Capitol Fax.com - Your Illinois News Radar

Ah, how times change

Posted in:

Illinois

* From a September 3, 2010 letter sent by then House GOP Leader Tom Cross and Senate Republican Leader Christine Radogno …

Dear Governor Quinn:

We want to express our staunch opposition to any attempt to tap into the Motor Fuel Tax Fund or the Road Fund as part of your plan to inter-fund borrow $1 billion to cover state operating expenses. As you recall, we opposed SB 3660, the legislation that grants you the authority to transfer funds out of dedicated funds to pay for normal government operations. We continue to believe that the diversion of road funds from their intended purposes is not good public policy and is, in fact, counterproductive.

To release a portion of the local road component funding from the capital bill, and then subsequently sweep a similar amount of cash from the Motor Fuel Tax Fund or the Road Fund, would seem to negate the benefits of the capital bill funding.

As you know, we worked cooperatively with all members of the legislature and your Administration in a bipartisan fashion to pass the capital bill in order to enhance Illinois’ infrastructure, to create jobs and foster economic development. Maintaining and improving this state’s roads and bridges is a vital component of achieving those goals.

The Motor Fuel Tax Fund has not been swept since FY 04 and to restart this practice during these challenging economic times does not make for good policy. There was a strong understanding as part of the creation of the capital bill to stop the practice of diverting road funds for other purposes. We believe that sweeping the Road Fund or the Motor Fuel Tax Fund would violate that commitment.

We believe that road funds should be used to patch holes on roads and bridges, not to patch holes in the state’s operating budget.

* At the time, the Road Fund contained nearly $480 million - which is about the projection for the fiscal year ending fund balance this year. The governor’s office back then said Quinn had no plans to raid it. Mainly because Downstaters were particularly concerned…

Tapping into the road fund is particularly controversial downstate because a majority of the money has gone to communities outside the six-county Chicago area. From 1999 to 2007, road fund expenditures downstate ranged between 56 percent and 68 percent, according to a May 2009 Legislative Research Unit report. […]

State Sen. Larry Bomke, R-Springfield, said if the funds were raided to shore up the general revenue fund, downstate would lose.

“The bulk of that money (the general revenue fund) is going to support things in the upper part of the state,” Bomke said. “Most people believe when they buy a gallon of gas they know so much of it is going to federal or state road fund, and they expect that money to be used for roads, not general purposes.”

And, keep in mind that Quinn only wanted to borrow from the Road Fund, not permanently sweep the cash.

* OK, let’s fast-forward to today. I also told subscribers this morning about this part of the proposed Fiscal Year 2015 fix (plus other stuff). Kurt Erickson…

Under one provision of a still-developing package to fix the current state budget, lawmakers would give Gov. Bruce Rauner the power to use as much as $250 million of the road fund for general state purposes.

The Republican leaders now support that permanent sweep.

* So, what changed?…

“I think people realize we’ve got to do something and we’ve got to do it quickly. Extraordinary times require extraordinary measures,” Radogno said. “We are in unprecedented times and we’ve got to do something to stem the bleeding.”

Asked what has changed in five years, Radogno suggested that a Republican victory in the governor’s race last November is playing a big factor.

“What’s different now is that there is confidence now that we’re going to do a really tough but a one-time fix here and get on the road to solvency,” Radogno said.

Just as a reminder, five years ago the state’s coffers were in absolutely horrible shape. Those were pre tax hike times and pension payments were rising fast.

posted by Rich Miller
Thursday, Mar 19, 15 @ 9:12 am

Comments

===Asked what has changed in five years, Radogno suggested that a Republican victory in the governor’s race last November is playing a big factor.===

“Asked what has changed in five years, Radogno suggested that a Republican victory in the governor’s race last November, and the $20 million leveraged to co-opting the independence of the ILGOP Caucuses are playing a big factor.”

Better.

Comment by Oswego Willy Thursday, Mar 19, 15 @ 9:16 am
The road to power is paved in hypocrisy.

Comment by 618662dem Thursday, Mar 19, 15 @ 9:19 am
Governing is a lot tougher than opposing everything and taking no responsibility for actual outcomes.

Comment by slow down Thursday, Mar 19, 15 @ 9:21 am
===Tapping into the road fund is particularly controversial downstate===

I wonder if this has changed in the last five years or is it still true? Road building is very import downstate.

Comment by Anonymous Thursday, Mar 19, 15 @ 9:23 am
I’m not all that worked up on this one. I strongly suspect that, had Quinn seriously entertained the notion, there would be Democrats that supported it then that oppose it now.

