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* As usual, it’s Erickson with the scoop…
State Rep. Reggie Phillips, a Republican from Charleston, said he has taken out options on real estate in [Florida] and made other preparations in anticipation of a possible move.
“We’re very actively looking at it,” Phillips told the Quad-City Times Springfield bureau. “I’m a practical businessman. I can’t stay here and allow myself to be strangled by incompetence.”
Phillips, who owns a homebuilding and real estate company in Charleston, took office in January and was hopeful Republican Gov. Bruce Rauner could move quickly to implement his plans to make Illinois a more business-friendly state.
But, he said, “The fight is a lot harder than what I anticipated.” […]
Phillips did not offer a timeline for when he might make a decision, but records show he has taken steps to open a business in Florida.
* You’ll remember Rep. Phillips…
* Rep. Phillips is a sponsor of a “right to work” bill, and now we know why…
State Rep. Reggie Phillips made his feelings on the proposed right-to-work resolution clear Thursday, saying AFSCME members are “like ants” and asking his members to lock arms and support towns that pass the resolution.
Phillips, R-Charleston, along with State Sen. Dale Righter, R-Mattoon, spoke at the Charleston Chamber of Commerce’s legislative update lunch at the Unique Suites hotel. Phillips pointed to right-to-work and pension reform as two of the biggest topics state legislators are dealing with.
Phillips said he will ask Charleston city officials to resurrect the right-to-work resolution, rescinded by council members after union supporters packed council meetings to speak against it, and wants his constituents to support it.
Phillips noted he attended one of the council meetings in support of the resolution.
“There’s only 38,000 members in AFSCME (represented by the contract in Illinois),” he said. “You’d think there’s 38 million. They’re mobilized, like ants.”
Phillips said he wished Gov. Bruce Rauner and Phillips’ own supporters would have stood firm on the issue. The process of change may be painful but is necessary for the state, he said.
“Trust me, it’s like spanking a child sometimes,” he said. “The child doesn’t want to be spanked, but in the end it’s going to make them a better person.”
*** UPDATE *** Press release…
Rep. Reggie Phillips announces he is running for a second term
Charleston, IL – State Representative Reggie Phillips today announced he will seek a second term as State Representative in the 110th District.
“I went to Springfield because I was tired of seeing bad policies drive jobs and opportunities away from our state,” Phillips said. “I looked at my grandchildren and I wondered what kind of future will they have? The decision to run was based on my desire to turn our state around. I think it is important to have representation in Springfield that is not beholden to campaign contributors or party leaders. I am an independent voice and I serve the people of the 110th District and I would be honored to continuing serving in Springfield for another term.”
Rep. Phillips is working with local farmers in opposition to the Green Belt Express Clean Line. He also sponsored a measure (House Resolution 173) to support the nation of Israel. Additionally, he is working with several of his colleagues to pass a measure (House Resolution 671) which calls for an investigation of Planned Parenthood in light of the recent videos exposing some horrific practices involving the sale of human body parts.
One of Rep. Phillips’ top priorities is to change the economic climate in Illinois and enact meaningful business reforms. Illinois ranked dead last in the Midwest per capita for new payroll jobs added to the economy in 2014 while Iowa ranked 14th and Wisconsin 20th, according to data from the Bureau of Labor Statistics.
“One of things I find so frustrating is that there are a few simple changes we can make to really get our economy going but we continue to ignore these simple reforms,” Phillips said. “Enacting real workers’ compensation reform, reducing excessive business regulations, and unleashing the full potential of Illinois’ natural resources would put us back on a course to economic growth and prosperity. The current policies are not working. Illinois also needs term limits and we need to take the legislative remap process out of the hands of politicians. We can turn this state around but it starts with real, meaningful reform.”
Rep. Reggie Phillips grew up in Arthur, Illinois. He and his wife Martha have four adult children and 10 grandchildren. In 1986, Reggie and Martha started a residential and commercial building business in Charleston, Illinois which now employs approximately 400 people. He was elected State Representative in the 110th District in 2014. The 110th District encompasses parts or all of Coles, Crawford, Lawrence, Cumberland, and Edgar Counties.
posted by Rich Miller
Friday, Sep 4, 15 @ 10:33 pm
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“I’m leaving town!”
“I’m running for re-election!”
