse today. That’s still possible, but not long ago, some SEIU protesters were chanting “Shut it down now!” Barton has the video


* 2:00 pm - The crowd in the Statehouse has thinned out, but the intersection of South 2nd and Capitol Streets was packed for this morning’s rally. Take a look at the crowd from the stage…


Union leaders addressed the crowd. The first was AFSCME 31’s Henry Bayer…


Next was Keith Kelleher from SEIU…


Followed by IFT’s Ed Geppert…


* 2:20 pm -Demonstrators marched around the Capitol complex before entering the building. Here’s a quick video of what that looked like…


* 2:40 pm -The march ended in the Statehouse. Despite concerns from the Secretary of State’s office that too many people would try to enter the building, Capitol Police officers did not stop people. From the looks of it, demonstrators came in, walked around for a while and then went back outside. But the areas around the rail were still full. This was the scene looking down from the fourth floor…


Meanwhile on the first floor, union leaders led a series of chants…



  74 Comments      


“iTunes tax” is a hot topic today

Wednesday, Apr 21, 2010 - Posted by Rich Miller

* The so-called “iTunes tax” made the front page of today’s Sun-Times

Even a trip to iTunes for a new song or movie may soon be within the grasp of Illinois’ tax collectors.

Imposing the state’s 6.25-percent sales tax on downloaded songs and movies surfaced as a new money-making idea Tuesday from Gov. Quinn’s administration to help bail out the state from its $13 billion deficit. […]

Now, digital downloads are not taxed by state government, depriving Springfield of up to $10 million in revenues annually. But that figure could grow over time as more people download entertainment from Internet sites such as iTunes and Amazon. […]

Under Quinn’s proposed download levy, $9.99 albums would carry a 62-cent tax while $14.99 movies would have 94 cents in sales taxes tacked on.

But doing so in Illinois won’t happen without a fight from Republicans, who criticized the plan.

“It will be an interesting education for younger voters about the reach of the state’s treasury into their pockets,” said Sen. Matt Murphy (R-Palatine). “I don’t suspect it’ll be well received at all.”

Since 2007, 19 states have imposed similar download taxes, including Indiana, Wisconsin, New Jersey, Nebraska, South Dakota, Tennessee, Utah, Kentucky, Mississippi and Washington, according to the National Conference of State Legislatures.

More info

A spokesman for NetChoice, an advocacy group whose clients include Yahoo! and eBay, said digital songs and movies shouldn’t be considered equivalent to a physical CD or DVD.

“The sales tax shouldn’t necessarily apply in the same way, or even at all,” NetChoice spokesman Braden Cox said.

Vaught argues that they’re selling goods to Illinoisans, and should have to pay tax on those sales.

“They shouldn’t get a pass,” Vaught said.

It’s not at all clear yet whether this will actually be part of the final package, but I am curious what you think.

* There are other proposals on the table, although many listed by the Tribune today are actually now off the table

Still far from being approved, the additional taxes being discussed range from raising the $50 million a year tax on canned computer software, a proposal ex-Gov. Rod Blagojevich tried to pass but failed, to a sales tax on downloaded music and videos, according to Republicans who distributed the list of potential tax revenues.

Other proposals on the list would tax plastic grocery bags a nickel a piece and little cigars at the higher rate of cigarettes. A nickel-a-bottle deposit fee is another idea on the table. But Quinn’s budget director, David Vaught, said late Tuesday that the grocery bag and bottle deposit fees were part of a draft list, but did not make the final cut and are not being considered.

The governor’s proposal also proposed the option of eliminating a business tax credit for research and development. […]

Quinn also proposed selling off a portion of the revenue from a years-old tobacco lawsuit settlement, which his office estimates will generate approximately $2 billion to help pay down the estimated $6 billion backlog. The governor is also asking lawmakers to extend the time the state has to pay overdue bills in the hopes they will approve an income tax increase to help plug budget holes.

* The fine print from Finke

Quinn’s latest plan includes dipping into emergency reserves and the tobacco settlement fund, additional borrowing and assumes passage of both a cigarette tax increase and the 33 percent income tax surcharge Quinn’s proposed for education.

The plan also contains and an extra $400 million in budget cuts and gives the state an extra four months to pay off last year’s bills, according to Quinn’s budget office. Overall, the plan leaves the state about $2.9 billion in the red at the end of next year. Quinn’s original plan assumed more than $6 billion in bills would be unpaid.

However, Senate Minority Leader Christine Radogno, R-Lemont, said it appears Quinn is shifting money around and is actually making only $900 million in budget cuts, if that.

