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* Sun-Times…
Gubernatorial candidate Bruce Rauner drove his 1993 van to a South Side credit union on Friday where he made a $1 million deposit aimed at helping to provide small business loans for the African-American community.
Rauner spent about 10 minutes talking to the South Side Community Federal Credit Union’s president, before depositing the money via a wire transfer. Rauner said he contributed $200,000 as a donation to the institution, and deposited $800,000 into an interest-bearing account.
Rauner pledged his support to the credit union near 54th and Wentworth in July. […]
But the Republican multimillionaire told reporters that his decision to contribute to the credit union was not political. He called accusations he’s buying African-American votes by donating the money “baloney” and “political spin.”
* Yeah, right. This is all about making an investment. The Tribune blows up that notion pretty handily…
Rauner said he would be receiving interest on his $800,000 credit union deposit at a rate he said was “small” but did not specify. “We’ll get our money back with an interest return,” Rauner said.
While Rauner described his deposit as an investment, he acknowledged the credit union had a 25 percent default rate on its loans. Records of the National Credit Union Administration, the federal agency that monitors credit unions, showed that as of June 30, the organization managed $3 million in deposits for 1,550 members.
On its website, the credit union advertises personal, auto and business loans for its members, including payroll advance loans at an interest rate of 16 percent and payday alternative loans at interest rates of up to 28 percent.
Yikes.
* Meanwhile, Phil Kadner got a tip that Rauner was meeting with African-American ministers in Harvey the other day, but he arrived too late to hear what Rauner had to say…
Rauner said he would use his contacts in the business community to encourage them to create a program that would make more jobs available to ex-cons, [David Gethers, minister of St. Mark Missionary Baptist Church in Harvey] said. […]
[J.R.] Jordan and Gethers said Rauner also spoke about his interest in improving public education. They came away with the impression that Rauner, as governor, would increase school funding.
I asked if he said how he planned to do that. Rauner has said he would cut the state income tax, meaning Illinois would have less money for education, among other things.
I was told Rauner had implied that he might dip into his personal wealth to fund some programs.
“He would use his own money?” I asked.
“That’s what he said,” Jordan replied. “He said he had been investing his own money in education for years. He said one thing he would do is make sure every teacher in Illinois is certified, and he has funded programs in the past to make sure teachers are properly trained.’
…Adding… This explains a lot…
“As my wife will say all the time, I’m pretty cheap. I don’t like to spend money I don’t have to. I invest in assets. I’ve done very well with my investments,” said Rauner, an equity investor from Winnetka.
posted by Rich Miller
Monday, Sep 8, 14 @ 11:18 am
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I think he’s channeling Mayor Bloomberg, who, I believe contributed to a number of charitable and social causes benefiting NYC during his tenure as mayor. Maybe the Rauners could start with a spiffy re-do of the Mansion. I think I read that Bloomberg supplemented the salaries of some of his top staff as well–not sure how that worked. But it’s worth asking if you get selected as an aide in the new Rauner admin.
Comment by Cassandra Monday, Sep 8, 14 @ 11:23 am
But the Republican multimillionaire told reporters that his decision to contribute to the credit union was not political. He called accusations he’s buying African-American votes by donating the money “baloney” and “political spin.”
If this story had involved the governor, the Tribsters would be ridiculing it as a “Quinncidence.” Does Rauner really expect anyone to believe politics plays no role here?
Comment by Anon Monday, Sep 8, 14 @ 11:24 am
It’s like Bob McDonnell in reverse.
Comment by Ducky LaMoore Monday, Sep 8, 14 @ 11:26 am
==But the Republican multimillionaire told reporters that his decision to contribute to the credit union was not political. He called accusations he’s buying African-American votes by donating the money “baloney” and “political spin.”
If this story had involved the governor, the Tribsters would be ridiculing it as a “Quinncidence.” Does Rauner really expect anyone to believe politics plays no role here?==
I’ll take the cries that Rauner is trying to buy black votes seriously as soon as I see someone make the same accusation about Quinn the next time he cuts a ribbon on the south or west side.
Comment by so... Monday, Sep 8, 14 @ 11:29 am
Of course Rauner will have to spend his own money to cultivate voters. If he were the incumbent, he could develop programs for community outreach funded from the public treasury that would coincide with the election cycle. Not as if that has ever happened before.
Comment by Under Further Review Monday, Sep 8, 14 @ 11:29 am
When he wants to make money, he parks his money in the Caymans.
When he wants to buy votes, he parks it on the south side.
He understands investing.
Comment by Gooner Monday, Sep 8, 14 @ 11:31 am
Now that’s leadership! Investing your own self-made millions to fund educational initiatives in light of the bankrupt state of affairs in Illinois. May I be so fortunate! I certainly hope that African-American ministers in Harvey are amenable to such a gesture, which is very different from using Illinois tax payers’ money to “buy off” Black votes through anti-violence programs circa Governor Quinn’s 2010 gubernatorial campaign.
