By Jamey Dunn and Meredith Colias
As the 98th General Assembly was sworn in today, legislative leaders reminded members new and old that they have difficult work ahead.
“It’s a new dawn. It’s a new day. It’s a new life for me,” sang Molly Durand, Senate President’s John Cullerton’s niece, at the end of the inaugural ceremony in the Senate. It may be a new day and a new General Assembly, but lawmakers face familiar issues such as pension changes, same-sex marriage and proposals regarding guns.
“As we move forward in good faith and good comradeship, the issues haven’t changed that much. The nature of the issues hasn’t changed that much. They remain terribly contentious and terribly divisive,” House Speaker Michael Madigan told new House members.
Cullerton introduced Senate Bill 1 today, which he has dubbed as his compromise with the House on pensions. Cullerton believes recent proposals put forward by Northbrook Democratic Rep. Elaine Nekritz and more than a dozen other House members are unconstitutional. Those in the House backing pension changes were unable to find the support needed to pass a bill during the lame-duck session.
Cullerton says he is willing to call the House proposal for a vote as long as lawmakers also approve a plan that he believes is constitutional. His plan would be a backup option if the Illinois Supreme Court were to shoot down the Nekritz bill. SB 1 contains both proposals. Nekritz plans to introduce the House plan again in the new legislative session, and Evanston Democratic Sen. Daniel Biss, who until recently was a House member working on pension reform with Nekritz, said he plans to introduce the House proposal in the Senate. “The people of Illinois have put great trust in us and are counting on us to be bold while facing significant challenges ahead,” Nekritz said. “That work is never easy. Sometimes, no matter how hard you try, it falls short. Trust me, I know. Just look at House session yesterday.”
Gov. Pat Quinn said today of the failure to pass pension reform in the General Assembly's lame-duck session: “It was disappointing, but you know, in high school I ran long distance. So this is a long distance run to get pension reform, and you've just got to keep running until you get to the finish line.”
He said is “optimistic” that Cullerton’s bill can pass in the Senate. “Then, we’ll get it over to the House, where we have obviously a lot of work still to do, but I think we made some progress in establishing good relationships, and ultimately there’ll have to be some compromises in the House in order to get a bill passed there.”
House Speaker Michael Madigan called the pension problem “the most serious problem facing the state of Illinois today.” He said in a speech today: “It’s an extremely difficult issue because in order to achieve some improvement .. .part of the solution would be to tell people that there will be a change in the promised benefit that they will receive in their pension.” Madigan said those who are serious about solving the pension problem must find a solution to what he described as the “free lunch” of the state paying most of the employer costs of pensions for schools outside of Chicago, public universities and community colleges. The cost-shift, which would eventually require downstate schools to pick up the full employer costs of retiree benefits, became a point of gridlock in previous negotiations among the legislative leaders. Madigan had said he would temporarily back off the issue during the lame-duck session to try to get a bill passed .
House Minority Leader Cross, who opposes the cost shift, also emphasized the need for pension changes when he addressed the House. “We need to understand and accept that if we do nothing, a variety of not-so-good things happen.” All four legislative leaders said they hope to address similar issues, such as getting the state's budget in order and paying bills in a timely manner.
Many other issues that were the focus of the recent lame-duck session also will likely become the key debates during the new session.
Chicago Democratic Rep. Greg Harris and Chicago Democratic Sen. Heather Steans, who unsuccessfully pushed for a bill legalizing same-sex marriage, plan to introduce new legislation and continue their efforts in the new session. Quinn also renewed his call for a ban on assault weapons. “I’m optimistic that very quickly, we can address marriage equality with the new legislature. I think we have to address the assault weapons ban and a ban on high-capacity ammunition magazines, I think that’s imperative, and I think pension reform. Those are three issues that I think right away the new legislature is going to have to come together and focus on,” Quinn said.
While the Democrats will have veto-proof majorities in both chambers, that does not mean they will be able to easily pass any legislation leadership wants. “We may all call ourselves Democrats on this side of the chamber, but we hold a wide array of opinions and represent very different districts,” said Chicago Democratic Sen. Kwame Raoul in his speech to nominate Cullerton for another term as Senate president.
“We represent 4 million people collectively on this side of the aisle. We have ideas. We have principles, and we have microphones. And if microphones don’t work, we have soap boxes,” Senate Minority Leader Christine Radogno said of her 19-member Republican caucus.
Cullerton warned Democrats that just because they have large numbers does not mean they can avoid casting difficult votes. “My advice is to enjoy today and celebrate with your families, but you must know tough decisions and votes await us in the weeks and months ahead.”
Wednesday, January 09, 2013
Tuesday, January 08, 2013
No pension reform for the 97th General Assembly
By Jamey Dunn
The Illinois House and Senate adjourned their two-year legislative sessions today without approving a pension reform measure, dashing the hopes of those who were striving to get legislation approved during the General Assembly's lame-duck session.
“We didn’t quite get there, so we are going to regroup and start up again,” said Northbrook Democrat Rep. Elaine Nekritz, who sponsored a pension reform proposal a committee approved yesterday but that was not called for a floor vote. She said there is no single component of reform that is holding it up. “It remains a range of issues that members are concerned about. Look, when you’re impacting people’s retirement security, it’s a tough vote, and people have a lot of different concerns about it. It would be great if we could have one thing we could focus on and get it corrected, but that’s not the way this works.”
In what many described as a Hail Mary attempt to get something done on pension reform, Gov. Pat Quinn pushed the idea of creating a special pension commission with the power to create a plan that would become law unless the General Assembly intervened. Under a proposed amendment to Senate Bill 1673, a special commission appointed by the legislative leaders would be required to present a plan by April 30 that would ensure that the pension systems were 100 percent funded by 2045. The proposal from the commission would become law unless both chambers voted to reject it.
“We have to take extraordinary action to help break the gridlock,” Quinn said when he testified in favor of the plan before a House committee today. Quinn said that failure to act would eventually result in the state’s bond rating being downgraded yet again. “We have to understand that this is an emergency.” Quinn compared the idea to the federal Base Closure and Realignment Commission, a federal entity that was created to recommend military bases for closure after it become clear that regional interests were making it all but impossible for Congress to approve closures. If the bill would have passed, Quinn said he would have signed it and then no longer would have been a part of the process. The bill would not have required that the governor sign off on the commission’s proposal.
But detractors questioned the constitutionality of such a plan, and it was not called for a vote in the House. “I myself thought that his late proposal was perhaps not the very best public policy pronouncement. I think there are constitutional questions about it,” Chicago Democratic Rep. Barbara Flynn Currie said after the House adjourned. Nekritz said she sponsored the measure, which Quinn brought to her, because she thought it deserved consideration. “Clearly, some dynamic needs to change. We have been working at this a very long time, and it’s been challenging to get the necessary votes on the bill, obviously. An idea to sort of shake that up, I think we had to look at that,” she said.
Currie said that those who have been working on pension reform should not take the days events as a failure. “It’s not as if any of this is new. This is very very tough. And I think there’s going to be no matter what we do if we do something there will be constitutional challenges,” she said. “I’m not embarrassed that we didn’t get it done today. I am embarrassed we haven’t done anything so far, but I am encouraged that we, as of yesterday, seemed really to have a renewed focus renewed energy renewed effort on the whole issue of pensions.”
Nekritz and newly sworn in Sen. Daniel Biss, an Evanston Democrat, said they each plan to introduce a pension reform plan in their respective chambers when the new legislative session starts tomorrow. “It’s not at all back to the drawing board,” Biss said. “We feel like we had tremendous momentum yesterday. We still have tremendous momentum today, and we want to carry that forward.” He said the legislation they plan to file would be nearly identical to a proposal, House Bill 6258, which more than a dozen House members brought forward in December. The plan a House committee approved Monday was based on that proposal. But Biss said he and Nekritz want to return to the initial legislation because he said it is a “good negotiation platform.” He and Nekritz both emphasized that they are open to changes to the legislation, and no ideas are off the table. “This issue is tough and complicated, and different people have different challenges with it, and so it’s really a matter of cobbling that majority together one vote at a time. And we’ll learn as we work with these new members one at a time what those issues are. And we hope it will be easier, and we know it won’t be very easy. But we know it can be done,” Biss said.
Senate President John Cullerton believes that the framework for HB 6258 is unconstitutional. “The Constitution says you can’t unilaterally pass a law taking away people’s pension benefits. You have to ask them to do it contractually,” Cullerton said. He maintains that some consideration must be given to workers for any reduction in their benefits. A plan that passed in the Senate would have asked employees to choose between their compounded-interest cost-of-living adjustments or state subsidized retiree health care. “Their bill unilaterally takes away people’s rights in exchange for nothing. That’s why it’s unconstitutional.”
However, Cullerton said he would be willing to call a bill that he believes is unconstitutional as long as it is approved in tandem with a plan that he thinks is constitutional. “I said that I would support that bill and work to pass it in the Senate as long as they had a backup.” Cullerton called on the House to pass a fail-safe proposal that was approved by the Senate. He said if the Supreme Court were to rule the House plan constitutional, it would become the law. But if the court rejected the House proposal, the Senate version could then be considered. He said he plans to introduce a new Senate bill tomorrow that covers all the pension systems except judges. He said that bill would not include a controversial cost shift of the entire employer portion of pension benefits to downstate schools, public universities and community colleges. “For us to pass a bill which is unconstitutional and to pretend like we did some kind of reform with no backup, only to have it thrown out a year later — a year of lost time of trying to fix the pension system — to me is cynical.”
The 98th General Assembly will be sworn in tomorrow.
The Illinois House and Senate adjourned their two-year legislative sessions today without approving a pension reform measure, dashing the hopes of those who were striving to get legislation approved during the General Assembly's lame-duck session.
“We didn’t quite get there, so we are going to regroup and start up again,” said Northbrook Democrat Rep. Elaine Nekritz, who sponsored a pension reform proposal a committee approved yesterday but that was not called for a floor vote. She said there is no single component of reform that is holding it up. “It remains a range of issues that members are concerned about. Look, when you’re impacting people’s retirement security, it’s a tough vote, and people have a lot of different concerns about it. It would be great if we could have one thing we could focus on and get it corrected, but that’s not the way this works.”
In what many described as a Hail Mary attempt to get something done on pension reform, Gov. Pat Quinn pushed the idea of creating a special pension commission with the power to create a plan that would become law unless the General Assembly intervened. Under a proposed amendment to Senate Bill 1673, a special commission appointed by the legislative leaders would be required to present a plan by April 30 that would ensure that the pension systems were 100 percent funded by 2045. The proposal from the commission would become law unless both chambers voted to reject it.
“We have to take extraordinary action to help break the gridlock,” Quinn said when he testified in favor of the plan before a House committee today. Quinn said that failure to act would eventually result in the state’s bond rating being downgraded yet again. “We have to understand that this is an emergency.” Quinn compared the idea to the federal Base Closure and Realignment Commission, a federal entity that was created to recommend military bases for closure after it become clear that regional interests were making it all but impossible for Congress to approve closures. If the bill would have passed, Quinn said he would have signed it and then no longer would have been a part of the process. The bill would not have required that the governor sign off on the commission’s proposal.
But detractors questioned the constitutionality of such a plan, and it was not called for a vote in the House. “I myself thought that his late proposal was perhaps not the very best public policy pronouncement. I think there are constitutional questions about it,” Chicago Democratic Rep. Barbara Flynn Currie said after the House adjourned. Nekritz said she sponsored the measure, which Quinn brought to her, because she thought it deserved consideration. “Clearly, some dynamic needs to change. We have been working at this a very long time, and it’s been challenging to get the necessary votes on the bill, obviously. An idea to sort of shake that up, I think we had to look at that,” she said.
Currie said that those who have been working on pension reform should not take the days events as a failure. “It’s not as if any of this is new. This is very very tough. And I think there’s going to be no matter what we do if we do something there will be constitutional challenges,” she said. “I’m not embarrassed that we didn’t get it done today. I am embarrassed we haven’t done anything so far, but I am encouraged that we, as of yesterday, seemed really to have a renewed focus renewed energy renewed effort on the whole issue of pensions.”
Nekritz and newly sworn in Sen. Daniel Biss, an Evanston Democrat, said they each plan to introduce a pension reform plan in their respective chambers when the new legislative session starts tomorrow. “It’s not at all back to the drawing board,” Biss said. “We feel like we had tremendous momentum yesterday. We still have tremendous momentum today, and we want to carry that forward.” He said the legislation they plan to file would be nearly identical to a proposal, House Bill 6258, which more than a dozen House members brought forward in December. The plan a House committee approved Monday was based on that proposal. But Biss said he and Nekritz want to return to the initial legislation because he said it is a “good negotiation platform.” He and Nekritz both emphasized that they are open to changes to the legislation, and no ideas are off the table. “This issue is tough and complicated, and different people have different challenges with it, and so it’s really a matter of cobbling that majority together one vote at a time. And we’ll learn as we work with these new members one at a time what those issues are. And we hope it will be easier, and we know it won’t be very easy. But we know it can be done,” Biss said.
Senate President John Cullerton believes that the framework for HB 6258 is unconstitutional. “The Constitution says you can’t unilaterally pass a law taking away people’s pension benefits. You have to ask them to do it contractually,” Cullerton said. He maintains that some consideration must be given to workers for any reduction in their benefits. A plan that passed in the Senate would have asked employees to choose between their compounded-interest cost-of-living adjustments or state subsidized retiree health care. “Their bill unilaterally takes away people’s rights in exchange for nothing. That’s why it’s unconstitutional.”
However, Cullerton said he would be willing to call a bill that he believes is unconstitutional as long as it is approved in tandem with a plan that he thinks is constitutional. “I said that I would support that bill and work to pass it in the Senate as long as they had a backup.” Cullerton called on the House to pass a fail-safe proposal that was approved by the Senate. He said if the Supreme Court were to rule the House plan constitutional, it would become the law. But if the court rejected the House proposal, the Senate version could then be considered. He said he plans to introduce a new Senate bill tomorrow that covers all the pension systems except judges. He said that bill would not include a controversial cost shift of the entire employer portion of pension benefits to downstate schools, public universities and community colleges. “For us to pass a bill which is unconstitutional and to pretend like we did some kind of reform with no backup, only to have it thrown out a year later — a year of lost time of trying to fix the pension system — to me is cynical.”
The 98th General Assembly will be sworn in tomorrow.
Quinn to sign bill allowing undocumented immigrants access to driver's licenses
By Meredith Colias
Gov. Pat Quinn has indicated he will sign a bill into law allowing undocumented immigrants to obtain temporary driver's licenses.
The bill's House sponsor, Rep. Edward Acevedo, a Democrat from Chicago, framed the measure as a matter of public safety. “It’s a commonsense bill that seeks to improve the safety of our roads and ensure that all motorists can be trained, tested, licensed and insured,” he said.
Senate Bill 957, which passed the House today, 65-46, and the Senate in December, would allow an estimated 250,000 undocumented immigrants without Social Security numbers living in Illinois to obtain temporary driver’s licenses valid for three years. Applicants would be required to take vision and driving tests and carry valid car insurance. Drivers caught without insurance would have their licenses revoked. To obtain a temporary license, an applicant would need to show a passport or consular identification documents and provide proof that they have lived in the state for at least one year. Opponents said the measure does not contain enough safeguards against fraud because it would not require applicants to be fingerprinted or provide a tax identification number to obtain the license and would reward those already breaking immigration laws. Acevedo acknowledged the fingerprinting concerns and said he would be willing to work with opponents on future legislation.
Rep. Dennis Reboletti, an Elmhurst Republican, was concerned that undocumented immigrants from outside the state would find a way to falsify documents and skirt the residency requirement. That is something he said has happened in New Mexico, a state that currently offers licenses to immigrants who are in the country illegally. “We have no idea how long they’ve lived here,” he said of potential applicants in Illinois.
Supporters said that they think the residency requirement is stringent enough to keep residents of other states from getting Illinois licenses. However, Nathan Maddox, senior legal advisor for Secretary of State Jesse White, acknowledged the office would not be able to determine at the time of application if an undocumented driver had previously committed an offense, like a DUI, out of state. Applicants who have already been suspended from driving in Illinois would have to start serving their suspension once they obtained a license regardless of when they committed the violation.
Others argued that the state should not address immigration, which is a federal issue. “We are ... engaging in activities the U.S. government should be taking [on] themselves,” said Rep. Dwight Kay, a Republican from Glen Carbon. Rep. Dennis Reboletti, an Elmhurst Republican, said the state should not “provide privileges for people who are not citizens here.”
