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My latest syndicated column is about a poll paid for by business groups opposed to the governor’s tax plan…
Governor Rod Blagojevich insists that his proposed $6 billion gross receipts tax on business doesn’t break his campaign promise last year not to raise income or sales taxes, but a recent poll finds voters think otherwise.
The very last question of the long, 45-question poll, in which voters were told both positive and negative aspects of the proposal, asks this: “Now, during the campaign, Gov. Blagojevich promised not to raise income or sales taxes. By increasing business taxes, do you think he is keeping his promise or not?”
A clear majority, 54 percent, said the governor was breaking his promise not to raise taxes, while just 34 percent said he was keeping his promise. 11 percent said they didn’t know.
The governor told the Associated Press last month that voters shouldn’t be surprised that he would introduce the gross receipts tax, despite his repeated pledges last year not to raise general taxes.
“This gross receipts - this tax fairness proposal is very much along the lines of what I did for four years,” the governor said, adding, “It’s just a bigger, bolder version of it.” His top people have repeatedly pointed out that the proposed tax hits businesses, not “people,” so the plan is not a promise-breaker.
But a majority appears to disagree. And since the “promise” question was asked after numerous other questions about the governor’s tax hike, both pro and con, the poll’s respondents had a fairly good idea what the tax proposal was all about.
The statewide survey was paid for by business group opponents of the governor gross receipts tax. The poll was professionally done, however. The sample size was 600 voters and it was taken March 14-15 and 17 by Neil Newhouse, a partner with Public Opinion Strategies. It has a margin of error of +/- 4 percent.
The poll is a bit out of date because the governor has increased the amount included in the GRT. Scroll down for more info on that. And, now, I’m headed to the bus tour.
What, you thought I was joking yesterday? Nope. Four days with the guv. Joy.
posted by Rich Miller
Monday, Apr 2, 07 @ 9:00 am
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As Churchill said, “We contend that for a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.”
Comment by Fan of the Game Monday, Apr 2, 07 @ 10:08 am
Blagojevich has obviously recognized that Capitol Fax is an important political publication in Illinois, and he’s trying to buy influence. I know that you will do your best to resist this, Rich.
Comment by Squideshi Monday, Apr 2, 07 @ 10:12 am
Rich, try not to get ill on the bus. Not from the car ride, that hairspay cloud can get nasty.
Comment by Yellow Dawg Monday, Apr 2, 07 @ 10:25 am
What’s the political strategy here?
The Guv isn’t touching his patronage apparatus at all, nor is he even looking at ways to manage State services at anything approaching standard costs in providing services.
He refuses to move forward with any reasonable managed care approaches that many other states are already using ti their states benefit, he refuses to address the root cause of the “pension crisis”, unplanned for early TRS, SURS, and SEIU retirements that provide what amount to above average salary “bonuses” to retirees who then double or triple dip until REAL retirement at 65.
Essentially, he’s completely ignoring the root causes of the state’s performance and financial problems, and then pushes to raise taxes by unheard of rates in order to enable him to AVOID making any necessary reforms, while creating costly and ineffective new programs for those who don’t need it, while ignoring those who do.
Are their really so many people connected to State handouts, payouts, and payoffs that he can get away with this?
Comment by PalosParkBob Monday, Apr 2, 07 @ 10:31 am
Ok, John McCain had the “Straight Talk Express”. What is the nickname going to be for the bus on this road trip?
Just remember the target phrase: “Are We There Yet?”
Comment by Judgement Day Is On The Way Monday, Apr 2, 07 @ 10:52 am
I can’t believe the Guv would “dirty” himself and travel south of I-80 to talk to the common citizens…
Comment by What were they thinking? Monday, Apr 2, 07 @ 10:57 am
The timing of this bus tour is during break from school because Blago “doesn’t like to be away from his family.” So guess what Rich? I bet that for 4 days, in addition to Blago, you will have Mrs. Elvis. Also the 2 kids will be on the bus running up and down the aisle kicking and screaming “are we there yet?” I can just see daughter 1 and/or 2 climbing over your shoulder as you try to Blackberry your reports. And when you get back, give your Blackberry a thorough cleaning to get the sticky fingerprints washed off. Those would be from Blago - not the kids - trying to watch over your shoulder to read what you are blogging. In fact, if you don’t write favorable reports, Mrs. Elvis may confiscate your Blackberry (she will consider this to be a non-public event). Consider coming down with a case of the “flu”, requiring immediate emergency room treatment, before noon tomorrow, thus making you unable to complete the other 2 1/2 days. That excuse usually works. Good luck!