“There’s been a lot of talk about potential cuts,” Radogno said. “For whatever reason, the cuts they initially talked about have not come to fruition. I have asked for the list of specifically what has been cut. They promised to get me that.”

* And this is a handy spin

Thousands of state vendors could face the prospect of having to go to court to collect money they are owed by the state.

In a memo to legislative leaders Tuesday, Gov. Pat Quinn acknowledged the possibility that the state’s budget mess could force angry vendors to file lawsuits with the Illinois Court of Claims this fall.

The Chicago Democrat told the leaders that he wants a change in law in order to avoid the looming legal showdown.

“I think there’s an understanding that we have to do something,” Quinn budget chief David Vaught told reporters in the Capitol.

Let’s extend the lapse period by four months because it’s for the vendors’ own good! Great.

  41 Comments      


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Wednesday, Apr 21, 2010 - Posted by Rich Miller

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*** UPDATED w/ Coverage *** Blagojevich lashes out

Wednesday, Apr 21, 2010 - Posted by Rich Miller

* I’ll post the stories in a bit, but here’s video of Rod Blagojevich blasting US Attorney Patrick Fitzgerald for going after his wife. It’s a must-see


*** UPDATE *** OK, here’s the coverage, starting with the transcript of the former governor’s weird rant for those who can’t watch videos.

Now, onto the news coverage. Sun-Times

In a two-minute, blustery address, a finger-waving former Gov. Rod Blagojevich summoned U.S. Attorney Patrick Fitzgerald to show up in the federal courthouse today at high noon.

“I challenge Mr. Fitzgerald. Why don’t you show up in court [Wednesday] and explain to everybody, say to the whole world, why you don’t want those tapes that you made played in court,” Blagojevich said at a news conference. “I’ll be in court tomorrow, I hope you’re man enough to be there tomorrow, too.”

Blagojevich accused the government of trying to sneak into court to try to block the ex-governor from playing all the recordings in trial. There is a previously scheduled court status date in Blagojevich’s case at noon today and the prosecutors trying the case — not Fitzgerald — are expected to show.

Blagojevich, wearing a bit of makeup, scheduled his remarks for 5:03 p.m. — just in time for three TV networks to carry it live. He called prosecutors “cowards” and “liars” and then took no questions from reporters.

Blagojevich was speaking loudly and clearly: to potential jurors, said former federal prosecutor and defense lawyer Dean Polales.

Tribune

It’s unclear how the tactic will play out in court just six weeks before Blagojevich’s trial is set to begin, but as an exercise in media manipulation, it worked spectacularly. Nearly a dozen news cameras were on hand to hear Blagojevich lay on the mustard, and several TV stations aired the remarks — scheduled for precisely 5:03 p.m. for their benefit — live on their evening newscasts.

He spoke for just two minutes, then took no questions.

Blagojevich and his defense team have long aggressively gotten the former governor’s version of events to the public. On recent appearances on NBC’s “Celebrity Apprentice,” he repeatedly trumpeted his innocence to a national audience.

The ex-governor’s Florida-based publicist had hyped Tuesday’s media event by promising that Blagojevich “will make the strongest public statement to date concerning the charges he is facing.”

And the former politician seemed to deliver, calling prosecutors “cowards and liars” for “attacking” his wife, Patti, by alleging she was used corruptly to get the governor money through bogus real estate commissions.

ABC7

While Rod Blagojevich’s strategy of going on the offensive and playing the victim could appeal to some, former assistant U.S. attorney Patrick Collins, who helped convict former governor George Ryan warned it could backfire.

“What he said tonight with the name calling and personal invective directed at Fitzgerald,” Collins said. “I would be shocked that the judge doesn’t have something to say about that in court.” […]

“Sometimes the best defense is a good offense,” said Collins.

Collins says Blagojevich’s statement is consistent with his strategy so far — go on the offensive and play the victim.

Chicago Public Radio

Former Illinois Governor Rod Blagojevich says he’ll be in court for his scheduled hearing today and he’s challenging the top federal prosecutor in Chicago to also show up.

Today’s court hearing isn’t anything more than going over some procedures and recent filings to get ready for Blagojevich’s corruption trial in June. Those recent filings include what’s called a Santiago proffer, which included an entire section titled “Steering Money to Blagojevich’s Wife.”

* Zorn: Get ready for `It Ain’t Fair! The Squeakquel’

  31 Comments      


Live video of Blagojevich making a fool of himself… again

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* If you’re so inclined, the good folks at CBS 2 in Chicago are livestreaming Rod Blagojevich’s 5:03 pm media appearance.

Click here to watch. Live-blog in comments to help us out, please.