Or, better example: we’re going to see some Dems who voted for SB1 crow about the iron-clad commitment to pensions that the Constitution imposes on the state (though given that they’ll have a Supreme Court opinion, I will concede that they’ll have pretty good cover for that about-face). Where you stand usually depends on where you sit.

Comment by Arsenal Thursday, Mar 19, 15 @ 9:24 am
“What’s different now is that there is confidence now that we’re going to do a really tough but a one-time fix here and get on the road to solvency,” Radogno said.

What, since January, has the new administration done to deserve this kind of confidence? Last November, after the election, the new governor told the RGA that his first priority was going to be sweeping ethics laws addressing Illinois corruption. That was five months ago, and so far all we’ve heard from Governor Rauner is union-bashing, circa 2012. Even Scott Walker has moved on and Governor Kasich has acknowledged that RTW is not the right thing to do for the middle class.

Yet, we have a Brucie-Come-Lately to this passé business gimmick who is obsessed with it to the point where he hasn’t shown any governing during this time. Rodogno is concerned and says the situation over the past five years has worsened.

I believe it is her concern behind her public change on this issue. Not her confidence in the new guy. Bruce Rauner has not shown us anything to instill confidence. As a matter of fact, his oddball behaviors, even when compared to other new GOP governors in Maryland, Massachusetts and New Jersey, has exposed him to sinking poll numbers and great skepticism among Illinoisans, even those who had voted for him.

Comment by VanillaMan Thursday, Mar 19, 15 @ 9:24 am
Radogno and Durkin will do what they’re told.

Rauner’s juggernaut pre-election donor network is even more formidable now that he has the power of the governor’s office. Rauner controls the political money and he can direct the government money, to reward or punish.

Whether Radogno and Durkin can deliver on tough votes is another story. They’ve never had to do that before.

Comment by Wordslinger Thursday, Mar 19, 15 @ 9:25 am
Also, on the merits of tapping the road fund: I don’t at all want to downplay the importance of infrastructure. Repairing a road in Fulton County is a worthy project. But something has to get cut, and there’s many other things I’d protect first.

Comment by Arsenal Thursday, Mar 19, 15 @ 9:28 am
Rauner ended any possible honeymoon for his new administration. He ended it in the hotel suite before champagne was served. He has said nothing since then to let us know he screwed up, right out of the inaugural gate. He repeatedly doubled down and gave public talks on his opinions he would never have given last year, knowing he would be burning bridges he built to get elected.

Confidence? Based on what?

Comment by VanillaMan Thursday, Mar 19, 15 @ 9:30 am
To the Post,

The Governor needs to “fix” FY2015, and have a workable budget, constitutional, for FY2016.

That’s only one part.

Part two? 30 votes in the Senate, 60 votes in the House are required to get to signature.

Two seperate parts, linked in the politics of governing. The politics….of governing.

I mocked the statement not because of hypocisy. No. I am mocking the elephant in the room of the $20 million leveredged to produce the necessary politics of governing. Period. Acknowledging that, or in this case not acknowledging that, is disingenuous to the politics of governing.

The goal is to get 30, to get 60, and to get budget fixes and budgets made that are legitimate. The politics will fall as they may.

My fear is for Radogno. My fear is for Durkin. They need protection too, not be treated as chattle. That’s thd ball game too.

Comment by Oswego Willy Thursday, Mar 19, 15 @ 9:33 am
==“Asked what has changed in five years, Radogno suggested that a Republican victory in the governor’s race last November, and the $20 million leveraged to co-opting the independence of the ILGOP Caucuses are playing a big factor.”

Better. ==

An independent minority is still a minority and likely to remain so. Only a majority gives you homegrown leverage. Right now their only leverage is the Governor and he’s playing the tune.

Comment by Robo Thursday, Mar 19, 15 @ 9:35 am
–I wonder if this has changed in the last five years or is it still true? Road building is very import downstate.–

Very accurate, since the potholes are winning….

Comment by I B Strapped Thursday, Mar 19, 15 @ 9:36 am
- Robo -,

It’s one thing to have leverage…it’s another to BE leveredged.

Comment by Oswego Willy Thursday, Mar 19, 15 @ 9:40 am
Nothing like short-term solutions that will create long-term infrastructure issues.

Comment by PMcP Thursday, Mar 19, 15 @ 9:40 am
like the federal level where withholding, oh, say Homeland Security money would not be happening if Bush were still president. they try to starve the government if they are not in charge.

Comment by Amalia Thursday, Mar 19, 15 @ 9:41 am
Thump! That pothole you just fell into was brought to you by the dysfunctional leadership of Illinois.