Comment by Little Egypt Monday, Apr 2, 07 @ 11:39 am
Thank you Rich for riding on the Governor’s bus. I predict that the experience will be exhausting. Mr. Blagojevich’s non-stop praddling and inability to listen, coupled with his charming personality will make you feel like you have been getting dragged behind his bus.
But please be careful. A lot of the Governor’s friends have ended up under that bus.
My advice is to stay on, hold on tight, and follow Blagojevich’s lead - pretend, pretend, pretend!
Comment by VanillaMan Monday, Apr 2, 07 @ 11:57 am
Rich,
Have fun on the bus tour. Behave yourself and try to keep Rod out of trouble.
Comment by Bill Monday, Apr 2, 07 @ 12:00 pm
PeePee Bob,
The “root cause” of the pension problem is the fact that the state has not paid their portion into the plan since their inception in the forties. The employees have had their portion taken out of their checks every two weeks. They have NEVER missed a payment. If the appropriate pension payments had been paid to the pension plans by the state during the Thompson,Edgar, and Ryan administrations, all of the plans would be funded today at over 100%.
The early retirement options were a way for the state to enable the districts and the state to SAVE money by replacing older, higher paid employees with new lower paid employees. It was the Republican way of “funding” education and state services. However, don’t let the truth get in your way. Just keep blaming the unions, the democrats,and people who are not fortunate enough to live in Palos Park and enjoy the quality of life that you do. Maybe you should join a managed plan and pay the difference in property taxes. That would seem fairer to me.
Whatever, just keep repeating the big lie over and over.. Someone just might start believing it.
Comment by Bill Monday, Apr 2, 07 @ 12:11 pm
Right on, Bill! Excellent post.
Comment by Arthur Andersen Monday, Apr 2, 07 @ 12:17 pm
Poor Rich, you deserve combat pay for riding on Bozo’s bus! Also, if you take a nap, keep one eye open (after publishing your column) and a hand on your wallet (self-explanatory)
Comment by If It Walks Like a Duck... Monday, Apr 2, 07 @ 12:25 pm
Rich, DON’T GET ON THE BUS!!! I read the new version of the bill:
IT’S A COOKBOOK!!!!!
Comment by Gregor Monday, Apr 2, 07 @ 12:29 pm
Always Remember, Don’t Drink the Kool Aid!!!!!!!!
Comment by Just a Citizen Monday, Apr 2, 07 @ 12:34 pm
I think that most of the public is smart enough to realize that they are going to be the ones that will foot most of the tax bill from the GRT through higher prices. Sunday’s Peoria Journal Star had a nice little article about Keystone and it recovery, I wonder how well that recovery will continue if the GRT goes through and they see their price of doing business go up compared to everywhere else and their product becomes more expensive.
Comment by RMW Stanford Monday, Apr 2, 07 @ 12:50 pm
Who’s paying for the bus?
Who’s paying for the fuel?
Who’s paying for the food and beverages?
Comment by Just Simp[e Questions Monday, Apr 2, 07 @ 1:22 pm
Bill said: ….”Whatever, just keep repeating the big lie over and over.. Someone just might start believing it.”
Excellent way of paraphrasing the gov’s approach to governing. Thanks, Bill.
Comment by Anonymous Monday, Apr 2, 07 @ 1:28 pm
Bill –
Early retirement (after the 20% salary bumps with money that should have been used elsewhere in the system) did nothing for the Districts. It did maximnie their pensions and enabled them to take other teaching jobs and qualify for a new pension over time.
The rich ones hired not the low paid incomings but they cannibalized other Districts for what they believed to be the beter qualified.. Which left the probably poorer performing Districts to make enw hires.
