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“The man behind the fiscal fiasco in Illinois”

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* Dave McKinney has a long piece for Reuters today about Speaker Madigan

As speaker of the Illinois House of Representatives, Michael Madigan has outlasted five governors and is now on his sixth. This year, the Chicago Democrat will become longest-serving state or federal House speaker in the United States since at least the early 1800s.

Madigan is to Illinois what his late mentor, Mayor Richard J. Daley, was to Chicago, the state’s great metropolis - a city the political boss once controlled down to the last garbage truck. As speaker for all but two years since 1983, Madigan has directed the fate of key pension, labor and tax laws. As state Democratic Party chairman since 1998, he has shaped the fortunes of his allies and stymied opponents.

But if Daley’s Chicago was “the city that works,” a nickname coined during his tenure, Madigan’s Illinois is the state that doesn’t work. The speaker is one of America’s most powerful politicians, presiding over arguably its most dysfunctional state capital.

Illinois is beyond broke. It is the first state in eight decades to go without an annual budget, according to the National Conference of State Legislatures. Its bond ratings, the lowest of any state, are near junk status. It is projected to have a budget deficit this fiscal year of $5.3 billion and owes vendors about $10.8 billion in unpaid bills. […]

No one in modern Illinois politics wields as much legislative power, said David Axelrod, the Chicago-based Democratic political consultant who helped put Barack Obama in the White House.

“In his domain - in terms of the art of keeping and exercising power within that building - he’s incomparable,” Axelrod said, referring to the state capitol in Springfield. “Whatever his complicity in helping to create the problem, he’s also going to be essential to its solution.”

Like I said it’s a long piece so go read the whole thing.

* Two related links by Reuters…

* Madigan’s money maker: lowering property taxes for big business: As Illinois House speaker for more than three decades, Michael Madigan has often worked to raise people’s taxes. As a private attorney, he works to lower them… Between 2004 and 2015, the speaker’s firm won $63.3 million in refunds for clients, according to a Reuters analysis of data from the Cook County treasurer’s office. In 2015, Madigan’s practice ranked second among law firms in total property tax refunds, the county data shows.

* Graphic: Mountains of public debt in Illinois

posted by Rich Miller
Wednesday, Feb 8, 17 @ 9:10 am

Comments

  1. Great work by Dave McKinney, not surprised.

    Through the whole thing, however, this stick out for me…

    ===No one in modern Illinois politics wields as much legislative power, said David Axelrod, the Chicago-based Democratic political consultant who helped put Barack Obama in the White House.

    “In his domain - in terms of the art of keeping and exercising power within that building - he’s incomparable,” Axelrod said, referring to the state capitol in Springfield. “Whatever his complicity in helping to create the problem, he’s also going to be essential to its solution.”===

    The failure isn’t acknowledging the “decades” or whatever negative connotation you want, earned or otherwise towards the Speaker.

    The failure is… from Axelrod…

    “Whatever his complicity in helping to create the problem, he’s also going to be essential to its solution.”

    Going “after” Madigan as Rauner has is exaserbating the failure to seek a solution, unless the solution is to get rid of Madigan, let the state fail under Rauner’s watch, and push an agenda that needs Democratic votes for the foreseeable future.

    “Whatever his complicity in helping to create the problem, he’s also going to be essential to its solution.”

    This is the reality that the blinded by anger ignore.

    Comment by Oswego Willy Wednesday, Feb 8, 17 @ 9:25 am

  2. Don’t rush…piece shed little new light on anything and confirms no improper conduct at any level…little like the Tribbies 2010 failure

    Comment by Annonin' Wednesday, Feb 8, 17 @ 9:27 am

  3. Come on Bruce don’t be jealous you make millions more so you win!

    Comment by Red rider Wednesday, Feb 8, 17 @ 9:32 am

  4. After two years of not moving an inch towards solving Illinois problems when will the Speaker become essential to its solution?

    Comment by Lucky Pierre Wednesday, Feb 8, 17 @ 9:32 am

  5. Still one of many elected.

    Comment by Liberty Wednesday, Feb 8, 17 @ 9:36 am

  6. A good primer for those new to state politics, but nothing new. If you believe in the simple-minded notion that the government can be run like a dictatorship out of the House, nothing here will dissuade you from that.

    Were the problem so simple, so would be the solution.

    As always with McKinney, the fiscal villain is the Edgar Ramp, which, of course, required the bipartisan acquiescence of Pate’s Senate, Madigan’s House and Gov. Edgar.

    And if subsequent General Assemblies and governors had stuck to the ramp, the pension liability would not have mushroomed as it did.