Comment by Norseman Thursday, Mar 19, 15 @ 9:43 am
All the while they are spending useless time on bills like naming “sweet corn” as the state vegetable! Is that they best they can do in these times of fiscal collapse?

Comment by Anonymous Thursday, Mar 19, 15 @ 9:44 am
How much is proposed to be swept from tollway funds?

Comment by Cornerfield Thursday, Mar 19, 15 @ 9:48 am
Is this what Chris and Jim always wanted, to be mindless drones for a Republican governor?

I mean, they used to at least be able to have independent thoughts.

Comment by Anonymous Thursday, Mar 19, 15 @ 9:54 am
Many politicians waste their time establishing credibility before squandering it.

Radogno has wisely skipped that first step entirely.

– MrJM

Comment by MrJM Thursday, Mar 19, 15 @ 9:59 am
How much is proposed to be swept from tollway funds?

https://alsanda.files.wordpress.com/2014/08/funny-men-laughing-cartoon-you-want-it-when.jpg

Comment by Six Degrees of Separation Thursday, Mar 19, 15 @ 10:02 am
The most important thing has not changed in five years, thanks in large part to the expiration of the income tax increase.
As long as the state is revenue starved, and it is revenue starved, we will continue to confront impossible choices: which vital service do we cut?
We need decent roads, decent public transport, decent social services, and decent schools, but we need the money to pay for them

Comment by Truthteller Thursday, Mar 19, 15 @ 10:07 am
A lot of bridges are in poor condition and need extensive repairs. If they put it off too long, they end up having to rebuild or replace at a much higher cost. It is like borrowing at a very high interest rate.

Comment by DuPage Thursday, Mar 19, 15 @ 10:17 am
I remember Madigan and Cullerton giving Quinn some very broad power as far as deciding where the appropriations would be spent last year. What’s changed this year that they don’t want to give the governor the same authority. Hypocrisy is hypocrisy. Except when you know its your guys being hypocrites.

Comment by Anonymous Thursday, Mar 19, 15 @ 10:17 am
Welcome to Sam Brownback’s Illinois.
Short on cash from his own tax cuts, Brownback is now raiding the Kansas road fund to pay for operations. He’s also skipping pension payments. Count down until that’s proposed here …

http://www.kansascity.com/opinion/opn-columns-blogs/yael-t-abouhalkah/article7779303.html

Comment by Michelle Flaherty Thursday, Mar 19, 15 @ 10:18 am
“What’s changed this year that they don’t want to give the governor the same authority.”

Yes, because it’s a different Governor with different stated priorities, no working relationship with the GA, and no experience working with state appropriations. It’s not hypocrisy to treat different things differently.

Comment by Arsenal Thursday, Mar 19, 15 @ 10:22 am
I disagree with you that the financial problem five years ago is the same as today. Today we have a COMPLETELY FAKE AND UNCONSTITUTIONAL budget created to help Democrats win re-election and leaving a Republican to clean up their mess half way through the fiscal year.

Comment by Not it Thursday, Mar 19, 15 @ 10:25 am
That was then, this is now. Republicans will be changing their positions on all kinds of issues. Raiding the Road Fund is just the first.

Comment by Anon Thursday, Mar 19, 15 @ 10:25 am
Michelle, Rauner’s proposed pension “savings” are in reality a pension short.

Comment by Wordslinger Thursday, Mar 19, 15 @ 10:27 am
==Today we have a COMPLETELY FAKE AND UNCONSTITUTIONAL budget created to help Democrats win re-election and leaving a Republican to clean up their mess half way through the fiscal year.==

You are a dope. And the reason I know you are a dope is that you clearly have zero understanding of the history of the state budget.

Also, how do you figure that Rauner’s COMPLETELY FAKE AND UNCONSTITUTIONAL BUDGET is going to make the situation any better?

Comment by Demoralized Thursday, Mar 19, 15 @ 10:28 am
Not it, you’re wrong. Five years ago, the GA passed a budget essentially over the Governor’s objections that was billions of dollars out of whack but punted the problems to someone else. The Republicans knew it was out of whack, they just didn’t care because they knew Quinn would wear the jacket for it. Oh, and the State was collecting a lot less revenue then.

Comment by Juice Thursday, Mar 19, 15 @ 10:32 am
BVR keeps telling the world he had the GOPies walkin’ the plank for his “plan” No one believes him, but he keeps sayin’ it. Next week will be — as the late Steve Neal always smirked — a lot of fun.”

Comment by anonin' Thursday, Mar 19, 15 @ 10:53 am
“It’s not hypocrisy to treat different things differently.”

