House working on less severe tax-rollback budget plan

By Jamey Dunn with Caitlin Rydinsky contributing 

After an austere budget bill failed miserably on the House floor on Friday, House Speaker Michael Madigan said that Democrats would craft a more workable budget without an extension of the current tax rates.

The proposal failed with only five voting “yes” and 107 members voting against it. All the votes in favor of the $34.8 billion budget came from Democrats. The so-called doomsday budget would have cut education by $570 million and human services by $365 million from the current fiscal year.

Republicans decried the proposal as a stunt and not a legitimate effort to cut the budget in a responsible way. “I think it was something that was another ploy, a tactic, that is in the game plan of the speaker. We’ll have to wait and see what the real meaning was behind that vote,” said Bloomington Republican Rep. Dan Brady, who serves on the House higher education budgeting committee.

Madigan said he was not surprised that most on his side of the aisle rejected the plan. “Democrats generally are not interested in reducing government and providing less government help for people. They’re not interested in that, and so [the] democratic vote on the budget this morning should not be a surprise.” He said that Democrats on the budgeting committees in the House will meet to try and work out a plan that can pass in both chambers and be signed by Gov. Pat Quinn. “My expectation is at the end of the day, there will be at least 60 Democrats, maybe more, that will be supporting a budget which will continue to provide a good level of state services to the people of Illinois without the extension of the income tax increase.”

As the law stands, the income tax rates would step down to 3.75 for individuals and 5.25 for corporations half way through Fiscal Year 2015. A rollback of the rates would take an estimated $1.6 billion in revenue with it. Gov. Pat Quinn and Democratic legislative leaders have said they support for an extension of the rates, which are 5 percent for individuals and 7 percent for corporations. But Madigan told reporters this week that there are not enough Democrats in the House who support keeping the current rates.

One way that plan without a tax rate extension might avoid deep cuts is by reducing the amount of money the state uses to pay down its backlog of overdue bills. Such a move would likely result in schools, social services providers, doctors and others who do business with the state having to wait longer to be reimbursed for their services. The backlog is expected to be about $5.6 billion when the current fiscal year ends on June 30. That number is down from the peak level of $9.9 billion in 2010. In some cases, those owed money by the state where waiting for six months or longer to be reimbursed.

Such a move could earn the plan opponents from both parties. “I know that the amount of the unpaid bills that the sate has outstanding is of concern, not only to me but to other legislators as well, and any budget plan is going to have to have a component that pays off a substantial amount of that debt,” said Rep. Sam Yingling, a Democrat from Round Lake Beach. “I think difficult decisions are going to have to be made. Everybody knows that the state of Illinois has lived far beyond its means for a number of years, and now the state is going to have to come to grasp with the fact that it can’t afford everything its been funding. So difficult decisions are going to have to be made, and not everybody is going to be happy with those decisions.” Yingling does not support an extension of the current tax rates.

Madigan said Friday that he still supports extending the current income tax rates, but he said that getting it done is another matter. He says that only 34 members of his caucus are in favor of extending the current rates. “I’m going to continue to work for the extension of the income tax increase because my view is that the state does need more money to support the programs that are offered by the state, but 34 is a long way from 60.” Madigan said that he does not plan to send Quinn a lump sum budget or pass bills that do not match the revenue coming in, forcing the governor to make cuts.

“There’s certainly not the votes for the tax increase,” said Rep. Jack Franks, a Marengo Democrat. Franks opposes extending the current tax rate. But he says that he thinks there could be an option in between the doomsday option voted down today and the $38 billion in spending the House approved last week. Madigan put a hold on those budget bills, so they did not go over to the Senate after passage. “I think there’s a happy medium; at least there should be a compromise and I’m hoping in the next few days we’ll get closer to it.”

Still, some are hoping that House Democrats will come around to the idea of keeping the income tax increase. Weekend session has been canceled, so lawmakers from both chambers will presumably head back to their districts for the next two days. “I think that the members, at least in the House, need to come to their senses and realize that you can’t adequately fund education without adequate resources to do so,” said Homewood Democratic Rep. William Davis, who chairs the House’s K-12 education budgeting committee. “Hopefully, members will take the weekend, come to their senses and realize that we need to come back sit down and have real conversations about the priorities of the stat of Illinois and then discuss what it’s going to take to fund those priorities.”

If the House can did pass a budget somewhere in the middle, the real challenge of getting support from the Senate and Quinn would begin. Senate President John Cullerton has said that he has the support to pass an extension of the rates, and Quinn has been lobbying house members hard for a tax vote. Getting more liberal Democrats in the Senate to vote for a budget that cuts or even funds services at a flat level but delays payments to schools and vendors could be difficult.

Quinn based his budget proposal on extending the rates, expecting the sometimes-stubborn governor to back track on the budget during a close election could be unrealistic. Part of Quinn’s proposal also included a $500 rebate for home owners to defer their property tax costs—an initiative the governor was no doubt hoping to tout on the campaign trail.

 Franks said of Quinn: “If there’s no additional revenue coming in, then he can’t spend any extra money. I think he may not like it, but it is going to be what it is.” He added, “Nobody’s going to like the budget.”

Legislative panel plans probe of Quinn's anti-violence initiative

By Jamey Dunn

A legislative commission that reviews state audits voted today to activate its subpoena power to look into Gov. Pat Quinn’s troubled anti-violence program.

A scathing audit from Auditor General William Holland thrust the Neighborhood Recovery Initiative (NRI) into the spotlight earlier this year. According to the report, the program did not use a competitive bidding process to select the providers and dole out grants but instead relied on recommendations from Chicago aldermen. Auditors found that at least $2 million was unaccounted for and necessary documentation was missing, including timecards for workers.

Since the audit, the U.S. attorney's office and the Cook County prosecutor's office have both begun investigating to program. Republicans have accused the governor of using the $54 million program as a “political slush fund.” The bulk of the money for the program came from discretionary spending Quinn is allowed under the state budget. Contracts for the program were signed shortly before Quinn narrowly won the 2010 race for governor, and some of the funding began to go out shortly after Election Day. 

Quinn says that he shut the NRI down as soon as he became aware that it had problems. “When it wasn’t going in the right direction, when it wasn’t doing what we wanted it to do, I shut it down completely and stopped it cold,” Quinn said today. “I didn’t sweep anything under the rug. I acted on behalf of the public and shut the program down.” Quinn is also advocating for the passage of House Bill 3820, which would require more oversight for state grants. The House passed the bill last month. “I’m ready to sign it into law. I think that that certainly is something that is an important mission.”

Sen. Jason Barickman, a Bloomington Republican, brought a motion to the Legislative Audit Commission today that would allow the bipartisan panel to subpoena witnesses or information pertaining to the NRI. The commission, which is made up of members of both chambers, reviews audits, holds public hearings with state agency heads and sometimes recommends changes to the law as a result of audit findings. “Given what we know today about this program, given the many questions that many of us have about this program, the statute makes clear that we need to further investigate, find out what facts exist and make our recommendations accordingly,” said Barickman. “It’s clear that we have more work to do to get to the bottom of this.”

The proposal received bipartisan support; however, several Democrats on the commission voiced concerns that a probe from the commission would at best produce nothing beyond what will come out during the ongoing criminal investigations and would at worst impede them. “What’s the value at the end of the day that we’ll be putting on the table?” asked Hoffman Estates Democratic Rep. Fred Crespo, who sponsors HB 3820. “What can we do that they cannot do?” Crespo and others said that the commission does not have the resources to launch a major investigation.

Barickman, who chairs the committee, and co-chair Rep. Frank Mautino, a Democrat from Spring Valley, would both have to sign off on any subpoenas issued. Mautino was the sole vote against the motion. He argued that the information the committee needs is already available and that subpoenas may be unecessary. He noted that Holland’s office has several boxes of documents related to the audit and that no legislative staffers have gone through them at this point. Mautino said that the panel should first ask for the information and witnesses it is seeking instead of resorting to subpoena powers.

Holland said he would provide the commission with any information they want. “You don’t have to subpoena the records, and you don’t have to FOIA the records. You make an appointment, you come in and you take a look. That’s the way we do business,” He said. Holland also said that state agencies are required by law to comply. Barickman said that because the agency that oversaw the program has been dissolved and some of the people who worked on the NRI have since left state government, the commission may need the legal power to compel them to cooperate.

Barickman said that today’s action would give the committee “every tool available” to look into the issue in the coming months. “We’re not scheduled to meet [again] until late August or September of 2014. So this gives us all of the tools necessary to continue with our duties over the summer.” If the commission decides to bring forward any revelations about the NRI at that next hearing, it would be pretty inopportune political timing for Quinn’s reelection bid.

Quinn called Brickman’s motion politically motivated. “Politcs as usual. It’s a political time of year. We shut the program down. That’s the bottom line. We did it two years ago.”

