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Republican delegation tells Harmon to withdraw graduated income tax, institute pension reforms, cut state and local spending

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* Republican US Representatives have responded to Senate President Don Harmon’s letter asking for tens of billions of dollars in federal assistance, including $10 billion for pensions. Here’s the meat of it…

Your letter sets forth the fundamental structural problems in Illinois, and we believe these problems will only be exacerbated without long term solutions: “In a normal year the size of those [pension] payments crowds out funding for services and programs. Clearly this will not be a normal year and that crowding out effect will be exacerbated by significant revenue losses.”

We agree that this is happening but believe that it reflects a fundamental problem with State policy: The promises made in the past, and still today, are inhibiting Illinois’ growth and prosperity for the future. Even in the best economic climate, with some of the highest taxes in the nation, Illinois could not afford its obligations. This pandemic has not caused a pension crisis, it has further illuminated the one that already existed.’

Similarly, the sole justification for your requested $9.6 billion for Illinois municipalities is: “Those [revenue] losses will dramatically impact municipalities’ abilities to fund retirement systems” for municipal workers. While we honor and celebrate the service of our first responders, their service in this crisis will not convince representatives of other states to pay for pension plans that Illinois has mismanaged.

It is imperative that Illinois’ State and local leadership step up and address the preexisting financial mismanagement that makes our State and localities particularly vulnerable to the fiscal impacts of this pandemic. We will work with you to provide more federal resources, but we need the State to address the longstanding issues exacerbated by this crisis:

• Illinois must reform its pension system to reduce long-term liabilities and make the system more equitable to the people of Illinois before federal money is used to support the pension system.
• Illinois must reduce State and local spending and make the government more flexible and responsive to the people.
• Illinois must reduce spending mandates on local governments in order to provide the same flexibility the State is seeking for the use of federal dollars.
• Illinois must withdraw the Graduated Income Tax increase to protect Illinois jobs that are already at risk from the pandemic and to stem the exodus of people and opportunity from our great State.

What? No right to work? /s

posted by Rich Miller
Monday, Apr 20, 20 @ 4:00 pm

Comments

“Illinois must reduce State and local spending”

By all means Congressmen, Show us your spending cuts

Comment by Principal Skinner Monday, Apr 20, 20 @ 4:05 pm
Ha, Ha, Ha.

President Harmon writes a ridiculously agenda driven letter, with one whole paragraph designed to talk about pensions.

Response?

The Trumpkins respond with, you guessed it, a wholly agenda driven, partisan take to the state budget and finances.

Perfect response. I mean it highlights perfectly how awful Harmon’s attempt to insert himself in the discussion with masked agenda points, some masked better than others, as “necessities”.

This letter is as serious as a tasty trolling of truly oblivious people thinking they have “the answers”.

My hope is that, while reading it, is a snarky trolling and not all too serious, but the hint of truth to the minority members of the US House still need to feed the regional’s and wealthy donor’s phoniness too.

I love the letter.

If anything, as a lesson.

Do better.

Comment by Oswego Willy Monday, Apr 20, 20 @ 4:09 pm
===Illinois must withdraw the Graduated Income Tax increase===

It’s in the hands of the voters. Talk to them.

Comment by Nick Name Monday, Apr 20, 20 @ 4:09 pm
This is the one of the more dense thing’s I’ve read in the last two years.

Which one of Bruce Rauner’s former aides came up with it?

Giving them the benefit of the doubt that the rest of this isn’t absurd, it’s a multi-year process to change the constitution.

Comment by Candy Dogood Monday, Apr 20, 20 @ 4:09 pm
Illinois has reformed it’s pensions systems. It’s called Tier 2. It doesn’t matter how you “reform” the pension system if you don’t put monies into it, it won’t meet funding requirements. What’s so hard to understand about putting the necessary funds into whatever structure there is?

Comment by Ano Monday, Apr 20, 20 @ 4:10 pm
So if he does all that, what are they offering in return?