    But kick the can is something Illinois politicians across the spectrum love to play; it’s the path of least resistance for competing interests across an ideologically, economically and geographically diverse state.

    Nobody in Illinois politics gets a parade for paying the bills on time. See Patrick Quinn.

    And to date, nobody in Illinois politics gets punished for being an irresponsible fiscal screwup. See Richard M., who did have the power, ceded to him by the City Council, to operate as a virtual dictator.

    Comment by wordslinger Wednesday, Feb 8, 17 @ 9:36 am

  7. Dave McKinney does a great job summarizing the impact Madigan has on this state. Also an interesting quote from Jim Edgar in the article shifting blame for his pension ramp.

    Comment by Chicagonk Wednesday, Feb 8, 17 @ 9:37 am

  8. ==when will the Speaker become essential to its solution==

    He is essential. There is no “when will he.” As soon as the Governor accepts that he is essential the sooner we move forward.

    Comment by Demoralized Wednesday, Feb 8, 17 @ 9:38 am

  9. ===After two years of not moving an inch towards solving Illinois problems when will the Speaker become essential to its solution?===

    If I were Rauner, at this point, I’d be asking Edgar advice, instead of trashing him, and try to cobble a plan that has 60 votes to honestly and actually “corner” the Speaker.

    That’s what governors do. The petty personal attacking by Rauner, even during session and not during election season tells me “It’s about Madigan first, a budget and the state second”

    They don’t have to like each other, but they need to respect each other and trust each other.

    ===““Whatever his complicity in helping to create the problem, he’s also going to be essential to its solution.”===

    Where is David Axelrod wrong here?

    Comment by Oswego Willy Wednesday, Feb 8, 17 @ 9:39 am

  10. Saying no to everything is not working cooperatively and professionally with the Governor

    Perhaps the Speaker and the rest of the House should accept the reality that there is a Republican Governor for the first time in 12 years. I don’t think that has sunk in yet

    Comment by Lucky Pierre Wednesday, Feb 8, 17 @ 9:42 am

  11. Seems like several other pieces rehashed and stuck together. Although I didn’t know Madigan once worked on a garbage truck, so that is interesting.

    The most important thing in the piece: Madigan still refusing to be interviewed.

    Other than that, it focuses on pension obligations, but right now it seems like the pension debt is the least of our worries.

    Comment by Free Set of Steak Knives Wednesday, Feb 8, 17 @ 9:42 am

  12. Rauner believes MJM is the problem, and the only solution is removing him. Hasn’t worked so far and Rauner has trashed the State trying to do so. Don’t think the State can survive another 6 - 8 years to see if Rauner can achieve that goal.

    As the article makes clear, any solution requires MJM be a part of it. Until Rauner is willing to accept that reality, nothing will happen.

    Too bad this isn’t a 200 years ago. If it was, both side’s seconds would arrange a meeting date and time to settle things once and for all. /s

    Comment by RNUG Wednesday, Feb 8, 17 @ 9:54 am

  13. == Nobody in Illinois politics gets a parade for paying the bills on time. See Patrick Quinn. ==

    1000 times, this.

    Comment by Hamlet's Ghost Wednesday, Feb 8, 17 @ 9:57 am

  14. ===Perhaps the Speaker and the rest of the House should accept the reality that there is a Republican Governor for the first time in 12 years. I don’t think that has sunk in yet===

    “Perhaps Governor Rauner and the rest of the Raunerbots should accept the reality that there is a Democratically-Controlled General Assembly for the next two year, same as Rauner’s first two years. I don’t think that has sunk in yet.”

    Better.

    Again. Read. Axelrod.

    ===““Whatever his complicity in helping to create the problem, he’s also going to be essential to its solution.”===

    Rauner needs 60. Nothing has changed.

    Comment by Oswego Willy Wednesday, Feb 8, 17 @ 9:59 am

  15. ==Perhaps the Speaker and the rest of the House should accept the reality that there is a Republican Governor for the first time in 12 years. I don’t think that has sunk in yet ==

    We can play this back and forth game all day long if you want. What you say is obviously true. But guess what, it’s also true that the Governor has not yet accepted that he must work with Madigan to get anything done.

    Comment by Demoralized Wednesday, Feb 8, 17 @ 10:00 am

  16. What - I thought Illinois was In great shape before Rauner. This is another example of Trumpian fact reporting

    Comment by Sue Wednesday, Feb 8, 17 @ 10:19 am

  17. ==What - I thought Illinois was In great shape before Rauner.==

    Said nobody ever.