While the bill had several Republican detractors, it did receive bipartisan support. House Minority Leader Tom Cross said he believed technical issues cited were not sufficient to oppose the bill. “We have a number of folks in this state ... that are here illegally, and we need to address it,” he said. Rep. Dan Brady, a Bloomington Republican, said he thought the bill was imperfect but voted in favor of the measure. “What I focus on is public safety. … The reality is it’s a start,” he said.
"People come to this country for the American dream. We can offer them that today,” Acevedo said on the House floor. The bill will take effect 10 months after receiving Quinn’s signature. “Illinois roads will be safer if we ensure every driver learns the rules of the road and is trained to drive safely,” he said in a prepared statement.
Gov. Pat Quinn has indicated he will sign a bill into law allowing undocumented immigrants to obtain temporary driver's licenses.
The bill's House sponsor, Rep. Edward Acevedo, a Democrat from Chicago, framed the measure as a matter of public safety. “It’s a commonsense bill that seeks to improve the safety of our roads and ensure that all motorists can be trained, tested, licensed and insured,” he said.
Senate Bill 957, which passed the House today, 65-46, and the Senate in December, would allow an estimated 250,000 undocumented immigrants without Social Security numbers living in Illinois to obtain temporary driver’s licenses valid for three years. Applicants would be required to take vision and driving tests and carry valid car insurance. Drivers caught without insurance would have their licenses revoked. To obtain a temporary license, an applicant would need to show a passport or consular identification documents and provide proof that they have lived in the state for at least one year. Opponents said the measure does not contain enough safeguards against fraud because it would not require applicants to be fingerprinted or provide a tax identification number to obtain the license and would reward those already breaking immigration laws. Acevedo acknowledged the fingerprinting concerns and said he would be willing to work with opponents on future legislation.
Rep. Dennis Reboletti, an Elmhurst Republican, was concerned that undocumented immigrants from outside the state would find a way to falsify documents and skirt the residency requirement. That is something he said has happened in New Mexico, a state that currently offers licenses to immigrants who are in the country illegally. “We have no idea how long they’ve lived here,” he said of potential applicants in Illinois.
Supporters said that they think the residency requirement is stringent enough to keep residents of other states from getting Illinois licenses. However, Nathan Maddox, senior legal advisor for Secretary of State Jesse White, acknowledged the office would not be able to determine at the time of application if an undocumented driver had previously committed an offense, like a DUI, out of state. Applicants who have already been suspended from driving in Illinois would have to start serving their suspension once they obtained a license regardless of when they committed the violation.
Others argued that the state should not address immigration, which is a federal issue. “We are ... engaging in activities the U.S. government should be taking [on] themselves,” said Rep. Dwight Kay, a Republican from Glen Carbon. Rep. Dennis Reboletti, an Elmhurst Republican, said the state should not “provide privileges for people who are not citizens here.”
While the bill had several Republican detractors, it did receive bipartisan support. House Minority Leader Tom Cross said he believed technical issues cited were not sufficient to oppose the bill. “We have a number of folks in this state ... that are here illegally, and we need to address it,” he said. Rep. Dan Brady, a Bloomington Republican, said he thought the bill was imperfect but voted in favor of the measure. “What I focus on is public safety. … The reality is it’s a start,” he said.
"People come to this country for the American dream. We can offer them that today,” Acevedo said on the House floor. The bill will take effect 10 months after receiving Quinn’s signature. “Illinois roads will be safer if we ensure every driver learns the rules of the road and is trained to drive safely,” he said in a prepared statement.
Quinn calls for more compromise to get pension reform done today
By Jamey Dunn
With the prospects for passing pension reform in the next 24 hours dwindling, Gov. Pat Quinn called on lawmakers to work out a plan that can make it through both chambers before the new General Assembly is seated tomorrow.
“We’re trying to get to a bill that we can enact that will make things better for the people of Illinois,” Quinn said this morning. While Quinn would not say the votes aren’t there for any of the bills currently being considered, including a plan approved by a House committee yesterday, he did say more compromise is needed. “I feel, when you talk to members of both houses, that more compromises are necessary before we get to a solution that can move us forward.”
Quinn did not throw his support behind any specific proposal as his preferred plan. “People of good faith have different ideas, different concepts, different structures, and I respect all of those,” he said. “I really feel that it is important to have a vote on some sort of structure that moves us forward.”
Nor was he willing to concede defeat. “I’m going to work all day with all the members of the House, and then the Senate is coming in later. I think we owe it to the people to work all day on coming up with a structure that moves us forward. We cannot run in place.” A spokesperson for Senate President John Cullerton said senators continue to be on “standby” awaiting House action.
Quinn warned that inaction on pension reform would damage the state’s economy and lead to a downgrade in the state’s bond rating. “We cannot allow our state economy, the Illinois, economy, to be held hostage by political timidity. We have to be bold. We have to do things that are difficult. We have to take on the challenge of our time and meet that challenge.”
With the prospects for passing pension reform in the next 24 hours dwindling, Gov. Pat Quinn called on lawmakers to work out a plan that can make it through both chambers before the new General Assembly is seated tomorrow.
“We’re trying to get to a bill that we can enact that will make things better for the people of Illinois,” Quinn said this morning. While Quinn would not say the votes aren’t there for any of the bills currently being considered, including a plan approved by a House committee yesterday, he did say more compromise is needed. “I feel, when you talk to members of both houses, that more compromises are necessary before we get to a solution that can move us forward.”
Quinn did not throw his support behind any specific proposal as his preferred plan. “People of good faith have different ideas, different concepts, different structures, and I respect all of those,” he said. “I really feel that it is important to have a vote on some sort of structure that moves us forward.”
Nor was he willing to concede defeat. “I’m going to work all day with all the members of the House, and then the Senate is coming in later. I think we owe it to the people to work all day on coming up with a structure that moves us forward. We cannot run in place.” A spokesperson for Senate President John Cullerton said senators continue to be on “standby” awaiting House action.
Quinn warned that inaction on pension reform would damage the state’s economy and lead to a downgrade in the state’s bond rating. “We cannot allow our state economy, the Illinois, economy, to be held hostage by political timidity. We have to be bold. We have to do things that are difficult. We have to take on the challenge of our time and meet that challenge.”
Monday, January 07, 2013
Time running out on pension reform
By Jamey Dunn
As the clock ticks on the final days of the two-year legislative session, sponsors of a pension reform bill work to try and line up votes before the new General Assembly is seated on Wednesday.
A House Committee approved Senate Bill 1673 today.The legislation would:
Once the cost of living increase returns, it would only apply to the first $25,000 of retirement incomes and would not be awarded until employees turn 67. “The choice is clear. The time is now to end the excuses and say yes to reform for our pension systems,” said Rep. Elaine Nekritz as she presented the bill in a committee today. But that choice has been delayed for at least another day. The House adjourned this afternoon without taking up the bill. Nekritz and other supporters, including Gov. Pat Quinn, continue to lobby House members to try to find support needed to get the measure through the chamber.
House Minority Leader Tom Cross supports the legislation and emphasized the need to approve pension changes to avoid another downgrade of the state’s bond rating. “If we do nothing in the next couple days, it is inevitable that we will be downgraded.” Cross said if lawmakers fail to act before the current session ends, “our reputation continues to diminish.”
Supporters of the plan say that it must be approved to address the state’s billions of dollars in unfunded pension liability and bring down pensions costs, which are starting to crowd out other areas of spending. “It’s clear that the state cannot devote exclusively to pensions such a large portion of its budget and still maintain the functions of state government,” said Lawrence Msall, president of the Civic Federation, a Chicago-based organization that has been a major advocate for pension changes.
However, union officials argue that measure does not represent a shared sacrifice but instead seeks to solve the problem entirely at the expense of employees and retirees. “This $95 billion liability is money that has been earned and is owed to active and retired employees. It’s not something they are going to earn in the future. It is something that is already earned and is already owed,” said Henry Bayer, president of the American Federation of State, County and Municipal Employees Council 31. The Senate is not in session but a spokesperson for Senate President John Cullerton said members have been put on “standby” to return to take up any legislation that the House might pass tomorrow. But the measure may not fare well in the Senate because it lacks Cullerton’s support. He wants the House to pass a version of pension reform that the Senate approved during the legislature's fall veto session or to incorporate provisions from that proposal into whatever legislation representatives approve.
The House is scheduled to return at 11 a.m. tomorrow.
As the clock ticks on the final days of the two-year legislative session, sponsors of a pension reform bill work to try and line up votes before the new General Assembly is seated on Wednesday.
A House Committee approved Senate Bill 1673 today.The legislation would:
- Freeze cost-of-living adjustments for six years.
- Increase employee contributions by 2 percent of salary.
- Phase in contribution increases over two years.
- Cap pensionable salary at the salary employees are earning when the bill goes onto effect or the Social Security wage base, whichever is more.
- Include a guarantee that the state makes its annual required contribution to the pension systems.
Once the cost of living increase returns, it would only apply to the first $25,000 of retirement incomes and would not be awarded until employees turn 67. “The choice is clear. The time is now to end the excuses and say yes to reform for our pension systems,” said Rep. Elaine Nekritz as she presented the bill in a committee today. But that choice has been delayed for at least another day. The House adjourned this afternoon without taking up the bill. Nekritz and other supporters, including Gov. Pat Quinn, continue to lobby House members to try to find support needed to get the measure through the chamber.
House Minority Leader Tom Cross supports the legislation and emphasized the need to approve pension changes to avoid another downgrade of the state’s bond rating. “If we do nothing in the next couple days, it is inevitable that we will be downgraded.” Cross said if lawmakers fail to act before the current session ends, “our reputation continues to diminish.”
Supporters of the plan say that it must be approved to address the state’s billions of dollars in unfunded pension liability and bring down pensions costs, which are starting to crowd out other areas of spending. “It’s clear that the state cannot devote exclusively to pensions such a large portion of its budget and still maintain the functions of state government,” said Lawrence Msall, president of the Civic Federation, a Chicago-based organization that has been a major advocate for pension changes.
However, union officials argue that measure does not represent a shared sacrifice but instead seeks to solve the problem entirely at the expense of employees and retirees. “This $95 billion liability is money that has been earned and is owed to active and retired employees. It’s not something they are going to earn in the future. It is something that is already earned and is already owed,” said Henry Bayer, president of the American Federation of State, County and Municipal Employees Council 31. The Senate is not in session but a spokesperson for Senate President John Cullerton said members have been put on “standby” to return to take up any legislation that the House might pass tomorrow. But the measure may not fare well in the Senate because it lacks Cullerton’s support. He wants the House to pass a version of pension reform that the Senate approved during the legislature's fall veto session or to incorporate provisions from that proposal into whatever legislation representatives approve.
The House is scheduled to return at 11 a.m. tomorrow.
Vote on licenses for undocumented drivers pushed to Tuesday
By Meredith Colias
An estimated 250,000 undocumented drivers are one step closer to an opportunity to obtain a temporary driver’s license, but a floor vote on the bill was pushed to the last scheduled day of the current legislative session.
Under Senate Bill 957, which was approved by a House committee today, immigrants lacking Social Security numbers or documents to prove they are in the country legally would have to show a passport or consular identification documents and provide proof of residency for one year. The proposal would require undocumented drivers to take a driving test with the state. Licenses would be revoked for drivers who do not subsequently obtain insurance. Secretary of State Jesse White’s office estimates the measure would cost $800,000 the first year and $250,000 to maintain each year after.
The sponsor of the bill, Rep. Edward Acevedo, told the committee that it would make roads safer by ensuring that undocumented drivers could be “trained, tested, licensed and insured.” Acevedo, a Chicago Democrat, said the licenses could not be used as a form of identification for other purposes such as buying firearms or alcohol or boarding an airplane. Applicants would be required to pay $30 for the temporary license, which would valid for three years and available for renewal.
Hanover Chief of Police David Webb said the proposal is an important safety step but is concerned that its security safeguards would not be strict enough. Webb and other law enforcement officials say applicants should be fingerprinted or required to provide a federal tax identification number before obtaining a license. “Without these basic public safety and homeland security safeguards, this bill is unsafe,” he said.
License holder’s pictures would then be entered into a facial recognition database, but opponents were concerned that facial scan technology could be prone to error. “I think the integrity of the system is compromised if we don’t know who these folks are,” said Rep. Dennis Reboletti, an Elmhurst Republican.
Fred Tsao, policy director for the Illinois Coalition for Immigrant and Refugee Rights, said requiring fingerprinting to obtain a temporary driver's license might deter some undocumented drivers from applying for fear of being turned over to the federal immigration service for deportation. “It is a major concern to the community,” he said.
Acevedo said he plans to call the bill on the House floor a floor vote on Tuesday.
An estimated 250,000 undocumented drivers are one step closer to an opportunity to obtain a temporary driver’s license, but a floor vote on the bill was pushed to the last scheduled day of the current legislative session.
Under Senate Bill 957, which was approved by a House committee today, immigrants lacking Social Security numbers or documents to prove they are in the country legally would have to show a passport or consular identification documents and provide proof of residency for one year. The proposal would require undocumented drivers to take a driving test with the state. Licenses would be revoked for drivers who do not subsequently obtain insurance. Secretary of State Jesse White’s office estimates the measure would cost $800,000 the first year and $250,000 to maintain each year after.
The sponsor of the bill, Rep. Edward Acevedo, told the committee that it would make roads safer by ensuring that undocumented drivers could be “trained, tested, licensed and insured.” Acevedo, a Chicago Democrat, said the licenses could not be used as a form of identification for other purposes such as buying firearms or alcohol or boarding an airplane. Applicants would be required to pay $30 for the temporary license, which would valid for three years and available for renewal.
Hanover Chief of Police David Webb said the proposal is an important safety step but is concerned that its security safeguards would not be strict enough. Webb and other law enforcement officials say applicants should be fingerprinted or required to provide a federal tax identification number before obtaining a license. “Without these basic public safety and homeland security safeguards, this bill is unsafe,” he said.
License holder’s pictures would then be entered into a facial recognition database, but opponents were concerned that facial scan technology could be prone to error. “I think the integrity of the system is compromised if we don’t know who these folks are,” said Rep. Dennis Reboletti, an Elmhurst Republican.
Fred Tsao, policy director for the Illinois Coalition for Immigrant and Refugee Rights, said requiring fingerprinting to obtain a temporary driver's license might deter some undocumented drivers from applying for fear of being turned over to the federal immigration service for deportation. “It is a major concern to the community,” he said.
Acevedo said he plans to call the bill on the House floor a floor vote on Tuesday.
Sunday, January 06, 2013
House to take another shot at pension reform tomorrow
By Jamey Dunn
Supporters of pension reform in the House say they are still hopeful that the chamber can approve a plan before the current legislative session ends on Wednesday.
A House committee is scheduled to take up Senate Bill 1673 at noon tomorrow. Northbrook Democratic Rep. Elaine Nekritz said the bill scheduled for a hearing tomorrow would be similar to the plan that legislative leaders were negotiating over the weekend. The plan would:
Nekritz said the bill she plans to present tomorrow may have some “tweaks” as House leadership continues to try to hammer out a deal. She refused to predict the odds of getting the bill approved in the House and Senate but she said she thought it could clear a committee vote tomorrow. “This has been so fragile at every step along the way that if we can get it through committee, great. And then if we can get it off the floor, great. But I think we’re still making our way through all that.”
Senate President John Cullerton has made it clear that he believes employees must be offered consideration for the reduction of their benefits. He supports a plan that would ask employees to choose between keeping their state subsidized health care or losing their compounded interest rate COLAs. Employees that chose to keep their compounded COLAs would also see their pensionable salaries frozen at the current level.
However, Rep. Daniel Biss, an Evanston Democrat, said the argument can be made that the public policy benefit of keeping the pension systems soluble outweighs the constitutional protection of retirees' benefits. “I think it’s important that the General Assembly speak with one voice about how big a solution is needed. Otherwise, we’ll muddy the question before the courts,” he said. Union officials blasted lawmakers today for leaving them out of negotiations over the proposal currently on the table. “We are extremely disappointed that Governor Quinn and legislative leaders have shut out the voices of workers and retirees in their latest talks on pension legislation. Instead, once again, Illinois politicians are preparing to use unconstitutional schemes to ruin the retirement security of hundreds of thousands of Illinoisans while ignoring the state's revenue problem,” said a statement from the We Are One Coalition. The group has already threatened a lawsuit if the proposal is approved and signed into law. “If the General Assembly rams through last-minute legislation that violates the Illinois Constitution, we are prepared to sue to protect the hard-earned benefits of teachers, caregivers, corrections officers, university employees and others.”