As a refresher, here’s Blagojevich’s press release from earlier today…

The former governor of Illinois Rod Blagojevich will make the strongest public statement to date concerning the charges he is facing.

Blagojevich has steadfastly denied any wrongdoing and says he is innocent of all charges.

The former governor will react to developments in this case.

  53 Comments      


This just in… Brady to reveal tax returns

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* 3:04 pm - Two days of heat is all it took. From a press release…

Governor candidate Bill Brady today said to avoid distracting from the failures of the Quinn/Blagojevich Administration, he will make available his income tax returns this week.

“Pat Quinn wants nothing more than to turn attention away the failures he has led us to,” Brady said. “I won’t let anything stand in the way of my determination to bring a clean break to Illinois.”

Brady noted that Quinn has earned his income from taxpayer money while he himself has worked in the private sector.

“Today just shows again that Pat Quinn is part of the public sector ruling class,” Brady said.

Um, Bill, what about that Senate salary? Isn’t that “taxpayer money” too?

Thoughts?

…Adding… Here’s the repost of the Pat Quinn Statehouse presser earlier today where he slammed Brady for refusing to release his returns


  43 Comments      


Post-meeting leader videos, Quinn on Leaders/Rahm and Lisa on Rahm

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Senate Republican Leader Christine Radogno talked to reporters after the leaders meeting today about the governor’s proposals that I’ve already outlined below.

Radogno claimed that the proposed cuts don’t really add up to $2.6 billion because Quinn wants to add spending back into the plan. She claimed the cuts really added up to only $900 million, while Quinn wants to do $9 billion in borrowing and new taxes. Have a look


* House Republican Leader Tom Cross, like Radogno, was asked about a six-month budget. But, like Radogno, Cross said it wasn’t discussed. Take a look


* Quinn’s budget director David Vaught talked about extending the lapse period by four months and how that helps vendors avoid the court of claims. Actually, it helps the state avoid the court of claims. Either way, watch


* In case you missed it below, Gov. Quinn told Chicago reporters that he wants a review of leadership use of cars

“This is an alarm bell that we need to pay attention to,” Quinn said. “Especially in these times of austerity, we need to look at where all state vehicles are, how they are used, where they’re assigned, and I intend to pursue that.” […]

Quinn said it is “absolutely wrong” for state-owned vehicles to ever be used by family members or anyone not working for the state, but he stopped short of saying top lawmakers should be stripped of the perk saying he planned to meet with legislative leaders and discuss the issue this afternoon.

The governor did suggest the legislative branch could face budget cuts that would force the General Assembly to reconsider some purchases.

“It bears inspection, and this is a good time to do the inspecting,” Quinn said. “We have a tough budget, we have to tighten the budget. Any information that we have that indicates that a vehicle is not necessary, then we will act appropriately.”

* Quinn and Attorney General Lisa Madigan both commented on the Rahm Emanuel for mayor kerfuffle.

First up, Quinn, who cracked that he knew Rahm when “he was an idealist” back in 1980

Lisa

  9 Comments      


This just in… Quinn to increase cuts, delay creditors

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* 12:57 pm - The day before thousands of protesters are planning to descend on Springfield to decry the governor’s proposed budget cuts, Gov. Quinn is telling legislative leaders today that he wants to increase budget cuts by $400 million.

Quinn also wants to lengthen the lapse spending period by four months, which would give the state even more time to pay bills from one fiscal year to the next.

From the guv’s office…

In addition to the proposed $2.2 billion in cuts the Governor proposed on March 10, he is calling for authority under the emergency budget act to cut $400 million additional funds from the budget. This would bring the Governor’s proposed total cuts to $2.6 billion. The Governor is also requesting an extension of the lapse period for payments to vendors in an effort to ensure all payments owed are received. The lapse period would be extended from Aug. 31 to Dec. 31.

Currently, we have more than $6 billion in accounts payable. This detailed plan reduces those bills to $2.9 billion by using strategic measures which include borrowing excess money from other state funds and partially liquidating the revenue from the tobacco settlement. Both of these strategies will net the state $2 billion dollars to help stabilize the budget, pay our bills, refinance our debt and keep people employed.

The truth is we need revenue. The education surcharge will generate $2.8 billion dollars that will be used to fund education while keeping tens of thousands of people employed. Education is a top priority for the Governor. He is committed to raising needed revenue in order to continue to provide excellent educational opportunities for our students.

Governor Quinn inherited these fiscal challenges that were created over several years of budget mismanagement and this detailed plan provides the solutions to get the state back on sound financial footing.

Quinn’s budget office also distributed these two graphs. Click the pics for larger images…

We’ll have video from the post-meeting leader availabilities, so check back.