I think we all know which threat is worse.
– MrJM
Comment by @MisterJayEm Tuesday, Sep 8, 15 @ 8:33 am
So Mr. Phillips signature legislative accomplishment is a resolution to support the Nation of Israel. Impressive.
Comment by SAP Tuesday, Sep 8, 15 @ 8:36 am
Americans are tired of these “right to be poor” laws that engage in class warfare on the middle class. Enough already. Let’s help get this guy to Florida!
Comment by Captain America Tuesday, Sep 8, 15 @ 8:39 am
We were all holding our collective breaths on his decision. ….
Comment by cez Tuesday, Sep 8, 15 @ 8:39 am
Take Jimmy John with you. Charleston is really churning out the crybabies.
Comment by LizPhairTax Tuesday, Sep 8, 15 @ 8:43 am
Today we have posts about two children playing legislator. One who throws a tantrum and threatens to take his marbles and go home when he can’t get his way. The other who’s pouting for getting scolded for not doing his chores.
P.S. Well said MrJM
Comment by Norseman Tuesday, Sep 8, 15 @ 8:46 am
Norseman- excellent summary.
Comment by JS Mill Tuesday, Sep 8, 15 @ 8:54 am
Rep. Spanky can build the new corporate hq for that other Charleston victim, JJ.
Somehow, JJ hasn’t got around to leaving Champaign despite all those tears he shed about how rough it is here so many years ago.
It’s a shame how the poor luck of being born in Illinois deprived those too of leading successful lives.
Comment by Wordslinger Tuesday, Sep 8, 15 @ 9:24 am
He’s not the only one recognizing Illinois has some problems to address. We made #1 on another list….Kiplinger this time.
http://www.kiplinger.com/slideshow/taxes/T054-S001-least-tax-friendly-states-in-the-u-s/index.html
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 9:40 am
#10…lost a zero.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 9:42 am
=#10…lost a zero.=
Interesting list. I also liked the list of the “Top 10″ most friendly tax states. I guess you would like to be Mississippi?
Comment by JS Mill Tuesday, Sep 8, 15 @ 9:49 am
==He’s not the only one==
Has anyone calculated the effects to Illinois’ total tax receipts, if we adopted the same exact tax strategy, as say, California? (progressive income tax, high sales tax (but still lower than what we pay now), relatively low real-estate taxes, and retirement income/SS taxed?) Maybe this needs to be part of the “Grand Bargain” the Legislature and Exec. should be working on, instead of playing “Thumb in the other guy’s eye”. What we’ve got right now ain’t workin’.
Comment by Tom K. Tuesday, Sep 8, 15 @ 9:51 am
JS:
I don’t see a lot of Mississippians moving to Illinois, but I do see a lot of people leaving Illinois for other States. So, yes, I think we might have something to learn from Mississippi and most every other State in the Union when it comes to financial management.
This site has some interesting information if you care to look.
http://factfinder.census.gov/faces/nav/jsf/pages/index.xhtml
Search for Table LGF001 or SLF001 and do a little math…you’ll find we pay more per capita for services than surrounding states.
If we paid the same as Indiana per capita on state salaries, we’d save $1.2B a year. State paid Governmental Administration costs Illinois $104 per capita, compared to Indiana’s $87….another $219M difference. For Local Governments, we’re paying $839M more than Indiana on a per capita basis.
After a while, it adds up.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 10:00 am
The rep isn’t being strangled by incompetence, he’s choking on his own.
Comment by walker Tuesday, Sep 8, 15 @ 10:04 am
The Whole Truth:
So basically you are in favor of paying people less. Tell me, why is that always the solution?
Here’s an idea. You cut your pay first. Everyone else will follow suit.
Comment by Demoralized Tuesday, Sep 8, 15 @ 10:06 am
Don’t let the door hit you where the good Lord split you.
Comment by TD Tuesday, Sep 8, 15 @ 10:07 am
Tom-
I don’t think moving Illinois into the top spot on Kiplinger’s list is going to help much. Instead of focusing only on raising taxes even higher, why not look at what other States are doing with expenditures. We’re out of line with spending compared to others, and what they’re doing could be a roadmap for us, just as you suggest California’s taxation could be.
You are right, what we’re doing isn’t working, and doing even more of the same isn’t likely to work either.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 10:07 am
don’t let the door hit you in the rear on the way out of town.