Comment by Black Ivy Monday, Sep 8, 14 @ 11:32 am
It’s no neighborhood recovery initiative…
Comment by fisher Monday, Sep 8, 14 @ 11:32 am
===as soon as I see someone make the same accusation about Quinn the next time he cuts a ribbon on the south or west side===
You must not get out much. That happens all the time.
Comment by Rich Miller Monday, Sep 8, 14 @ 11:35 am
Our uber-weatlhy Dems sure aren’t investing their own money in the black community. Wonder why that is? Lack of return, or racism? I’m gald someone rich is finally doing it, regardless of the reason!
Comment by NewSouthSuburbanDem Monday, Sep 8, 14 @ 11:35 am
So now Rauner cares about teacher certification? Only 75% of teachers at Chicago charter schools need to be licensed. See: Rauner Prep.
Comment by Anonymiss Monday, Sep 8, 14 @ 11:35 am
At least he is using his own money, unlike Quinn who uses our tax dollars..
Comment by Not Rich Monday, Sep 8, 14 @ 11:37 am
I love the rosy responses for such blatant corruption. Literally buying votes… oh yeah that’s no big deal. I am sure when he is governor, he won’t be “buying votes” with tax dollars. What a bunch of wackiness.
Comment by Ducky LaMoore Monday, Sep 8, 14 @ 11:40 am
When I first heard about Rauner donating a million of his own money to the African-American credit union, I was impressed. But after reading further, he is only “donating” $200k, and depositing the remaining $800k in an interest earning account. That $200k is the only amount that is significant. The other money is gonna make Rauner a bit richer. And just how many small businesses will actually benefit from that deposit, when you actually think about it? Not that many. Just a PR move that is designed to get out the minority vote. And he only invests significant money into Charter Education, because the people behind the Charter schools are people/corporations that gain financially from those charter networks. He talks a good game, but his words don’t stand up to “further review” of the facts.
Comment by Big Joe Monday, Sep 8, 14 @ 11:50 am
Call it collateral goodness. There isn’t enough of it.
Comment by A guy... Monday, Sep 8, 14 @ 11:56 am
He is funneling his pocket change into our other economy. The one based on pay day loans, defaults, foreclosures and car title loans.
There is nothing wrong with that.
Comment by VanillaMan Monday, Sep 8, 14 @ 12:06 pm
perhaps he would do the credit union an even bigger favor by sending someone from one of his companies to teach them how to run a business, so they wouldn’t have a 25% default rate and wouldn’t have to charge such outrageous interest rates on loans
Comment by steve schnorf Monday, Sep 8, 14 @ 12:15 pm
The Sun-Times had a story about Quinn blowing off some complaints by a West Side African-American church about some liquor license for a Burke-tied store - don’t remember the specifics but my first thought was “well, there’s another African-American church for Raunner and he didn’t even have to pay them anything.”
Comment by lake county democrat Monday, Sep 8, 14 @ 12:18 pm
“deposited $800,000 into an interest-bearing account.”
Probably a CD that matures shortly after the election. /snark
Comment by Jay Dee Monday, Sep 8, 14 @ 12:18 pm
@Big Joe
“But after reading further, he is only “donating” $200k, and depositing the remaining $800k in an interest earning account. That $200k is the only amount that is significant.”
- Another Quinnie-Democrat that doesn’t understand the difference between the opportunities provided by investment, and the dependency created by hand-outs.
Comment by Reader Monday, Sep 8, 14 @ 12:38 pm
Mitt is not buying votes he is just renting…if he bought he would need a huge scrap sale after the loss…then he can rent
new stuff for the presidential
It was good to hear Proft trash the Ditka ad this a.m.
Comment by circularfiringsquad Monday, Sep 8, 14 @ 12:45 pm
Is this stuff for real? I feel like I am watching a terrible remake of the movie wag the dog.
Comment by Yipperdo Monday, Sep 8, 14 @ 12:52 pm
Rauner has become incredibly adept at lying through his teeth with a straight face. It’s just amazing that anybody buys any of his BS given how blatantly disingenuous he is now…all…the…time.
And yes, I know it’s a bit dog bites man to attack a politician for lying, but there are those who gild the lily and those who just state such transparent lies with no reservations whatsoever. I have been disturbed to see that Rauner clearly places himself in the latter category. Yeah, really, this is just an investment…
Comment by Chicago Cynic Monday, Sep 8, 14 @ 1:29 pm
Bruce Rauner, the one kept hidden, he buys, or as -CFS - put it, he rents.