  46 Comments      


*** UPDATED x2 *** Quinn says “something not right” about Brady’s refusal, suggests Brady “rethink” his candidacy

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Gov. Pat Quinn got a bit harsh with Sen. Bill Brady today

Democratic Gov. Pat Quinn released his tax returns today and turned his disclosure into a campaign issue by calling on Republican rival Sen. Bill Brady to do the same or drop out.

The governor said there is “something not right” about Brady’s refusal to release his tax information, suggesting Brady is trying to hide business interests that could conflict with holding the state’s top office. […]

“As everyone knows we’ve had two governors preceding me that got into a lot of trouble, one’s in jail, one’s under indictment,” Quinn said, referring to predecessors George Ryan and Rod Blagojevich. “ Illinois doesn’t need a shady governor. I think it’s very important we have a governor that’s open, direct, and accessible.”

“I think anybody who wants to aspire to this office and doesn’t want to disclose their tax return really should re-think their candidacy, because I think this is fundamental to making sure the governor of our state does not have any conflicts of interest that would in any way harm the people of Illinois.”

More

“The senator said he’s concerned such a disclosure would harm his business interests. Then the question is what are those business interests and do they conflict with the public interest,” Quinn said.

Thoughts?

…Adding… Listen to the audio from this morning’s Quinn statement by clicking here. The governor also whacked Sen. Brady during a brief Springfield appearance and we’ll have that video in a bit, so check back.

…Adding more… The Quinn campaign is pushing back against the notion that it said Brady ought to release his returns or drop out. The Tribune interpreted it differently, and so did I. But just so you know, the Quinn campaign doesn’t see it that way. The headline has been adjusted to reflect that protest.

*** UPDATE *** As mentioned above, Quinn talked to Statehouse reporters today about the Brady income tax issue.

“Sen. Brady says he doesn’t want to hurt his business interests by disclosing his income tax. Well, wait a minute. If you’re going to be the governor the number one interest is the public interest, not your private business interest that you want to keep hidden.”

Quinn also talked about the possibility of Scott Lee Cohen entering the governor’s race. Quinn said he ran into Cohen at a ballgame and Cohen told him to be prepared for a “big surprise.”

Have a look


*** UPDATE 2 *** Brady is disclosing his tax returns. I’m gonna shut off comments on this one. Go to the brand, new, super-fresh post.

  43 Comments      


Quinn sticking with Berrios; Blagojevich to blabber some more

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* This is not unexpected, since Quinn endorsed Joe Berrios in the primary and bashed Dan Hynes’ father for leaving the Democratic Party to run for mayor against Harold Washington…

Gov. Pat Quinn Tuesday made it clear that a longtime friend, Forrest Claypool, is on his own in his race for Cook County assessor.

“I supported the Democratic party nominee in the primary (election),” tax appeals Commissioner Joseph Berrios, Mr. Quinn told a Chicago press conference. “I’m a Democrat. That’s where I’m going to be” in the November general election. […]

Politically, Mr. Quinn’s stance could cost him if Mr. Claypool gets enough signatures on petitions to run as an independent candidate. But Mr. Claypool stands to lose, too, given Mr. Quinn’s influence among African-American voters in particular.

And even though the announcement was predictable, it’s also pretty predictable that the Chicago Tribune is gonna hammer Quinn - and probably everybody else that goes with Berrios - for this.

* Meanwhile, we got a “revelation” today from the Illinois Policy Institute…

In total, the Maine Workers’ Compensation Commission spent around $5 million on wages or approximately half of the $11.5 million that Illinois spent in 2008.

Maine population = 1,318,301
Illinois population = 12,910,409

…Adding… This “Urgent News Alert” was just sent by Blagojevich’s PR dude

What: Rod Blagojevich statement

Why: To comment on new developments in his case

When: 5:03pm Central

Where:
Outside the Law Office of Sam Adam and Sam Adam, Jr.
6133 South Ellis Avenue
Chicago, IL 60637

More information:
The former governor of Illinois Rod Blagojevich will make the strongest public statement to date concerning the charges he is facing.

Blagojevich has steadfastly denied any wrongdoing and says he is innocent of all charges.

The former governor will react to developments in this case.

EDITORS PLEASE NOTE: For stations planning to carry this statement from Rod Blagojevich live, please be advised that it will begin promptly at 5:03pm CST.

Gov. Blagojevich will not be available for any interviews or comments prior to the 5:03pm Central statement.

Out of respect for his children, please avoid reporting or videotaping at or near his Chicago residence.

  26 Comments      


Question of the day

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Below is Gov. Pat Quinn, state Rep. David Miller (the Democratic nominee for comptroller) and some beast or another…

* The Question: Caption?