Comment by mman Tuesday, Sep 8, 15 @ 10:11 am
There’s TWT, back riding his old hobbyhorse.
Any thoughts on the actual post?
Comment by Wordslinger Tuesday, Sep 8, 15 @ 10:12 am
WS-
My “hobby horse” is part and parcel of the troubles we’re facing and the issue of the above post. The fact we spend more than we take in, that we are already one of the highest taxed States in the Union and yet have one of the largest overall debts, while maintaining that somehow doing more of the same will fix things will only dig us ever deeper.
Compare BLS data between us and surrounding States for more validation of the pot’s point.
http://data.bls.gov/timeseries/LASST170000000000006?data_tool=XGtable
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 10:22 am
Maybe his wife can move to Florida for tax purposes!
Comment by D.P.Gumby Tuesday, Sep 8, 15 @ 10:24 am
When it comes to class warfare against the middle class, it looks like there’s a lot of “happy warriors” in Mississippi.
http://www.takepart.com/article/2012/08/15/mississippi-education-system–often-ranked-last-education-will-governors-plan-radical-change-work
“For example, on the recent Science and Engineering Readiness Index, Mississippi ranked 50th for high school students on their performance in physics and calculus. The Magnolia State also came in last on the National Assessment of Educational Progress survey earlier this year. It often rates last on high school graduation rates; some surveys have found that nearly 30 percent of Mississippi high school students drop out.
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Mississippi is also a state that, at various times, has had the highest percentage of low birth-weight babies, children living in poverty, and children in single-parent families. All of these affect education in the Southern state. So does the severe budget cuts that the state has suffered in recent years.
Last week, the Department of Justice reported a “School-to-Prison pipeline” in the state. Teachers and principals ship off children into the criminal justice system for minor infractions. It was another unwelcome black eye on the state’s educational system.”
Comment by Captain America Tuesday, Sep 8, 15 @ 10:26 am
IL better off if/when Reggie leaves. Amazing thought process.
Comment by sal-says Tuesday, Sep 8, 15 @ 10:27 am
TWT, curiously, the post doesn’t mention taxes at all.
Did Arizona Bob sublet you a spot under his bridge?
Comment by Wordslinger Tuesday, Sep 8, 15 @ 10:28 am
The Whole Truth:
It’s a bit more complicated than looking at a chart and comparing that data to another state.
Comment by Demoralized Tuesday, Sep 8, 15 @ 10:29 am
@TWT- I wonder if we pay more because we have more? At least compared to the Mississippi’s, Alabama’s, Arizona’s of the world?
A little analysis, albeit unscientific, would indicate that the “low tax” or “tax friendly” states are also mostly high poverty, low education states. I am not sure where Delaware stands in this mix, but you don’t often here many people migrating to Delaware or Mississippi.
As far as “learning” from Mississippi, that term is not commonly associated with the Mississippi.
Comment by JS Mill Tuesday, Sep 8, 15 @ 10:37 am
WS-
The post indicates concerns with State incompetence and union negotiations, especially as they relate to business climate.
The post’s comments on the budget situation in Illinois smacks of incompetence both in the past and present, with dismay for the future. The union negotiations referenced by the post have significant applicability to the per capita expenditures to which I allude. The BLS data validates the assertions what we’re doing isn’t working, and that we might have something to learn from other States, as do the census tables.
You don’t have to agree with what I say, but ignoring facts doesn’t help anything. I’ve asked before, but never received a response…what do you propose to alleviate Illinois’s situation besides raising taxes?
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 10:43 am
TWT, you’ve gotten plenty of responses regarding rhe “situation,” but it’s clear your monomania prevents you from processing them.
Back under the bridge with you.
Comment by Wordslinger Tuesday, Sep 8, 15 @ 11:05 am
Most of you are refusing to acknowledge the facts this guy’s grandstanding is overshadowing. Just look at today’s page 1 business section article - Illinois and Chicago are continuing to lags on employment growth. Like it or not the States’s fiscal problems and strong Union presence are hurting any shot at a meaningful recovery. Want to know why housing prices are still not back to 2007 levels like they are in NY or Boston or most other places- it’s all due to the fact that Illinois is either not a great ( or perceived that says) place to grow a business. That is not Rauners fault but the fault of 40 years of Dem legislators giving away the store in terms of Union benefits and poor fiscal oversight.