Barickman said Quinn has been trying to “rewrite the facts” in recent media appearances. He said that the commission’s vote today “demonstrated wholeheartedly” that “this absolutely is not a partisan issue.” But whether the power will actually come into play is yet to be seen. Mautino would have to agree to subpoenas and an equally balanced bipartisan subcommittee would then have to draft them and approve them by a majority vote. Democrats on the commission went along with today’s vote, for the most part, but they may not be as accommodating when and if the subpoenas begin to fly.

Quinn bashes Rauner for Cellini statement, stays mum on Blagojevich

By Jamey Dunn

Gov. Pat Quinn took a swipe at Republican candidate for governor Bruce Rauner today after a former Republican powerbroker, who was convicted on a corruption charge, made positive statements about him.

William Cellini and Rauner attended a Republican fundraiser in Springfield yesterday. Cellini told reporters that it was the first time he had seen Rauner speak, and called him “impressive.” When asked if he planned to vote for Rauner, he said, “I've been a Republican all of my life, and he's the Republican candidate.” Cellini was convicted in 2011 of attempting to extort a Hollywood producer into giving former Democratic Gov. Rod Blagojevich a $1.5 million campaign contribution. Cellini served less than a year in federal prison.

 “I think he’s now a convicted felon, and I certainty don’t want to have anything to do with him personally, and I think anybody who aspires to this office should stay clear of him and should make that crystal clear to the people of Illinois,” Quinn said an unrelated news conference today.

A statement from Rauner’s campaign said that he “obviously renounces” any endorsement from Cellini.

Quinn, who served as lieutenant governor under Blagojevich, was asked today about his own ties to the impeached former governor, who is currently doing time in a federal prison after being convicted on corruption charges. “I’m not going to get into any politics,” Quinn responded.

Primary election resources

Here are some resources for today's primary.

See Illinois Issues' rundown of the governor's race and legislative primaries to watch. Also, yesterday's primary preview is here. 

Illinois Issues Statehouse Bureau Chief Jamey Dunn will be participating in The Count 2014's Google Hangout from 9:30 pm to 10:30 pm tonight. A few longtime statehouse observers will be calling in, and some reporters may also drop in, schedules permitting. Participants can ask questions and share comments. You can follow this link to join.  (You must make a Google profile, if you do not already have one.)

Other resources:

WUIS and Illinois Public Radio will have live coverage starting at 7:00 pm. (Click the Listen Live button at the top of the page.)

The Chicago Sun-Times' Early and Often political team has a primary live blog. 

You can also check out the Chicago Tribune's Election Center.

The State Journal-Register will have several election-related features on its homepage. 

Lee Enterprises has coverage from its papers throughout the state consolidated on its elections page.

For news on the governor's race and legislative races in the Chicago suburbs, go to the Daily Herald's Election 2014 webpage. 

Anti-violence program promoted by Quinn mismanaged funds, audit finds

By Jamey Dunn

Republicans are calling for an investigation of Gov. Pat Quinn’s administration after an audit released today found mismanagement in an anti-violence program backed by the governor.

In the summer of 2010, Quinn announced $50 million in funding for the Neighborhood Recovery Initiative, a violence prevention program. The initiative received nearly $55 million from October 2010 to October 2012. The bulk, nearly $45 million, came from Quinn’s discretionary funds and was not directly approved by the General Assembly. Lawmakers approved about $10 million for the initiative as part of the Fiscal Year 2012 budget.

The Neighborhood Recovery Initiative has been the target of scrutiny for a few years now. A 2012 report from CNN called into question some of the program’s spending, including paying youth to hand out fliers, attend yoga classes and march in a parade with Quinn. Later that year, lawmakers approved a resolution calling for an audit of the program.

That review, conducted by the office of Illinois Auditor General William Holland, was released today. The report describes the program as “hastily implemented” and says that the Illinois Violence Prevention Authority (IVPA), which oversaw the program, failed to properly document how money was spent. The funding for the program increased from $20 million to $50 million in less than two months.

Republicans are asking that the executive inspector general’s office to launch an investigation into the program. “This is the kind of information that indictments are made out of,” said Dixon Republican Sen. Tim Bivins. “Obviously there’s got to be an investigation. Everyone’s innocent until proven guilty.” He added, “I think there’s more than enough probable cause ... for an investigation to occur.”

The audit found that the IVPA did not use a competitive bidding process to select the providers that administered the services under the program, instead relying on recommendations from Chicago aldermen. The agency also did not have documentation on how it selected the communities that would receive funding. “The communities selected for NRI were not all the most violent in terms of crime in the Chicago area. Our comparison of NRI communities to the violent crime totals published by the Chicago police found seven Chicago neighborhoods that were among the 20 most violent neighborhoods that did not receive NRI funding. In Year 3 of NRI, another Chicago community, Hermosa, was added to the NRI program. This community ranked 48th in violent crime from 2005 [to] 2010,” the audit said.

The audit looked at 23 providers that participated in the program. Auditors found that 40 percent of the contracts with community providers in the program were approved after the contract work timeline was already completed. Providers were allowed to work on the program before they entered into a contract with the state, and 33 contracts either had no end date or were never approved. Only 30 percent of audited providers kept time sheets for staff paid with funding from the initiative. Holland found documentation indicating that some workers were paid for more time than they worked. More than 60 percent of providers' quarterly reports were late. Some agencies revised quarterly reports more than a year after they were due. Of the 23 providers, two closed, and the IVPA did not recoup unspent program founds. The audit found documentation indicating that $2 million in unspent funds from the initiative were never recovered.

Republicans point to the timing of the spending and accuse Quinn of using the program as a slush fund to try to build community support before the 2010 general election. Quinn narrowly defeated Republican Sen. Bill Brady in 2010 to hang onto his office. Brady is running for governor again “This is a very troubling report about a program launched by Governor Quinn just weeks before the 2010 election with little planning from what certainly appears to be a taxpayer-paid political slush fund,” Brady said in a prepared statement.

Quinn’s office brushed off the accusations. “These issues were resolved more than a year ago,” said a statement from Quinn’s office. “When the governor’s office became aware of the issues with IVPA in 2012, the administration acted quickly and, working with Attorney General [Lisa Madigan’s] Office and the General Assembly, passed legislation to have [the Illinois Criminal Justice Information Authority] take over the authority. The ICJIA has taken major steps to ensure responsible management of this critical violence prevention program and this issue has since been resolved. We are committed to providing effective work and educational opportunities for our youth to help prevent violence in communities across Illinois.”

The revamped version of the program, now called the Community Violence Prevention Program, is currently operating on an annual budget of about $17 million. The program serves 24 communities and plans to branch out to 33 next year. According to the Illinois Criminal Justice Information Authority, last year it administered job training to about 1,800 youth and placed young people in jobs, such as office and retail positions. The state pays the participants’ salaries in these summer jobs. Those in the program also participate in community service and receive mentoring. The program almost provided reentry services to nearly 450 young people who were returning to society after doing time in the state’s corrections system. “We’re excited about our program, and we’re going to continue to provide the effective work program that we’ve designed and continue to offer these opportunities for youth to help prevent violence in communities across Illinois,” said Cristin Evans, spokeswoman for the Illinois Criminal Justice Information Authority.

Republicans say a reworking of the initiative is not enough. They say they want answers about the years in which money was misspent. “Every once in a while, the truth comes out of this town, and I would hope that people have the courage to look at it and see what it shows,” said Palatine Republican Sen. Matt Murphy.

GOP candidates square off in Springfield debate

By Jamey Dunn

Republican candidates for governor traded barbs at tonight’s debate but avoided attacking state Treasurer Dan Rutherford, who has been battling sexual harassment allegations.

Hinsdale Sen. Kirk Dillard was the most aggressive when it came to criticizing his opponents. When candidates were given an opportunity at the end of the debate to make clarifications, Dillard took the time to list why he believes the other Republicans would not do well in the general election. He brought up venture capitalist Bruce Rauner’s business connections to former Gov. Rod Blagojevich’s crony, Stuart Levine, who is currently serving time in federal prison. Levine was a key witness for the feds in the case against Blagojevich and others charged with political corruption. He received a shortened sentence as part of a plea deal.

“He’s very very much someone with a pattern of pay-to-play politics in his personal, professional and political life,” Dillard said of Rauner after the debate at the Hoogland Center for the Arts in Springfield. Dillard also noted Bloomington Sen. Bill Brady’s very conservative social views and a recent story calling into question whether Brady took a vote on a tax issue that benefited members of his family. “I only bring up things that have been on the front page of statewide newspapers,” Dillard said when asked by reporters about going on the offensive.

Brady reaffirmed during the debate that he does not support abortion, even in cases of rape and incest, and that he does support allowing school districts to opt to teach creationism. But he said those issues are not the focus of his campaign. He also said that as governor, he would not have the power to end abortion in the state. “I do also realize there’s something called the U.S. Constitution,” Brady said “No governor in this country can eliminate a women’s right to choose, but I am not going to back away from my pro-life beliefs. I believe government has an obligation to protect innocent human life.”

After the debate, Brady dismissed Dillard’s negative comments as “desperate.” “He’s at the bottom of the polls. He’s got a fledgling campaign that’s just not getting off the ground, and he’s going to try to bring up things whether they make sense or not,” Brady said.