  50 Comments      


Today’s music video

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Torri Griffin sings Mr. Daley


Money in their pockets
Stacking like skyscrapers

  5 Comments      


*** UPDATED x1 *** It’s time to open the leaders’ books

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Garritt Cullerton’s DUI while driving a state car assigned to his Senate President father without permission has sparked questions about just how many state vehicles are controlled by legislative leaders. The Tribune comes up with the answers

The assignment of state vehicles to the four partisan leaders of the state Senate and House was part of a little-known provision of a law passed in 1984 that eliminated controversial legislative commissions that had become bloated by the salaries of lackeys and relatives. One panel that was eliminated had a dozen vehicles, and the four legislative leaders divvied them up. The legislature has bought new vehicles since that time through its operations account.

Cullerton’s office said the Senate currently owns six vehicles, three used by Democrats and three by Republicans. The fleet includes three late-model Ford Escape hybrids, two Tauruses and a 2005 Dodge Caravan.

The House clerk’s office under veteran Democratic Speaker Michael Madigan of Chicago said the House has eight vehicles. A spokeswoman for House Republican leader Tom Cross of Oswego said Cross primarily uses a 2007 GMC Yukon, but Republicans also use a 2003 Chevrolet Trailblazer and a 2005 Chrysler 300 C. The five other House vehicles include 2007 Ford and Chrysler vans, a 2004 Chrysler Concorde, a 2006 Chrysler 300 and the newest vehicle, a 2010 Mercury Milan hybrid. […]

Senate Republican leader Christine Radogno of Lemont uses one of the SUVs to drive while in Springfield, spokeswoman Patty Schuh said. She said another car is kept at the Chicago office for the use of staff and other lawmakers, and the van is used by staff for deliveries to district offices.

The governor’s office is assigned state vehicles and the executive branch is co-equal to the legislative branch, so while I can surely see the reasoning behind any outrage, it’s best to keep this in perspective.

Still, I’ve been around 20 years and I don’t remember any previous stories about those cars.

Leadership spending is super-secretive, so it’s high time that they open their books and let everybody see just what the heck is going on over there.

As far as the younger Cullerton’s traffic stop record goes, well, that’s not good, either. But, as with yesterday, I would rather avoid this particular topic. They tend to get way too overheated. Also, in case there’s any question about what happened to that car in question, ABC7 has the answer

Cullerton’s spokeswoman says the Ford Escape was impounded by the Chicago Police Department Sunday and that President Cullerton himself paid the fee to get the vehicle released from the auto pound.

*** UPDATE *** Gov. Quinn has called for a review of leadership use of cars

“This is an alarm bell that we need to pay attention to,” Quinn said. “Especially in these times of austerity, we need to look at where all state vehicles are, how they are used, where they’re assigned, and I intend to pursue that.” […]

Quinn said it is “absolutely wrong” for state-owned vehicles to ever be used by family members or anyone not working for the state, but he stopped short of saying top lawmakers should be stripped of the perk saying he planned to meet with legislative leaders and discuss the issue this afternoon.

The governor did suggest the legislative branch could face budget cuts that would force the General Assembly to reconsider some purchases.

“It bears inspection, and this is a good time to do the inspecting,” Quinn said. “We have a tough budget, we have to tighten the budget. Any information that we have that indicates that a vehicle is not necessary, then we will act appropriately.”

  48 Comments      


Behind the Brady push and a missed opportunity?

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* On Saturday, Bill Brady’s campaign invited a few bloggers to discuss the issues for 15 minutes. Among other things, he was asked this question by the Illinois Review

Do you have a couple of wedge-type issues to appeal to Cook County? One of the issues has been that you’re not well known in Cook County, and there’s been some kind of pessimism about you being able to reach into some of the minority communities.

Brady’s response…

…The school choice thing appeals to people. The term limits thing appeals to people. When you reach into the minority communities, which we have been horrible at.

Last general election for governor, we got 14 percent of the black and Latino vote. That’s 25 percent of the vote, by the way. We cannot ignore it. When we asked why, we blatantly found out that it’s not because of issues. Those communities are with us on the family issues. They’re with us on the school issues. The problem is, we’ve been AWOL. The Democrats have been propagating those communities, if not monthly, weekly, then daily. Our message has got to be inviting. We simply haven’t invited. The school voucher is helping us. The big box issue is helping us. Fresh food, jobs, affordable food, a say in your child’s education.

Those are some valid points, but some of his numbers are off. According to the exit polling, blacks and Latinos made up 20 percent of the 2006 gubernatorial vote, not 26. Judy Baar Topinka got 16 percent of the African-American vote and 12 percent of the Latino vote, so that is 14 percent on average.