Nekritz said that House members working on the issue have met with union leaders. “We’ve met with labor. I would characterize it as an impasse. And so we’ve met, but I think that we’re not likely to come to any agreement.”
The Senate is not in session, but Cullerton did tell members that the chamber could return on Tuesday to take up any legislation the House might pass. When asked if the uncertainty of a Senate return has complicated efforts to put votes on the bill in the House, Nekritz said, “There isn’t any aspect of this that doesn’t complicate it right now.”
Supporters of pension reform in the House say they are still hopeful that the chamber can approve a plan before the current legislative session ends on Wednesday.
A House committee is scheduled to take up Senate Bill 1673 at noon tomorrow. Northbrook Democratic Rep. Elaine Nekritz said the bill scheduled for a hearing tomorrow would be similar to the plan that legislative leaders were negotiating over the weekend. The plan would:
- Freeze cost of living adjustments (COLAs) for six years.
- Increase employee contributions by 2 percent of salary.
- Phase in contribution increases over two years.
- Cap pensionable salary at the salary employees are earning when the bill goes onto effect or the Social Security wage base, whichever is more.
- Include a guarantee that the state makes its annual required contribution to the pension systems.
Nekritz said the bill she plans to present tomorrow may have some “tweaks” as House leadership continues to try to hammer out a deal. She refused to predict the odds of getting the bill approved in the House and Senate but she said she thought it could clear a committee vote tomorrow. “This has been so fragile at every step along the way that if we can get it through committee, great. And then if we can get it off the floor, great. But I think we’re still making our way through all that.”
Senate President John Cullerton has made it clear that he believes employees must be offered consideration for the reduction of their benefits. He supports a plan that would ask employees to choose between keeping their state subsidized health care or losing their compounded interest rate COLAs. Employees that chose to keep their compounded COLAs would also see their pensionable salaries frozen at the current level.
However, Rep. Daniel Biss, an Evanston Democrat, said the argument can be made that the public policy benefit of keeping the pension systems soluble outweighs the constitutional protection of retirees' benefits. “I think it’s important that the General Assembly speak with one voice about how big a solution is needed. Otherwise, we’ll muddy the question before the courts,” he said. Union officials blasted lawmakers today for leaving them out of negotiations over the proposal currently on the table. “We are extremely disappointed that Governor Quinn and legislative leaders have shut out the voices of workers and retirees in their latest talks on pension legislation. Instead, once again, Illinois politicians are preparing to use unconstitutional schemes to ruin the retirement security of hundreds of thousands of Illinoisans while ignoring the state's revenue problem,” said a statement from the We Are One Coalition. The group has already threatened a lawsuit if the proposal is approved and signed into law. “If the General Assembly rams through last-minute legislation that violates the Illinois Constitution, we are prepared to sue to protect the hard-earned benefits of teachers, caregivers, corrections officers, university employees and others.”
Nekritz said that House members working on the issue have met with union leaders. “We’ve met with labor. I would characterize it as an impasse. And so we’ve met, but I think that we’re not likely to come to any agreement.”
The Senate is not in session, but Cullerton did tell members that the chamber could return on Tuesday to take up any legislation the House might pass. When asked if the uncertainty of a Senate return has complicated efforts to put votes on the bill in the House, Nekritz said, “There isn’t any aspect of this that doesn’t complicate it right now.”
Tax transparency and assault weapon ban appear stalled
By Jamey Dunn
A proposal that would require publicly traded corporations to share some tax information with lawmakers was shot down by a House committee today, and the chamber is also unlikely to take up an assault weapons ban before the new General Assembly is sworn in on Wednesday.
Senate Bill 282 would require publicly traded corporations that do business in Illinois to share tax information, such as their incomes, tax liability and tax credits. The information would not be made available to the public until two years after it was filed with secretary of state. At that time, it would be available to the public through a searchable online database. Proponents said lawmakers need the information to make educated decisions about tax policy. “This is about providing us with good information, so as we are making policy tax policy, we have a pretty good idea of what we’re doing,” said Chicago Democratic Rep. Barbara Flynn Currie. The measure passed in the Senate during the fall veto session.
But those opposed say the measure is a violation of privacy. They say that competitors could use such information to get an edge. “The linchpin, one of the pillars of a volunteer tax system, is confidentiality,” said Tom Johnson, president emeritus of the Taxpayers Federation of Illinois.
One lawmaker who voted for the bill described it as an “overstep” but said he thinks legislators need more information when making decisions about tax laws. “From my own personal experience, one of the big frustrations that we’ve had in this committee is that we can’t get the information we need in order to make tax policy,” said Rep. John Bradley, the chair of the House Revenue and Finance Committee. He said he voted in favor of the bill to send a message that lawmakers need to know more about what businesses pay in taxes,“so that we can do a better job figuring out what we are up to when it comes to creating tax policy in this state.”
Illinois legislators probably will not consider a ban on assault weapons before the current legislative session ends on Wednesday. “We are not going to be proceeding on the legislation regarding the assault weapons ban, and I think that will be the case for balance of the 87th General Assembly,” said Northbrook Democratic Rep. Elaine Nekrtiz, chair of the House committee that was scheduled to take up the weapons ban today.
A proposal that would require publicly traded corporations to share some tax information with lawmakers was shot down by a House committee today, and the chamber is also unlikely to take up an assault weapons ban before the new General Assembly is sworn in on Wednesday.
Senate Bill 282 would require publicly traded corporations that do business in Illinois to share tax information, such as their incomes, tax liability and tax credits. The information would not be made available to the public until two years after it was filed with secretary of state. At that time, it would be available to the public through a searchable online database. Proponents said lawmakers need the information to make educated decisions about tax policy. “This is about providing us with good information, so as we are making policy tax policy, we have a pretty good idea of what we’re doing,” said Chicago Democratic Rep. Barbara Flynn Currie. The measure passed in the Senate during the fall veto session.
But those opposed say the measure is a violation of privacy. They say that competitors could use such information to get an edge. “The linchpin, one of the pillars of a volunteer tax system, is confidentiality,” said Tom Johnson, president emeritus of the Taxpayers Federation of Illinois.
One lawmaker who voted for the bill described it as an “overstep” but said he thinks legislators need more information when making decisions about tax laws. “From my own personal experience, one of the big frustrations that we’ve had in this committee is that we can’t get the information we need in order to make tax policy,” said Rep. John Bradley, the chair of the House Revenue and Finance Committee. He said he voted in favor of the bill to send a message that lawmakers need to know more about what businesses pay in taxes,“so that we can do a better job figuring out what we are up to when it comes to creating tax policy in this state.”
Illinois legislators probably will not consider a ban on assault weapons before the current legislative session ends on Wednesday. “We are not going to be proceeding on the legislation regarding the assault weapons ban, and I think that will be the case for balance of the 87th General Assembly,” said Northbrook Democratic Rep. Elaine Nekrtiz, chair of the House committee that was scheduled to take up the weapons ban today.
Friday, January 04, 2013
Democrats set aside potential roadblock to pension reform
By Jamey Dunn
Democratic leaders in Illinois have agreed to table a controversial component of pension reform proposals, potentially opening the door for a renewed push when the House returns for its lame-duck session.
Gov. Pat Quinn announced today that he and House Speaker Michael Madigan are willing to back off the so-called cost shift,which has been a sticking point in negotiations. “He indicated that he was willing to defer any discussion on the cost shift regarding pension reform until a later date,” Quinn said of a recent conversation with Madigan. He said Democrats are not abandoning the idea; they are simply acknowledging that it was holding up progress on pension reform.
There are several versions of the cost shift. but they all would produce the same result: public schools outside of Chicago, universities and community colleges would eventually pick up the tab for their employees’ pensions. Chicago Public Schools currently pays for most of the employer costs of its workers’ retirement, and legislators from the city argued that it is unfair that the rest of the state does not. Also, they said school districts need to have some skin in the game because they now set the benefits that state government ends up paying. Under the proposal that was up for consideration, the state would be responsible for the state’s estimated $96 billion unfunded liability and schools would take over the future costs gradually over several years. But Republicans and some downstate Democrats say the shift would increase local property taxes because schools would not be able to afford the cost. The also say they are concerned that if the pension investment funds do not perform as expected, schools could be on the hook for future unfunded liability.
Quinn called the willingness to set aside the shift a “major step forward” in negotiations. “I think we’re on the eve of collaboration where people of good faith of both parties — Democrat and Republican, House and Senate — come together and do what has to be done for the common good,” Quinn told reporters in Wheaton today. He encouraged members of the General Assembly to look to the hard-fought compromise that was recently struck in Congress over the fiscal cliff. “I think we saw in Washington [D.C.] with the debate over the fiscal cliff that people, in order to solve a problem, oftentimes have to make reasonable compromises, make changes in their original position in order to get an outcome that benefits the public. It was bipartisan in Washington the other night, and it’s going to have to be bipartisan in Illinois in the next few days.”
Quinn shared few details about the reform plan that is currently being negotiated with legislative leadership from both parties. “We’ve been working on this really pretty feverishly over the last several weeks,” he said. “There were some breakthroughs concessions and compromises, and that’s sort of how it is in life, you know. You’ve got to sometimes concede this or that for the time being at least and move forward.” However, he did say that workers could expect to see their contributions increase and their Cost of Living Adjustments decrease under the proposal. He also said he is confident that it will survive a constitutional challenge. “It’s a very carefully balanced plan.”
Northbrook Democratic Rep. Elaine Nekritz said that the plan would likely be inserted into Senate Bill 1673, which is scheduled for a hearing on Monday morning. Negotiations are continuing over the weekend, and Nekritz is optimistic. “I think the momentum is continuing to build,” she said. Nekritz added that she thinks it is possible to get a plan approved before the new legislative session begins next week. While Nekritz is encouraged by the new development on pension reform, she said that she thinks a compromise on the cost shift is not out of reach. “I still think that the cost shift is the right policy goal. I feel that very strongly,” she said. “I still think we could have found a middle ground on the cost shift.” Setting that issue aside, she said, “was not my decision.”
Republicans are also speaking positively about the newest plan for tackling pension reform. “Not everyone agrees with all the nuances. We don’t know the numbers yet for the bills, but my gut is telling me this is moving in a really significant direction in regards to getting this thing shored up once and for all,” said Rep. Darlene Senger, a Naperville Republican. She said she hopes that both chambers can approve it. “We’ve got a new set of legislators coming in, and it’s a complicated process. And to start this over again is really not necessary. We know what we need to do.”
Republican House Leader Tom Cross said that leaders will continue to talk through the weekend, and a measure that House leadership from both parties agree on could emerge by Sunday or Monday. The House is scheduled to return for its lame-duck session on Sunday. Cross cautioned, “I don’t bet on pension reform anymore because I have lost that bet in the past.” But he said he is “cautiously optimistic.” Cross said that if the legislature can pass a bill that substantially reduces employee benefits, and therefore reduces the cost of their retirement that would be passed on to schools, Republicans might be open to revisiting talks about a cost shift. “A strong benefits package reform bill diminishes in a lot of ways the potential damage that a cost shift presents.”
Democratic leaders in Illinois have agreed to table a controversial component of pension reform proposals, potentially opening the door for a renewed push when the House returns for its lame-duck session.
Gov. Pat Quinn announced today that he and House Speaker Michael Madigan are willing to back off the so-called cost shift,which has been a sticking point in negotiations. “He indicated that he was willing to defer any discussion on the cost shift regarding pension reform until a later date,” Quinn said of a recent conversation with Madigan. He said Democrats are not abandoning the idea; they are simply acknowledging that it was holding up progress on pension reform.
There are several versions of the cost shift. but they all would produce the same result: public schools outside of Chicago, universities and community colleges would eventually pick up the tab for their employees’ pensions. Chicago Public Schools currently pays for most of the employer costs of its workers’ retirement, and legislators from the city argued that it is unfair that the rest of the state does not. Also, they said school districts need to have some skin in the game because they now set the benefits that state government ends up paying. Under the proposal that was up for consideration, the state would be responsible for the state’s estimated $96 billion unfunded liability and schools would take over the future costs gradually over several years. But Republicans and some downstate Democrats say the shift would increase local property taxes because schools would not be able to afford the cost. The also say they are concerned that if the pension investment funds do not perform as expected, schools could be on the hook for future unfunded liability.
Quinn called the willingness to set aside the shift a “major step forward” in negotiations. “I think we’re on the eve of collaboration where people of good faith of both parties — Democrat and Republican, House and Senate — come together and do what has to be done for the common good,” Quinn told reporters in Wheaton today. He encouraged members of the General Assembly to look to the hard-fought compromise that was recently struck in Congress over the fiscal cliff. “I think we saw in Washington [D.C.] with the debate over the fiscal cliff that people, in order to solve a problem, oftentimes have to make reasonable compromises, make changes in their original position in order to get an outcome that benefits the public. It was bipartisan in Washington the other night, and it’s going to have to be bipartisan in Illinois in the next few days.”
Quinn shared few details about the reform plan that is currently being negotiated with legislative leadership from both parties. “We’ve been working on this really pretty feverishly over the last several weeks,” he said. “There were some breakthroughs concessions and compromises, and that’s sort of how it is in life, you know. You’ve got to sometimes concede this or that for the time being at least and move forward.” However, he did say that workers could expect to see their contributions increase and their Cost of Living Adjustments decrease under the proposal. He also said he is confident that it will survive a constitutional challenge. “It’s a very carefully balanced plan.”
Northbrook Democratic Rep. Elaine Nekritz said that the plan would likely be inserted into Senate Bill 1673, which is scheduled for a hearing on Monday morning. Negotiations are continuing over the weekend, and Nekritz is optimistic. “I think the momentum is continuing to build,” she said. Nekritz added that she thinks it is possible to get a plan approved before the new legislative session begins next week. While Nekritz is encouraged by the new development on pension reform, she said that she thinks a compromise on the cost shift is not out of reach. “I still think that the cost shift is the right policy goal. I feel that very strongly,” she said. “I still think we could have found a middle ground on the cost shift.” Setting that issue aside, she said, “was not my decision.”
Republicans are also speaking positively about the newest plan for tackling pension reform. “Not everyone agrees with all the nuances. We don’t know the numbers yet for the bills, but my gut is telling me this is moving in a really significant direction in regards to getting this thing shored up once and for all,” said Rep. Darlene Senger, a Naperville Republican. She said she hopes that both chambers can approve it. “We’ve got a new set of legislators coming in, and it’s a complicated process. And to start this over again is really not necessary. We know what we need to do.”
Republican House Leader Tom Cross said that leaders will continue to talk through the weekend, and a measure that House leadership from both parties agree on could emerge by Sunday or Monday. The House is scheduled to return for its lame-duck session on Sunday. Cross cautioned, “I don’t bet on pension reform anymore because I have lost that bet in the past.” But he said he is “cautiously optimistic.” Cross said that if the legislature can pass a bill that substantially reduces employee benefits, and therefore reduces the cost of their retirement that would be passed on to schools, Republicans might be open to revisiting talks about a cost shift. “A strong benefits package reform bill diminishes in a lot of ways the potential damage that a cost shift presents.”
Thursday, January 03, 2013
Gay marriage and gun control bills struggle in the Senate
Gun control measures and legislation to legalize same-sex marriage both stalled in the Senate today because they lacked the support to pass on a floor vote.
Same-Sex Marriage
By Meredith Colias
The Senate sponsor of a bill legalizing gay marriage said she hoped it could come up for a floor vote as soon as Tuesday. However, Senate President John Cullerton said such a vote would be unlikely.
Sen. Heather Steans, a Democrat from Chicago, said supporters of House Bill 4963 were not present today to cast their votes on the floor. The measure was approved by a Senate Committee, but Cullerton said Steans would not get another crack at passing same-sex marriage legislation unless it is first approved by the House, which is scheduled to start its lame-duck session on Sunday. “Maybe we will see you next Tuesday. I would once again reiterate that it’s not likely, but there’s that outside possibility because the House will be in session,” Cullerton told members when the Senate adjourned tonight. The Senate session scheduled for tomorrow has been canceled.
Steans told the committee that her proposal would provide “a basic civil right” to gay couples, while allowing exemptions to protect religious organizations that oppose same-sex marriage.
Springfield Roman Catholic Bishop John Paprocki said the measure “would radically redefine what marriage is for everyone” and would not do enough to protect religious institutions that oppose same sex marriage. Opponents questioned language in the bill they believed would require religious institutions to rent out their facilities to gay couples against their wishes. “The consequences of redefining marriage will be broader based,” Paprocki said .