Comment by Socially DIstant Watcher Monday, Apr 20, 20 @ 4:22 pm
Ha, they still haven’t given up on the idea of giving state retirees a haircut.

Comment by The Dude Abides Monday, Apr 20, 20 @ 4:24 pm
He threw them a room service fastball and they crushed it onto Waveland. Predictable.

Even the bad big league hitters can wallop an 84 mph batting practice offering.

Comment by Upon Further Review Monday, Apr 20, 20 @ 4:24 pm
This should hasten the various pension funds going broke and then we will see what happens next. Should hasten the exodus from the state. Last one out pay the Com Ed bill.

Comment by Really Monday, Apr 20, 20 @ 4:24 pm
Gosh, the ILGOP representatives being pointless empty suits with no real answers and nothing to contribute? Color me shocked. They should probably get back to putting another coat of shine on Trump’s boots

Comment by Loofa Monday, Apr 20, 20 @ 4:28 pm
- - So if he does all that, what are they offering in return?- -
I was thinking the same thing. Does this mean they have a deal?

Comment by Fly like an eagle Monday, Apr 20, 20 @ 4:33 pm
The GOP delegation needs to stop smoking the new state agricultural product before writing laughable letters.

Comment by Norseman Monday, Apr 20, 20 @ 4:41 pm
This is why Harmon’s letter was a bad idea.

Not that the R’s are right in their ask- it just makes the D’s asks harder.

Dumb politics.

As to the R’s ask: yeah, cut social services and public heath during an unemployment surge and an epidemic…

Comment by Morty Monday, Apr 20, 20 @ 4:53 pm
Imagine a Venn Diagram for those supporting the graduated tax amendment AND an amendment to the pension clause. I suspect among voters it would be a pretty large overlap, and among Illinois pols pretty tiny.

Comment by lake county democrat Monday, Apr 20, 20 @ 4:54 pm
When you tee it up for them, you can’t blame them for taking a good swing. But it proves the R delegation has no solutions or interest in solving any problems. Will be happier when there is one fewer of them.

Comment by Jibba Monday, Apr 20, 20 @ 4:54 pm
Harmon should never have sent the letter and if he would have consulted others, i.e. the Governor they would have recommended “don’t send it, you are only giving the Trump wing ammunition” and now Illinois is experiencing this nonsense. Sending the letter, on his own, was very presumptuous, to say the least. Harmon is a bright person, I just am baffled by his actions.

Comment by Professor Monday, Apr 20, 20 @ 4:57 pm
Appallingly bad. Totally disconnected from reality.

I am starting to agree with my brother who thinks the entire Republican Party needs to be burned down so a new conservative party can rise up.

Comment by Last Bull Moose Monday, Apr 20, 20 @ 5:00 pm
They forgot six-day work weeks.

Comment by Illinoised Monday, Apr 20, 20 @ 5:01 pm
What? No right to work? /s

Does anybody have a better plan? One that doesn’t involve a big tax hike that could just as easily scare off investors? Or a federal bailout? Or hoping for some kind of economic deus ex machina?

Comment by Saul Goodman Monday, Apr 20, 20 @ 5:03 pm
=== Does anybody have a better plan?===

Will it get 60/71 and 30/36?

The best plan… is a passable plan that can get signed.

The merits of that plan would be up for discussion.

Comment by Oswego Willy Monday, Apr 20, 20 @ 5:05 pm
Basic political arithmetic here:

(meaningless partisan letter) X (meaningless partisan answer) = a meaningless partisan game

Comment by Flapdoodle Monday, Apr 20, 20 @ 5:09 pm
Sure guys, why don’t you have someone draw those ideas up as some bills and let them be voted on. Oh wait, that’s already happened? And failed miserably? I’m shocked. And yet again suggesting something that isn’t legal? Perish the thought.

Comment by Fixer Monday, Apr 20, 20 @ 5:20 pm
That list of all stars who represent teachers public employees and others who depend on a public pension think their constituents should have the rug pulled out from underneath their financial security

Comment by Obama’s Puppy Monday, Apr 20, 20 @ 5:20 pm
===Or a federal bailout?===

Well, that was the idea. The pension part was an admitted overreach. But Illinois and many states will still be far too many billions short in the next couple of budget years to cut their way out of it. The Feds are pretty much the only answer.