Historically, though, when Republican candidates talk about winning minority votes, it’s mostly about appearing to be open-minded to more moderate white folks, not really an all-out push for black votes (the Latino vote was kinda up for grabs a while back, but national GOP immigration policies pretty much spoiled those chances).

That’s not a bad thing at all, of course. Having a Republican candidate talking about issues impacting minority areas is a positive thing. But this isn’t about winning that vote. It’s about winning.

* Chicago Public Radio is the only media outlet that appeared to even remotely connect the dots today between Republican Mark Kirk’s call on Alexi Giannoulias to release his tax returns and Democrat Pat Quinn’s demand that Republican Bill Brady release his returns.

I point this out because it’s an interesting little battle we have going on here right now at the top of the ticket. It’s not an exact comparison, since Giannoulias filed for an extension (although he did provide WBEZ with his paperwork) and Brady is just flat-out saying “No” when asked about his returns. The advantage, then, goes to Quinn, who might conceivably use Kirk’s demands against Brady, but hasn’t. That’s partly because Quinn has no real campaign organization in place. Here’s part of what Kirk said

“I worry the coming implosion of his family bank may have tax implications for him, and therefore he’s not willing to release his taxes,” Kirk said.

Brady has previously admitted that his family businesses are suffering mightily during the Great Recession. So, the connection is there.

* Related…

* Huntley: State should embrace Meeks’ voucher bill

* Kirk: Federal money needed for corruption probes

* Senate candidate Kirk blasts rival Giannoulias for not releasing income tax returns

* Herald & Review: Secretive actions reveal a problem

* Gabel sworn in as 18th District state representative

* Halvorson holds money lead in 11th District race

* Third candidate to run in 56th House District race

  8 Comments      


The harsh reality of tomorrow’s big rally

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Keep in mind that while tomorrow’s big Statehouse rally opposing budget cuts and favoring a tax hike will bring in as many as 15,000 people, Springfield rallies rarely succeed unless that success is already ordained

But the rally probably won’t push politicians to support a tax increase in an election year, many lawmakers said.

“To say that is going to rally enough support for a tax increase, I don’t think so,” said state Rep. Dan Brady, R-Bloomington. […]

“You got rallies going on today in my area against taxes,” said state Rep. John Bradley, D-Marion.

Case in point, supporters of the Equal Rights Amendment brought even more than 15,000 people to Springfield for a rally back in 1982, to no avail. However, a huge rally that same year sponsored by labor organizations against a move by GOP House Speaker George Ryan to bring a “right to work” bill to the floor did work. The difference is, that bill wasn’t going anywhere anyway. It would’ve been vetoed by Republican Gov. Jim Thompson if it ever advanced to his desk, which was doubtful.

* And when the Republican gubernatorial nominee is pushing for huge cuts in programs and is adamantly opposed to a tax increase, there is just no political cover at all for a tax hike now

Converting one state government agency into an advisory group, and renegotiating employment contracts at another agency, are two of the ways that the Republican running for governor would save taxpayer money.

State Sen. Bill Brady (R-Bloomington) would change the Illinois State Board of Education from a policy-setting agency to one that would only advise the governor.

Brady says the $80 million agency is currently more of a hindrance to education than an administrator. He also complains about accountability at the board, saying everyone there points their fingers at everyone else. “Harry Truman would have a field day with where the buck stopped,” Brady said.

Brady also says he would renegotiate contracts for Illinois State Police troopers and civilian workers, because he says the salaries and pension are too sweet compared to those in the private sector.

* But the anger at Springfield is palpable among rally organizers. Here’s a quote from David Comerford, a spokesperson for the Illinois Federation of Teachers

“No politician will be speaking at the rally. They’ve done enough talking without acting,” said Comerford. “They need to hear from us.”

It ought to be an interesting day.

* Related…

* Nursing home reformers push for more staffing

* State’s financial crisis threatens existence of smaller agencies

* Truth in taxation

* Students speak out against budget cuts

* KCC, other schools see enrollment soar, state funding sink

* College Officials Say MAP Funding Almost Gone

* Pension Reforms Confuse Some Teachers

  18 Comments      


League admits reality, remains upbeat and defiant

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* The League of Women Voters finally acknowledged yesterday what many have known for a while. Their “Fair Map” petition drive to change the redistricting process is coming up way short

More than 120,000 people have signed petitions to get the proposed citizen initiative on the ballot, but that’s less than 50 percent of the 288,000 needed. Amendment supporters had hoped to finish the petition drive by April 1.

The coalition behind the amendment, which includes the League of Women Voters, said the fight is not yet over.