Steans said the measure would require religious institutions to treat everyone equally when renting out certain facilities that are available to the public but would not require them to marry gay couples or let them use the sanctuary. Steans said such protections against discrimination based on sexual orientation were already part of other laws.
Ralph Rivera of the Illinois Family Institute said that he and others would oppose the bill on principle regardless of the exemptions it contained. But he said legislation approved in committee today was “not about gay marriage. It’s about forcing the church to accept it or be punished.”
Other religious leaders spoke in favor of the bill. Rev. Vernice Thorn of Broadway United Methodist Church in Chicago said her support for gay marriage drew from her own religious beliefs. “I believe this to be a justice issue, but I also believe … it’s a faith issue.”
Although no Republicans on the committee voted in favor of sending the bill to a floor vote, Senate Majority Leader Christine Radogno said it had the “potential for bipartisanship” if Steans were willing to do more to protect religious groups that “truly believe this is not the right thing to do.” Steans said she was open to meeting with opponents to try to work out a compromise on the religious protections in her proposal.
Gun Control
By Jamey Dunn
Advocates for two gun control proposals were also disappointed today in the Senate.
House Bill 1263, which would ban several types of assault weapons, including semi-automatic firearms and high-caliber rifles, and HB 815, which would outlaw ammunition magazines capable of holding more than 10 rounds, were not called for floor votes today because Democratic leaders said they did not have the support to pass. “I think it’s just an issue of some of the people who would be voting for the bill are not present today,” said Park Ridge Democratic Sen. Dan Kotowski, who sponsors HB815.
“It is clear that we will need bipartisan support in order to take floor votes on gun safety and marriage equality this week. We will take some time to work on these important issues to advance them in the near future,” Rikeesha Phelon, a spokeswoman for Senate President John Cullerton, said this afternoon in a prepared statement.
“I think people are generally supportive of the concept [of the high-capacity magazine ban],” Kotowski said. “There’s a couple areas that they need to be educated about — the components of the bill. And once they are, they are usually OK.”
Opponents say that both bans would trample on the rights of law-abiding gun owners. Todd Vandermyde, chief Illinois lobbyist for the National Rifle Association, said the bans would outlaw “components and parts of some of the most commonly used firearms in the country.”
Gov. Pat Quinn has been vocally pushing for both measures since a mass shooting in a Colorado theater last summer. “We’re pleased to see progress being made on both fronts,” Brooke Anderson, a Quinn spokeswoman, said about Senate committees approving both gun bans as well as a bill to legalize same sex marriage. She said of the gun control measures specifically, “As the governor has made clear, this is something that we are going to vigorously pursue this year, and we’re going to continue work on it.”
Sen. Heather Steans’ bill to legalize same sex marriage passed in a committee today, but she saw another Senate panel reject a plan to approve additional spending for construction and the Department of Children and Family Services. The plan would have reallocated money from Quinn’s vetoes and allow the Illinois Department of Transportation to spend unused state and federal funds.
However, the measure would also draw from money from the sale of the state’s 10th casino license that was promised to horse racing tracks in 1999. Steve Brubaker, a lobbyist for the Illinois Harness Horsemen’s Association, said the money is supposed to be spent on purse races and operations at the state’s tracks. “This is certainly a departure from what we thought the money was going to be used for. We thought we would have access to that revenue.”
McHenry Republican Sen. Pamela Althoff said the capital projects, which include school construction, are worthwhile. But she said lawmakers have to stop tapping into funds that have been committed elsewhere each time the need for new spending arises. “I just think it’s inappropriate to break our word once again when we made those promises.”
Kotowski, who also worked on the budget deal, was not willing to concede that it or his gun control measure would have to wait until a new legislature is seated next Wednesday. “I think we’re just going to see what we can do. ... We may have an opportunity to get something done on Tuesday, but we’ll see.” But Cullerton put a damper on hopes that the Senate will be back before the current legislative session ends next week. He said that the Senate might meet again on Tuesday, but only if the House, which begins its lame-duck session on Sunday, approves legislation that the Senate needs to consider. “I don’t anticipate that, but it’s possible,” Cullerton said. He said lawmakers could continue to work on same-sex marriage and gun control issues in the new legislative session.
Cullerton said of the Senate’s lame-duck session actions, “We just really finished up the normal business that we needed to finish up.” He told lawmakers as he announced an end to work for the day, “We still have tremendous challenges to face in the next session.”
Same-Sex Marriage
By Meredith Colias
The Senate sponsor of a bill legalizing gay marriage said she hoped it could come up for a floor vote as soon as Tuesday. However, Senate President John Cullerton said such a vote would be unlikely.
Sen. Heather Steans, a Democrat from Chicago, said supporters of House Bill 4963 were not present today to cast their votes on the floor. The measure was approved by a Senate Committee, but Cullerton said Steans would not get another crack at passing same-sex marriage legislation unless it is first approved by the House, which is scheduled to start its lame-duck session on Sunday. “Maybe we will see you next Tuesday. I would once again reiterate that it’s not likely, but there’s that outside possibility because the House will be in session,” Cullerton told members when the Senate adjourned tonight. The Senate session scheduled for tomorrow has been canceled.
Steans told the committee that her proposal would provide “a basic civil right” to gay couples, while allowing exemptions to protect religious organizations that oppose same-sex marriage.
Springfield Roman Catholic Bishop John Paprocki said the measure “would radically redefine what marriage is for everyone” and would not do enough to protect religious institutions that oppose same sex marriage. Opponents questioned language in the bill they believed would require religious institutions to rent out their facilities to gay couples against their wishes. “The consequences of redefining marriage will be broader based,” Paprocki said .
Steans said the measure would require religious institutions to treat everyone equally when renting out certain facilities that are available to the public but would not require them to marry gay couples or let them use the sanctuary. Steans said such protections against discrimination based on sexual orientation were already part of other laws.
Ralph Rivera of the Illinois Family Institute said that he and others would oppose the bill on principle regardless of the exemptions it contained. But he said legislation approved in committee today was “not about gay marriage. It’s about forcing the church to accept it or be punished.”
Other religious leaders spoke in favor of the bill. Rev. Vernice Thorn of Broadway United Methodist Church in Chicago said her support for gay marriage drew from her own religious beliefs. “I believe this to be a justice issue, but I also believe … it’s a faith issue.”
Although no Republicans on the committee voted in favor of sending the bill to a floor vote, Senate Majority Leader Christine Radogno said it had the “potential for bipartisanship” if Steans were willing to do more to protect religious groups that “truly believe this is not the right thing to do.” Steans said she was open to meeting with opponents to try to work out a compromise on the religious protections in her proposal.
Gun Control
By Jamey Dunn
Advocates for two gun control proposals were also disappointed today in the Senate.
House Bill 1263, which would ban several types of assault weapons, including semi-automatic firearms and high-caliber rifles, and HB 815, which would outlaw ammunition magazines capable of holding more than 10 rounds, were not called for floor votes today because Democratic leaders said they did not have the support to pass. “I think it’s just an issue of some of the people who would be voting for the bill are not present today,” said Park Ridge Democratic Sen. Dan Kotowski, who sponsors HB815.
“It is clear that we will need bipartisan support in order to take floor votes on gun safety and marriage equality this week. We will take some time to work on these important issues to advance them in the near future,” Rikeesha Phelon, a spokeswoman for Senate President John Cullerton, said this afternoon in a prepared statement.
“I think people are generally supportive of the concept [of the high-capacity magazine ban],” Kotowski said. “There’s a couple areas that they need to be educated about — the components of the bill. And once they are, they are usually OK.”
Opponents say that both bans would trample on the rights of law-abiding gun owners. Todd Vandermyde, chief Illinois lobbyist for the National Rifle Association, said the bans would outlaw “components and parts of some of the most commonly used firearms in the country.”
Gov. Pat Quinn has been vocally pushing for both measures since a mass shooting in a Colorado theater last summer. “We’re pleased to see progress being made on both fronts,” Brooke Anderson, a Quinn spokeswoman, said about Senate committees approving both gun bans as well as a bill to legalize same sex marriage. She said of the gun control measures specifically, “As the governor has made clear, this is something that we are going to vigorously pursue this year, and we’re going to continue work on it.”
Sen. Heather Steans’ bill to legalize same sex marriage passed in a committee today, but she saw another Senate panel reject a plan to approve additional spending for construction and the Department of Children and Family Services. The plan would have reallocated money from Quinn’s vetoes and allow the Illinois Department of Transportation to spend unused state and federal funds.
However, the measure would also draw from money from the sale of the state’s 10th casino license that was promised to horse racing tracks in 1999. Steve Brubaker, a lobbyist for the Illinois Harness Horsemen’s Association, said the money is supposed to be spent on purse races and operations at the state’s tracks. “This is certainly a departure from what we thought the money was going to be used for. We thought we would have access to that revenue.”
McHenry Republican Sen. Pamela Althoff said the capital projects, which include school construction, are worthwhile. But she said lawmakers have to stop tapping into funds that have been committed elsewhere each time the need for new spending arises. “I just think it’s inappropriate to break our word once again when we made those promises.”
Kotowski, who also worked on the budget deal, was not willing to concede that it or his gun control measure would have to wait until a new legislature is seated next Wednesday. “I think we’re just going to see what we can do. ... We may have an opportunity to get something done on Tuesday, but we’ll see.” But Cullerton put a damper on hopes that the Senate will be back before the current legislative session ends next week. He said that the Senate might meet again on Tuesday, but only if the House, which begins its lame-duck session on Sunday, approves legislation that the Senate needs to consider. “I don’t anticipate that, but it’s possible,” Cullerton said. He said lawmakers could continue to work on same-sex marriage and gun control issues in the new legislative session.
Cullerton said of the Senate’s lame-duck session actions, “We just really finished up the normal business that we needed to finish up.” He told lawmakers as he announced an end to work for the day, “We still have tremendous challenges to face in the next session.”
Senate approves bill that would bar some state workers from union membership
By Jamey Dunn
Some state workers would be stripped of their union memberships under a
measure approved by the Illinois Senate today, but a hold has been put of the bill for further negotiations before it is sent to Gov. Pat Quinn.
Senate Bill 1556 would bar state employees in managerial
positions from being members of a union. Quinn has been pushing the
bill for some time because he argues that recent growth in union membership has
left few in government who are representing the state’s interests as managers. “Our
state has more [workers] belonging to a union than any other state in the
union. I believe in the right to collectively bargain, but you also have to
have some people in management,” Quinn said in 2011.
The House has already approved the measure (as well as a similar version in 2011 that the Senate did not take up), and Quinn is expected to sign it, but he will not have the chance to ratify it just yet. Oak Park Democratic Sen. Don Harmon, who has been negotiating with unions over the proposal, put a procedural hold on the bill by filing a motion after it was approved in the Senate. “He has been the chief negotiator on this bill for three years. Even as we passed the bill, he was still identifying ways to work with the unions on a resolution. Filing the motion grants more time to do that,” said Rikeesha Phelon, spokeswoman for Senate President John Cullerton.
Cullerton, who sponsors the bill, said that even after the provisions of the legislation go into effect, Illinois would continue to be “one of the most heavily unionized” states in the nation. “It’s the basic concept of allowing us to have management not be in the union,” Cullerton said during debate on the Senate floor. “It will help the governor manage the executive branch.”
Union officials say the bill is another way for Quinn to circumvent the collective bargaining process. “In November, Pat Quinn became the first Illinois governor to terminate a union contract. His signature on this bill would make Quinn the first to strip collective bargaining rights from thousands of his employees. It is deeply disturbing that the governor refused our union's good-faith efforts to address these matters through negotiations,” Henry Bayer, executive director of the American Federation of State, County and Municipal Employees Council 31, said in a written statement. “The only possible reason for Quinn's action is to leave workers without the protections of a union contract in an attempt to intimidate them or replace them with political patronage hires. It is the latest anti-worker, anti-union blow from a governor bent on scapegoating public employees.”
The House has already approved the measure (as well as a similar version in 2011 that the Senate did not take up), and Quinn is expected to sign it, but he will not have the chance to ratify it just yet. Oak Park Democratic Sen. Don Harmon, who has been negotiating with unions over the proposal, put a procedural hold on the bill by filing a motion after it was approved in the Senate. “He has been the chief negotiator on this bill for three years. Even as we passed the bill, he was still identifying ways to work with the unions on a resolution. Filing the motion grants more time to do that,” said Rikeesha Phelon, spokeswoman for Senate President John Cullerton.
Cullerton, who sponsors the bill, said that even after the provisions of the legislation go into effect, Illinois would continue to be “one of the most heavily unionized” states in the nation. “It’s the basic concept of allowing us to have management not be in the union,” Cullerton said during debate on the Senate floor. “It will help the governor manage the executive branch.”
Union officials say the bill is another way for Quinn to circumvent the collective bargaining process. “In November, Pat Quinn became the first Illinois governor to terminate a union contract. His signature on this bill would make Quinn the first to strip collective bargaining rights from thousands of his employees. It is deeply disturbing that the governor refused our union's good-faith efforts to address these matters through negotiations,” Henry Bayer, executive director of the American Federation of State, County and Municipal Employees Council 31, said in a written statement. “The only possible reason for Quinn's action is to leave workers without the protections of a union contract in an attempt to intimidate them or replace them with political patronage hires. It is the latest anti-worker, anti-union blow from a governor bent on scapegoating public employees.”
Wednesday, January 02, 2013
Senate committee advances gun control bills
By Jamey Dunn
An Illinois Senate committee approved two gun control measures today, after recent tragedies brought the debate over firearms to the forefront of national attention.
House Bill 1263 would ban several types of assault weapons, including semi-automatic firearms and high-caliber rifles. House Bill 815 would outlaw ammunition magazines capable of holding more than 10 rounds. Gov. Pat Quinn has been calling for the passage of such bans since last summer, after a shooter killed a dozen people and injured more than 50 others in a Colorado movie theater. But the nationwide focus on the recent mass shooting at Sandy Hook Elementary School in Connecticut—which took the lives of 20 students and six staff members—seems to have given the measures some momentum.
“These military-style weapons have no use in our street and cities across Illinois. ... Assault weapons have been used in three mass killings in our country in 2012,” said Colleen Daley, executive director of the Illinois Council Against Handgun Violence. “The killings need to stop, and passing a ban on the sale of these weapons is a great first step in stopping the senseless violence.” Under the legislation, those who owned the guns before the law goes into effect would be able to keep them, but they would have to register the weapons with the Illinois State Police.
Opponents say the ban is a knee-jerk reaction to the tragedy. Jay Keller, executive director of the Illinois Firearms Manufacturers Association, called the Sandy Hook shooting “an incomprehensible, haunting horror.” But he said that banning guns is not the answer, and lawmakers should instead take a comprehensive look at the issue by evaluating the state’s mental health system and considering the value of violent imagery in entertainment such as video games. “We all want answers, preferably simple ones. Unfortunately there are none. This issue is a complex issue, and banning certain firearms will not solve it.” Keller said the bans would eliminate jobs by driving weapons manufacturers out of the state. “So I can stay here and pay you all [taxes], but I can’t do business here. The manufacturers will not stay here.”
Representatives from the National Rifle Association argued that the two bills step on the Second Amendment rights of gun owners and fly in the face of recent court rulings guaranteeing them access to guns, as well as the ability to carry weapons in public. Todd Vandermyde, the National Rifle Association's chief Illinois lobbyist, said the measure is much broader than the federal assault weapons ban, which expired in 2004. “I have never seen a piece of legislation that tramples on so many court decisions,” he said.
But Park Ridge Democratic Sen. Dan Kotowski, who sponsors the high-capacity magazine ban, said the legislation is not meant to take away guns, just to make them less lethal in the hands of potential killers. “We are addressing the fact that there are more people who can be shot in a period of time, and I call that lethal,” he said. “If you are a law-abiding gun owner, I don’t know what you have to fear here.”
The bills could come up for floor votes as early as tomorrow.
An Illinois Senate committee approved two gun control measures today, after recent tragedies brought the debate over firearms to the forefront of national attention.
House Bill 1263 would ban several types of assault weapons, including semi-automatic firearms and high-caliber rifles. House Bill 815 would outlaw ammunition magazines capable of holding more than 10 rounds. Gov. Pat Quinn has been calling for the passage of such bans since last summer, after a shooter killed a dozen people and injured more than 50 others in a Colorado movie theater. But the nationwide focus on the recent mass shooting at Sandy Hook Elementary School in Connecticut—which took the lives of 20 students and six staff members—seems to have given the measures some momentum.