Comment by JIbba Monday, Apr 20, 20 @ 5:27 pm
Tier 2.

It’s reformed. No one listens or realizes.

Next?

Comment by Mr. K. Monday, Apr 20, 20 @ 5:52 pm
If the Democrats at least tried to reform the problem it would help. They haven’t even tried. Tier 1 benefits are way outside the line of the private sector, and the Democrats just seem to shrug and say, “It’s too hard.”

Comment by Just Me 2 Monday, Apr 20, 20 @ 6:14 pm
Love to see more recognize these mopes are empty suits. Now ask them for their lists of cuts and mandates. They usually put polluters and sloppy plant owners first

Comment by Annonin' Monday, Apr 20, 20 @ 6:14 pm
Have any of those fiscal conservatives declined to accept a Congressional pension?

Comment by Anonymous Monday, Apr 20, 20 @ 6:21 pm
@Just Me 2 -
They tried, it was struck down by the ILSC. Rauner did the two year w/o a budget fiasco. And, it did more damage than the current budget issue. 98% of people won’t pay more in taxes with the upcoming state constitutional amendment. If you look at the private sector, most skilled jobs actually pay more than most state jobs.

Comment by Reform? Monday, Apr 20, 20 @ 6:23 pm
Harmon is more talented than this. Should have finessed it with more progressive members of delegation rather than serving up high fastball to right wing faction.

Comment by Bruce Monday, Apr 20, 20 @ 6:34 pm
Is it even possible for it to be any clearer that the Republican Party at every level is totally and only a bought and paid for tool of mega-wealth and rich mega-wealth wannabes? There’s always millions/ billions for any interest of the Repub owners - and always desperate throat clutching efforts to eliminate or reduce any policy or program that benefits most of the rest of us.
The exchange here just sets up test to determine how dumb we are this election season. Illinois is in trouble this deep because for most of my years here Republicans ran hard against any Democratic candidates that suggested we needed revenue until the Dems finally quit doing it. Then Blago, with solid Democratic majorities in both houses, promised to veto badly needed income tax hike because he (amazingly) actually thought he was going to be a presidential candidate. Well,then there’s the stiffing of pension contributions by both parties. And also, (relatively) petty corrupt dealing on both sides for friends, family, donors etc.

Comment by comfortably numb Monday, Apr 20, 20 @ 6:55 pm
Reform? — They did not try, that was the Republicans trying and the Democrats going along. Cullerton and Nekritz were trying but they got so tired banging their heads against the wall with their own caucuses they walked away.

Comment by Just Me 2 Monday, Apr 20, 20 @ 6:55 pm
Harmon took the Illinois Pension debacle and foolishly elevated it to the national level. Highlighting the “crowding out” part was a fatal mistake - and helps make the case for eliminating statewide defined-benefit pensions. His handlers should have known better. The loyal opposition will make hay out of his letter till November.

Comment by Donnie Elgin Monday, Apr 20, 20 @ 6:57 pm
=== The loyal opposition will make hay out of his letter till November.===

Nope.

If they do, and the CA Progressive Income Tax decides to roll with “haves and have nots”, with Labor… it’ll be such an overplay… it’ll backfire

- comfortably numb -

That’s some tasty truth. You’re on quite a bit there. Good stuff.

Comment by Oswego Willy Monday, Apr 20, 20 @ 7:02 pm
The letter is a perfect response to an absolute ridiculous ask.

Comment by Gaga Over IL Monday, Apr 20, 20 @ 7:03 pm
This has some good coverage over at Zero Hedge. The responses are not so nice to Illinois. Just to get a feel how those outside of our state might feel about it is instructive. Interesting read.

Comment by George Monday, Apr 20, 20 @ 7:04 pm
I would imagine furloughs and pay freezes are on table right now. If they aren’t then that is mismanagement. Only two legitimate options .