While Brady and Dillard were critical of each other and Rauner, they avoided beating up on Rutherford, who is facing a harassment lawsuit. Edmund Michalowski, who worked for Rutherford from 2011 until he resigned this month, is suing Rutherford and his chief of staff, Kyle Ham. Michalowski alleges that both men pressured him to do campaign work on state time, including fundraising for Rutherford. He also claims that Rutherford sexually harassed him by groping him and offering him advancement for sex. Rutherford has denied all the allegations and called into question some of the timeline presented in the case. He has also accused Rauner of being behind the allegations, which come at a politically inconvenient time for Rutherford. However, Rutherford, who is from Chenoa, said during the debate that he has no proof that Rauner is involved.

“It’s very unfortunate,” Brady said after the debate. “If Dan Rutherford‘s innocent, this is a bizarre and terrible situation. If he’s not innocent, it’s a bizarre and terrible situation.”

Rauner, who is leading in the polls, refrained from going negative and generally ignored the comments that his opponents made.

In a segment of the debate that ran counter to many conservative talking points, three of the candidates spoke positively about public employee unions. “Illinois is not Indiana. We’re not Wisconsin. We are a state that has a proud organized-labor history,” Dillard said. The Illinois Education Association, a teacher’s union, recently endorsed Dillard. He noted that endorsement during tonight’s debate. Dillard said the way to get fair deals with unions is to talk with them, not to “demonize” them.

 “Certainly public and private sector unions have done a lot to assist in enhancing the quality of life for the people they represent,” Brady said. “They’ve been a pillar of our country, and they’ve been important to us.” Brady said that unions “provide for” the “skilled workforce” that is needed to run state government.

“I happen to believe in the right to collectively bargain, both in the private sector and in public sector,” Rutherford said. Dillard, Brady and Rutherford all agreed that as the percentage of union employees has grown, some jobs in state government have been unionized that should not be.

The venue of the forum may have been a factor in the praise. According to statistics from the city of Springfield, state government is the largest employer in the city by far. In fact, the state workforce has nearly as many Springfield residents as the rest of the top nine largest employers in the area.

Rauner, who frequently derides “union bosses” in his campaign ads, said, “I’m not against the existence of government unions, but workers should be free to choose whether to be in a union or not.” But Rauner also said: “When a government union boss has power with taxpayer-funded union dues to influence politicians through campaign cash and campaign workers that are free but actually paid or by taxpayers ... it’s a conflict of interest, and it’s a corrupting influence. And the result of it is, spending goes up, taxes go up and businesses leave our state.”

Rauner, who is from Winnetka, was the only of the four who did not stick around to talk to reporters after the debate. Rutherford fielded questions about his legal troubles. Most of the queries pertained to why he would not release the results of an independent investigation he initiated when he first went public with the fact that he was being accused of improper behavior by an employee. The treasurer vowed to make the findings of the investigation public but then did not because he said his lawyers advised him not to as long as he is the subject of a federal lawsuit. “I am absolutely not frightened,” Rutherford said of the findings of the investigation. However, he says that neither he nor his campaign advisers have read the report. “I have not read. I have not asked for it. No, I am not going to read the report right now.” He admitted that the suit has cast a shadow over his bid for governor. “I will say that our candidacy has a challenge, and I understand that. I would be better off, I believe, if this report was released.”

Cullerton: Lawmakers must address $3 billion budget shortfall

By Jamey Dunn

Illinois Senate President John Cullerton today highlighted the challenges lawmakers will face as they try to craft a budget for the next fiscal year.

Cullerton said at a Chicago news conference today that Senate Democratic staff members have been running the numbers as budgeting hearings will begin this week in the Senate. “We find that Illinois faces a nearly $3 billion budget hole for this coming [fiscal] year, and if not corrected, this could decimate classroom funding, send college tuition soaring and erode all the financial progress that we have made in the last few years.” Several factors are coming together to create the shortfall. The temporary income tax increase will begin to step down in the second half of Fiscal Year 2015, taking an estimate $1.6 billion in revenue with it. Expenses such as Medicaid, the state’s annual pension payments and personnel costs are expected to increase.

Gov. Pat Quinn’s budget address was scheduled to take place this week, but the General Assembly voted earlier this month to move it to March 26. Quinn’s staff says he needs more time because he intends to present a five-year budget plan. Republicans called the move political because the new date falls after the primary election, when Quinn would know whom his general election opponent would be. Quinn is the presumptive Democratic nominee, but four Republicans are vying for the GOP nomination. Two of them, Bloomington Sen. Bill Brady and Hinsdale Sen. Kirk Dillard, are sitting legislators.

Before the vote, Cullerton announced that the Senate would begin hearing budget ideas this week. “Surely people who have been running for governor for five years have some idea about what their budget should be,” he said. “For those who are disappointed in this, February 19th is the day to have your budgets ready.” A joint hearing of the chamber’s two budgeting committees is scheduled for Wednesday.

Today, Cullerton said he hopes to jump start a “discussion” on bridging the budget gap, and he called on Republicans in his chamber to present potential solutions. “We need to solve this $3 billion hole in our budget in a bipartisan way,” However, Cullerton said there is “no easy way to do it,” and he dismissed proposals such as cuts to Medicaid that Republicans have made in the past. “That would ignore the fact that we’ve already done that,” he said. Lawmakers approved and Quinn signed into law a package of Medicaid changes and new revenue in 2012.“This Medicaid reform package that was done in a bipartisan fashion — Republicans and Democrats — nothing was left on the table, and so it’s not like there’s $3 billion in savings that we ignored in our Medicaid reform bill.” Cullerton said lawmakers from both sides of the aisle have made tough choices to manage the budget in recent years, including approving changes to pension benefits for public employees. “We’ve gone right at the nature of the problems, pensions and Medicaid, and we’ve cut them.”

He indicated that finding more to cut could be difficult, and any large spending reduction could result in slashing the state’s education budget. “We’ve already closed prisons, closed mental health facilities and other centers, cut payroll, head count is down thousands from years ago. So when someone says, 'Well, just eliminate the waste and fraud,' you have to cross-examine them and ask them what they’re really talking about.” While budget cuts have been made, the tax increase, which was approved with only Democratic support in 2011, also provided billions in revenue that helped Illinois partially climb out of the estimated $13 billion deficit it faced just a few years ago.

Republicans see this week’s hearing as another political maneuver in an election year. Senate GOP spokeswoman Patty Schuh said the hearing seems to be intended to provide the governor some “cover” for presenting his budget late. “Our members will be looking to see what the Democratic majority plans to do to keep the promises they have made.”

Rutherford employee claims sex harassment, push to campaign

By Jamey Dunn

A former employee filed a lawsuit today accusing GOP gubernatorial candidate and state Treasurer Dan Rutherford of sexual harassment and pressuring employees to perform campaign work.

Edmund Michalowski, who worked for Rutherford from 2011 until he resigned this month, is suing Rutherford and his chief of staff, Kyle Ham. Michalowski alleges that both men pressured him to do campaign work, including fundraising for Rutherford. Michalowksi’s suit claims that he was passed over for promotions and raises while other workers who performed campaign work saw advancements and pay increases. Michalowski worked as director of community affairs and marketing for the treasurer. According to his lawsuit, he received a promotion and took on more duties without getting a raise.

“In 2013, Rutherford screamed to another employee of the Treasurer’s Office that Plaintiff was ‘useless to him’ because he had not helped him sufficiently politically,” the lawsuit says. Before being hired by the treasurer, Michalowski worked for the secretary of state’s office. He also alleges that Rutherford made several unwanted sexual advances, including groping him, and that Rutherford offered him professional advancement in exchange for sex. The lawsuit says that Michalowski went to Rutherford’s Chenoa home for a retreat, but that there were no other staff members there when he arrived. He says that after dinner, he went to the guest room and that Rutherford came in and groped him. “Rutherford entered Plaintiff’s bedroom and grabbed at Plaintiff’s genital area. Plaintiff immediately forced Rutherford off of him. Plaintiff gathered his belongings and left. Plaintiff informed Ham of the incident shortly thereafter, to which Ham replied, ‘At least we have job security’ and that ‘it’ had happened to him as well,” the lawsuit says.

Rutherford denies all the claims, and travel vouchers produced by his office call Michalowski’s timeline on the day of the retreat into question. “State records reviewed by the treasurer’s office bear no resemblance to Michalowski’s allegations. For instance, Michalowski claims that he was harassed at ‘an overnight retreat’ at the treasurer’s home in Chenoa on April 2, 2011. However, a travel voucher submitted and signed by Michalowski for the date of April 2, 2011, shows he traveled home from Pontiac (not Chenoa) at 2 in the afternoon. Most importantly, contrary to his claim that he planned to stay the night and that he was harassed in the evening, the voucher indicates Michalowski returned to his residence in Chicago by 4 in the afternoon that day. An email written by Michalowski to another co-worker confirms that he traveled to Pontiac and returned home the same day,” said a statement from Rutherford’s office.