“These military-style weapons have no use in our street and cities across Illinois. ... Assault weapons have been used in three mass killings in our country in 2012,” said Colleen Daley, executive director of the Illinois Council Against Handgun Violence. “The killings need to stop, and passing a ban on the sale of these weapons is a great first step in stopping the senseless violence.” Under the legislation, those who owned the guns before the law goes into effect would be able to keep them, but they would have to register the weapons with the Illinois State Police.
Opponents say the ban is a knee-jerk reaction to the tragedy. Jay Keller, executive director of the Illinois Firearms Manufacturers Association, called the Sandy Hook shooting “an incomprehensible, haunting horror.” But he said that banning guns is not the answer, and lawmakers should instead take a comprehensive look at the issue by evaluating the state’s mental health system and considering the value of violent imagery in entertainment such as video games. “We all want answers, preferably simple ones. Unfortunately there are none. This issue is a complex issue, and banning certain firearms will not solve it.” Keller said the bans would eliminate jobs by driving weapons manufacturers out of the state. “So I can stay here and pay you all [taxes], but I can’t do business here. The manufacturers will not stay here.”
Representatives from the National Rifle Association argued that the two bills step on the Second Amendment rights of gun owners and fly in the face of recent court rulings guaranteeing them access to guns, as well as the ability to carry weapons in public. Todd Vandermyde, the National Rifle Association's chief Illinois lobbyist, said the measure is much broader than the federal assault weapons ban, which expired in 2004. “I have never seen a piece of legislation that tramples on so many court decisions,” he said.
But Park Ridge Democratic Sen. Dan Kotowski, who sponsors the high-capacity magazine ban, said the legislation is not meant to take away guns, just to make them less lethal in the hands of potential killers. “We are addressing the fact that there are more people who can be shot in a period of time, and I call that lethal,” he said. “If you are a law-abiding gun owner, I don’t know what you have to fear here.”
The bills could come up for floor votes as early as tomorrow.
Friday, December 21, 2012
Pension reform plan could cut next year's payment by nearly $2 billion
By Jamey Dunn
Supporters of a new pension reform proposal say it would shave almost $2 billion off the pension payments required by the state next year.
Northbrook Democratic Rep.Elaine Nekritz and Rep. Daniel Biss, an Evanston Democrat, released an analysis of actuarial numbers provided from the state’s pension funds on their proposal, House Bill 6258. The bill would cap the amount of retirement income eligible for cost of living adjustments and delay COLAs until retirees turn 67 or have been retired for five years, whichever happens first. It would also increase the retirement age for employees younger than 46 and increase employee contributions by 2 percentage points. Nekritz and Biss said the measure grew out of talks among rank-and-file House members after negotiations among legislative leaders stalled.
According to the figures released today, the plan would immediately reduce the state’s unfunded pension liability from an estimated $95 billion to $67 billion. Several components of the bill would contribute to shrinking the liability, but Biss said that the changes to the COLAs would be the most significant upfront savings.
The report also said that if school districts had to pick up the costs of retirement benefits that are currently covered by the state, the cost would represent an estimated .52 percent of their overall payroll. HB 6258 contains a cost shift to schools outside of Chicago, as well as to universities and community colleges. The so-called cost shift was the main area of disagreement that held up previous plans. Biss said he was a bit surprised that the cost would be so low. However, those opposed to the cost shift have voiced concern over the idea, no matter what how little it might cost schools or how gradually it would be phased in. They say it would mean an increase in property taxes, and they are worried about unexpected spikes in retirement costs if the pension systems’ investments fail to perform as predicted. The price to universities under the plan would be a larger portion of their total payroll, but Biss said it would never grow to more than 4 percent.
Public employee unions released a report earlier this week that illustrates the flip-side to those estimated cost savings, which amount to reductions in pension income for current and future retirees. According an analysis from the union coalition We Are One, the proposed changes in COLAs and the retirement age would mean that employees younger than 35 would see their retirement benefits reduced by 40 percent by the age of 80. Employees between the ages of 40 and 45 would see the value of their benefits by age 80 reduced by nearly a quarter.
“We have yet to see the governor or legislators produce a pensions proposal that meets the basic standard of being constitutional, much less a plan that is any way fair to the hundreds of thousands of Illinoisans who are either currently receiving a pension or those who are paying into a pension that they expect to receive in the future,” said Illinois Education Association President Cinda Klickna. She said unions believe HB 6258 is unconstitutional.
But Biss argued that no one could predict how judges will interpret the provision in the state’s Constitution that protects pension benefits. “There’s a wide variety of diverging views on the subject,” he said. “There are as many different constitutional theories on this issue as there are [reform] proposals.” Biss said the best lawmakers can do is pass a plan that they think is solid public policy and has the greatest chance of holding up in court.
The unions pitched their own plan, which would raise billions in new revenues by eliminating corporate tax breaks and asking employees to increase their contributions by 2 percentage points. “You cannot solve this problem with less money, period. You just simply can’t. You can’t cut your way out of it,” said Toby Trimmer, director of political activity for the Illinois Federation of Teachers. “And the only thing that has at this stage of the game been presented to us over the course of the last year or so has been an approach to try to cut their way out of it through our members’ benefits, and you just can’t do it.” Trimmer said plans that rely only on benefit reductions that would be made without the approval of unions are “unconstitutional” and “morally unfair.”
Biss said that he is open to the idea of looking for new revenues and wants to work with the unions on the proposal. “That’s an almost $100 billion hole. Yes, you have to go wherever you can to fill it.” He said the only options for lawmakers are raising new revenue, cutting retiree benefits or cutting other spending in the state budget. “I’m a big believer in balance, and I think we have to do all three.” However, Biss noted that much of the revenue from the income tax increase is being spent on pension payments, and legislators have made recent budget cuts. “So it seems to me that the next rational step to take is on benefit reform.”
Supporters of a new pension reform proposal say it would shave almost $2 billion off the pension payments required by the state next year.
Northbrook Democratic Rep.Elaine Nekritz and Rep. Daniel Biss, an Evanston Democrat, released an analysis of actuarial numbers provided from the state’s pension funds on their proposal, House Bill 6258. The bill would cap the amount of retirement income eligible for cost of living adjustments and delay COLAs until retirees turn 67 or have been retired for five years, whichever happens first. It would also increase the retirement age for employees younger than 46 and increase employee contributions by 2 percentage points. Nekritz and Biss said the measure grew out of talks among rank-and-file House members after negotiations among legislative leaders stalled.
According to the figures released today, the plan would immediately reduce the state’s unfunded pension liability from an estimated $95 billion to $67 billion. Several components of the bill would contribute to shrinking the liability, but Biss said that the changes to the COLAs would be the most significant upfront savings.
The report also said that if school districts had to pick up the costs of retirement benefits that are currently covered by the state, the cost would represent an estimated .52 percent of their overall payroll. HB 6258 contains a cost shift to schools outside of Chicago, as well as to universities and community colleges. The so-called cost shift was the main area of disagreement that held up previous plans. Biss said he was a bit surprised that the cost would be so low. However, those opposed to the cost shift have voiced concern over the idea, no matter what how little it might cost schools or how gradually it would be phased in. They say it would mean an increase in property taxes, and they are worried about unexpected spikes in retirement costs if the pension systems’ investments fail to perform as predicted. The price to universities under the plan would be a larger portion of their total payroll, but Biss said it would never grow to more than 4 percent.
Public employee unions released a report earlier this week that illustrates the flip-side to those estimated cost savings, which amount to reductions in pension income for current and future retirees. According an analysis from the union coalition We Are One, the proposed changes in COLAs and the retirement age would mean that employees younger than 35 would see their retirement benefits reduced by 40 percent by the age of 80. Employees between the ages of 40 and 45 would see the value of their benefits by age 80 reduced by nearly a quarter.
“We have yet to see the governor or legislators produce a pensions proposal that meets the basic standard of being constitutional, much less a plan that is any way fair to the hundreds of thousands of Illinoisans who are either currently receiving a pension or those who are paying into a pension that they expect to receive in the future,” said Illinois Education Association President Cinda Klickna. She said unions believe HB 6258 is unconstitutional.
But Biss argued that no one could predict how judges will interpret the provision in the state’s Constitution that protects pension benefits. “There’s a wide variety of diverging views on the subject,” he said. “There are as many different constitutional theories on this issue as there are [reform] proposals.” Biss said the best lawmakers can do is pass a plan that they think is solid public policy and has the greatest chance of holding up in court.
The unions pitched their own plan, which would raise billions in new revenues by eliminating corporate tax breaks and asking employees to increase their contributions by 2 percentage points. “You cannot solve this problem with less money, period. You just simply can’t. You can’t cut your way out of it,” said Toby Trimmer, director of political activity for the Illinois Federation of Teachers. “And the only thing that has at this stage of the game been presented to us over the course of the last year or so has been an approach to try to cut their way out of it through our members’ benefits, and you just can’t do it.” Trimmer said plans that rely only on benefit reductions that would be made without the approval of unions are “unconstitutional” and “morally unfair.”
Biss said that he is open to the idea of looking for new revenues and wants to work with the unions on the proposal. “That’s an almost $100 billion hole. Yes, you have to go wherever you can to fill it.” He said the only options for lawmakers are raising new revenue, cutting retiree benefits or cutting other spending in the state budget. “I’m a big believer in balance, and I think we have to do all three.” However, Biss noted that much of the revenue from the income tax increase is being spent on pension payments, and legislators have made recent budget cuts. “So it seems to me that the next rational step to take is on benefit reform.”
Wednesday, December 19, 2012
State employees would pay more under union-backed pension plan
By Jamey Dunn
Union officials pitched a pension reform plan today that would ask state workers to pay more for their benefits.
Under a plan proposed by the We Are One Coalition, a group of unions that represent a variety of state workers including teachers, health care professionals and university employees, workers would contribute more in exchange for legislators making an “iron-clad guarantee” to make the required pension contribution each year. “Teachers and administrators and 80 percent of all state workers do not collect Social Security [benefits]. ... The workers have made their pension payments, from the 9.4 percent paid by teachers to the 12 percent paid by the police. The reason we are in this mess today is the persistent failure of elected leaders to budget and pay the systems year after year,” Illinois Education Association President Cinda Klickna said. Employees would contribute 2 percent more of their paychecks toward their retirement benefits. The portion of their incomes that employees pay now varies across the state’s five pension systems. The group says that increase would bring $350 million more into the systems annually.
Union officials said that no proposals considered so far meet the constitutional requirements that protect public employee retirement benefits. “Any proposal which fails to deal with the pension funding and does not pass constitutional muster is not real. It’s only prolonging the state’s fiscal woes,” said Joanna Webb-Gauvin, the legislative director for the American Federation of State, County and Municipal Employees Council 31.
The coalition is calling for a “pension summit” to negotiate an agreed-upon plan that Klickna said unions want to see passed during the new legislative session, which starts in January. Gov. Pat Quinn responded to the proposal: “We always want to look at everything. I think it’s useful to look at everybody’s ideas. We’ve been doing that, really, for more than a year. If there are some good concepts there, we can incorporate them. But I think this is not a time to delay or postpone.”
“We want an end to the gridlock as well,” said Toby Trimmer, director of political activity for the Illinois Federation of Teachers. ... We want to sit down at the table, but we want a seat at the table. We don’t want to be on a platter.”
Union representatives said Quinn’s public outreach efforts, which paint the situation as an option between cutting pension benefits or cutting education and human services, are unfair because they do not consider other areas of spending, such as tax breaks. The coalition is proposing the elimination of $2 billion in tax benefits for businesses. “Today, the state of Illinois has a massive pension problem, the root cause of which can be expressed in one single word: revenue. Past governors and legislators took money the state owed the pension systems and spent it elsewhere. Fixing the problem requires that the money that was diverted must be replaced,” Klickna said. The group did not have actuarial figures on the impact their proposal would have on the system, or whether it would eventually result in a fully funded system.
The unions' overall plan is similar to one they pitched last summer that was met with little to no attention from Quinn and lawmakers. However, a recent report from Moody’s Investor Services lends come credibility to the unions’ argument about the need for revenue. “Despite a diverse economy with above-average wealth, lackluster demographic and economic characteristics indicate that even with continued U.S. economic improvement, the state's existing tax structure will not provide enough revenue to address the rising cost of pension benefits and other state expenses,” the bond-rating agency stated. It changed the state’s fiscal outlook last week from stable to negative, in part because of inaction on the pension issue.
At an event in Cicero announcing grants for early childhood education today, Quinn again pitted retirement costs against school funding. “In order to have good education, including early childhood education, we have to reform our pension systems because in a few short years our state will actually be spending more money on pensions for former government employees than we spend on education for our children and our students,” he said. “I’m optimistic we can come up with a sound plan that meets all constitutional tests, that’s fair to the workers -- they’ll have a decent retirement -- that’s is also fair to the taxpayers and most of all the children of Illinois. We can’t let them down, and we must address pension reform right away.”
Many of the tax breaks on the group’s list perennially pop up as options for new revenue. Quinn himself recently pitched some of them as a way to supplement the state’s underfunded capital construction plan. “Too often, states agree to weaken their revenue systems based on vague corporate claims of ‘job-killing taxes’ or a state’s lack of ‘business-friendliness’ without any evidence of the actual tax burdens of companies. This overemphasis on lowering taxes ignores the relatively small role impact taxes have on states’ economic development climates and neglects the very important role those taxes play in funding the services and infrastructure that actually do attract investment and jobs. Once written into law, these tax breaks are rarely if ever reviewed to see if they fulfilled their intentions,” stated a report released by the union coalition today.
“It’s unfortunate that they’re trotting out these old ideas that the General Assembly has continually turned thumbs down on,” said Mark Denzler, vice president and chief operating officer of the Illinois Manufacturers’ Association. He noted that virtually all corporate tax breaks the state offers could be eliminated, and it still would not solve the pension systems’ underfunding problem. “How much more do they have to pay? It comes down to, you can’t keep raising taxes on the few employers that are remaining here because you are going to run them out of state.” Denzler said the manufacturing sector has seen growth recently for the first time in years and that eliminating some of the tax breaks on the coalition’s list could imperil that progress. “Coming out of a recession, manufacturing has been one of the bright spots.”
He said manufacturing jobs and research-and-development jobs often pay well enough to keep a family firmly in the middle class, and many are held by members of private sector unions. “It’s interesting [this is] coming from the unions. Without good manufacturing companies, you lose a lot of union members. If you’re going to have big manufacturing companies and small manufacturing companies leave, you’re going to lose a lot of your private-sector union employees,” he said.
Denzler said business leaders are willing to discuss changes to the tax code as part of an overall conversation that would include other issues that contribute to their costs, such as the state’s worker’s compensation system. He said ideas such as expanding the state's sales tax base to some services while lowering the overall rate could be a good place to start negotiations about reworking Illinois' tax structure.
Union officials pitched a pension reform plan today that would ask state workers to pay more for their benefits.
Under a plan proposed by the We Are One Coalition, a group of unions that represent a variety of state workers including teachers, health care professionals and university employees, workers would contribute more in exchange for legislators making an “iron-clad guarantee” to make the required pension contribution each year. “Teachers and administrators and 80 percent of all state workers do not collect Social Security [benefits]. ... The workers have made their pension payments, from the 9.4 percent paid by teachers to the 12 percent paid by the police. The reason we are in this mess today is the persistent failure of elected leaders to budget and pay the systems year after year,” Illinois Education Association President Cinda Klickna said. Employees would contribute 2 percent more of their paychecks toward their retirement benefits. The portion of their incomes that employees pay now varies across the state’s five pension systems. The group says that increase would bring $350 million more into the systems annually.
Union officials said that no proposals considered so far meet the constitutional requirements that protect public employee retirement benefits. “Any proposal which fails to deal with the pension funding and does not pass constitutional muster is not real. It’s only prolonging the state’s fiscal woes,” said Joanna Webb-Gauvin, the legislative director for the American Federation of State, County and Municipal Employees Council 31.
The coalition is calling for a “pension summit” to negotiate an agreed-upon plan that Klickna said unions want to see passed during the new legislative session, which starts in January. Gov. Pat Quinn responded to the proposal: “We always want to look at everything. I think it’s useful to look at everybody’s ideas. We’ve been doing that, really, for more than a year. If there are some good concepts there, we can incorporate them. But I think this is not a time to delay or postpone.”
“We want an end to the gridlock as well,” said Toby Trimmer, director of political activity for the Illinois Federation of Teachers. ... We want to sit down at the table, but we want a seat at the table. We don’t want to be on a platter.”
