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* I’m told the Senate Transportation Committee Chairman was invited to every capital bill working group session, but chose not to attend until today’s unveiling…
State Senator Martin A. Sandoval issued the following statement in response to the Pritzker administration’s early draft of a construction program.
“We’ve been eagerly awaiting a framework from the Pritzker administration. As the Senate has gone around the state and led this bipartisan effort, there have been many changes, and I expect many more to come. What you have here is an early draft of what a framework could look like. Going forward, I hope the governor’s as committed as I’ve been to an open, bipartisan process.”
* Chamber…
“We appreciate that the Governor’s Office has begun their capital conversation in earnest with a specific revenue and spending package, some of which the business community supports,” said Illinois Chamber of Commerce President and CEO Todd Maisch. “We are encouraged to see some of the ideas the Illinois Chamber has promoted included in their plan. However, most of the revenue in the governor’s proposal is not new revenue for additional maintenance and new projects, but rather existing state, federal, and local sources that were already planned. We look forward to learning more about all proposals and working towards a bipartisan solution.”
“One particular concern in the governor’s plan, is the reliance on a new media streaming tax for non-transportation construction. The Chamber believes this will be an unreliable foundation for funding because it will be complex, unpopular and possibly unconstitutional.”
The streaming and satellite taxes are gonna be a big lift.
This post will likely be updated.
* Sun-Times…
Steve Brown, spokesman for Illinois House Speaker Mike Madigan, called the proposal “another good step.”
“House caucuses will continue to work with [the] Governor to put out a plan that creates jobs and reverses neglect,” Brown said in a statement.
Others weren’t so happy with the nearly $1.78 billion in proposed new or higher taxes.
“I oppose this plan because it includes massive tax hikes, including a gas tax increase, streaming tax and real estate transfer tax,” State Rep. David McSweeney, R-Barrington Hills said. “We need a capital bill, but it should be funded by issuing bonds supported by a stream of future cash flows from sports gambling revenues and potentially the prudent expansion of some other existing kinds of gambling.”
* Crain’s…
The biggest income producer in that list is the ride-hailing tax, which would generate a projected $214 million a year, followed by the cable/satellite tax at $150 million and a new gallonage tax on liquor that would pull in $120 million. The booze levy would raise current levies by up to 50 percent, with the tax on wine, for instance, going up 66 cents on top of the current $1.39 a gallon.
Lobbyists for the affected industries already are objecting, and the plan almost certainly will change if it passes at all. But it’s been a decade since the state adopted a capital plan, and there’s a huge thirst for one in Springfield.
* Senate Republican Leader Bill Brady…
Members of my caucus, who were part of the capital working group, received a briefing on the governor’s proposal this afternoon. We look forward to these discussions continuing as we work toward a plan that addresses our state’s critical infrastructure needs and creates jobs.
* Build UP Illinois…
The Build UP Illinois coalition applauds Governor Pritzker for putting forth a construction plan that balances the need for maintenance and repair to our roads, bridges, schools and state facilities with new investment for campuses, hospitals and emerging technologies. A plan of this size will create thousands of new jobs, support hundreds of thousands of existing jobs and provide a major economic boost to our local economies. While not a finished product, coalition members will continue our efforts to assist lawmakers and the governor in seeing a capital plan to the finish line.
* IMA…
The Illinois Manufacturers’ Association (IMA) released the following statement today in response to Gov. JB Pritzker’s preliminary capital infrastructure proposal:
“Illinois’ infrastructure is crumbling, and we applaud Gov. JB Pritzker for his desire to invest in our roads and bridges, strengthen career and vocational education opportunities and further develop our rail, air and waterways,” said Mark Denzler, president and CEO of the Illinois Manufacturers’ Association. “Manufacturers share the goal of creating modern, updated infrastructure to better move people and products around the world. However, this must be achieved through responsible funding solutions. We look forward to working with the governor and lawmakers to help craft a balanced capital bill.”
* SJ-R…
Sen. Andy Manar, D-Bunker Hill, who’s been involved in negotiating the capital plan, said the proposal “clearly lays out a path forward,” but said there is still work to be done on the revenue ideas.
“There’s no such thing as an easy revenue vote, so they’re all challenging,” Manar said. “I don’t interpret the plan the governor laid out today as the final plan, nor was it described as such.”
posted by Rich Miller
Friday, May 17, 19 @ 2:36 pm
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I think Sandoval’s 15 minutes are up. He was driving this process only in his own mind.
The mild criticism from the chamber could be a signal of meaningful Republican support, except for the Never-Take-A-Tough-Vote dead-enders.
Comment by wordslinger Friday, May 17, 19 @ 2:47 pm
=== He was driving this process only in his own mind===
Basically just doing 150’s bidding. We’ll see what they do.
Comment by Rich Miller Friday, May 17, 19 @ 2:54 pm
I would hope the eventual final draft would see more towards transit.
Comment by Nick Friday, May 17, 19 @ 2:57 pm
I know this sounds old of me but really if you have all the bells and whistles and cable tv the tax will not kill you
I am not a fan of gas tax but is overdue and should be annex for inflation. This will affect me more but I am also not a fan of have holes appear randomly in bridges I drive over
Comment by DuPage Saint Friday, May 17, 19 @ 2:59 pm
Lots of banking on fed $$s, as they’ve continued to shift toward more strings for monies. Looking forward to reading the legislative text to see if this is the usual dump of $$s or if there’s more baked into it. GOP/Dems have both asked for more clarity/transparency/call it what you want to know that money goes where it needs to go. Didn’t see any of that in initial fancy packet.
Comment by Annon For Now Friday, May 17, 19 @ 3:15 pm
Many of the justifications offered to double the state tax on cigarettes could be used to justify higher alcohol taxes.
For one, the tax is voluntary, since people don’t have to drink. Two, higher taxes would reduce consumption, which would have benefits for public health. Three, users would be paying for more of the social costs of their recreational drug.
Something tells me, however, that nonsmokers who found those arguments so persuasive with cigarettes won’t like them applied to a product they use.
Comment by anon2 Friday, May 17, 19 @ 3:23 pm
Could someone more knowledgeable than me explain Todd’s comment regarding taxing streaming services possibly being unconstitutional? Something to do with them being a subscription service or what?
Comment by Fixer Friday, May 17, 19 @ 3:32 pm
More tax and spend from Pritzker, huge surprise.
Comment by BAP Friday, May 17, 19 @ 3:44 pm
===More tax and spend===
That’s what a capital plan is. Plus borrowing. This stuff costs money.
Comment by Rich Miller Friday, May 17, 19 @ 3:45 pm
===More tax and spend===
How do you pay for things?
We’re running deficits *before* the much needed capital bill that reasonable folks understand this state needs.
Isn’t it amazing the simpler the driveby, the more ridiculous the take?
Comment by Oswego Willy Friday, May 17, 19 @ 3:48 pm
They need to require the giant construction cranes that drive on the roads to buy license plates. They are large, very heavy trucks with a crane built onto them. They tear up the roads and don’t pay a penny to the state of Illinois. Other states make them buy truck license plates based on weight. We should do the same thing.
Comment by DuPage Friday, May 17, 19 @ 4:03 pm