Rutherford announced a few weeks ago that he was initiating an external probe into allegations against him from an employee, but he said he could not describe the allegations at the time. “While an independent investigation is ongoing, the Illinois state treasurer’s office conducted an initial review of documents [that] Michalowski claims support these allegations, as well as its own records, and preliminarily found there was no merit,” said a statement from the office. Rutherford told reporters at a Schaumburg news conference that he plans to forge ahead with his gubernatorial bid. “I’m carrying on with my campaign,” he said. “We’re going to continue on.”

Budget address delayed until after primary election

By Jamey Dunn

Gov. Pat Quinn will be giving his budget address later than originally planned this year.

The Illinois Senate today approved Senate Bill 1227, which moves the date of the budget address from February 19 to March 26. The House passed the bill Tuesday, and Quinn plans to sign it when it arrives on his desk. That means that he will wait until after the March primary election to present his vision for the state’s budget for Fiscal Year 2015 and beyond. Quinn’s office says he needs the extra time because he intends to present a five-year plan instead of the traditional one-year proposal. “In addition to presenting his budget on March 26, the governor will also present a five-year budget blueprint. Now that the budget picture is more stabilized — with pension reform, Medicaid overhaul, spending cuts, contract negotiations, collective bargaining agreement, etc. in place — we need to look at the bigger budget picture as we craft this year’s budget,and account for upcoming savings in order to develop the necessary solution that provides taxpayers and businesses with long-term certainty,” said a statement from Quinn’s office.

“I appreciate and applaud the approach by the governor’s office. This is what people are asking for when it comes to financial accountability,” said Democratic Sen. Dan Kotowski of Park Ridge, chair of one of the Senate’s budgeting committees. Kotowski said businesses in Illinois want to see long-term budget planning from state government. Supporters of the bill also noted that FY 2015 would be a difficult budget year because the temporary income tax increase will begin to sunset, taking more than $1 billion in revenue with it.

But Republicans say they aren’t buying it. “This is a total political sham,” said Palatine Republican Sen. Matt Murphy. He said it was insulting to frame the issue as a step toward good government. “Today’s request is purely political,” said GOP gubernatorial hopeful Sen. Kirk Dillard of Hinsdale. “The governor is waiting to see who his Republican opponent is.”

Bloomington Sen. Bill Brady, one of Dillard’s challengers in the Republican primary, agreed. “He needs to deliver his budget address, so the people of Illinois can know what is in it and we can debate that.”

Senate President John Cullerton said that moving the budget address is something lawmakers have done several times, including moving it for Republican Gov. Jim Edgar. Cullerton took a swipe at Brady and Dillard, who both ran for governor in 2010, when he suggested that members of the Senate use the original date as a time to present their own budget ideas. “Surely people who have been running for governor for five years have some idea about what their budget should be,” he said. “For those who are disappointed in this, February 19th is the day to have your budgets ready.” Brady beat Dillard in the 2010 primary and went on to lose the general election to Quinn. Brady, Dillard and the other Republicans running for governor — Bruce Rauner and Illinois Treasurer Dan Rutherford — have all avoided giving many specifics on how they would handle the state’s budget.

 Both chambers plan to begin their budgeting process, even though Quinn’s speech will be delayed. “The governor is asking for a delay, but here in the House we aren’t asking for a delay. We’re going to move forward expeditiously,” House Speaker Michael Madigan said during Tuesday’s floor debate. 

The House’s Revenue and Finance committee has already begun holding hearings on its revenue estimate for FY 2015. In recent years, the final budget approved by lawmakers has been based on the estimated produced by the committee. Marion Democratic Rep. John Bradley, who chairs the committee, said that he thought Quinn’s request is “deferential” to lawmakers, who have already started working on the budget. “The House is really the driver of the state budget,” Bradley said. “The last few years, the governor has attempted to make budgets and to put out numbers and disregarded the House Revenue and Finance Committee and this chamber, and it didn’t go well for him.”

Rutherford says Rauner behind employee allegations

State Treasurer Dan Rutherford says that his opponent in the Republican gubernatorial primary, Bruce Rauner, is behind allegations being made about him by one of his employees.

Rutherford held a Chicago news conference today, where he told reporters that the lawyer of an employee approached his office and demanded a $300,000 settlement to keep the allegations against him quiet. Rutherford refused to reveal what the employee is accusing him of, saying his lawyer advised him not to reveal the details or the employee’s identity. “Let me make this very clear: There is absolutely no truth to the allegations. No factual support or merit,” he said in Chicago.

The employee’s lawyer, Christine Svenson, has ties to Rauner’s campaign, and Rutherford claims he is being set up by Rauner. But Rauner’s campaign staff says he had nothing to do with the allegations. “Treasurer Rutherford should spend his time answering the serious claims made against him by a state employee rather than trying to distract attention with false claims against us,” Mike Schrimpf, spokesman for Rauner’s campaign, said in a prepared statement. They said Rutherford’s campaign lawyer recommended Svenson and that she only worked for the campaign briefly. “The campaign hired Ms. Svenson to review and edit our office space lease last spring because our regular attorney had a conflict of interest with the landlord. We paid her a one-time fee of $3,500 for that service and never discussed anything with her related to the treasurer.”

Rutherford said he has internally investigated the issue and that he is also initiated an external review. “I find this to be very, very offensive,” he said.

Rauner picks suburban running mate

By Jamey Dunn

Republican gubernatorial hopeful Bruce Rauner today announced his choice of a suburban city councilwoman as his running mate.

Evelyn Sanguinetti was elected to the Wheaton City Council in 2011. She also served as an assistant attorney general under former Attorney General Jim Ryan. She was diagnosed with multiple sclerosis before she ran for city council. Sanguinetti is the daughter of Cuban and Ecuadorian immigrants and was born in Florida.

“The Untied States pretty much presented the only and last shot they had,” she said of her parents in a video announcing her as Rauner’s running mate. Sanguinetti said her family received public aid when she was a child. She said she supports safety net programs, but she believes that government has grown too large. “Government should be in the business of giving us safe roads, sound sidewalks, police and fire protection. Delivering lower taxes, keeping things lean. I believe in the safety net, but when government grows too large and taxes too much, it does not create opportunity. It gets in the way. This is why businesses are leaving Illinois.”

She also had some choice words for teacher’s unions. “These unions in Chicago, the school teachers’ unions, are really failing their kids.” Sanguinetti said she did not do well when she started elementary school because she says she “was uninspired and disinterested” and so were her teachers. She said that going to a magnet school changed that for her, and she wants to give the same opportunity to Illinois children now. “We’re going to have to take on the system to get that done,” she said. “Bruce is not afraid. I’m not either. We’re ready for this challenge. The kids of Illinois are worth it.”

She noted that neither she nor Rauner has ever served at the state level, which fits into Rauner’s narrative as an outsider candidate. “She has the talent and guts to take on the lobbyists, special interests and career politicians that are destroying this state and eliminating opportunities for the next generation,” Rauner said about Sanguinetti in a written statement.

Rauner is the last Republican primary candidate to choose his running mate. State Treasurer Dan Rutherford chose Steve Kim, the 2010 Republican candidate for attorney general. Sen. Kirk Dillard picked Quincy Republican state Rep. Jil Tracy.

This is the first year that candidates for governor pick their running mates under a new law. Previously, lieutenant governor and governor candidates ran separately in the primary and then the winners paired up in the general election. The law was put into place after Scott Lee Cohen won the Democratic lieutenant governor nomination in 2010. Allegations of domestic abuse and steroid use surfaced, and Cohen was pushed off the ticket. The Democratic Central Committee went with Gov. Pat Quinn’s choice, Sheila Simon. Quinn has yet to pick his a new running mate. Simon is not seeking reelection because she is challenging Comptroller Judy Baar Topinka.

Brady picks former suburban mayor as running mate

By Jamey Dunn

Republican state Sen. Bill Brady officially tapped a suburbanite with a conservative pedigree as his running mate in the governor's race this afternoon.

Brady’s choice, Maria Rodriguez, served two terms as mayor of the village of Long Grove in Lake County. She made her debut as a lieutenant governor candidate at an event with Brady today in Chicago. “Maria will bring a fresh perspective, a new ethic and a new energy to Springfield,” Brady said in Chicago. Rodriguez ran for the U.S. House in 2010 but was beaten in the Republican primary by Joe Walsh, who went on to win the seat. Walsh lost his 2012 bid for the House to Democrat Tammy Duckworth. Rodriguez went on to be the executive director for former Republican gubernatorial candidate Adam Andrzejewski’s watchdog organization, For the Good of Illinois. Andrzejewski was one of several candidates that Brady defeated in the 2010 gubernatorial primary. Hinsdale Republican Sen. Kirk Dillard, who is also running for governor, lost to Brady by fewer than 200 votes in 2010. Brady went on to a narrow loss to Gov. Pat Quinn in the general election.