Union representatives said Quinn’s public outreach efforts, which paint the situation as an option between cutting pension benefits or cutting education and human services, are unfair because they do not consider other areas of spending, such as tax breaks. The coalition is proposing the elimination of $2 billion in tax benefits for businesses. “Today, the state of Illinois has a massive pension problem, the root cause of which can be expressed in one single word: revenue. Past governors and legislators took money the state owed the pension systems and spent it elsewhere. Fixing the problem requires that the money that was diverted must be replaced,” Klickna said. The group did not have actuarial figures on the impact their proposal would have on the system, or whether it would eventually result in a fully funded system.
The unions' overall plan is similar to one they pitched last summer that was met with little to no attention from Quinn and lawmakers. However, a recent report from Moody’s Investor Services lends come credibility to the unions’ argument about the need for revenue. “Despite a diverse economy with above-average wealth, lackluster demographic and economic characteristics indicate that even with continued U.S. economic improvement, the state's existing tax structure will not provide enough revenue to address the rising cost of pension benefits and other state expenses,” the bond-rating agency stated. It changed the state’s fiscal outlook last week from stable to negative, in part because of inaction on the pension issue.
At an event in Cicero announcing grants for early childhood education today, Quinn again pitted retirement costs against school funding. “In order to have good education, including early childhood education, we have to reform our pension systems because in a few short years our state will actually be spending more money on pensions for former government employees than we spend on education for our children and our students,” he said. “I’m optimistic we can come up with a sound plan that meets all constitutional tests, that’s fair to the workers -- they’ll have a decent retirement -- that’s is also fair to the taxpayers and most of all the children of Illinois. We can’t let them down, and we must address pension reform right away.”
Many of the tax breaks on the group’s list perennially pop up as options for new revenue. Quinn himself recently pitched some of them as a way to supplement the state’s underfunded capital construction plan. “Too often, states agree to weaken their revenue systems based on vague corporate claims of ‘job-killing taxes’ or a state’s lack of ‘business-friendliness’ without any evidence of the actual tax burdens of companies. This overemphasis on lowering taxes ignores the relatively small role impact taxes have on states’ economic development climates and neglects the very important role those taxes play in funding the services and infrastructure that actually do attract investment and jobs. Once written into law, these tax breaks are rarely if ever reviewed to see if they fulfilled their intentions,” stated a report released by the union coalition today.
“It’s unfortunate that they’re trotting out these old ideas that the General Assembly has continually turned thumbs down on,” said Mark Denzler, vice president and chief operating officer of the Illinois Manufacturers’ Association. He noted that virtually all corporate tax breaks the state offers could be eliminated, and it still would not solve the pension systems’ underfunding problem. “How much more do they have to pay? It comes down to, you can’t keep raising taxes on the few employers that are remaining here because you are going to run them out of state.” Denzler said the manufacturing sector has seen growth recently for the first time in years and that eliminating some of the tax breaks on the coalition’s list could imperil that progress. “Coming out of a recession, manufacturing has been one of the bright spots.”
He said manufacturing jobs and research-and-development jobs often pay well enough to keep a family firmly in the middle class, and many are held by members of private sector unions. “It’s interesting [this is] coming from the unions. Without good manufacturing companies, you lose a lot of union members. If you’re going to have big manufacturing companies and small manufacturing companies leave, you’re going to lose a lot of your private-sector union employees,” he said.
Denzler said business leaders are willing to discuss changes to the tax code as part of an overall conversation that would include other issues that contribute to their costs, such as the state’s worker’s compensation system. He said ideas such as expanding the state's sales tax base to some services while lowering the overall rate could be a good place to start negotiations about reworking Illinois' tax structure.
Friday, December 14, 2012
State faces credit downgrade and underfunded capital plan
By Jamey Dunn
Illinois continues to struggle with fiscal challenges as another credit downgrade looms, and Gov. Pat Quinn reveals a funding shortfall in the state’s capital construction program.
Moody’s Investor services downgraded the state’s bond rating in January, making Illinois the lowest rated state in the country, according to the bond-rating agency. Yesterday, Moody’s issued a warning by changing the state’s credit outlook from stable to negative. The change is not a downgrade of the state’s rating, but such a move can often be a precursor to a downgrade. “This is kind of like the teacher having the parent discussion saying if the student doesn’t get it right, we’re going to have to give him this grade for the future. It’s like an intervention. If we don’t get it right, it’s going to go down,” said Illinois Treasurer Dan Rutherford.
The rating agency zeroed in on the state’s massively underfunded pension system and the lack of action from lawmakers to address the problem. “The negative outlook reflects our view that the state's pension funding pressures are likely to persist and perhaps worsen in the near term,” said the ratings report from Moody’s. “If the legislature in coming weeks or months enacts significant pension reforms, they are almost certain to be challenged, given the state's constitutional protection of retiree benefits. Political pressures, coupled with the threat of litigation, may mean that any reforms enacted have only a marginal effect on liabilities.” However, the agency also noted the state’s billions in unpaid bills and other budget woes. “The state's existing tax structure will not provide enough revenue to address the rising cost of pension benefits and other state expenses. In addition, the state's payment backlog remains high.”
Quinn’s administration is focusing on Moody’s scrutiny of the pensions system. “The problem is unless we reform our pensions system we will continue to have problems from the credit rating agencies downgrading our credit, and that’s not helpful for building jobs in Illinois. We want to build roads and repair roads, improve our bridges and take care of our rail systems. All of that is requiring us to issue bonds, and if our bond rating is declining that’s very bad for jobs,” Quinn told reporters in Chicago today. “So I think it’s important for the legislature to understand that until we address the pension reform challenge, we will continue to have problems with our bond rating.” He added, “If we repair the pension situation, we can have a stronger economy a better credit rating and a better future.”
Rutherford noted that lawmakers are interested in taking up a host of issues during the January lame-duck session—including same-sex marriage, gambling expansion and legislation to give immigrants, who are in the country illegally, access to driver’s licenses. But he said pension reform should take priority over all of those issues. “I understand all of those are important for certain constituencies, but for the future of the state of Illinois, there is absolutely nothing more important than [pensions reform.]”
Quinn also discussed proposals to bring in more revenue for the state’s capital construction plan, which he says is underfunded. One of the major funding sources for the plan, which passed in 2009, is video poker. Legalizing video poker took longer than expected and is just starting to roll out in bars and restaurants across the state. Several local governments also opted out of having legal video poker in their jurisdictions. For more on why revenues from video gaming fell short, see Illinois Issues April 2010.
Fox News Chicago reported that the governor has floated several revenue options via a memo to lawmakers to help close an estimated $250 million to $300 million gap. Quinn said today that some of the proposals on the memo come from his office and some come from legislators themselves. “There are some things I have talked about over many years of closing corporate loopholes and other loopholes that don’t produce economic growth or jobs. I think we ought to close loopholes and use that money to create jobs to help build more roads, repair our roads.” One proposal Quinn is backing is an idea he pitched in his budget proposal this year. He supports eliminating a specific tax exemption for oil companies that drill in the ocean and sit on the intercontinental shelf. There is a federal exclusion for such companies, and since Illinois’ tax code mirrors the federal code in most instances, there is a state exemption as well. At the time of his address, he estimated that eliminating such an exemption could bring in $75 million annually.
However, Quinn said he does not support increasing the tax on gas. “If we’re going to have safe roads, we’ve got to make sure we invest in in road construction and road repair and bridge repair. We’re not going to do that through a gas tax. I’m opposed to raising the gas tax.”
Illinois continues to struggle with fiscal challenges as another credit downgrade looms, and Gov. Pat Quinn reveals a funding shortfall in the state’s capital construction program.
Moody’s Investor services downgraded the state’s bond rating in January, making Illinois the lowest rated state in the country, according to the bond-rating agency. Yesterday, Moody’s issued a warning by changing the state’s credit outlook from stable to negative. The change is not a downgrade of the state’s rating, but such a move can often be a precursor to a downgrade. “This is kind of like the teacher having the parent discussion saying if the student doesn’t get it right, we’re going to have to give him this grade for the future. It’s like an intervention. If we don’t get it right, it’s going to go down,” said Illinois Treasurer Dan Rutherford.
The rating agency zeroed in on the state’s massively underfunded pension system and the lack of action from lawmakers to address the problem. “The negative outlook reflects our view that the state's pension funding pressures are likely to persist and perhaps worsen in the near term,” said the ratings report from Moody’s. “If the legislature in coming weeks or months enacts significant pension reforms, they are almost certain to be challenged, given the state's constitutional protection of retiree benefits. Political pressures, coupled with the threat of litigation, may mean that any reforms enacted have only a marginal effect on liabilities.” However, the agency also noted the state’s billions in unpaid bills and other budget woes. “The state's existing tax structure will not provide enough revenue to address the rising cost of pension benefits and other state expenses. In addition, the state's payment backlog remains high.”
Quinn’s administration is focusing on Moody’s scrutiny of the pensions system. “The problem is unless we reform our pensions system we will continue to have problems from the credit rating agencies downgrading our credit, and that’s not helpful for building jobs in Illinois. We want to build roads and repair roads, improve our bridges and take care of our rail systems. All of that is requiring us to issue bonds, and if our bond rating is declining that’s very bad for jobs,” Quinn told reporters in Chicago today. “So I think it’s important for the legislature to understand that until we address the pension reform challenge, we will continue to have problems with our bond rating.” He added, “If we repair the pension situation, we can have a stronger economy a better credit rating and a better future.”
Rutherford noted that lawmakers are interested in taking up a host of issues during the January lame-duck session—including same-sex marriage, gambling expansion and legislation to give immigrants, who are in the country illegally, access to driver’s licenses. But he said pension reform should take priority over all of those issues. “I understand all of those are important for certain constituencies, but for the future of the state of Illinois, there is absolutely nothing more important than [pensions reform.]”
Quinn also discussed proposals to bring in more revenue for the state’s capital construction plan, which he says is underfunded. One of the major funding sources for the plan, which passed in 2009, is video poker. Legalizing video poker took longer than expected and is just starting to roll out in bars and restaurants across the state. Several local governments also opted out of having legal video poker in their jurisdictions. For more on why revenues from video gaming fell short, see Illinois Issues April 2010.
Fox News Chicago reported that the governor has floated several revenue options via a memo to lawmakers to help close an estimated $250 million to $300 million gap. Quinn said today that some of the proposals on the memo come from his office and some come from legislators themselves. “There are some things I have talked about over many years of closing corporate loopholes and other loopholes that don’t produce economic growth or jobs. I think we ought to close loopholes and use that money to create jobs to help build more roads, repair our roads.” One proposal Quinn is backing is an idea he pitched in his budget proposal this year. He supports eliminating a specific tax exemption for oil companies that drill in the ocean and sit on the intercontinental shelf. There is a federal exclusion for such companies, and since Illinois’ tax code mirrors the federal code in most instances, there is a state exemption as well. At the time of his address, he estimated that eliminating such an exemption could bring in $75 million annually.
However, Quinn said he does not support increasing the tax on gas. “If we’re going to have safe roads, we’ve got to make sure we invest in in road construction and road repair and bridge repair. We’re not going to do that through a gas tax. I’m opposed to raising the gas tax.”
Wednesday, December 12, 2012
Quinn says public safety is his top priority for concealed carry law
By Jamey Dunn
Gov. Pat Quinn said any concealed carry bill in Illinois would have to contain safety restrictions to get his approval.
“The court did say for the reasons of public safety that reasonable limitations can be applied...and I think it’s important that we stress that. Public safety comes first,” Quinn told reporters in Chicago today.
After a federal court ordered the General Assembly yesterday to approve a concealed carry law within 180 days, supporters said they would not be as willing to compromise on a more restrictive bill. “We just wanted them to work with us in the past, and they never wanted to,” Rep. Brandon Phelps, a Harrisburg Democrat, said of those who did not back his concealed carry legislation. After Quinn stated publicly that he would veto the bill, Phelps’ bill legislation did not get enough votes to pass when it was called on the House last year. His proposal required training for a concealed carry permit and put limits on where guns would be allowed. But now that a court has signed off on concealed carry, Phelps and others say they will likely present a less restrictive plan. “You can’t argue with the courts,” he said.
Quinn did not get specific on what he wants to see in a bill, but he said public safety is his priority. “We’re going to take a look at everything: not only bills that have been introduced in Illinois, but the laws that exist in other states. We want to get the very best law that protects public safety. That’s where I’m coming from, and I’m going to insist on that, and,frankly, you don’t have a law until you have the governor’s signature.” Quinn said it is up to Attorney General Lisa Madigan to decide whether to appeal the ruling. “I’ll trust her judgment.”
The governor used the news of the ruling to again call for the ban of assault weapons and high-capacity ammunition clips in Illinois “We are not going to have people marching along Michigan Avenue or any other avenue in the state of Illinois with military style assault weapons, weapons that are designed to kill people,” Quinn said today. During the veto session, the legislature overturned a veto that Quinn used to tack such a ban onto another bill. After that vote, he said he planned to back such a proposal through the legislative process.
Quinn commented on another court ruling today. The Illinois Supreme Court yesterday lifted a court order that had been preventing the governor to move ahead on a plan to close several Illinois Department of Corrections facilities. “I’m happy the court ruled in our favor, and now we’ll carry out what the court told us.”
While the Senate voted to override Quinn’s vetoes of the money for the facilities, the House let the vetoes stand. Quinn used his veto pen to remove $19.4 million for the super-maximum security prison near Tamms and $21.2 million for the women’s prison in Dwight from the budget passed by lawmakers in the spring session. In addition to the prisons, he plans to close three transition centers meant to help inmates re-enter society. He also cut $8.9 million for a youth prison in Joliet and $6.6 million for a youth prison in Murphysboro. Quinn said without the money to fund them, the facilities cannot remain open. “We’ll follow the proper legal process in order to go through the court system, but the bottom line is last week the Illinois General Assembly did not override my veto, I vetoed money for these prisons and other facilities,” Quinn said today.
But the Quinn administration has not released a timeline for the closures and the American Federation of State, County and Municipal Employees Council 31 plans to continue its appeal, which is pending in a lower court. “AFSCME members are extremely disappointed in this ruling. The injunction is vital to upholding the union’s right to seek judicial review of an arbitrator’s findings on crucial health and safety concerns. Nonetheless, we intend to vigorously pursue that appeal. This ruling doesn’t change the fact that closing any prison will worsen severe overcrowding throughout the correctional system, making the remaining prisons more dangerous for employees, inmates and ultimately the public,” Anders Lindall, spokesman for AFSCME Council 31, said in a written statement.
Gov. Pat Quinn said any concealed carry bill in Illinois would have to contain safety restrictions to get his approval.
“The court did say for the reasons of public safety that reasonable limitations can be applied...and I think it’s important that we stress that. Public safety comes first,” Quinn told reporters in Chicago today.
After a federal court ordered the General Assembly yesterday to approve a concealed carry law within 180 days, supporters said they would not be as willing to compromise on a more restrictive bill. “We just wanted them to work with us in the past, and they never wanted to,” Rep. Brandon Phelps, a Harrisburg Democrat, said of those who did not back his concealed carry legislation. After Quinn stated publicly that he would veto the bill, Phelps’ bill legislation did not get enough votes to pass when it was called on the House last year. His proposal required training for a concealed carry permit and put limits on where guns would be allowed. But now that a court has signed off on concealed carry, Phelps and others say they will likely present a less restrictive plan. “You can’t argue with the courts,” he said.
Quinn did not get specific on what he wants to see in a bill, but he said public safety is his priority. “We’re going to take a look at everything: not only bills that have been introduced in Illinois, but the laws that exist in other states. We want to get the very best law that protects public safety. That’s where I’m coming from, and I’m going to insist on that, and,frankly, you don’t have a law until you have the governor’s signature.” Quinn said it is up to Attorney General Lisa Madigan to decide whether to appeal the ruling. “I’ll trust her judgment.”
The governor used the news of the ruling to again call for the ban of assault weapons and high-capacity ammunition clips in Illinois “We are not going to have people marching along Michigan Avenue or any other avenue in the state of Illinois with military style assault weapons, weapons that are designed to kill people,” Quinn said today. During the veto session, the legislature overturned a veto that Quinn used to tack such a ban onto another bill. After that vote, he said he planned to back such a proposal through the legislative process.
Quinn commented on another court ruling today. The Illinois Supreme Court yesterday lifted a court order that had been preventing the governor to move ahead on a plan to close several Illinois Department of Corrections facilities. “I’m happy the court ruled in our favor, and now we’ll carry out what the court told us.”