It is when those “different things” are “them” and “us”.

– MrJM

Comment by MrJM Thursday, Mar 19, 15 @ 10:59 am
Every time I hear a politician say “one time” I tune them out. Sure. Yeah. Right. Never again.

Comment by Sir Reel Thursday, Mar 19, 15 @ 11:02 am
The 2015 Budget was technically balanced, and counted neither on tax revenues not yet approved, nor on pension funding saves not yet surviving legal challenge. It was therefore both real, and completely Constitutional.

It was also unfair, impractical, and politically harmful to GOPers, in that it relied on unusual funds transfers and borrowing to balance, while leaving only a tax rate extension as the potential alternative to those tactics.

To call out Radogno and Durkin for grasping one of the life rings created by the Dems in the first place, while swimming in the 2015 shark pit, is a bit unfair. What’s changed is that they have a newfound responsibility to take the hard decisions, and not just complain.

Just get the current funding gap filled as well as possible, and move on.

But are there realistic alternatives for the 2016 Budget? There’d better be! We haven’t seen much so far.

Until shown otherwise, the numbers say that either illegally shorting the pension funding, or extending the tax rate, will be required, (even with all the proposed spending cuts).

Comment by walker Thursday, Mar 19, 15 @ 11:03 am
and just a week ago he called for billions in new road spending before his special interest group… wonder why he hasn’t cut the Illiana yet?

Comment by Liberty Thursday, Mar 19, 15 @ 11:27 am
A surprise and disappointment to the Illinois Road Builders, Engineering consultants, local gov’t, Farm Bureau, Illinois Chamber, labor, etc. all of who opposed such sweeps going back to 1935. $250 million one time sweep will impede Illinois’ ability to match federal transportation dollars - it’s not that our roads and bridges in dire need. I’m sure Texas will have their hand out for those feds $ of what Illinois cannot use.

Comment by Anon Thursday, Mar 19, 15 @ 12:37 pm
“Road building is very import downstate. ”

Road building is important anywhere in the State. There have been tons of studies looking at the harm bad roads do to the economy.

“$250 million one time sweep will impede Illinois’ ability to match federal transportation dollars”

The $250 million could have been used to leverage $1 billion in federal funds for road projects. Depending on the funding, the FHWA pays 80% of a road construction project. For interstate construction projects, they pay 90 percent.

Comment by Huh? Thursday, Mar 19, 15 @ 2:30 pm
Demoralized: It isn’t Rauner’s budget that was fake, it was Quinn’s. He and his accessories in the Democratic majorities knew they had an unbalanced budget and spent money like they did, leaving Rauner to try and cobble together a fix.

Comment by Not it Thursday, Mar 19, 15 @ 2:54 pm
===It isn’t Rauner’s budget that was fake, it was Quinn’s===

They were/are both fake.

Comment by Rich Miller Thursday, Mar 19, 15 @ 2:55 pm
@not it

Democrats supported the guy that said we needed to keep the money. Republicans and some fed up Dems supported the guy who said we didn’t need the money. The guy who said we didn’t need the money is now dealing with what it looks like without the money. So I can’t manufacture faux outrage when you got exactly what you demanded. You won. Now what?

Comment by sideline watccher Thursday, Mar 19, 15 @ 3:33 pm
==It isn’t Rauner’s budget that was fake,==

Math is really hard to some. You want to tell me how assuming $2.2 billion savings from his proposed pension changes isn’t fake? Because I’d be interested in that argument.

Enough with the Raunerbot talking points. Engage in honest debate for pete’s sake.

Comment by Demoralized Thursday, Mar 19, 15 @ 3:34 pm
And just so you don’t think I’m a hypocrite, yes, I do agree this year’s budget was a sham. I’m not arguing against that point. It’s absolutely, positively true.

Comment by Demoralized Thursday, Mar 19, 15 @ 3:39 pm
The Quinn and Rauner budgets are both unworkable. Both budgets should be marked do over. We can’t get on the road to solvency if we don’t have the money to repair the roads.

We need someone with the courage to raise taxes. Maybe the General Assembly will come to our rescue. They seem to be our only hope now.

Comment by Enviro Thursday, Mar 19, 15 @ 5:48 pm
Con artist conservatives

Comment by low level Thursday, Mar 19, 15 @ 8:05 pm
The budget cuts are drastic. The db’s funeral and burial fund was swept. Now the families that depend on funeral and burial benefits wont be paid. Nor the vendors that provided a service in good faith. The credibility of Illinois. Government is beyond questionable

Comment by repulsed by one Friday, Mar 20, 15 @ 5:40 pm