    Tell me this, at what point is the Governor responsible for anything? Or are we all just satisfied that he is the perpetual victim?

    Comment by Demoralized Wednesday, Feb 8, 17 @ 10:26 am

  18. My compliments to McKinney on a well researched article that pulled so many elements essential to anyone trying to understand Speaker Madigan.

    What stuck in my head was Madigan’s quote: “everyone needs Bosses” and how Boss Daley froze him out for 9 months when he crossed him.

    Eight more months to go Rep. Drury!

    Comment by Louis G Atsaves Wednesday, Feb 8, 17 @ 10:27 am

  19. Oh - Louis G Atsaves -, lol

    Sound familiar to Rauner too?

    ===“I will bury her” and “I will make her radioactive.” The lawsuit also quotes Rauner allegedly telling Gilman, “She will never get another job anywhere, ever. I will bankrupt her with legal fees. I don’t know if she has a family or not. But if she does, she better think twice about this.”===

    That Rauner… lol

    Comment by Oswego Willy Wednesday, Feb 8, 17 @ 10:30 am

  20. Illinois voters elected these people. Their job is to make our government function. Deal with it, or resign.

    Governors are elected to govern. Rauner is governor. Govern! Does anyone think President Trump would just sit on his duff and fingerpoint for two years if he had to deal with a Democratic majority?

    Where’s the deals, Rauner? Where’s your business success being used? Where’s your sales savvy promoting your reforms? Where’s your vision? Where’s your facts?

    We saw a better roll-out for Crystal Pepsi, than we’ve seen from your administration. Donald Trump has done more in 15 days than you’ve done in 2 years.

    We see that the Democrats are stumped, but we also see Bruce Rauner doing little more than continue his 2014 campaign into 2017.

    I don’t care about the Speaker!
    I didn’t vote for him.
    I care about the Governor who has been a massive disaster since he got elected.

    Comment by VanillaMan Wednesday, Feb 8, 17 @ 10:41 am

  21. “Saying no to everything is not working cooperatively and professionally with the Governor”

    Saying it’s my way or the highway on property tax freezes, term limits, the gutting of organized labor among other things is NOT working “cooperatively and professionally” with the legislature…..jes sayin.

    Comment by Galena Guy Wednesday, Feb 8, 17 @ 10:46 am

  22. I don’t this the article was a)written for this audience and b) meant to be a prelude to an indictment. Not that we didn’t get a highly placed troll commenting on both before the rest of us had the chance to read it.
    I think Dave did a fine job of pulling a lot of elements together into an interesting, balanced final product. Count me as another who never knew he rode a garbage truck.

    Comment by Arthur Andersen Wednesday, Feb 8, 17 @ 10:46 am

  23. This is the story that Rauner has wanted someone, anyone to write. That McKinney was the one to do so is really rather amazing.

    Comment by The Captain Wednesday, Feb 8, 17 @ 10:50 am

  24. Kind of disappointing from DM, but I’m sure the Rauner folks appreciate his help. Since Madigan is largely to blame in McKinney’s accounting, does he get any credit for the fact that under Quinn-Madigan, the state made every pension payment when it was due - that’s five years’ worth and the state was pretty well paying its bills on time - as opposed to the reality under Rauner where neither is true?

    Comment by Moe Berg Wednesday, Feb 8, 17 @ 10:53 am

  25. The mention of the former longest-serving statehouse speaker was worth a look for some trivia.

    Solomon Blatt of South Carolina, Speaker of the House 1937-1947 and 1951-1973. Continued to serve in the House until the day he died in 1986, aged 91.

    Son of Russian-Jewish immigrants (counter-intuitive, for the time and place), part of the “Barnwell Ring” that ran the state. Lost his Speakership for a time when he got sideways of young, “progressive-reformer” Gov. Strom Thurmond.

    Comment by wordslinger Wednesday, Feb 8, 17 @ 10:59 am

  26. @Willy, I can only surmise that the clock on Rauner’s 9 month freezeout gets reset daily!

    Drury is my State Rep by the way. Other than a chance intro here and there, I have no real contact or relationship with him.

    Comment by Louis G Atsaves Wednesday, Feb 8, 17 @ 11:14 am

  27. Dave McKinney put a lot of stuff that many of us on this blog already knew about the Speaker together in one place. I am sure his article will become a standard reference in relationship to the Speaker in the future.

    But McKinney did not dig very deeply in some interesting issues. For example any estimate on the Speaker’s net worth, other than to just day “Little is known about Madigan’s personal wealth.” McKinney did not dig very deeply into Madigan & Getzendanner I can’t believe that there is not a lot more there. Ultimately its not an investigative piece of journalism, but a good broad profile of the Speaker.