Comment by Truthful James Monday, Apr 2, 07 @ 1:30 pm
Speaking of taxes and fines, we could go to the Finnish system, where road fines are proportional to a person’s income.
http://www.usnews.com/usnews/news/articles/070318/26fines.htm
An offender earning about $2,000 a month would be fined roughly $1,050; a person earning roughly $7,900 a month would pay closer to $5,000 for the same offense. Police used to rely on honesty to learn their income; now they can use cellphones to tap into tax records.
The Governor should love this.
Comment by Truthful James Monday, Apr 2, 07 @ 1:38 pm
Not truthful, Truthful!
When an employee changes districts there is a limit on the max number of years of senority they use for placement on the salary schedule, hence they are “cheaper”. There are also limits on how much a pensioner can earn in another district with a state pension system.
If a district abuses the system or doesn’t produce academically the Board members can be held accountable by the voters. That is local control. You are all for that, aren’t you?
Comment by Bill Monday, Apr 2, 07 @ 2:35 pm
Not a Blago fan, but I think he did try to do more to get the state funded pension systems under control but there was huge resistance from the unions, state employees, teachers and their allies…obviously. And legislators benefit from one of the state pension systems. They aren’t going to vote for 401k substitutes or any drastic reforms. They would lose too much personally.
The only way to change the state pension system is a huge public outcry or a change in the state constitution (or both) in the face of entrenched, prolonged opposison from the unions, state employess and so on. Since the public rarely has the energy for these protracted fights, it is understandable that Blago hasn’t gotten further on pension reform than he has.And there are only so many battles an elected official can fight, even in more than one term.
When the state is at the point of noticeably cutting back services to pay the pension and retiree medical care bill, then this might be a battle worth fighting. But we are not there yet, or most citizens don’t perceive that we are anyway.
Comment by Cassandra Monday, Apr 2, 07 @ 2:45 pm
Bill –
thanks for the additional information. when the Districts ahow the cost savings from early retirement they rarely show the most senior set of replacements who are the people they are going after.
I have yet to see, by the way, an after action report, two years or later down the road, showing the real as opposed to the projected savings. There has got to be a reason for this.
Most definitely “Board members can be held accountable by the voters” There are problems with this hypothesis.
First, school board elections are usually held in April, and sometimes in years where there is no other election, primary or otherwise going on. Not until recently have there been many contested elections. Incumbents, unless they have offended the PTA or the school caucus in the District get highly organized support from these organizations. This helps because turnout in the Aprils is extremely low.
Second, the problem of accountability relates to the problem I have posted on many occasions — the failure of the ISBE to set standards, the dumbing down of their tests, the norming up of the results. How are parents to judge in these situations?
And if there are academic problems, it is not the fault of the District and its teachers or even the parents. The District, the parents and the teachers blame it on the money. Deflecting attention that way is easier than accepting responsibility
Comment by Truthful James Monday, Apr 2, 07 @ 2:56 pm
Truthful, that’s why most Finns that come over here are sourpussed and lousy drivers.
Your speeding law ideas are just about as bad as your pension law ideas. Once a teacher or other state employee uses an ERI, that’s it. Done. Finito. No more work in jobs covered by the pension systems.
Comment by Arthur Andersen Monday, Apr 2, 07 @ 3:03 pm
To If It Walks Like a Duck… Please don’t insult the Honorable Bob Bell by comparing him to hairdo. Blago would have to stand on Rich’s shoulders to….. well reach Bozo. You get the drift. Snark Intented. Sorry Rich but don’t fall asleep.
Comment by Whizbang Monday, Apr 2, 07 @ 3:17 pm
Slight Correction to AA-
The state does allow limited re-hiring of retired employees on the part-time 75-day program. These employees retain any pension payments and social security payments they are receiving. There are not many of these working in the various state agencies from what I am told.
You are correct that once a state employee is retired, they cannot be re-hired as a full time state employee without forfeiting their pension payment until they again retire.