Comment by Jeff Monday, Apr 20, 20 @ 7:27 pm
Nobody will do anything until it runs off a cliff. You all work for public service employees and retirees people. Get to work to pay your masters.

Comment by 44th Monday, Apr 20, 20 @ 7:29 pm
Just Me 2

How much does the bus fare from your alternate reality cost?

How about this thought…Lisa Madigan, E Nekritiz, Dan Biss, Scott Drury…all saw their careers go up in flames for supporting the unconstitutional pension law.

And Tier 2 exists.

Comment by Morty Monday, Apr 20, 20 @ 7:35 pm
44th

Sweet.

You’re fired.

Comment by Morty Monday, Apr 20, 20 @ 7:36 pm
@Jeff-
Those newly signed union contracts don’t say “Pay this amount-unless there’s a world wide virus that tanks the economy.” The state is on the hook-period.

Comment by Han's Solo Cup Monday, Apr 20, 20 @ 7:38 pm
Between flu and coronavirus perhaps fewer of your parents and grandparents who may be former state employees will no longer be a burden to your tax and spend ideology. But I’m sure you’ll not refuse any homes, vehicles, or savings left on this earth.

Comment by cc Monday, Apr 20, 20 @ 7:42 pm
=== perhaps fewer of your parents and grandparents who may be former state employees will no longer be a burden to your tax and spend ideology. But I’m sure you’ll not refuse any homes, vehicles, or savings left on this earth.====

See you in Church.

Comment by Oswego Willy Monday, Apr 20, 20 @ 7:46 pm
dont fire me Morty, I am earning for you

Comment by 44th Monday, Apr 20, 20 @ 7:53 pm
=== The letter is a perfect response to an absolute ridiculous ask.===

… as a trolling of Harmon.

If it’s suppose to be taken seriously, it’s as ridiculous as Harmon’s letter.

I’d like to think these guys are too smart and know… there’s no 60/71 and 30/36 and Rauner’s sound defeat only highlights how awful those ideas are.

Trolling Harmon and the foolish who believe the nonsense? Genius. Otherwise? As foolish as Harmon.

Comment by Oswego Willy Monday, Apr 20, 20 @ 8:10 pm
Morty - you’ve proven my point exactly. Thank you for agreeing with me on my original point, which is Democrats that advocate for real pension reform are sent packing by members of their own party. If Democrats truly wanted pension reform they would find a way to make it happen, but they don’t, and instead people like Harmon ask for more money from everyone they can think of to throw at a problem of their own making.

Comment by Just Me 2 Monday, Apr 20, 20 @ 8:14 pm
=== If Democrats truly wanted pension reform===

I think the definition of the word reform is at the heart of your confusion. Reform does not mean theft of already earned benefits just because you don’t want to pay for it. And it has already been accomplished. You’re welcome.

Comment by JIbba Monday, Apr 20, 20 @ 8:25 pm
OW
Why would you say that? It’s hurtful to constantly hear many people think no one should have the pension that came with their job.

Comment by Anonymous Monday, Apr 20, 20 @ 8:40 pm
8:40pm was me.

Comment by cc Monday, Apr 20, 20 @ 8:47 pm
=== Why would you say that?===

It says it all.

Comment by Oswego Willy Monday, Apr 20, 20 @ 9:00 pm
Classic coming from a group who just keep spending at record levels with their president (before this pandemic). Remember the tea party movement in Congress. Debt ceiling fights and etc, Same group who talk about capitalism, free markets in a bull cycle but use socialism on the way down for huge corporate bailouts and etc. small business still being left out.

Comment by Gust Avacados Monday, Apr 20, 20 @ 9:03 pm
Speaking of former Gov Rauner, isn’t his official statehouse portrait coming up? /s

Comment by Gaga Over IL Monday, Apr 20, 20 @ 9:07 pm
44th

As I have been providing services for you for the last 25 years

Comment by Morty Monday, Apr 20, 20 @ 9:18 pm
Just Me 2

You have woven all around the thread studiously avoiding the answer to your demands.