“We have the infrastructure, the resources and, most of all, that Midwestern heart and work ethic to become a magnet state for business and commerce,” Rodriguez told reporters. “What we don't have is leadership.”

This is the first race under a new law that requires governor hopefuls and lieutenant governor candidates to run together in the primary election. Dillard picked Quincy Republican Rep. Jil Tracy. Treasurer Dan Rutherford, from Chenoa, chose former Republican attorney general candidate Steve Kim, who is from Northbrook. Quinn and Republican venture capitalist Bruce Rauner have yet to pick their running mates.

In other Republican campaign news, outgoing House Minority Leader Tom Cross plans to formally announce his bid for state treasurer as he travels the state during the next two days to kick off his campaign. Cross will run against Republican DuPage County Auditor Bob Grogan. The winner of that primary will face off with Champaign Democratic Sen. Michael Frerichs in the general race.

Daley says his decision to bow out was not about winning or losing

By Jamey Dunn

Bill Daley, who dropped out of the Illinois governor’s race last night, told reporters today it was not because he thought he was going to lose.

“It’s not about the campaign and my ability to win,” Daley said at a Chicago press conference this morning. He said that instead, it was about him deciding that the job might not be the best fit. The former White House chief of staff said he has been asking himself, “‘Is this the right thing for me to do, to the best of my skills over the next number of years, that I feel excited to be doing?’” Daley said it took the experience of campaigning for him to come to his decision. “It’s one thing to be, quite frankly, in the gallery, and it’s another thing to be on the dance floor.”

 Daley, who recently turned 65, said he did not know if he would have the stamina to govern the state for years during such difficult times. “That need for that energy at that stage is probably not going to be there.” Illinois faces high unemployment rates, an almost $100 billion unfunded public pension liability and a state budget that is still on shaky ground. Daley said that whoever wins the governor’s race could address those issues “in a very serious way,” but he said it would take “courage” from the governor and lawmakers. However, he predicts that his former opponent, Gov. Pat Quinn, will not be the victor. When asked why, he said, “I’ve made my opinion of Pat Quinn pretty clear over the last couple of months.” Daley added, “I’ll be proven either a genius or an idiot next year.” Daley said he has no plans to endorse any candidate at this point. When asked if he was being a disloyal member of the Democratic Party by saying that its likely candidate cannot win the general election, he said, “You also have to be a good citizen, and that’s an individual judgment.” Daley said he plans to return to the private sector but does not yet have a job lined up.

Quinn’s campaign said that Daley’s decision to drop out would help Quinn in his goal of defying his former challenger’s prediction. “We respect Bill Daley's decision. A divisive primary would have only helped Republicans who want to take this state backwards and undo the important progress we have made. When Gov. Pat Quinn took the oath of office, Illinois faced a triple crisis due to decades of corruption, fiscal mismanagement and the worst recession since the Great Depression. Under the governor's leadership, Illinois is making a comeback,” said a written statement from the campaign. “We have more work to do. The governor will continue fighting for taxpayers to enact a comprehensive pension reform solution that will strengthen Illinois' economic competitiveness. And when the time comes for voters to make their decision on Nov. 4 next year, we are confident they will recognize the difficult and important work the governor has accomplished on their behalf.”

Quinn still faces long-shot candidate, Tio Hardiman, in the Democratic primary. Hardiman is the former director of the anti-violence group Cease Fire Illinois. After Hardiman was arrested on domestic violence charges last spring, Cease Fire did not renew his contract. Hardiman’s wife opted not to pursue the charges. Hardiman issued a statement upon the news of Daley’s withdraw from the campaign. “For decades the people of Illinois has had to endure failed politics, broken promises and corruption. The condition of the State of Illinois is so bad, that a Lifetime Politician in just 6 weeks had to question his own ambition and drop out. The People of Illinois are strong and determined, they deserve a governor that reflects them, one who is prepared to endure and not weaken.”

But after Daley's change of heart, the Quinn camp must be pretty happy. Attorney General Lisa Madigan was viewed as the greatest potential threat to Quinn’s reelection, but she opted to seek reelection instead of going for the governor’s seat. Now the governor can avoid being bloodied in a tough primary and can hang onto his campaign cash for the general election. Meanwhile the Republican primary remains as crowded as ever. Bloomington Republican Sen. Bill Brady is scheduled to announce his running mate later today.

Quinn says he will freeze funds for Capitol renovation

By Jamey Dunn

Gov. Pat Quinn said today that he is cutting off the funding for any future renovation to the state Capitol building.

Quinn told reporters in Chicago that he wants the spending decisions on the renovations reviewed. This comes in the wake extensive media coverage of some of the pricier components in the revamp of the west wing of the building, including copper-plated doors that came with a $670,000 price tag. “The bottom line is, I instructed our budget director to hold up the appropriation for any further renovation work on the state Capitol,” Quinn said today. “There’s some things there that needed to be done — life and safety issues, removing asbestos, making sure that it’s accessible to people who needed an opportunity to come to the Capitol. But the bottom line is, I’ve said right from the start that this was excessive. We don’t need to have the palace of Versailles at our state Capitol.” Quinn said he had no control over the spending decisions made as part of the renovation. However, he did sign off on $250 million for Statehouse renovations as part of the capital construction bill that lawmakers approved in 2009. Quinn touts that plan as one of the major accomplishments during his time in office.

A commission appointed by the legislative leaders oversees the nuts and bolts of the renovation. Quinn laid the blame at the feet of Capitol Architect Richard Alsop III, saying he needs to be “reined by the legislative commission that he reports to.” Alsop did not respond to a request for comment. The west wing renovation, which cost $50 million, is all but completed. The plan was to move on to the north wing of the building next, but Quinn said that he does not plan to make money for that available until the work that has already been completed can be assessed.

As public outrage over the shiny doors at the west entrance of the building has grown, many lawmakers have rushed to denounce the spending. Former Gov. Jim Thompson has been one of the few vocal supporters of the renovation in recent weeks. “Where were they supposed to buy the doors and maidens [statues] and chandeliers?” he asked in an interview with Chicago magazine. “Walmart, Lowe’s?” He noted that the money is part of the capital budget and cannot be spent on other needs, such as education and human services. Thompson said the Statehouse is the most important building in the state and that the attention of leaders would be better focused on pension reform.

Still, many — including Quinn’s political opponents — say they find the expense tough to swallow at a time when the state has been slashing human services and education spending and is billions of dollars behind on its payments to vendors. “Under Governor Quinn, thousands of teachers have been laid off, health care has been cut, yet he somehow approves over $1 million for fancy chandeliers and doors and wastes $5 million a day failing to fix the pension mess,” Bill Daley, Quinn’s challenger in the Democratic primary for governor, said in a prepared statement. Republican gubernatorial hopeful Kirk Dillard called for an audit of the renovation project. “In light of published reports that $700,000 was spent on three pairs of Capitol doors, and nearly $500,000 was spent on four chandeliers and two sculptures, we need to find out whether there's any more excessive spending and try to stop it,” he said in a prepared statement. Dillard voted in favor of the funding for the renovation in 2009 when the capital bill passed.

Dave Blanchette, a spokesman for Quinn and a former spokesman for the Capitol Development Board, said that because the architect only reports to a panel appointed by the legislative leaders on such decisions, there were no red flags to alert Quinn to some of the more extravagant spending choices. “There’s very little that can sound alarm bells about something like this.” He said Quinn has not yet commented on how he might have preferred to see the funds used, only saying that he did not agree with the “excessive flourishes.” He added that not all the money had to spent on the renovation. Blanchette, who has also served as the deputy director of the Abraham Presidential Library and Museum, said the library and museum saved some of its budgeted funds for any contingencies that might pop up after the project was finished. He said the money came in handy when the climate control system did not function properly and had to be replaced.

Republicans pick running mates and begin to build platforms

By Jamey Dunn

Today is the first day that candidates can begin circulating petitions to get on the ballot, and Republican gubernatorial contenders have started announcing their running mates and are shaping their political platforms.

State Treasurer Dan Rutherford announced via Twitter that he chose Steve Kim, the 2010 Republican candidate for attorney general, as his lieutenant governor candidate. This is the first race under a new that law requires candidates for governor and lieutenant governor to pair up and run together during the primary election. If the Rutherford/Kim ticket goes all the way, Kim would be the first Asian-American elected to a statewide office in Illinois. Rutherford plans to hold a news conference on Thursday to announce officially that Kim will join his campaign. On his Twitter page, Rutherford said he would also announce the “unique and substantive” role that Kim would play in his administration. Kim has is a lawyer with a background in business and served as an adviser to former Gov. Jim Edgar.

Sen. Kirk Dillard, a Republican from Hinsdale, made several stops around the state today to showcase Republican state Rep. Jil Tracy as his running mate. However, he first made the announcement on Twitter yesterday. Tracy, a Republican from Quincy, has served in the House since 2006. She is originally from the Carbondale area and holds a law degree from Southern Illinois University. She worked as an assistant attorney general under former Republican Attorney General Jim Ryan. “Rep. Tracy is someone who could easily step in and be a great governor in the governor’s chair in Springfield. She thrives on getting things done for the people of Illinois, and she has the legislative experience to know how things work in Springfield. But like me she’s mature enough to know how things really ought to work in Springfield, and there is a difference,” Dillard said in Springfield today. If elected, Tracy said she hopes to be an ambassador to the business community and “find out how we’re going to create jobs in the private sector for people in Illinois.”