Comment by Sue Tuesday, Sep 8, 15 @ 11:09 am
WS-
If you have something other than raising taxes, I’m sure others besides myself would like to hear.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 11:10 am
In the tribune-sorry
Comment by Sue Tuesday, Sep 8, 15 @ 11:11 am
Hey Who
EvTruth. Please read today’s trib business article on first page. You might like to reexamine your thesis
Comment by Sue Tuesday, Sep 8, 15 @ 11:13 am
This one?
http://www.chicagotribune.com/business/ct-nokia-layoffs-warn-0905-biz–20150904-story.html
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 11:21 am
What frustrates many is that while the residents pay taxes that are higher than the norm, the physical infrastructure e.g. road, bridges water systems etc remain suffering from underinvestment. The execution of social services continues to sink. By all measures the State is failing.
If the only solution is to spend more the future will continue to get worse.
Those advocating a soak the rich solution will be sorely disappointed because there is simply not enough there, there.
Comment by Plutocrat03 Tuesday, Sep 8, 15 @ 11:26 am
Story head line is 4th Quarter employment looks to lag
Comment by Sue Tuesday, Sep 8, 15 @ 11:29 am
==Want to know why housing prices are still not back to 2007 levels like they are in NY or Boston or most other places- it’s all due to the fact that Illinois is either not a great ( or perceived that says) place to grow a business.==
This has more to do with Illinois’ extremely slow bankruptcy process more than anything else.
Comment by Captain America Tuesday, Sep 8, 15 @ 11:31 am
==Those advocating a soak the rich solution will be sorely disappointed because there is simply not enough there, there.==
So your solution is to destroy the middle class?
Comment by Captain America Tuesday, Sep 8, 15 @ 11:32 am
“bankruptcy” - meant foreclosure
Comment by Captain America Tuesday, Sep 8, 15 @ 11:33 am
Amazing how when people become the boss, they forget what it’s like to be an employee.
Comment by Streator Curmudgeon Tuesday, Sep 8, 15 @ 11:40 am
Captain-
The solution is not to destroy the middle class, but preserve and grow it.
The point is merely raising taxes will hurt the middle class because they will end up paying the bulk of any additional tax revenues. Cutting spending has to be part of the solution, or we will continue the decline of our middle class we’re already experiencing.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 11:49 am
i always laugh when people think moving to florida will reduce their tax bill. school districts are countywide, so you can’t escape to a lower taxing district. may not pay income taxes, but going out to a restaurant can find you taxed at 18% (maybe higher, since i left years ago).
my total tax bill went down when i moved from central florida to the south suburbs of chicago. sure, i paid income taxes (although income taxes are pretty low in illinois) but i paid lower taxes elsewhere. i love florida, but it’s not exactly a tax free state…
Comment by bored now Tuesday, Sep 8, 15 @ 12:01 pm
TWT ==Cutting spending has to be part of the solution==
I don’t necessarily disagree, however, since you are asking others what cuts they would make, what cuts do you propose to balance Illinois’ budget without new revenue?
Comment by Captain America Tuesday, Sep 8, 15 @ 12:21 pm
Thanks to the Illinois flat tax, the middle class would end up paying the bulk of any new revenue hike.
I’m curious how some think we can cut our way to prosperity, when even the governor has acknowledged taxes have to be raised.
Comment by Tournaround Agenda Tuesday, Sep 8, 15 @ 12:33 pm
He exposed himself as a representative for only those people who agrees with his narrow point of view. So, in reality, he is no representative at all. When he was forced to listen, he instead insulted his fellow citizens who needed to be listened to. So, in reality, he is no representative at all.
Now, with his anti-Illinois talk, he once again confirms that he is one of the very worse Illinois representatives currently under the dome. His arrogant insults towards his own constituency need to be broadcasted throughout his district. Only a browbeaten dolt of a citizen could think that it is their representative’s job to dismiss half the voters in a district.
Take him to a doctor and get him tested for a brain injury. If nothing shows up, give him a Greyhound ticket and send him away. This man is no representative, he is a crank.
