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Special session soon? Maybe so

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Illinois

* Yesterday, I told subscribers about this newsletter sent out Monday by the state’s school superintendent Christopher Koch. The superintendent’s main message was about the state aid bill which was then pending in the US House. It has since passed and been signed into law. Here’s what Koch had to say…

We believe that if the spending measure becomes law, the Illinois General Assembly would have to come back to Springfield to pass a supplemental appropriation and these funds would likely be distributed through General State Aid.

That certainly looked like we were going to need a special session to appropriate that cash, so I asked the governor’s office, the Senate President and the House Speaker for comment. Nobody was quite sure what they were going to do. The SJ-R has a story today which is essentially a carbon copy of mine…

Illinois lawmakers might have to return to Springfield in a special session if the state wants to spend more than $400 million in education aid it expects to receive from Washington.

Then again, maybe they won’t.

State officials were scrambling Wednesday to figure out just what they need to do and when in order for the cash-strapped state to tap into federal aid money approved by Congress Tuesday. The additional aid is expected to bring $550 million in Medicaid money to Illinois, along with the $400 million in education funds. […]

“We know some people feel (a special session is needed), but from our perspective we are reviewing the legislation, so it’s too early to make that decision,” said Kelly Kraft, spokeswoman for Quinn’s budget office, in a written statement. “It will probably be a few days before that decision is made.”

The reason legislative action could be required is because of the mechanics of the budget process. When lawmakers approve a state budget, they are authorizing the state to spend up to a certain amount in specific areas, like education or health care or public safety. The $400 million in federal education money wasn’t anticipated when lawmakers approved the budget, so at some point they have to formally authorize the spending.

Needless to say, a special session could get tricky, because there is so much unfinished business in Springfield. If they’re going to be in town anyway, why not address some of that other stuff, editorial boards, activists and Republicans might say.

* Meanwhile, the Tribune conducted a survey of several school districts and reports that about half the teachers laid off earlier this year will be called back, a number confirmed by the Illinois Education Association. The fight now will be over how this new federal money is used. The teachers unions want to make sure that it’s used to preserve jobs. The state may try to just catch up on overdue school payments. The schools may want to use the money for other stuff. It’s gonna be a battle, for sure. The Trib also looked at recent layoffs and hire backs…

Spring layoffs and summer recalls are part of the normal budgeting cycle because of the mismatch between when districts have to finalize staffing plans and when the legislature firms up a state budget.

In a normal year, the majority of teachers let go in March get asked back in the summer. For example, about 4,700 teachers were laid off during the 2007-08 school year, but nearly 60 percent were recalled. The following year, as the recession deepened, more teachers were laid off — 6,139 — and only about 50 percent were recalled, according to state figures.

This year, many districts plan to hold off hiring until they know exactly how many children enroll for class and how much money they have to pay teachers’ salaries — including the new jobs funding.

* Related…

* Funding from federal jobs bill could restore public school program cuts: Chicago’s financially-strapped public schools are in line for a $105 million windfall from the new federal jobs bill — enough to restore high school class sizes, bi-lingual education and other program cuts — but probably not in time for the start of school Sept. 7.

* Nobody can say what jobs saved by new stimulus bill

* Foster, local teachers, hail federal money for education jobs

* A holiday from fiscal reality: It’s an annual ritual known as the sales tax holiday, which lets consumers make certain government-approved purchases without remitting the usual levy to the Department of Revenue.

* State closes 13 tourist centers to save money: The state government has shut down 13 of its 15 tourist information centers to try to save money. Alka Nayyar is a spokeswoman for the Illinois Department of Commerce and Economic Opportunity. She says the closures could be short-term if the agency can get Gov. Pat Quinn’s budget office to sign off on a spending plan for the agency that includes contracts to run the centers.

posted by Rich Miller
Thursday, Aug 12, 10 @ 10:18 am

Comments

I don’t get this special session talk.

The budget allocates money for a full year. If more money than anticipated comes in early in the fiscal year, it seems like they could just spend down the appropriated amount at a faster pace and then increase the approp in veto session.

Comment by Wondering Thursday, Aug 12, 10 @ 10:25 am
Special session?! Don’t they know it is parade season?

Comment by Wumpus Thursday, Aug 12, 10 @ 10:26 am
I’m with Wondering. Since we don’t have the money that’s already been appropriated, don’t you just throw this cash into the empty pot?

Comment by wordslinger Thursday, Aug 12, 10 @ 10:26 am
Isn’t the state still sitting on $670B in unspent stimulus funds? Seems like there is no need for a special session if those bucks remain unspent.

Comment by Cincinnatus Thursday, Aug 12, 10 @ 10:28 am
Here’s a question for those more tuned in than I:

Are the state tourist centers run by the state or does the state lease them out to private companies to run and maintain. Could these centers not be a possible opportunity to have state revenue if private companies ran them? Think of them as the first McDonalds in the state or something like that.

Comment by Cincinnatus Thursday, Aug 12, 10 @ 10:31 am
Nobody was quite sure what they were going to do.

That, in a simple sentence, describes our current political leadership. D’OH! We got funding?

Comment by VanillaMan Thursday, Aug 12, 10 @ 10:32 am
If they don’t need the money why did congress appropriate it?

Comment by shore Thursday, Aug 12, 10 @ 10:40 am
The state contracted out operations at the info centers for $2 million a year. The centers are basically rest stops. Use the facilities, get a drink a water, pick up a map and get a brochure for the World’s Biggest Ball of Twine. I can’t figure a business plan on how you could make money doing that.

They’re not equipped or designed to be restaurants. Besides, the idea is to get travelers to pull off the road and spend money at existing businesses, not to compete with them.

Comment by wordslinger Thursday, Aug 12, 10 @ 10:46 am
Get them next week when most of them are in Springfield for the fair

Comment by Publius Thursday, Aug 12, 10 @ 10:46 am
- I can’t figure a business plan on how you could make money doing that. -

Lets get creative: pay toilets. But here’s the ingenious part, don’t count on any revenue from them. Instead, have a cop hide out back and write public urination tickets. Bam, deficit fixed.

Comment by Small Town Liberal Thursday, Aug 12, 10 @ 10:50 am
It’s not that districts can’t use the money but when you boss pays you 6 months late all of the time, if he tells you he is going to pay you more you want to know.

– When am I getting this money

And plan accordingly.

Also when you are paying some of your folks late because the checks are so late you may not use the extra income to get better cable but to deal with your unpaid bills.

Comment by OneMan Thursday, Aug 12, 10 @ 10:59 am
What complicates this is the unprecdented authority given to the Gov in the current BIMP to move money around or reduce approps etc to adress the fiscal crisis. What normaly would require a BIMP may be covered by the Gov’s authority provided with the current BIMP.

Comment by Ghost Thursday, Aug 12, 10 @ 12:28 pm
What looks interesting to me is the suggestion that neither the Gov or the house leadership fully understands the effect of the emergency powers granted the gov

Comment by Ghost Thursday, Aug 12, 10 @ 12:30 pm
Ghost,

Good fill-in-the-blank:

“What looks interesting to me is the suggestion that neither the Gov or the house leadership fully understands ______”

My suggestion is:

“anything”

Comment by Cincinnatus Thursday, Aug 12, 10 @ 2:31 pm
@Rich-you seem pretty busy right now without a special session…LOL

Comment by flabergasted Thursday, Aug 12, 10 @ 3:24 pm
Yeah. Rod has screwed up another summer.

Comment by Rich Miller Thursday, Aug 12, 10 @ 3:29 pm