Republican candidate Bruce Rauner rolled out his plan to make changes to the Illinois General Assembly, including imposing term limits on lawmakers. Rauner is backing a constitutional amendment that would reduce the number of senators from 50 to 41 and increasing the House from 118 to 123. According to a news release from Rauner, the change would “make Senate elections more competitive and save the state money.”

The proposal also calls for changing the threshold to override a governor’s veto from a three-fifths majority to a two-thirds majority. Rauner hopes to gather enough signatures to get the amendment on the 2014 general election ballot, and he has created a political action committee to help with his efforts. If he does succeed in collecting the signatures needed, the amendment would also likely undergo a court challenge. The Illinois Constitution does allow for citizen-initiated amendments, but it limits them to the “structural and procedural subjects” of the article that governs the legislature. As state treasurer, current Gov. Pat Quinn tried to push a term limits initiative, but the amendment was struck down by the Illinois Supreme Court because it did not meet the standard of affecting both the structure and procedure of the legislative body.

This precedent may by why Rauner’s plan also shakes up the number of members in each chamber. Rauner said he wants the limit for governors, too, but the Constitution does not allow for changes to the executive branch via voter initiative. So term limits for the governor’s office could only be achieved if the General Assembly passed a constitutional amendment and voters approved it during a future general election.

Sticking with the digital trend that Republican candidates seem to be embracing, Rauner released a video via his YouTube channel making the case for his proposal. “Eight years and out for everybody,” he says in the video. “No more of this 30 years in power, making millions of dollars on the side from your law firm or your special deal. No more. Be a public servant: Serve the public and leave.” Dillard today called Rauner’s plan a gimmick designed to “attract attention to himself.” He said reducing the number of senators would leave people in less-populated areas with less representation. “The Senate districts will become so large that one won’t even really have the ability to really even see their senator. And I think it’s a real slap in the face to downstate Illinois.”

Quinn has said he continues to support term limits. However, if he is elected to serve another term as governor, he would exceed the eight-year limit that he once advocated for lawmakers.

There have been no indications yet from Quinn, his Democratic opponent Bill Daley or Bloomington Republican Sen. Bill Brady about their choices for running mates. Current Lt. Gov. Sheila Simon is challenging Republican Comptroller Judy Baar Topinka. One person who will not have to worry about picking a lieutenant governor candidate is Chicago Democratic Sen. Kwame Raoul. He was considering a bid for the governor’s office but announced last week that he would not run. Raoul said he wanted to instead focus on his job as a lawmaker and his role as chair of a special committee working to draft legislation to change the public employee pension systems.

Republican candidates highlight what they hope are winning qualities

By Jamey Dunn

Republican candidates for governor touted their electability at political events centered on the state fair today.

Four candidates are taking a shot at winning the Republican nomination this year. Three are familiar faces, and one is a newcomer. Businessman Bruce Rauner rode his Harley motorcycle into Springfield for today’s party breakfast and Republican Day at the fair. Talking to reporters on his way into breakfast, the first-time political candidate refused to get specific on a number of issues, including same-sex marriage and whether motorcyclists should be legally required to wear helmets. Rauner would only say that he always wears one. There is no law in Illinois that requires helmets, but there have been several attempts to pass one in recent years. Each time, the efforts have been defeated by the influential motorcycle lobbying group ABATE. “Today, it’s about victory and unifying the party,” Rauner said when asked to comment about his stances on social issues.

He was only willing to get specific on one issue. “We’re going to get term limits put on everybody in Springfield. All the legislature, as well as the governor, both today and in the future.” Rauner said that lawmakers and the governor should be restricted to serving eight years in office. Rauner would not say if he would support making Illinois a right-to-work state. But he did say he looks to former Indiana Gov. Mitch Daniels as a political role model. Daniels, whose name was in circulation as a possible presidential challenger to Barack Obama in 2012, signed legislation in 2012 making Indiana a right to work state.

While Rauner may look up to Daniels, the priorities he listed today did not sound too different from those in speeches given by Democrats on their political day yesterday. He said he wants to help grow jobs, employ veterans, address corruption by bringing efficiency and transparency to state government and improve education. Rauner highlighted the fact that he is somewhat of a political outsider who would bring business experience to the job. “I have never run for office in my life, but I love our state passionately, and I cannot stand to watch us go down the drain the way we are. I will not sit by and let it happen,” he said. “I’m going to bring business talent, business success, to the governorship in Illinois.”

Rauner said of himself, “I’ve been a leader at everything I’ve touched throughout my career.”

Treasurer Dan Rutherford pointed to his win for his current office as proof that he can defeat a Democratic opponent in the general election. “I’m the only candidate running for governor that has actually run a statewide race. I know how to win.” Rutherford has attributed much of that that victory to outreach efforts in minority communities. “I know how to win. I know that going into communities of diversity is imperative for us as Republicans to earn the right to governor — communities of diversity of ethnicity and religion. I’ve done it. A great part of success is just showing up.” He said he could appeal to the independents and even bring over some Democrats. Rutherford said he would be able to garner solid support in Cook County.

He took a veiled swipe at Rauner’s lack of political experience in his speech to party leaders this morning. “It is good to be back at the state fair. This is not my first time here.” Rutherford highlighted his own hands-on style of politicking. “I’ve been to every single [one of the]102 counties,” Rutherford said.

Bloomington state Sen. Bill Brady, who lost the 2010 race to Quinn, said that his failed bid for governor has helped him to gain name recognition across the state. He said that former Florida Gov. Jeb Bush, brother of former president George W. Bush, encouraged him to run again. Brady said Bush told him that his own failed bid for governor of Florida helped him to eventually win the office.

Some political observers say that Brady’s conservative stances on social issues helped sink his campaign in 2010 because he was unable to gain the support of upstate moderates. But Brady said today that candidates have to make their opinions clear, come what may. “People have to know what you stand for. They know what I stand for. I stand for less government, lower taxes more private sector business. Regardless of who your candidate is, if they don’t know what you stand for, they don’t know what their supporting or not supporting.” However, Brady said that he thinks the focus of the 2014 race should be economic issues and not social policy.

Brady and the other candidates will likely not be able to match the wealthy Rauner’s ability to spend on his campaign. “We’ve conceded the fact that we’ll probably be outspent,” Brady said. “I don’t think there’s any question the people of Illinois regret their choice in the last election, and we’re going to win this time around.”

When asked what his biggest misstep in 2010 was, Brady did not have an answer. “I don’t know that I can point to that. What I can point to is that we’re going to run a strong campaign, build on what we’ve done and finish the job we started.”

Hinsdale state Sen. Kirk Dillard lost the primary to Brady in 2010 by fewer than 200 votes. Dillard noted that many pundits have since speculated that if he had beat Brady, he would be governor today. Dillard said to Republicans today that he could be the “unifier between the conservatives and moderates of our party.” Dillard said that he has appeal throughout Illinois and the “right profile” to win a statewide office. “I’m a suburbanite with strong downstate agricultural roots. I will be a governor for all of Illinois. I am not a regional candidate.”

Dillard pointed to his time as former Gov. Jim Edgar’s chief of staff as proof of his ability work with lawmakers and get things done. “I have experience that money cannot buy. ... I once worked for the last clean and competent governor of Illinois.” Edgar is again supporting Dillard’s bid for office. “I am the one candidate that is electable statewide. I know how to govern a Democrat legislature to get it to do things, and I’ve proven it as state senator as well as a gubernatorial aide — to get that Democrat legislature to live within its means,” Dillard said today. “I’m tested. I’m proven. And I’m committed to reinvigorating the Republican Party, but most importantly, making this great state of Illinois, the capital of the Midwest, work again.”

House Minority Leader Tom Cross was not in attendance today. The official line is that he had a prior family commitment and would be seeing his daughter off to college. However, rumors were circulating all day that he is considering a bid for treasurer. Cross had been planning a run for the attorney general’s office if Attorney General Lisa Madigan vacated the position. However, Madigan passed on a bid for governor and instead decided to seek reelection. While Cross was mulling his run, other members of his caucus were stepping forward in hopes of filling his leadership position. Since the revelation that Cross might stick around, he has been met with hostility from some of his members who were eyeing his job. Today, people close to the leader speculated that he may not have wanted to field questions from the press about a possible run for a different statewide office until he had made up his mind.

Senate Minority Leader Christine Radogno was on hand. She said she would not be endorsing anyone in the elections. “I could imagine endorsing all of them; consequently, I will endorse none of them. ... I think all of them could do a good job, so I am going to be 100 percent behind whomever wins.” Radogno urged all Republicans who will be out campaigning during the 2014 election season to “remind our voters to keep focused on the result of 10 years of Democratic control.” She added, “People in this state I hope are smart enough to realize at this point, 10 years of one-party control has not been good for them.”