Comment by VanillaMan Tuesday, Sep 8, 15 @ 12:46 pm
Captain-
I think the areas noted above where we are paying so much more per capita than surrounding States are a good place to start. Perusal of the census bureau tables referenced above will yield even more such areas. Eliminating and/or combining some of the local governmental bodies that Illinois has so many more of than other States, and is costing us $839M more than Indiana on a per capita basis is long overdue. And hard as it may be politically and personally to implement, making Illinois more desirable to businesses has to be a priority to help reverse the out-migration and decline in the labor force the BLS data reveals. That will require some measures organized labor sees as detrimental in terms of right to work, minimum wage, etc., but is needed for longer term improvement. Not too long ago, a thread on this site indicated many commentaries felt no job was better than a minimum wage job, and therefore expressed relief when a company that would have offered minimum wage employment located instead to Indiana. That mindset needs to be re-evaluated….what starts out as a minimum wage company often grows into something much better given a chance.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 12:51 pm
Back to the post, I hope the Dems come up with a viable candidate to face Phillips. I think Madigan’s campaign gurus would have fun putting together a hit piece about Mr. I want to be in Florida.
Comment by Norseman Tuesday, Sep 8, 15 @ 12:56 pm
==but the fault of 40 years of Dem legislators giving away the store in terms of Union benefits and poor fiscal oversight.==
Wow. We are up to 40 years now. Hey Sue, I’ll give you the benefit of the doubt and hope that you aren’t completely clueless. Go back and go over your history of Illinois government, who controlled it and when, and then come back and speak honestly about things. I mean, I realize that you aren’t that good and providing any sort of insight that isn’t hyperpartisan and doesn’t embrace constant victimhood but please try once in a while.
Comment by Demoralized Tuesday, Sep 8, 15 @ 12:57 pm
Something that always irks me about the homebuilding industry is two seemingly unknown perks that they get. Subdivided farmground gets the same low tax rates that farmground gets. Supposedly this helps the farmer but the developers get it as well. The other is the exemption for spec houses. Oh I know supposedly this flows to the first time home buyers blah blah but I think the developers charge what the market will bear and lower taxes has noting to do with what they will charge. Brady, Phillips and Plummer are all about taxes should be lowered…but for them, they already are
Comment by Just sayin Tuesday, Sep 8, 15 @ 12:57 pm
TWT:
Illinois isn’t Indiana. You’re welcome.
Comment by Demoralized Tuesday, Sep 8, 15 @ 12:58 pm
TWT - I’m not following you. How would your cuts work specifically in Illinois? How would they balance the budget and start paying down debt?
Comment by Captain America Tuesday, Sep 8, 15 @ 1:09 pm
TWT - I am following you with regard to consolidation. What units of local government do you propose that Illinois consolidate?
Comment by Captain America Tuesday, Sep 8, 15 @ 1:11 pm
So the argument is that we need to weaken unions and perhaps lower the minimum wage to attract more minimum wage jobs to Illinois, in the hopes that they will “grow into something more.” Okay then. Some of the largest corporations in the world are “minimum wage” companies that have failed to grow into “something more” for their thousands of employees.
Comment by Tournaround Agenda Tuesday, Sep 8, 15 @ 1:17 pm
Demor/ Captain
No, Illinois isn’t Indiana, but what works elsewhere may just work here, if we give it a chance.
Captain, reducing state paid salaries either through cuts, attrition, wage freezes, or a combination of all to match Indiana’s per capita expenditure would have a target reduction of $1.2B in the budget, based on the Census Bureau’s data. That by itself is a pretty big cost reduction, and some of the savings could go to debt relief. Reducing the State paid Governmental Administration per capita cost to compare with Indiana’s would save another $219M. That line item total comes from 4 sub categories of which “Financial Administration” and “Other governmental administration” are the two appearing to be most out of line. So, since the “financial administration” seems to not be working so well, and the “Other” category is undefined, I’d concentrate on those two, and either farm them out to a cheaper and more efficient entity and/or pare them down to a cost comparable to Indiana.
Those are just places to start, with positive effects for the budget, and the State, almost immediate.
Townships and counties could be consolidated in some functions to eliminate redundant staff, equipment, and resources. School districts have started consolidations, and that could be done more quickly if State requirements were eased from what I’m told. County Health Departments, especially in the less populous parts of the state could be consolidated. The University system as a whole is in dire need of revamping and streamlining….try to decipher any organizational chart for the U of I, or for that matter, any State Agency. We’re top heavy in a lot of places, and while some will find cuts unbearable, most taxpayers wouldn’t notice reductions in staff, especially in the upper levels.