Comment by Six Degrees of Separation Monday, Apr 2, 07 @ 4:03 pm
FOr those of you who are telling Rich “dont drink the kool-aid” or “dont get on the bus” youre missing the point for Rich being on that bus. He isnt supposed to be there with his arms crossed over his chest and his hands under his armpits. Her is there to report, and it sounds like pretty good access that he has to the governor for the next four days. Its pretty impressive to be the one reporter with the governor for the entire trip. Rich will see everything.
By telling Rich how to sdo this, you try to presuppose his experience. Rich, let it happen and write what you feel. And dont be afraid to write about the good things that happen on the trip as well. Report fairly.
Comment by Buck Naked Monday, Apr 2, 07 @ 4:32 pm
If they would have used the savings from the ERI to pay down pension debt like it was intended, can’t remember the amount, 400 million yearly, the pension would be in much better shape. But no the savings was spent 10 times over on new programs that we now can not pay for.
Comment by MIDSTATE Monday, Apr 2, 07 @ 5:38 pm
Is blogo driving back to Chicago every night?
Comment by Huh? Monday, Apr 2, 07 @ 6:47 pm
I just want to know if legal, consulting or lobbying services will be taxed. If not, why not?
Comment by NoGiftsPlease Monday, Apr 2, 07 @ 7:10 pm
Hey Rich!!! and maybe Bill can answer this.
Re: State fund for war’s dead out of money
Families must wait as bill languishes
Chicago Tribune 4-1-07.
1, Why was Ms. Tate given the typical bureaucratic run-around, the Blago shuffle, when it came to distribution of funds from the War Deaths fund? Inexcusable, but typical of this administration.
2, Maybe while he (Rich) is at it he could ask Gov. “I care for Mommies and babies” why is it that Ms. Tate is having problems with medical bills for her now fatherless 13 month old child?
Would this not be a prime example of the type of situation where “AllKids” would and should be applied?
Please, the state really dropped the ball on this one. If the Guv was so compassionate towards these situations I would think his staff would be on top of these things. He has plenty of “staff” to go around.
A real journalist would press these issues. Aren’t these issues what Rod claims he is all about?
The fact that this wasn’t even posted as a question on this blog is sad.
I guess today’s QOTD is more “relevant” than a meat and potatoes issue that may rankle Rod.
Comment by Papa Legba Monday, Apr 2, 07 @ 8:26 pm
Will Rod’s campaign pay GRT on the millions of dollars worth of commercials?
Comment by Gregor Monday, Apr 2, 07 @ 9:24 pm
“Truthful” Bill (NOT!)
Public pensions can be “double dipped” by going to different public trough. For example, I know a former CTA maintenance man who got his $50K per year pension from the CTA, then went to work for the public schools without diminishing his pension. He’s young enough that when he reaches 65, he’ll have a substantial pension added from the schools as a local 143 guy.
A teacher or adminstrator also has other options. Retire in your early fifties, get a county, city or federal job, or get a job across the state line and that pension “bonus plan” keeps on paying.
I’m not really sure if a TRS pension can continue to be collected when working a college SURS pension plan job. Maybe you can educate me regarding that issue.
As far as saving money through early retirements, both ways are lose-lose for the kids and the taxpayers. You’re either stuck with a senior teacher who’s paid far beyond their relative value compared to younger staff,or give them a “golden parachute” that drives the state bankrupt so that it doesn’t give funding to schools where the need is greatest.
Of course, paying staff according to their true value would solve this problem, but I guess that kind of thinking is too radical for you “Comrade Bill”.
You can thank the “Education Labor Relations Act” from the early 1980s, signed by alleged Republican Guv Jimmy T, for making it impossible for schools to pay appropriately based upon the talent and performance of a public school teacher.
That’s the one that required each district to negotiate only with a “sole bargaining agent”, effectively making it impossible fro quality teacehr regradless of age to be paid appropriately for what they give to the kids.
Comment by PalosParkBob Tuesday, Apr 3, 07 @ 1:27 pm
And then there are the cases where the second pensionable job enables the early or regular retiree not to open up his pension account until vested in the second pension.
Comment by Truthful James Tuesday, Apr 3, 07 @ 2:18 pm