“It’s two weeks before we have to file,” said Jan Czarnik of the League of Women Voters. “If we do fall short, it’s only because we haven’t had enough people circulating petitions in such a short amount of time.”

The League remained upbeat and defiant in Springfield yesterday, even though its original goal was 500,000 signatures by April 1st, to ensure that it had enough valid signatures to qualify for the ballot…

“We’re not having so much trouble; it’s two weeks before we have to file,” Jan Czarnik with the League of Women Voters said… “This is the easiest public education campaign (the League has) ever undertaken,” she said. “Our petition circulators get as far as saying ‘Hello, did you know that the members of the General Assembly draw the districts for which they run for reelection’–the voters are appalled by this and angered by this.”

* But a southern Illinois League leader was far more realistic

Roughly 1,100 signatures were collected from Southern Illinois by the League of Women Voters of Jackson County, who took the lead on gathering petitions earlier this year.

League representative Dorcy Prosser of Carbondale said it was simply difficult to get people passionate about something as esoteric as legislative districts, and the fact Republicans began supporting the Fair Map amendment put a political spin on things that repelled others.

“I certainly hope we can get it on the ballot, but obviously it’s looking questionable,” Prosser said.

That’s pretty much the exact opposite of what Czarnik told Springfield-based reporters yesterday.

* The controversial League alliance with the Republicans mentioned by Ms. Prosser was also the subject of a press release issued this morning by State Sen. Marty Sandoval (D-Chicago). Sandoval demanded that people not sign the petitions…

Dozens of Republican operatives and a few self-styled reformers are asking Illinois citizens to sign a petition. This petition, called the Fair Map Initiative, would create very unfair representation of the largest minority group in Illinois: Hispanics. Even though Hispanics are responsible for all the population growth in llinois over the last decade (and thus due for a major increase in representation in local, county, state and federal levels with new maps drawn after the census), if the Fair Map Initiative is implemented, Hispanics will not see a proportionate and fair increase in Hispanic-majority districts.

I joined with my Democratic colleagues in the Illinois Senate to improve the transparency of the map-making process while my Republican colleagues voted against our proposal, preferring a process that would put a lid of Latino representation. Now they are hoping to build another wall between Hispanics and our government with the “Fair Map Initiative.”

Republicans will be on the streets until early May asking for your signature on the petition. If you are approached, I suggest you take the advice of one of the country’s most beloved Republicans, former First Lady Nancy Reagan: Just Say No!

The League has until May 3rd to turn in its signatures. Two years ago, the League opposed a constitutional convention, partly on the grounds that changes could be made to the existing constitution via the amendment process. They’re finding now that it isn’t so easy.

  31 Comments      


*** UPDATED x2: Gutierrez blasts Rahm idea, Quinn responds *** Daley gets a pass and Emanuel talks about a mayoral run

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Another Tribune editorial that conceals important information

Mayor Richard Daley spoke for many Illinoisans Monday when he evoked a “Springfield bubble” in which lawmakers are oblivious to the economy around them and unwilling to bleed inefficiencies out of their operations. [Daley’s] government’s latest economizing involves asking vendors to renegotiate their contracts with a goal of cutting the city’s costs. Last week he announced an audit of health benefit rolls to purge ineligible employees or dependents — people who aren’t entitled to city-paid medical care but who receive it courtesy of taxpayers

The editorial was based on this story

“We’re doing everything here, and the state and federal governments are not doing that,” Daley said, adding he wasn’t pointing fingers at specific politicians. “It does get you upset. You figure why are they immune from the economy — that people are suffering.

“They don’t understand that this is a national recession. They are living in — they call it the Washington or Springfield bubble.”

And this one

“There isn’t one state employee or federal employee taking any time off. You wonder, why not? Don’t they realize that this is a national recession? Don’t they realize that people are suffering? There’s where the disgruntled attitude is — that they don’t get it. … They’re living in the Washington or Springfield bubble.”

Not one mention in any story or the Tribune’s editorial that Daley totally and unequivocably opposes a plan by Gov. Pat Quinn to slash state funding to local governments. Not one mention in the Tribune editorial that the paper is on record supporting an even deeper cut to local government funding. And not one mention in any story that the state does, indeed, have a furlough program for non-union employees.

The Tribune, as we’ve discussed before, is also on record supporting a move to slash pension benefits for current state and local government employees. I’ve already told you that the edit board bases its position on a report by Sidley Austin, a lawfirm which represents the Trib’s parent company in bankruptcy proceedings. The Tribune led off a pension cut editorial yesterday with a quote from Eden Martin of the Civic Committee. Not mentioned in the editorial is that Martin is “of counsel” to - you guessed it - Sidley Austin.