His condo in Chicago, Clouting his denied, “perfect score” Winnetka-Living daughter he threw under the bus proved that…
Bought *cough* a condo for four years (renting legitimacy?), then to cover up all the denying a worthy child “baloney”, Bruce makes sure the $250K finds it’s way to Payton Prep, legitimizing the brazen Clouting.
It’s how the hidden Bruce Rauner operates;
Money, it makes it all look so…”perfect”?
Comment by Oswego Willy Monday, Sep 8, 14 @ 1:31 pm
Quinn’s office stands-up a program that distributes taxpayer-funded political “anti-violence” walking money just before his last election. Rauner shares personal cash with a minority-owned bank. What would you rather have?
Comment by chad Monday, Sep 8, 14 @ 1:36 pm
Quinn’s office sends over the list of approved Rutan-violating patronage hires to IDOT so some “copy guys” can be hired. Perhaps Rauner pluses-up some manager’s salary with personal cash so the guy actually agrees to take on these fiscal problems. Which would you rather have?
Comment by chad Monday, Sep 8, 14 @ 1:43 pm
@chad
How has Rauner agreed to take on our fiscal problems? Oh yeah, a tax cut. See Kansas
Comment by Ducky LaMoore Monday, Sep 8, 14 @ 1:46 pm
What I’ve always been amazed by is how cheaply African American leaders can be bought, and how stupid the GOP is for not ante-ing up.
A few years ago I attended a seminar on education reform, and a certain former Minister/ State Senator gave a luncheon speech.
He was asked what we needed to do to swing African American GA members to the real reform side in education.
What he told us was simple. Most AA GA members just play along because Madigan will throw them enough bones to keep them in office and avoid a primary fight. These are not wealthy people, and without Madigan behind them, or an alternate funding source, they wouldn’t last an election cycle. While Cross was blowing $500K on his “buddies” Illinois House races up North, that money could’ve bought a lot of influence from candidates on the South and West sides, and maybe make them “independents”, or at least willing to vote with the GOP on some issues. They really WANTED to do some good, but campaign finance wouldn’t let ‘em.
Lots of clergy would like to do some good in Springfield and had the church base to get the votes. All they needed was campaign cash.
They’re largely pro-life, believe in the defense of traditional marriage,a nd tend tpo be fically conservative while not losing compassion.
For years Cross and Radogno failed to support conservative candidates in any way, shape or form, and it resulted in a super minority for both. That’s on THEIR plate. It’s good to see Rauner sees the opportunity there, and is doing something about it.
The guy actually has a plan and strategy other than keeping himself in office and lining his pockets. That may be reason enough to elect the guy over Quinn. He couldn’t do any more damage than Madigan and Quinn will.
Comment by Arizona Bob Monday, Sep 8, 14 @ 1:56 pm
DL: Rauner might be inartful about his personal political spend, but at least he is not taking it out of my pocket and spending it in — shall we chairitably say — a legally inartful manner. George failed to change in time to satisfy the fed’s “ethical upgrade”. Would this Administration’s standards at IDOT and anti-violence satisfy today’s McDonnell jury? The entire discussion here is off-track. Ralphing on the guy for his personbal political spending needs to be put in context of this election — and the comparison to how the opposition spreads “other people’s” wealth is not favorable.
Comment by chad Monday, Sep 8, 14 @ 2:00 pm
Smart politics, and not a lot of criticism for that. To Rauner’s credit he has supported some very good organizations over many years, like safe haven.
Comment by walker Monday, Sep 8, 14 @ 2:24 pm
–He is funneling his pocket change into our other economy. The one based on pay day loans, defaults, foreclosures and car title loans.
There is nothing wrong with that. –
Why do you a governor who supports the “other economy?”
This credit union pays oogats on deposits and charges some pretty hefty fees and high juice.
Sixteen to 28% for payday loans; $25 to open a savings account; $50 to open plus $10 a month for a checking account.
Spreads up to 28 basis points ain’t as bad as the payday loan predators, but some states outlaw pay day loans under anti-racketeering laws.
This credit union is marketed to working people (jobs and direct deposit required) who are redlined out of traditional banking.
I’d rather have a governor who worked to end the redlining rather than one who profited on legalized juice loans.
Comment by wordslinger Monday, Sep 8, 14 @ 2:34 pm
==There is nothing wrong with that.==
Besides the fact that this “other economy” is just vulture that attacks people who live paycheck to paycheck.
Comment by Precinct Captain Monday, Sep 8, 14 @ 2:35 pm
Bruce is using my tax dollars to pay for this.
WHO do you think pays for nursing home care?
Where does the money for Medicare and Medicaid come from?
YOU and ME!
Comment by Del Clinkton Tuesday, Sep 9, 14 @ 8:16 am