Democrats insist party unity remains, even as tradition is broken

By Jamey Dunn

Illinois Democrats stuck to the script of party unity today during annual political events centered on the state fair, even as primary rivals gave dueling speeches and the state party chairman, House Speaker Michael Madigan, was nowhere to be found.

Madigan and Senate President John Cullerton recently sued Gov. Pat Quinn over his veto of the funds for lawmakers’ salaries. “It’s something that will be resolved in court. It’s in litigation right now. It’s a major constitutional issue. And we have a resolution probably in a month, and we’ll now what the court says,” Cullerton said this morning at the party's annual breakfast. Cullerton and Madigan have argued that Quinn’s veto of lawmakers’ pay sets a dangerous precedent that would give the governor too much power over legislators. But in his speech at the breakfast, Cullerton likened the dust-ups among members of his party to the arguments he and his eight siblings had as children. “You’re still in a family. There’s never any doubt that you’re all in it together. That’s true of the Democrats. We share the same goals and the same values.”

Madigan was notably missing from the day’s festivities. When asked about the absence, Cullerton said on his way into the event that he was not aware the speaker was not attending. Quinn brushed aside the idea that the powerful House speaker was snubbing him. “I don’t know why he’s not here. But I talked to him this week, and I think he’s fired up and ready to go for [the] 2014 [election],” Quinn said. A call to Madigan's spokesman for comment was not returned.

Musicians sit behind Quinn on the stage that has held party leaders in past years.

Sen. Andy Manar, a Bunker Hill Democrat, got a joke in about the pay freeze as he gave his speech this morning. “I saw some of my colleagues here this morning enjoying their breakfast, but I don’t think you got the memo from the governor’s folks that you’re not allowed to eat until there’s pension reform.”

But the digs that Quinn and primary opponent Bill Daley traded in each of their speeches were far from lighthearted. Daley painted Quinn as an ineffective leader and a candidate who can’t win the general election. “We have a pension crisis and a job crisis. Our most serious crisis is the crisis of confidence in Springfield’s ability to get things done.” Daley touted his experience and the connections he made while working with former President Bill Clinton and President Barack Obama “We need a leader who can call business people and labor leaders throughout the country and the world to build support for investment and job creation here in Illinois.”

Meanwhile, Quinn pointed the finger at “bankers” and “big shots” for wrecking the country’s economy. Daley has worked in the banking industry — job experience that he mentioned in his own speech.  Quinn closed his remarks with a populist appeal that has become one of his signatures on the stump. “There may be some things you haven’t agreed with me over the last four years on, but I think everybody agrees that I work as hard as I can every single day for the common good and the public interest, and that’s what we need in a governor,” he said. “We need somebody who understands everyday people, who knows how to work together with folks who don’t have lobbyists in Springfield, who don’t have necessarily big-shot friends. But they understand that they’re the heart and soul of America. They volunteer for tour military. They work hard on their job. They’re raising their kids. That’s what Illinois is all about, and that’s how we’re going to make the will of the people the law of the land.”

Quinn was greeted by enthusiastic applause and cheers from the crowd of Democratic county officials and other party members. In contrast, Daley was met with measured applause that came across as more of a courtesy than an endorsement. Daley said the reaction did not worry him. “It’s Springfield. He’s ... got a lot of people that work for the state,” Daley said after the speeches. “I think there may be a lot of people who obviously have known or worked for Pat, or work for Pat now or over the years, and they’re appreciative of those jobs.” He called Quinn unelectable in the general race. “Pat Quinn will not win if he’s the nominee of Democratic Party.”

Quinn said that many did not believe he could win in 2010, and he plans to use a similar strategy to pull off a victory next year. “I won an election in the primary in 2010, and I won again in the general election in 2010. There were a lot of folks who counted me out, but I won the election because I had everyday people on my side. And I’ve been doing that my whole life. That’s the only way you run an election: You organize your supporters and the people of Illinois and I think that we can come through again.”

Both Quinn and Daley could face another primary opponent. Chicago Democratic Sen. Kwame Raoul is considering jumping into the race. Raoul had planned to make a bid for Attorney General Lisa Madigan’s job if she ran for governor, but Madigan has decided to stay put. Raoul said people have been reaching out to him about the possibility of challenging Quinn. “There are a lot of people asking me the question, and so I have to consider those questions that are being asked, quite frankly, from all over the state.” He said the idea of running is new. “I didn’t enter this year, I didn’t enter this summer, I didn’t enter this month thinking that I was going to be running for governor or even considering running for governor.” Raoul said he thinks some people want more “options” in the primary.

Raoul and Quinn have publicly disagreed about some of Quinn’s recent headline grabbing moves, such as trying to use his veto pen to rewrite a bill dealing with concealed carrying of firearms. The General Assembly voted to override Quinn’s changes. “I like him as a person. I just wish he would embrace a different leadership style," Raoul said of the governor.

Raoul has been a key player in some of the biggest pieces of legislation to come out of the General Assembly in recent years, including the abolition of the death penalty and concealed carry legislation. He is now the chairman of a special committee working to hammer out an agreement on changes to public employee pension systems that can pass in both legislative chambers. He said that job comes first. “The top priority is pension reform. It’s the most important issue that our state is facing.”

Raoul said he does not want his political considerations to interfere with the committee’s work. “It’s a very delicate balance. You don’t want to do anything to undermine the work that we’ve done in a bipartisan, bicameral basis.” He said that there is a possibility that the committee’s timeline on presenting a recommendation to lawmakers could keep him from running for higher office. “There are time challenges, and certainly I anticipate the conference committee will be coming out with something soon,” he said. “We’ve moved the ball way forward from where we were as a legislature at large in a stalemate in June.”

Cullerton said that he has talked to Raoul about a potential bid for governor but is not encouraging him one way or the other. He said that he expects that neither he nor Madigan will endorse any primary candidate. But he said he does think that Raoul is up to the job. “Kwame’s very capable. He’s qualified to be the governor. There’s no question about it.” Raoul said he will not run unless he thinks he can be a viable candidate. “I wouldn’t put myself out there on a political suicide run.”

So far, Quinn has not received endorsements from any prominent Democrat — not even Lt. Gov. Sheila Simon, who will not be Quinn’s running mate for 2014. Simon’s own race for the state comptroller office got a little bit easier today when her primary opponent, Will County Auditor Duffy Blackburn, announced in his speech this morning that he was suspending his campaign and endorsing her for the office. There are no other Democrats running for comptroller, but Simon faces a difficult race against well-liked and well-funded incumbent Judy Baar Topinka.

Instead of giving more stage time to a group of Democrats who have not endorsed him, and potentially even his challengers, Quinn opted to break tradition at the Governor’s Day rally at the Illinois State Fair after the breakfast. The governor made a brief speech, and the rest of the time was filled with musical acts and entertainment. Historically, party leaders have given speeches at the event. However, their addresses were often just shorter versions of the remarks they gave at the morning event.  Quinn said that the political breakfast, which lasted about three hours today, provides plenty of time for public speaking. “I don’t think we need to double up on political speeches at the state fair,” he said. “I think it’s a great opportunity to have fun.”

Madigan's announcement ripples the political pond

By Jamey Dunn

Attorney General Lisa Madigan’s decision to seek reelection instead of running for governor will have a ripple effect on the state’s political landscape.

Of course, Madigan decision not to run will affect the governor’s race. The popular attorney general has done well in the polls and was expected to be the front runner if she jumped into the governor’s race. Madigan announced yesterday that she would run again for her current office. In her written statement she cited her father Michael Madigan’s position as House speaker as one of the reasons for her decisions.

“For the last several months, I have considered the best way to continue serving the people of Illinois. Deciding whether to seek reelection or to run for governor has not been easy. I love my job as attorney general and continue to be excited about the important work we are doing and what we can do for people and families in the years ahead. I considered running for governor because of the need for effective management from that office and the frustration so many of us feel about the current lack of progress on critical issues facing Illinois,” Madigan said. “Ultimately, however, there has always been another consideration that impacts my decision. I feel strongly that the state would not be well-served by having a governor and speaker of the House from the same family and have never planned to run for governor if that would be the case. With Speaker Madigan planning to continue in office, I will not run for governor.”

Gov. Pat Quinn has said in the past that a Madigan in the governor’s office and a Madigan as speaker would be a conflict of interest. He did not reiterate that opinion today when asked about Lisa Madigan’s decision. Instead, he praised her service as attorney general, the job she has held since 2003. “I think it was well-said,” Quinn said in Chicago today of Madigan’s statement.

With Madigan out of the way, Quinn’s only challenger is former White House chief of staff Bill Daley. Daley served as chief of staff under President Barack Obama and commerce secretary under former President Bill Clinton. Despite his connections to national politics, most Illinois probably know him best from his family ties. He is the brother of former Chicago Mayor Richard M. Daley, the longest serving Chicago mayor to date, and son of former Chicago Mayor Richard J. Daley, the second-longest serving mayor.