I’m no budget wonk, and haven’t the resources to produce a detailed one. But from all the sources I’ve looked at…..Kiplinger, The Tax Foundation, BLS, The Census Bureau, Reuters, Wallethub, et al clearly indicate Illinois is out of whack as compared to the rest of the States, and merely raising taxes will not fix things.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 1:54 pm
Turnaround-
You’re right….some do and some don’t. If you know the secret to predicting which ones will and which ones won’t, that would be great. Until someone does, we might want to encourage businesses to locate here rather than maintaining policies and taxes that make other States more attractive. If they are all that terrible, they won’t likely stay in business anywhere that long.
Many would like a chance to just get started working. They may stay at an entry level position the rest of their career, or they may gain skills and apititude that allows them to move up or take a completely different position, or start their own business. I’m sure many of the minimum wage employees at the companies you reference have worked a long time at that rate of pay. But many have not, and once given opportunity to work, advance themselves and their community. That doesn’t happen unless the job to start with is there….and not everyone can start with a corner office and big bucks.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 2:04 pm
I can’t stay here and allow myself to be strangled by incompetence.
Sounds like he ought to call the Suicide Hotline!
Comment by VanillaMan Tuesday, Sep 8, 15 @ 2:32 pm
It amazes me how far many GOPers have gone around the bend on denying citizens rights based on their inability to pay.
Good thing Jackson and Johnson shut down the debtors prisons, or Rauner and his supporters would be favoring them.
Comment by VanillaMan Tuesday, Sep 8, 15 @ 2:38 pm
The Whole Truth, you cannot continually bring up the point of matching IL state salaries to Indiana. Indiana does not have Chicago and the cost of living that goes with it. For several reasons that increases the salaries paid.
Comment by MyTwoCents Tuesday, Sep 8, 15 @ 5:11 pm
My Two-
That is why the comparison is made on a per capita basis….to average out disparities. And while most of the Chicago area is in Illinois, Indiana boasts Indianapolis, which helps even out the per capita comparison even more. There also ought to be some economies of scale at play that would decrease Illinois per capita cost as compared to Indiana, but I don’t see much evidence of that.
You might also ask why the cost of living is what it is in Chicago….I’ll offer the supposition it is at least partly due to the high taxes Chicagoans, residents and businesses alike, endure. Businesses will most often pass their taxes on as part of their product/service cost, as a cost of doing business. And I see where the Mayor is looking at raising some taxes even higher.
At the end, it’s the middle class that ends up with the tax bill, and we’re losing the middle class at least in some part for that reason.
Comment by The Whole Truth Tuesday, Sep 8, 15 @ 6:39 pm
Indiana, Indiana, Indiana. Is that all you got TWT. Come on. Illinois is not and will not be Indiana. We were never run by the clan. It’s apples and oranges.
Comment by Jorge Tuesday, Sep 8, 15 @ 7:18 pm
Obviously…$Paid to stay,& paid to play$.
Comment by Property of IDOC Tuesday, Sep 8, 15 @ 9:49 pm
@TWT 6:39
Have you been to Indianapolis? Excluding Carmel, are you aware of how much cheaper housing, etc. is in Indy vs. Chicago? Indianapolis is more like Springfield or Rock Island, so you’re going to have to come up with a better example to make your comparison work. (Perhaps Chicago vs. Denver?)
Comment by Lynn S, Wednesday, Sep 9, 15 @ 2:36 am
Lynn-
As noted, part of the cost of living anywhere is the taxes a resident pays either directly or indirectly through business taxes passed on in the cost of a good, product, or service as a cost of doing business. The higher taxes in Illinois and Chicago as compared to Indiana are at least partially reflected in the higher rent, etc.
The standard of living and quality of life in Indianapolis aren’t lower than that of Chicago, yet Chicago costs significantly more. Why is that? The answer might explain the out-migration and declining workforce Illinois is experiencing.