While the Senate voted to override Quinn’s vetoes of the money for the facilities, the House let the vetoes stand. Quinn used his veto pen to remove $19.4 million for the super-maximum security prison near Tamms and $21.2 million for the women’s prison in Dwight from the budget passed by lawmakers in the spring session. In addition to the prisons, he plans to close three transition centers meant to help inmates re-enter society. He also cut $8.9 million for a youth prison in Joliet and $6.6 million for a youth prison in Murphysboro. Quinn said without the money to fund them, the facilities cannot remain open. “We’ll follow the proper legal process in order to go through the court system, but the bottom line is last week the Illinois General Assembly did not override my veto, I vetoed money for these prisons and other facilities,” Quinn said today.
But the Quinn administration has not released a timeline for the closures and the American Federation of State, County and Municipal Employees Council 31 plans to continue its appeal, which is pending in a lower court. “AFSCME members are extremely disappointed in this ruling. The injunction is vital to upholding the union’s right to seek judicial review of an arbitrator’s findings on crucial health and safety concerns. Nonetheless, we intend to vigorously pursue that appeal. This ruling doesn’t change the fact that closing any prison will worsen severe overcrowding throughout the correctional system, making the remaining prisons more dangerous for employees, inmates and ultimately the public,” Anders Lindall, spokesman for AFSCME Council 31, said in a written statement.
Tuesday, December 11, 2012
Court clears the way for concealed carry in 2013
By Jamey Dunn
A federal court ordered the Illinois legislature to craft a law allowing the concealed carry of guns in the state.
Today’s ruling from the Seventh Circuit Court of Appeals said that Illinois failed to “justify the most restrictive gun law of any of the 50 states.” Illinois is the only state that does not allow for concealed carry of weapons by residents. However, as the ruling notes, some states, such as New York, have concealed carry laws that strictly regulate the granting of permits and places where guns are allowed. “Illinois has lots of options for protecting its people from being shot without having to eliminate all possibility of armed self-defense in public,” said the opinion. “There is no suggestion that some unique characteristic of criminal activity in Illinois justifies the state’s taking a different approach from the other 49 states. If the Illinois approach were demonstrably superior, one would expect at least one or two other states to have emulated it.”
The ruling called upon the General Assembly to approve a concealed carry law in 180 days. “It’s pretty much a mandate that Illinois has 180 days to pass a conceal carry bill for the state of Illinois,"’ said Rep. Brandon Phelps, a Harrisburg Democrat, who sponsored a concealed carry bill that failed in the House last year. Phelps said he warned those who did not support the bill that a court case could lead to a much less restrictive concealed carry option. “I said at the end of my speech [on the House floor] that everybody that voted ‘no’ on this is going to wish that we had this.”
House Bill 148 would not have allowed gun owners to carry firearms in certain restricted areas, such as schools and bars. Phelps said that bill will be scrapped and a new piece of legislation is currently being drafted. He said it would not be ready for the January lame duck session, but he hopes to introduce it to the new General Assembly in January or February of next year. Pro-gun groups and supporters of concealed carry said they will be less eager to compromise on such issues going forward.
The majority ruling said that Illinoisans have a constitutional right to carry a gun for protection, and that right extends to places outside the home. “Twenty-first century Illinois has no hostile Indians. But a Chicagoan is a good deal more likely to be attacked on a sidewalk in a rough neighborhood than in his apartment on the 35th floor of the Park Tower. A woman who is being stalked or has obtained a protective order against a violent ex-husband is more vulnerable to being attacked while walking to or from her home than when inside. She has a stronger self-defense claim to be allowed to carry a gun in public than the resident of a fancy apartment building (complete with doorman) has a claim to sleep with a loaded gun under her mattress,” Judge Richard Posner wrote.
But in the dissenting opinion, Judge Ann Williams writes that it is unclear that carrying a gun outside of the home for the purposes of self defense is a right protected by the Second Amendment and argues that the court should defer to the judgment of lawmakers when it comes to such a public safety issue. “Guns in public expose all nearby to risk, and the risk of accidental discharge or bad aim has lethal consequences. Allowing public carry of ready-to-use guns means that risk is borne by all in Illinois, including the vast majority of its citizens who choose not to have guns. The State of Illinois has a significant interest in maintaining the safety of its citizens and police officers,” Williams wrote. She concluded that the legislature “acted in its within it’s authority” when Phelp’s bill was voted down.
Attorney General Lisa Madigan said she has not made a decision on whether she will seek an appeal. The court gave 180 days before its decision will be returned to the lower court to be implemented. That time period allows our office to review what legal steps can be taken and enables the legislature to consider whether it wants to take action,” Maura Possley, a spokeswoman for Madigan, said in a written statement. For more on the battle over concealed carry in Illinois, see Illinois Issues March 2012.
A federal court ordered the Illinois legislature to craft a law allowing the concealed carry of guns in the state.
Today’s ruling from the Seventh Circuit Court of Appeals said that Illinois failed to “justify the most restrictive gun law of any of the 50 states.” Illinois is the only state that does not allow for concealed carry of weapons by residents. However, as the ruling notes, some states, such as New York, have concealed carry laws that strictly regulate the granting of permits and places where guns are allowed. “Illinois has lots of options for protecting its people from being shot without having to eliminate all possibility of armed self-defense in public,” said the opinion. “There is no suggestion that some unique characteristic of criminal activity in Illinois justifies the state’s taking a different approach from the other 49 states. If the Illinois approach were demonstrably superior, one would expect at least one or two other states to have emulated it.”
The ruling called upon the General Assembly to approve a concealed carry law in 180 days. “It’s pretty much a mandate that Illinois has 180 days to pass a conceal carry bill for the state of Illinois,"’ said Rep. Brandon Phelps, a Harrisburg Democrat, who sponsored a concealed carry bill that failed in the House last year. Phelps said he warned those who did not support the bill that a court case could lead to a much less restrictive concealed carry option. “I said at the end of my speech [on the House floor] that everybody that voted ‘no’ on this is going to wish that we had this.”
House Bill 148 would not have allowed gun owners to carry firearms in certain restricted areas, such as schools and bars. Phelps said that bill will be scrapped and a new piece of legislation is currently being drafted. He said it would not be ready for the January lame duck session, but he hopes to introduce it to the new General Assembly in January or February of next year. Pro-gun groups and supporters of concealed carry said they will be less eager to compromise on such issues going forward.
The majority ruling said that Illinoisans have a constitutional right to carry a gun for protection, and that right extends to places outside the home. “Twenty-first century Illinois has no hostile Indians. But a Chicagoan is a good deal more likely to be attacked on a sidewalk in a rough neighborhood than in his apartment on the 35th floor of the Park Tower. A woman who is being stalked or has obtained a protective order against a violent ex-husband is more vulnerable to being attacked while walking to or from her home than when inside. She has a stronger self-defense claim to be allowed to carry a gun in public than the resident of a fancy apartment building (complete with doorman) has a claim to sleep with a loaded gun under her mattress,” Judge Richard Posner wrote.
But in the dissenting opinion, Judge Ann Williams writes that it is unclear that carrying a gun outside of the home for the purposes of self defense is a right protected by the Second Amendment and argues that the court should defer to the judgment of lawmakers when it comes to such a public safety issue. “Guns in public expose all nearby to risk, and the risk of accidental discharge or bad aim has lethal consequences. Allowing public carry of ready-to-use guns means that risk is borne by all in Illinois, including the vast majority of its citizens who choose not to have guns. The State of Illinois has a significant interest in maintaining the safety of its citizens and police officers,” Williams wrote. She concluded that the legislature “acted in its within it’s authority” when Phelp’s bill was voted down.
Attorney General Lisa Madigan said she has not made a decision on whether she will seek an appeal. The court gave 180 days before its decision will be returned to the lower court to be implemented. That time period allows our office to review what legal steps can be taken and enables the legislature to consider whether it wants to take action,” Maura Possley, a spokeswoman for Madigan, said in a written statement. For more on the battle over concealed carry in Illinois, see Illinois Issues March 2012.
TRS officials: We need a year to prep for pension reform
By Jamey Dunn
Officials from the Teachers Retirement System of the state of Illinois say they would need a year to prepare for pensions reform.
David Urbanek, spokesman for TRS, said that the system would need time and additional staff to gear up an outreach campaign to help its members understand potential changes to their pension benefits. The TRS board is considering contingency plans for education efforts that would be needed if lawmakers pass pension reform in the coming months. “Several proposals are pending in the General Assembly that would greatly affect every one of our 366,000 members, and we need to be ready to help them with this important transition should it occur in the future,” said TRS Executive Director Dick Ingram said in a prepared statement. “We would need to enhance and expand our operations and procedures in several departments, especially Member Services, Employer Services and Information Technology.”
Urbanek said that TRS currently has 25 counselors and a call center to assist teachers and other employees in the system. He said TRS would especially have to step up efforts if those workers are faced with a choice between subsidized health care and Cost of Living Adjustments with compounding interest, a provision of one bill that lawmakers are considering. He said such a choice would be very complicated because there are several unknown factors, such as future health care costs and how to handle a situation where both spouses are teachers. “Some people have said ‘you can just put a calculator on the website, and they can figure it out.’ Well, no they can’t,” he said. He noted that the newest proposal includes a 401K-type plan for all newly hired teachers, “which in effect is a tier three [of benefits] and that requires different accounting procedures for those members.”
Urbanek said that if any pension reform legislation passes and is signed into law by Gov. Pat Quinn, “We will start in motion the communications effort to make sure our members understand what has been passed.” He said as the law faces the inevitable court challenge, TRS would “start flushing out the contingency plans to a greater extent.”
The plan could include hiring new employees, or contracting with an outside firm for extra help. He said Ingram has informed lawmakers that TRS would need a year to handle any major changes to the pensions system. “We would need a year to gear up for something,” Urbanek said. “We’re not just talking about something that you can get ready for in two weeks or two months.”
Officials from the Teachers Retirement System of the state of Illinois say they would need a year to prepare for pensions reform.
David Urbanek, spokesman for TRS, said that the system would need time and additional staff to gear up an outreach campaign to help its members understand potential changes to their pension benefits. The TRS board is considering contingency plans for education efforts that would be needed if lawmakers pass pension reform in the coming months. “Several proposals are pending in the General Assembly that would greatly affect every one of our 366,000 members, and we need to be ready to help them with this important transition should it occur in the future,” said TRS Executive Director Dick Ingram said in a prepared statement. “We would need to enhance and expand our operations and procedures in several departments, especially Member Services, Employer Services and Information Technology.”
Urbanek said that TRS currently has 25 counselors and a call center to assist teachers and other employees in the system. He said TRS would especially have to step up efforts if those workers are faced with a choice between subsidized health care and Cost of Living Adjustments with compounding interest, a provision of one bill that lawmakers are considering. He said such a choice would be very complicated because there are several unknown factors, such as future health care costs and how to handle a situation where both spouses are teachers. “Some people have said ‘you can just put a calculator on the website, and they can figure it out.’ Well, no they can’t,” he said. He noted that the newest proposal includes a 401K-type plan for all newly hired teachers, “which in effect is a tier three [of benefits] and that requires different accounting procedures for those members.”
Urbanek said that if any pension reform legislation passes and is signed into law by Gov. Pat Quinn, “We will start in motion the communications effort to make sure our members understand what has been passed.” He said as the law faces the inevitable court challenge, TRS would “start flushing out the contingency plans to a greater extent.”
The plan could include hiring new employees, or contracting with an outside firm for extra help. He said Ingram has informed lawmakers that TRS would need a year to handle any major changes to the pensions system. “We would need a year to gear up for something,” Urbanek said. “We’re not just talking about something that you can get ready for in two weeks or two months.”
Friday, December 07, 2012
Judge sides with state unions on pay increase
By Jamey Dunn
A judge has ruled that Gov. Pat Quinn must pay the contractual raises he denied to state employees, but the governor plans to appeal the decision.
Cook County Circuit Court Judge Richard Billik ordered Quinn to pay the raises that approximately 30, 000 state employees have been waiting for since July 2011.
"This ruling is a strong affirmation of the union's clear and simple position: Employees must be paid the wages they are owed, and a contract cannot be unilaterally discarded," Henry Bayer, executive director of the American Federation of State, County and Municipal Employees Council 31, said in a written statement.
Quinn said he could not give the raises because the General Assembly did not include the money in the budget. However, more than 1,700 employees at the Illinois Department of Revenue and the Criminal Justice Information Authority received the pay increase in August. Quinn’s administration said both agencies had enough funding to afford the pay increases because of smaller-than-expected personnel costs.
“The Illinois General Assembly did not appropriate money for raises in its Fiscal Year '12 budget. As the governor has said repeatedly, the state cannot pay money it does not have the appropriation authority to spend. We will immediately appeal this ruling,” said a statement from Quinn’s budget office.
But the union called on Quinn to let the ruling stand. "Gov. Quinn has wasted hundreds of thousands of taxpayer dollars with the goal of preventing middle-class public employees from being paid according to their contract and the law. We urge the governor to end his wasteful court battle and move forward to pay employees who have waited far too long,” Bayer said.
A judge has ruled that Gov. Pat Quinn must pay the contractual raises he denied to state employees, but the governor plans to appeal the decision.
Cook County Circuit Court Judge Richard Billik ordered Quinn to pay the raises that approximately 30, 000 state employees have been waiting for since July 2011.
"This ruling is a strong affirmation of the union's clear and simple position: Employees must be paid the wages they are owed, and a contract cannot be unilaterally discarded," Henry Bayer, executive director of the American Federation of State, County and Municipal Employees Council 31, said in a written statement.
Quinn said he could not give the raises because the General Assembly did not include the money in the budget. However, more than 1,700 employees at the Illinois Department of Revenue and the Criminal Justice Information Authority received the pay increase in August. Quinn’s administration said both agencies had enough funding to afford the pay increases because of smaller-than-expected personnel costs.
“The Illinois General Assembly did not appropriate money for raises in its Fiscal Year '12 budget. As the governor has said repeatedly, the state cannot pay money it does not have the appropriation authority to spend. We will immediately appeal this ruling,” said a statement from Quinn’s budget office.
But the union called on Quinn to let the ruling stand. "Gov. Quinn has wasted hundreds of thousands of taxpayer dollars with the goal of preventing middle-class public employees from being paid according to their contract and the law. We urge the governor to end his wasteful court battle and move forward to pay employees who have waited far too long,” Bayer said.
Wednesday, December 05, 2012
Quinn's budget cuts stand
By Jamey Dunn
During the Illinois General Assembly's fall session, the House did not take up Gov. Pat Quinn’s budget vetoes, which eliminated funding for several state facilities he plans to close.
Quinn cut a total of $57 million from the budget that lawmakers sent to him, and most of the money was funding for prisons and other Illinois Department of Corrections facilities that the governor says he intends to shutter as part of a cost-savings plan.
He vetoed $19.4 million for the super-maximum security prison near Tamms and $21.2 million for the women’s prison in Dwight. In addition to the prisons, he plans to close three transition centers meant to help inmates reenter society. He also cut $8.9 million for a youth prison in Joliet and $6.6 million for a youth prison in Murphysboro. The Senate voted to override the vetoes last week, but the House did not take a vote on the issue, which all involved said was largely symbolic. Even if the House had voted to reject Quinn’s changes, he would not have been bound to spend the money to keep the facilities open.
Still, downstate legislators in support of keeping the prisons open wanted a chance to argue their case on the House floor before the House ended its veto session today. “I had the best speech ever,” said Rep. Brandon Phelps, a Harrisburg Democrat. He said the closures would hurt areas of Illinois that are already economically depressed. “Tamms is a huge economic engine for that little area down there. It’s just going to be devastating for that area and for my district. The governor always says he is the jobs governor, but he is not proving it right now.” Phelps said that today was the last day to vote on the vetoes.
Quinn had been lobbying hard against an override in both chambers. “Today is a victory for the taxpayers of Illinois. The Illinois House of Representatives sent a strong message about their serious commitment to reducing spending the state cannot afford,” a written statement from Quinn’s office said.
Critics of Tamms say that the prison's high staffing numbers and low number of inmates wastes money. They claim that its policy of extreme isolation for prisoners, who often spend only an hour outside of their cells each day, equates to torture. The treatment of inmates at the prison has been condemned by a number of international human rights organizations, including Amnesty International. Those in favor of closing Tamms argue that it would help other woefully understaffed prisons reach required staffing levels because staff from the closed prisons would be transferred.