Quinn's comments today indicate that he may try to present Daley, who has also worked as a lawyer and a banker, as a rich insider while paying up his own populist credentials. “I think I’m quite a bit different than Bill Daley. He has a better tailor than I do.” Quinn said of himself: “I’m a people person. I think that anybody who has ever worked with me in public life knows that I interact with everyday people. I’m not going to be a champion of millionaires — everybody knows that. I fight hard for folks who don’t have lobbyists, who don’t have political action committees, who aren’t in high places, but they’re the heart and soul of Illinois.”

But when it comes to campaign funds, so far Quinn is Mr. Moneybags. According to campaign filings due yesterday, he raised $1 million between April 1 and June 30 and has $2.3 million to spend. Daley has raised more than $796,000. “I think that they understand we’re doing a good job,” Quinn said of his donors. “I think we ran a campaign in 2010 in a pretty tough environment and I won the primary won the general election. That’s what’s going to happen next year, too.”

Meanwhile, Daley has painted Quinn as an ineffective leader. “General Madigan's decision not to run now gives voters a clear choice between a proven leader who gets things done and a governor who can't seem to get anything done,” Pete Giangreco, spokesman for the Daley campaign, said in a written statement in reaction to Madigan’s announcement Monday.

Both candidates were likely happy to learn that Madigan is opting out of the race. Both face their own unique challenges in the Democratic primary: Quinn his unpopularity and Daley his unfamiliarity among voters outside of the Chicago area. “Daley has to go out and make public opinion, and Quinn has to change it,” said Kent Redfield, professor emeritus of political science at the University of Illinois Springfield.

At face value, Madigan’s decision seems to most benefit Daley, who can now paint himself as the only alternative to a governor many in the state dislike. However, he is an as of yet unproven candidate. If Daley was to fall in his face, all Quinn would have to do is step over him to secure the Democratic nomination now that Madigan is out of the picture. “It may be a huge plus for Quinn if Daley crashes and burns,” Redfield said.

For the Republicans, Redfield says Madigan’s decision may give all the four candidates a slight morale boost. “This may add a little bit of energy on the Republican side in general for the governor’s race because everybody sees a clearer path to being governor,” he said. But he cautioned, “If the Republicans eat each other alive and beat each other to death, so that it’s the last man standing, it may not make that much difference.”

Some members of the legislature may now be planning to stay put. “Where we thought we were going to open up a bunch of musical chairs here, open up a bunch of seats, it really kind of freezes everybody,” Redfield said. House Minority Leader Tom Cross had said he was weighing a run for the attorney general’s office if it were open. Now that it is not, he may need to work to soothe a caucus after many members have been vying behind the scenes to replace him. But since no clear successor exists, it appears likely he will hang onto his leadership position. “I think Cross probably maintains his leadership role, but again, that’s dependent on nobody becoming a viable alterative that can really bring everybody together,” Redfield said.

Chicago Democratic Sen. Kwame Raoul was also considering a bid for Madigan’s office if she left. Raoul has been at the center of the two premier legislative debates of the spring session, concealed carry of firearms and finding a solution to the public employee pension crisis. He is chair of the conference committee that is working to draft pension legislation that the group hopes can pass in both chambers. Raoul publicly sparred with Quinn in recent weeks over Quinn’s attempted rewrite of concealed-carry legislation and the governor’s move to suspend lawmakers' pay until pension changes are passed. While the two agree on many policy points, Raoul has taken issue with Quinn’s leadership style. The populist moves that Quinn is playing up for the governor’s race are the decisions that are putting him at odds with lawmakers. Raoul called Quinn’s veto of lawmakers pay unconstitutional grandstanding. “Listen, I like the governor. I like the governor, but I just don’t like the communication I have experienced over the last few weeks,” he said after a recent conference committee hearing.

With Madigan out of the governor’s race, the Illinois political rumor mill is churning at full speed and spitting out names of potential Democratic candidates, Raoul among them. He says he weighing his options. But a gubernatorial bid from Raoul might risk his status as a rising star in the Senate for a long-shot bid at higher office. “He’s for sure going to be in the majority and for sure going to be an important player in the Senate,” Redfield said. He said that Madigan’s decision not to run could open the door for another Democrat to join the race, but he can’t think of an obvious candidate. “I’m hard-pressed to think who that would be. Is there an opportunity for someone who is not a white male from Chicago? Sure. But I don’t know who that is,” he said. “A state legislator is at a huge financial deficit in terms of being able to put together a campaign — not having name recognition, not having any kind of statewide network, not having any kind of statewide fundraising in place.”

 Lt. Gov. Sheila Simon was also reportedly mulling a run for the attorney general’s office. Several Chicago media outlets have reported today that she will instead announce a bid for state comptroller in the near future. She will be challenging incumbent Judy Baar Topinka, which could be an uphill climb, especially considering that Simon’s fundraising totals have been lackluster so far. “She needs to have a clear field [in the primary] and the support of the Democratic Party,” Redfield said about Simon. “Once you get into the general [election], then obviously the party is going to help you.”

Madigan’s bombshell announcement Monday will no doubt have a lasting impact on Illinois politics — for one thing it indicates her powerful father isn’t going anywhere — and the outcomes of the 2014 general election. But the results are nearly impossible to see as campaigns are just beginning to kick off. Perhaps Quinn said it best when asked today if he was taken aback by Madigan’s announcement. “I’m not surprised about anything in Illinois politics.”

Lisa Madigan will not run for governor

By Jamey Dunn

Attorney General Lisa Madigan has made her much awaited choice for the 2014 election. She will run again for her current office, in part because her father, Illinois House Speaker Michael Madigan, plans to keep his current position.

As it did in 2010, speculation was running rampant that she would make a bid for the governor's race. For months, she has not made a public appearance without the topic popping up, and other Illinois politicians have been holding their breath waiting to see what Madigan would do. Several state lawmakers' names have been floated as potential candidates for attorney general if she were to leave the office to run for governor.

But Madigan said today in a statement released by her campaign that she plans to stay put. “For the last several months, I have considered the best way to continue serving the people of Illinois. Deciding whether to seek reelection or to run for governor has not been easy. I love my job as attorney general and continue to be excited about the important work we are doing and what we can do for people and families in the years ahead. I considered running for governor because of the need for effective management from that office and the frustration so many of us feel about the current lack of progress on critical issues facing Illinois,” Madigan, who has served as attorney general since 2003, said in a prepared statement. “Ultimately, however, there has always been another consideration that impacts my decision. I feel strongly that the state would not be well-served by having a governor and speaker of the House from the same family and have never planned to run for governor if that would be the case. With Speaker Madigan planning to continue in office, I will not run for governor."

At this point, her move leaves Gov. Pat Quinn facing Bill Daley in a Democratic primary and a four-way race on the Republican side of things.

“General Madigan's decision not to run now gives voters a clear choice between a proven leader who gets things done and a governor who can't seem to get anything done,” said a statement from Pete Giangreco, spokesman for the Daley campaign. “Bill Daley looks forward to laying out a clear agenda to improve the lives of people across the state.”

Republican primary officially a four-way race

Sen. Kirk Dillard today jumped into the 2014 gubernatorial race.

In recent months Dillard, a Hinsdale Republican, made it no secret that he planned to run, but he officially kicked off his campaign today with a series of news conferences throughout the state. Dillard now joins three other Republican candidates in the race: businessman Bruce Rauner, State Treasurer Dan Rutherford and Sen. Bill Brady.

Dillard and Brady faced each other in the 2010 gubernatorial primary, which Brady won. Brady went on to lose the general election to Gov. Pat Quinn. Brady announced in June that he would make his third run for governor. “It’s time to finish the job we started four years ago,” Brady said at a Springfield stop on his campaign launch tour of the state. “Illinois can grow and prosper again. It starts with putting the right leadership at the top. There’s a lot of work to be done, and it is time to finish the job we started.” Brady made the case that his failed bid for governor helped to make him the best-known candidate out of the four Republicans. He also said that he and his team had “learned” from the defeat.

Dillard served as chief of staff to former Gov. Jim Edgar, and it seems likely his campaign will play up his experience. Edgar, who endorsed Dillard in 2009, has said that he would likely back Dillard if the state senator chose to run again. A new ad on Dillard's campaign website describes him as “more tested” and “better prepared” than his opponents. “He doesn’t need to go on a listening tour of the state; his entire life has been a listening tour. He’s heard the people of Illinois, and he knows what to do,” the ad says. The line appears to be a shot at Rauner, who took a listening tour of Illinois before announcing his own bid for the governor’s office. Rauner has already raised more than $1 million and has substantial private wealth to tap. He is expected to outspend his Republican opponents.

In Chicago, the first campaign stop of several that Dillard is making across the state today, he pitched himself as the Republican who can “win a general election” and go on to be an effective leader afterward. “It's not just enough to elect a Republican governor,” he said. “You have to be someone who can work with Democratic legislators.”