In any event, trying to justify higher per capita State expenditures on salaries in Illinois on the basis of cost of living in Chicago doesn’t really work. There are many State paid salaries outside of Chicago where the cost of living is less. And the discrepancy is not confined to comparison with Indiana. Take a look at the Census data referenced in my 10:00AM post, pick any State you like and make your own per capita comparisons.
The points I’m making aren’t just mine….Pew, Reuters, Kiplinger, Wallethub, IPI, BLS, Census Bureau, and several others have made the same observations independently, some noted in previous posts above. And I’ve yet to see any similar study refuting their statements, though many here will disparage them simply because they don’t like hearing the truth. We may not like the situation, and even resent it being pointed out, but the facts are there, and denying them or trying to rationalize them will dig us in even deeper.
Comment by The Whole Truth Wednesday, Sep 9, 15 @ 7:09 am
@TWT 7:09 a.m.
I’ve been to Chicago, and I’ve been to Indy, and I would dispute your statement regarding the standards in Indy vs. Chicago. Chicago definitely aims higher, Indy’s full of rednecks.
I have no interest in becoming Mississippi or any other state from the Bible Belt or the Confederacy. (For that matter, I’m not so fond of California.) While I do agree the cost of government in Illinois is something that needs to be looked at, and reduced where possible (see what I wrote about Cairo in Rich’s post “unclear on the concept”), I’m not interested in hurting people or racing to the bottom.
Can we agree that co-terminous townships should not exist, and there is no reason Illinois should cut its number of school districts from 860-ish down to 150-400? (And yes, I think 150 is the better number, but there’s that whole thing about too much change coming too quickly.) Also, shouldn’t Child Care Assistance Offices be co-located in welfare offices? (Even better, why do we have a whole separate bureaucracy dedicated to approving poor families for childcare assistance? why isn’t this being done as part of their application for welfare?)
Having lived in Iowa and Indiana, I would warn you that every state taxes its citizens. Many days it’s a question of what specific category of tax you’re looking at.
Comment by Lynn S, Wednesday, Sep 9, 15 @ 11:13 am
Lynn-
I’ve been to Indy and Chicago as well, but prefer Indy. Guess I maybe fit in better with the “rednecks” as you call them.
I certainly agree with your suggestions on school districts, combining office space (possibly including staff duties), and townships, and would expand the concept to County Health Departments, Fire Protection Districts, etc. …any entities where due to population, geography, demographics, etc. consolidation would result in economies of scale without materially harming effectiveness.
As far as tax categories amongst the States, please do take a look at the Census data link referenced in the 10:00AM post yesterday. A little math will be needed to calculate the per capita rates I quoted, but they are correct. Pick any States you like and see what you find….the beauty of the charts is they give a consistent picture of expenditure and revenue types among the states. I used Indiana as it adjoins and many relate to it, but Iowa and Missouri are besting us by just as much.
As far as racing toward the bottom, from the information available from Pew, Kiplinger, BLS, the Census Bureau and quite a few others referenced above, we’re already very close to being there, and by some measures already are.
Comment by The Whole Truth Wednesday, Sep 9, 15 @ 1:37 pm
That’s because they have higher taxes TWT. Stay home.
Comment by Jorge Wednesday, Sep 9, 15 @ 9:49 pm
Jorge-
Not sure what you mean by that. According to the Tax Foundation, we’re 13th highest in overall taxes. Kiplinger has us as the 10th least friendly tax state, with the 2nd highest property taxes and 10th highest sales tax. At the same time, Reuters credits us with the worst funded pension system and worst credit rating of all 50 states. So there are a few states with higher taxes, but all seem to be better at financial management of their resources than we have. Do you really think we have nothing to learn from any other States?
http://www.kiplinger.com/slideshow/taxes/T054-S001-least-tax-friendly-states-in-the-u-s/index.html
http://news.yahoo.com/illinois-unpaid-bill-pile-grows-budget-battle-drags-181953742–business.html
Comment by The Whole Truth Wednesday, Sep 9, 15 @ 10:18 pm
Nope. We are Illinois. Stay home TWT. Bruce needs your help.
Comment by Jorge Wednesday, Sep 9, 15 @ 10:29 pm
Jorge-
Illinois needs help. Denial of facts and belief that somehow the status quo will solve our problems seems to be two of the root reasons why.
Comment by The Whole Truth Wednesday, Sep 9, 15 @ 10:33 pm