* Meanwhile, a story plastered all over today is absolutely no surprise. Rahm Emanuel has thought about running for mayor for a very long time. Before he got it into his head that he could be US House Speaker, mayor was at the top of his list. Now that the Speaker’s job is out of the question, mayor is back on the wish list

In an interview with PBS host Charlie Rose to be run late Monday night, Emanuel said he does not plan to run against Mayor Richard M. Daley, but he has his sights on the office if the mayor decides to retire one day,

“I hope Mayor Daley seeks reelection. I will work and support him if he seeks reelection,” Emanuel said. “But if Mayor Daley doesn’t, one day I would like to run for mayor of the City of Chicago. That’s always been an aspiration of mine even when I was in the House of Representatives.”

The transcript is here.

Video

*** UPDATE 1 *** From The Hill

In an interview with The Hill last week before Emanuel’s appearance on PBS, Gutierrez said Emanuel “better stay in the White House.”

“He’s not to get my endorsement anytime soon. He should stay in the White House, but then he can go make millions in investment banking,” Gutierrez said, referencing the Wall Street job Emanuel held between his post in the Clinton White House and his run for Congress in 2002.

Gutierrez, a Latino leader who has represented Chicago in the House since 1992, has criticized Emanuel’s performance as chief of staff and has expressed anger at what he sees as a lackluster push by the Obama administration for comprehensive immigration reform.

The 56-year-old lawmaker has also considered running for mayor himself, but in the interview he insisted he is not going to be leaving Congress any time soon.

*** UPDATE 2 *** From Chicago Sun-Times political reporter hotshot Abdon Pallasch’s Twitter feed

Gov. Quinn on ‘Mayor’ Rahm: “I thought ‘The World’ was enough. Ambitious fellow.”

  39 Comments      


Morning Shorts

Tuesday, Apr 20, 2010 - Posted by Rich Miller

* Squire Lance 1933-2010: Dem insider taught political science

At ease with all factions, he aided candidates ranging from Dan Walker to Dorothy Brown

* Squire Lance, 1933-2010: Veteran political and community organizer

* Chicago Civil Rights Pioneer Laid to Rest

Rev. Dr. Claude Wyatt passed away in his sleep on April 11 at the age of 88.

* WILL-TV to be off air for most of today

The station is installing a new emergency generator at its transmitter site in Monticello, which also broadcasts the public radio station WILL-FM 101.1.

* New Mississippi River Bridge work underway

The funding includes $313 million from Illinois, $115 million from Missouri and $239 million from federal resources for a total of $667 million.

Officials estimate the bridge project will create $25.3 billion in regional economic activity over the next 45 years. It is also expected to create about 2,200 primary and secondary jobs for the greater St. Louis Metropolitan area.

* Ground broken for Mississippi River bridge

Scheduled for completion in the middle part of this decade, the four-lane, cable-stayed bridge will divert Interstate 70 traffic from an existing bridge that’s one of just two in the nation that accommodate three freeways. The plan also allows for the bridge, designed to be two lanes in each direction, to be expanded by a lane each way.

* Fireworks mark start on new $670 million bridge

* Ground broken for Mississippi River bridge

* Quinn Hopes New Bridge Turns Around Economy

* Minorities seek share of bridge construction work

* Developers indicted over loans for East Loop projects

Romel Esmail and Bassam Haj Yousif of Global Real Estate Investors LLC are accused of using at least $3.6 million of loan proceeds for their own personal benefit — including the purchase of a vehicle, jewelry and other real estate….The two launched an effort to convert a building at 6 N. Michigan Ave. into condominiums and also acquired the nearby 59 E. Van Buren St. with loans from the former CIB Bank of Hillside.

* New CTA cars: ‘Cleaner, looks a lot safer’

* Ex-Cop: ‘Disaster Waiting To Happen’ At O’Hare

* Tribune: Put Chicago to work

This time we’re talking about a Wal-Mart Supercenter proposed for an empty lot between 103rd and 111th streets next to the Bishop Ford Freeway. Wal-Mart is the critical element in an ambitious development called Pullman Park, which would bring thousands of jobs to the Far South Side.

* Oswego: $6 million pool for new school?

* Aurora says not so fast: Wrong place for ex-cons

* Mokena again says ‘no’ to low-income senior housing

* Pontiac elementary school district faces investigation from AG

* Charleston council eyes budget, water/sewer increase

  2 Comments      


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Tuesday, Apr 20, 2010 - Posted by Rich Miller

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Protected: SUBSCRIBERS ONLY - Today’s edition of Capitol Fax (use all CAPS in password)

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