    Comment by Rod Wednesday, Feb 8, 17 @ 11:16 am

  28. ===I can only surmise that the clock on Rauner’s 9 month freezeout gets reset daily!===

    I guess you’d have to ask the woman Rauner made those remarks about. I notice you didn’t refute the remarks(?)

    As to Drury, I wouldn’t wish him on any citizen as their House Member. To that, I am sorry, but if he continues to help Rauner you should write him a check, lol

    Comment by Oswego Willy Wednesday, Feb 8, 17 @ 11:22 am

  29. Reads like an obituary or movie review, how about something on my impotante dysfunctional govenor that can’t submit a budget,lost his wingman, hires his wingman, six downgrades from his man made fiasco. And all he did was receive an index card?

    Comment by Rabid Wednesday, Feb 8, 17 @ 11:26 am

  30. I never could vote for Madigan. Just about everyone on this blog knows about him, and by and large don’t care for him.
    I did however vote for Rauner and he has been hugely disappointing .
    I wish that he would sit down the Senate leaders and members of the House to work us out of this quagmire. That’s what a leader does, the grandstanding has too end.
    .

    Comment by Mokenavince Wednesday, Feb 8, 17 @ 11:27 am

  31. “Other than that, it focuses on pension obligations, but right now it seems like the pension debt is the least of our worries.”

    What? It’s the whole reason Illinois is a fiscal disaster. Pension costs are eating up all our tax revenue.

    Comment by Anonymous Wednesday, Feb 8, 17 @ 11:57 am

  32. Great article by Mckinney; he takes his years of knowledge about Madigan’s activity in Springfield and synthesizes it down to a picture of power/greed and patronage politics. The national audience that reads Reuters will undoubtedly come to the conclusion that Illinois gets the government ( and financial disaster) it deserves, outsiders would likely be asking how can they keep re-electing MJM for 30 plus years ?

    Comment by Donnie Elgin Wednesday, Feb 8, 17 @ 11:59 am

  33. Nice hatchet job. Used to think more of McKinney.

    Comment by Anonymous Wednesday, Feb 8, 17 @ 12:13 pm

  34. The bottom line here is, even if Madigan is a boss, history has shown it is possible to work with him, reach a deal, and accomplish things.

    The people who voted for Rauner thought he was a great deal maker. Apparently he isn’t since he hasn’t reached a deal with Madigan. All Rauner has proven in 2 years is he knows how to break the state and try to sell off pieces of it.

    To bad Madigan isn’t as big a boss as everyone thinks he is; then he could just order Rauner replaced and it would happen!

    Comment by RNUG Wednesday, Feb 8, 17 @ 12:14 pm

  35. Anyone who knows anything about the 1989 and 2002 pension legislation and how it was shaped, knows more about it than McKinney. Madigan was most often the last one to agree to pension enhancements.

    Comment by Truthteller Wednesday, Feb 8, 17 @ 12:24 pm

  36. Standard and Poor’s take: “Illinois’ fiscal crisis is, in our view, a man-made byproduct of policy ultimatums placed upon the state’s budget process,” S&P analysts wrote, then immediately added, “As we see it, the governor interpreted his election in 2014 as a mandate to pursue various institutional changes that the legislature has steadfastly opposed.” To my eyes, those connected passages blame Gov. Rauner and his longstanding Turnaround Agenda demands.

    “We

    Comment by Truthteller Wednesday, Feb 8, 17 @ 12:31 pm

  37. Madigan has managed to reach deals with every governor. Every.single.one. Rauner has reached deals with zero GAs. Nadda.none. Tell me again who the problem is.

    Comment by 61571 Wednesday, Feb 8, 17 @ 12:31 pm

  38. ===Nice hatchet job.

    If the truth is a hatch job, then we need more of them.

    Comment by Lech W Wednesday, Feb 8, 17 @ 12:43 pm

  39. The article comes across as naive, overly simplistic, and, ultimately, inaccurate, which is puzzling given Mr. McKinney’s credentials. Obviously, Speaker Madigan has some blame for the current challenges our state faces, and the magnitude of those challenges, but primary responsibility? Please.

    Illinois’ governor has fairly strong constitutional powers, including the bully pulpit for proposing the budget and a line item veto. Yet, as the article notes, governors allowed themselves to want the easiest remedy possible and placed themselves into weakened bargaining positions. (Thompson wanted more revenues rather then make cuts; Edgar wanted the ramp.) And their desires and decisions existed because Madigan made them want it so badly because he’s so powerful?