Democrats DID pension reform.

Tier 2 was in 2011- it’s been there 9 years

2014 saw another pension reform that the Supreme Court threw out 9-0, which incidently landed a lot of egg on the faces of the Democrats who supported it.

ILSC was pretty unambiguous about what could and couldn’t be done.

Even so, Cullerton floated his idea out ever 6 months or so and it saw no traction.

BTW, the 2014 failed attempt had a lot of Republican no votes.

It’s a matter of public record. You could look it up if you liked.

Comment by Morty Monday, Apr 20, 20 @ 9:25 pm
Can you blame Don for wanting to take advantage of that feature of Congress to be able to write blank checks?

Comment by Medvale Monday, Apr 20, 20 @ 11:14 pm
Just to add a bit, what do these folks see as pension reform. Yeah, it’s catchy to say it, but let’s see the actual idea of what they believe would be reform as opposed to ambiguity.

Comment by Fixer Tuesday, Apr 21, 20 @ 7:31 am
(Sigh)

Pensions?

Pesky constitution.

Ball game.

Comment by Oswego Willy Tuesday, Apr 21, 20 @ 7:32 am
these same GOP congress people are the same ones who have NO issue with corporate bailouts to companies that pay no federal taxes, companies that have spent BILLIONS on stock buybacks, executive bonuses and stock options? Are we talking about these people?

Comment by truthteller Tuesday, Apr 21, 20 @ 8:08 am
Several reasons why Harmon’s plea for funds was ill-advised, but giving cover to Republicans to trot out this nonsense strikes me as the most damaging, long term.

Comment by The Doc Tuesday, Apr 21, 20 @ 8:24 am
Our pension problem is ours to own and pay not the Federal governments.

Comment by Arock Tuesday, Apr 21, 20 @ 8:46 am
=== Our pension problem is ours to own and pay not the Federal governments.===

Ok. Fine.

Now explain in this economic crisis with budgetary restraints and that pesky constitution what is/are the next steps in the immediate.

No state bankruptcy, and you need to follow the law…

President Harmon’s biggest mistake is making his letter a partisan thought to the needs of Illinois and measuring it in dollars as we are fighting a pandemic. The pension ask is not reading the room, and worse, putting at risk other real needs Illinois has outside pensions.

Still, we’re gonna see how divided government in DC will grapple with real state needs, no matter what Mr. Cotton of Arkansas thinks.

If it were easy, it’d be done already.

Comment by Oswego Willy Tuesday, Apr 21, 20 @ 8:53 am
This letter just highlights that the modern GOP literally doesn’t know how to respond to anything except to “know” that wealthy people should pay less in taxes and that working people should live as financially precariously as possible.

Comment by PeoriaDem Tuesday, Apr 21, 20 @ 9:49 am
Watching and waiting for these same Congress folks to demand that their local municipalities and school districts significantly reduce spending.

Comment by walker Tuesday, Apr 21, 20 @ 9:58 am
So does this mean US Rep Mike Bost will not accept his $73K annual pension from the State of IL until a later date? I am sure he can survive on his $174K annual Congressional salary.

Comment by Suburban Moderate Tuesday, Apr 21, 20 @ 1:29 pm
The State of IL has suffered because of one simple fact. Mike Madigan cannot and will not balance a budget. To draft a balanced (and constitutional) budget he would lose his majority and his speakership.

He has spent, spent, spent to pay off his caucus and refused to address the pension issue. The Bond rating services lay most of the facts out for you. Now the democrats want the feds to bail out the democrats so they can afford to just give away more freebies and maintain their death grip on IL.

Trump should agree to sign off on the deal if the State agrees to balance the budget first. It will never happen.

Comment by the Patriot Tuesday, Apr 21, 20 @ 2:19 pm
=== The State of IL has suffered because of one simple fact. Mike Madigan===

Thank goodness.

I was afraid we’d go the whole pandemic without “because Madigan”

LOL

Comment by Oswego Willy Tuesday, Apr 21, 20 @ 2:27 pm