    Same situation exists today. We had little turnover in the last election (hence, the renewed cry for term limits) but our financial situation, education systems and social services are, arguably, exponentially worse than they were before the last state elections. The only significant change has been in the governor’s office, and his intransigence and hostage taking is due to Speaker Madigan making him adopt and hold to those positions?

    I swing both ways politically, and I live in Bloomington so I’ve had a ringside seat that lead me to this conclusion, so understand I’m trying to beobjective when I say that a deal could have been done by now if the republican legislators in districts where public universities are located had cut a deal with the speaker. However, they are more concerned about one job (theirs) instead of thousands of jobs, and the Governor has ensured that they stay in line by playing the “boss” politics that is identified as one of the key criticisms of the Speaker.

    Using a sports analogy: the Speaker is very good at what he does, and I don’t want to put in the effort that he does or what would be required to beat him, so I’ll try to disqualify him so he doesn’t beat me anymore. Want to beat him? Do the mundane managerial work that makes a state work well. Work as hard to provide bases of support for stakeholders you need on your side. You know - hard stuff that takes effort and commitment

    Comment by Johnny Tractor Wednesday, Feb 8, 17 @ 1:15 pm

  40. 61571-those deals madigan made with every other Governor got us into this mess. Those deals all resulted in excess spending and generous public pension and benefit giveaways which were never paid for. Today there is a stalemate because for the first time in 40 years a Governor has stood up and said no more. It’s easy to look like your doing a great job as a politician when you deliver the spoils but fail to come up with the money to pay for it. As for Vanilla saying we voters elected these legislators- he fails to state that’s the district maps guarantee the outcome favoring the Dem majority and Iron Mike has refused efforts over the years to alllw for real elections

    Comment by Sue Wednesday, Feb 8, 17 @ 1:37 pm

  41. –Today there is a stalemate because for the first time in 40 years a Governor has stood up and said no more–

    No more of what?

    Deficits?

    Piling up billions in unpaid bills?

    Credit downgrades?

    You might want to check the comptroller reports.

    Comment by wordslinger Wednesday, Feb 8, 17 @ 1:40 pm

  42. Word- no more spending more then the State raises in Revenue. I know it’s a foreign concept for you

    Comment by Sue Wednesday, Feb 8, 17 @ 2:01 pm

  43. –Word- no more spending more then the State raises in Revenue. I know it’s a foreign concept for you–

    LOL, is that what you really meant when you claimed the governor is saying “no more?”

    Party on, Sue. Give your car keys to someone responsible, please.

    Comment by wordslinger Wednesday, Feb 8, 17 @ 2:05 pm

  44. I saw the title of the post and figured it was a piece ABOUT Rauner. Instead, it is one more propaganda piece FROM Rauner.

    Comment by illinoised Wednesday, Feb 8, 17 @ 2:51 pm

  45. = he fails to state that’s the district maps guarantee the outcome favoring the Dem majority and Iron Mike has refused efforts over the years to alllw for real elections ==

    More victimhood.

    It’s not the Governor’s fault. Elections aren’t fair. I’m about to call an ambulance for you because you’ve been so victimized.

    ==no more spending more then the State raises in Revenue==

    That’s nice. About as useful as the cut fraud, waste and abuse mantra. You tell us what your budget would look like with no additional revenues. Does it look like the IPI’s budget? You got some other plan you’d like everyone to consider?

    Comment by Demoralized Wednesday, Feb 8, 17 @ 3:13 pm

  46. What is responsible about decades of overspending and undertaxing?

    What are the Speaker’s cuts he famously says are necessary?

    He did not think to include them in his last budget which had a 3 billion more in spending than his previous unbalanced budget.

    It’s been two years of no details, no compromise

    Comment by Lucky Pierre Wednesday, Feb 8, 17 @ 4:48 pm

  47. Sue ==Word- no more spending more then the State raises in Revenue. I know it’s a foreign concept for you==

    You mean like when he hired Munger to a non-job and about 30 others from the comptroller’s office? And pays his superstar insiders far more than Quinn paid his inner circle? (Including, in one case, a pension deal better than other state employees get?)

    And where is your gratitude for Madigan being the only one who stood up to Blago’s craziness, including is multi-billion-dollar gross receipts tax? Rauner is more tyrannical than Madigan, but not as good at it. The only reason you cheer him and boo Madigan is because you prefer the goals Rauner claims to support.

    Comment by Whatever Wednesday, Feb 8, 17 @ 7:50 pm

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