But those opposed say the closures will make the state’s already overcrowded prison system even more dangerous. The American Federation of State, County and Municipal Employees sued to keep the prisons open on the basis that the closures would put their employees in danger. So far, one arbitrator has sided with the union, saying the closure violates its contract, and one sided with Quinn, saying that the prisons could be closed safely. It is likely that a court will make the final call.
A spokesman for House Speaker Michael Madigan, Steve Brown, said Madigan did not call the bill because it would have been “at best, a symbolic kind of vote” and that the House was unlikely to reject the cuts because Republicans were not on board. House Minority Leader Tom Cross said yesterday that he would not support an override vote because he believes Quinn plans to shut down the institutions no matter what. “We have a fiscal problem in this state, and we have to recognize that someday, that we don’t have a lot of extra money.”
Quinn is pushing lawmakers to use some of the money from his vetoes to fund the Department of Children and Family Services, which took an almost $90 million hit under the budget crafted by the House. Brown said negotiations over that spending, as well as facility closures, continue. “There’s pretty wide-ranging negotiations going on over changes in the budget,” he said. “The give and take that will continue to go on is probably the most important thing in that area.”
During the Illinois General Assembly's fall session, the House did not take up Gov. Pat Quinn’s budget vetoes, which eliminated funding for several state facilities he plans to close.
Quinn cut a total of $57 million from the budget that lawmakers sent to him, and most of the money was funding for prisons and other Illinois Department of Corrections facilities that the governor says he intends to shutter as part of a cost-savings plan.
He vetoed $19.4 million for the super-maximum security prison near Tamms and $21.2 million for the women’s prison in Dwight. In addition to the prisons, he plans to close three transition centers meant to help inmates reenter society. He also cut $8.9 million for a youth prison in Joliet and $6.6 million for a youth prison in Murphysboro. The Senate voted to override the vetoes last week, but the House did not take a vote on the issue, which all involved said was largely symbolic. Even if the House had voted to reject Quinn’s changes, he would not have been bound to spend the money to keep the facilities open.
Still, downstate legislators in support of keeping the prisons open wanted a chance to argue their case on the House floor before the House ended its veto session today. “I had the best speech ever,” said Rep. Brandon Phelps, a Harrisburg Democrat. He said the closures would hurt areas of Illinois that are already economically depressed. “Tamms is a huge economic engine for that little area down there. It’s just going to be devastating for that area and for my district. The governor always says he is the jobs governor, but he is not proving it right now.” Phelps said that today was the last day to vote on the vetoes.
Quinn had been lobbying hard against an override in both chambers. “Today is a victory for the taxpayers of Illinois. The Illinois House of Representatives sent a strong message about their serious commitment to reducing spending the state cannot afford,” a written statement from Quinn’s office said.
Critics of Tamms say that the prison's high staffing numbers and low number of inmates wastes money. They claim that its policy of extreme isolation for prisoners, who often spend only an hour outside of their cells each day, equates to torture. The treatment of inmates at the prison has been condemned by a number of international human rights organizations, including Amnesty International. Those in favor of closing Tamms argue that it would help other woefully understaffed prisons reach required staffing levels because staff from the closed prisons would be transferred.
But those opposed say the closures will make the state’s already overcrowded prison system even more dangerous. The American Federation of State, County and Municipal Employees sued to keep the prisons open on the basis that the closures would put their employees in danger. So far, one arbitrator has sided with the union, saying the closure violates its contract, and one sided with Quinn, saying that the prisons could be closed safely. It is likely that a court will make the final call.
A spokesman for House Speaker Michael Madigan, Steve Brown, said Madigan did not call the bill because it would have been “at best, a symbolic kind of vote” and that the House was unlikely to reject the cuts because Republicans were not on board. House Minority Leader Tom Cross said yesterday that he would not support an override vote because he believes Quinn plans to shut down the institutions no matter what. “We have a fiscal problem in this state, and we have to recognize that someday, that we don’t have a lot of extra money.”
Quinn is pushing lawmakers to use some of the money from his vetoes to fund the Department of Children and Family Services, which took an almost $90 million hit under the budget crafted by the House. Brown said negotiations over that spending, as well as facility closures, continue. “There’s pretty wide-ranging negotiations going on over changes in the budget,” he said. “The give and take that will continue to go on is probably the most important thing in that area.”
House members propose new plan for state employee pensions
By Jamey Dunn
A group of Illinois House members are pitching a new pension reform plan, which they say they hope will move stalled negations forward.
“There is absolutely no question that the pension issue is the most serious public policy facing the state of Illinois. ... I think there is a frustration, a genuine frustration, on the part of many members of the legislature that there has not been meaningful negotiation, meaningful progress on this most serious issue,” said Rep. David Harris, who has signed on as a sponsor of House Bill 6258. Harris is joined by 20 other House members as sponsors, including one other Republican “I can tell you that there are others on my side of the aisle who feel very strongly that this bill moves us in the right direction,” said Harris, a Republican from Arlington Heights.
The measure would:
Unlike other proposals, the plan does not present employees with a choice of keeping one kind of employee benefit, such as retiree health insurance, or giving up some of the value of their pension benefit. Senate President John Cullerton has in the past said that such consideration must be given to employees for a proposal to pass constitutional muster. “The Senate president is encouraged that members are identifying ways to capture the local share of pension costs from local school districts. However, the larger proposal appears to impose unilateral pension reductions without offering voluntary acceptance by participants. We appreciate the efforts of [Northbrook Democratic Rep.] Elaine Nekritz and her colleagues, but we will take a closer look at the plan to see if it can be squared with the pension clause [of the state Constitution]," said a written statement from Cullerton's office.
Nekritz, who is spearheading the new push for reform, said the group reviewed several opinions on the constitutionality of the changes to the system. “I don’t think anyone can know in advance what the seven supreme court justices will do,” she said. “I think all of us would agree that without some changes, Illinois will be sent into fiscal oblivion, and we have to avoid that.” Backers of the new proposal said that such a choice is confusing to employees and creates uncertainty about how much a plan would save because it would be determined by which option employees picked.
The new plan includes a provision that sponsors say would ensure funding from the state. The pension systems would be able to sue if the state did not make its required contributions. “Right now, there’s no mechanism for anyone to say to the state, ‘You must make that payment,’” said Nekritz. “This would be a mechanism to allow the state pension systems to go into court and enforce that payment.”
The measure would call on school districts outside of Chicago, along with universities and community colleges, to pick up pension costs going forward, but would not require them to pay for the billions in current unfunded liability. The employers would pick up those costs at the rage of .5 percent of payroll per year. Biss, an Evanston Democrat, said of the phase in: “It’s very slow. ... The slowest of any proposal we’ve seen so far.” But Republican leaders do not seem to be warming to a cost shift, no matter how gradual. “I have met with the primary sponsors and welcome their effort to offer new ideas on moving comprehensive pension reform forward,” said Senate Minority Leader Christine Radogno. “As the supporters of this latest plan themselves indicated, we need a thorough actuarial analysis to determine if it could actually solve the problem. Illinois is desperate for pension reform – for the taxpayers and for those who are going to depend on a retirement check. But it has to be comprehensive and it has to work mathematically. And it cannot allow the state to set benefits but send the bill to downstate and suburban homeowners.”
House Minority Leader Tom Cross did say that he thought the measure is a good step in renewing negotiations. “There is a lot of merit to this proposal,” Cross said in a prepared statement. He said he was glad that the choice between COLAs or subsidized health care had been removed.
A coalition of unions commended the group of House members for moving the “pension conversation forward” but took issue with the specifics of the plan. “We were not consulted in the development of this plan, but our preliminary review suggests that there are significant problems with HB 6258 that need to be worked through. The pension debt was caused by the state's failure to make actuarially adequate pension contributions, not by public employees, but like its predecessors, this proposal essentially balances the pension debt on the backs of teachers, police officers, nurses, caregivers and other public servants, both active and retired. It is also unclear at this juncture whether this proposal is constitutionally or actuarially sound,” said a written statement from the We Are One Coalition. “We intend to thoroughly analyze this proposal's elements and provide a more comprehensive response in the coming weeks.”
Gov. Pat Quinn’s reaction to the bill was positive but vague. “As the governor has said, our focus is enacting comprehensive pension reform by January 9,” said a written statement from Quinn’s office. “As we continue negotiations and discussion on how to achieve comprehensive pension reform as soon as possible, this latest bipartisan proposal sponsored by Rep. Nekritz is a welcome contribution. We have been and will continue to work closely with the legislative leaders and members of the General Assembly until we get the job done on pension reform.”
Nekritz and Biss said their goal is to get legislation approved before the current legislative session ends on January 9, but Nekritz said if that deadline is not made, it does not mean the end of the push for pension reform. “We don’t fall off a cliff on January 9, so we would be able to continue this discussion through the spring session.” Both said they are open to tweaking the bill and hope to get feedback before the legislature is back in session in early January. They said that they think the new plan has momentum in the House because it has grown out of suggestions from rank-and-file legislators. “In order to produce the kind of comprehensive solution that has enough different ingredients to make it acceptable to a majority of the House, I think it makes sense for it to bubble up from the people who are going to have to vote for it,” Biss said.
A group of Illinois House members are pitching a new pension reform plan, which they say they hope will move stalled negations forward.
“There is absolutely no question that the pension issue is the most serious public policy facing the state of Illinois. ... I think there is a frustration, a genuine frustration, on the part of many members of the legislature that there has not been meaningful negotiation, meaningful progress on this most serious issue,” said Rep. David Harris, who has signed on as a sponsor of House Bill 6258. Harris is joined by 20 other House members as sponsors, including one other Republican “I can tell you that there are others on my side of the aisle who feel very strongly that this bill moves us in the right direction,” said Harris, a Republican from Arlington Heights.
The measure would:
- Allow cost of living adjustments on only the first $25,000 of a retiree’s pension, or on only $20,000 for those who receive Social Security benefits. COLAs would not kick in until a retiree turns 67 or five years after retirement, whichever comes first.
- Increase the retirement age for employees younger than age 46. Employees from age 40 to 45 would see a one-year increase, employees 35 to 39 would see a three-year increase and employees 34 and younger would see a five-year increase.
- Increase the employee contribution by two percentage points, which would be phased in over two years.
- Limit the amount of pensionable income to the Social Security wage base, which will be $113,700 in 2013, or the employee's current salary, whichever is greater.
- Create a hybrid 401K-type plan, also called a cash balance plan, for newly hired teachers and university and community college employees, with employer contributions and a guaranteed return on investment rate. Employees unhappy with so-called Tier 2 pension benefit could opt into this plan instead.
Unlike other proposals, the plan does not present employees with a choice of keeping one kind of employee benefit, such as retiree health insurance, or giving up some of the value of their pension benefit. Senate President John Cullerton has in the past said that such consideration must be given to employees for a proposal to pass constitutional muster. “The Senate president is encouraged that members are identifying ways to capture the local share of pension costs from local school districts. However, the larger proposal appears to impose unilateral pension reductions without offering voluntary acceptance by participants. We appreciate the efforts of [Northbrook Democratic Rep.] Elaine Nekritz and her colleagues, but we will take a closer look at the plan to see if it can be squared with the pension clause [of the state Constitution]," said a written statement from Cullerton's office.
Nekritz, who is spearheading the new push for reform, said the group reviewed several opinions on the constitutionality of the changes to the system. “I don’t think anyone can know in advance what the seven supreme court justices will do,” she said. “I think all of us would agree that without some changes, Illinois will be sent into fiscal oblivion, and we have to avoid that.” Backers of the new proposal said that such a choice is confusing to employees and creates uncertainty about how much a plan would save because it would be determined by which option employees picked.
The new plan includes a provision that sponsors say would ensure funding from the state. The pension systems would be able to sue if the state did not make its required contributions. “Right now, there’s no mechanism for anyone to say to the state, ‘You must make that payment,’” said Nekritz. “This would be a mechanism to allow the state pension systems to go into court and enforce that payment.”
The measure would call on school districts outside of Chicago, along with universities and community colleges, to pick up pension costs going forward, but would not require them to pay for the billions in current unfunded liability. The employers would pick up those costs at the rage of .5 percent of payroll per year. Biss, an Evanston Democrat, said of the phase in: “It’s very slow. ... The slowest of any proposal we’ve seen so far.” But Republican leaders do not seem to be warming to a cost shift, no matter how gradual. “I have met with the primary sponsors and welcome their effort to offer new ideas on moving comprehensive pension reform forward,” said Senate Minority Leader Christine Radogno. “As the supporters of this latest plan themselves indicated, we need a thorough actuarial analysis to determine if it could actually solve the problem. Illinois is desperate for pension reform – for the taxpayers and for those who are going to depend on a retirement check. But it has to be comprehensive and it has to work mathematically. And it cannot allow the state to set benefits but send the bill to downstate and suburban homeowners.”
House Minority Leader Tom Cross did say that he thought the measure is a good step in renewing negotiations. “There is a lot of merit to this proposal,” Cross said in a prepared statement. He said he was glad that the choice between COLAs or subsidized health care had been removed.
A coalition of unions commended the group of House members for moving the “pension conversation forward” but took issue with the specifics of the plan. “We were not consulted in the development of this plan, but our preliminary review suggests that there are significant problems with HB 6258 that need to be worked through. The pension debt was caused by the state's failure to make actuarially adequate pension contributions, not by public employees, but like its predecessors, this proposal essentially balances the pension debt on the backs of teachers, police officers, nurses, caregivers and other public servants, both active and retired. It is also unclear at this juncture whether this proposal is constitutionally or actuarially sound,” said a written statement from the We Are One Coalition. “We intend to thoroughly analyze this proposal's elements and provide a more comprehensive response in the coming weeks.”
Gov. Pat Quinn’s reaction to the bill was positive but vague. “As the governor has said, our focus is enacting comprehensive pension reform by January 9,” said a written statement from Quinn’s office. “As we continue negotiations and discussion on how to achieve comprehensive pension reform as soon as possible, this latest bipartisan proposal sponsored by Rep. Nekritz is a welcome contribution. We have been and will continue to work closely with the legislative leaders and members of the General Assembly until we get the job done on pension reform.”
Nekritz and Biss said their goal is to get legislation approved before the current legislative session ends on January 9, but Nekritz said if that deadline is not made, it does not mean the end of the push for pension reform. “We don’t fall off a cliff on January 9, so we would be able to continue this discussion through the spring session.” Both said they are open to tweaking the bill and hope to get feedback before the legislature is back in session in early January. They said that they think the new plan has momentum in the House because it has grown out of suggestions from rank-and-file legislators. “In order to produce the kind of comprehensive solution that has enough different ingredients to make it acceptable to a majority of the House, I think it makes sense for it to bubble up from the people who are going to have to vote for it,” Biss said.
Tuesday, December 04, 2012
Indicted lawmaker unlikely to face House reprimand in the near future
By Jamey Dunn
There seems to be little appetite in the Illinois House to take any disciplinary action against indicted Chicago Democratic Rep. La Shawn Ford.
Ford is accused of lying to the now-defunct ShoreBank, which was located in Chicago. A federal indictment alleges that Ford, a real estate developer, told the bank that a $500,000 line of credit was for his business but instead used the money on personal expenses, including mortgage payments, campaign costs and gambling debts. Ford, who says he is innocent, faces 17 criminal counts.
But unlike former Rep. Derrick Smith, who is accused of taking a bribe in exchange for helping a business get a state grant, it appears that the charges against Ford are not directly related to his duties as a lawmaker. That may make all the difference in terms of whether Ford will face disciplinary action in the House. “We’re going to digest that and not going to do anything at the moment,” House Minority Tom Cross said of Ford’s indictment. “We’re kind of curious to see what the Democrats are going to do at the moment. We’re evaluating it right now, and we’ll take a look at it. I think there’s a distinction between Ford and Smith in that Smith’s involved his office; we’re not sure Ford’s does.”
The House voted in August to remove Smith from office. However, Smith won the general election for his former seat and plans to return to the House in January when the new legislature is sworn in.
When asked what his thoughts were on the indictment and whether Ford should be disciplined, Steve Brown, spokesman for House Speaker Michael Madigan, said, “I have no thoughts.”
Ford said he plans to stay in his position in the House and declined to discuss the indictment today. “I’ve had a great day in the legislature today,” he said. But Ford did respond in a statement on his website shortly after the indictment was made public. “This has happened quickly; I became aware of this issue not long ago. I believe I am innocent of the charges brought against me today. An indictment is an accusation, not a conviction that the law was broken. I believe I did not break the law, and I look forward to the truth being told and justice being served. My family and I are grateful for all of the support we have received during this time.”
There seems to be little appetite in the Illinois House to take any disciplinary action against indicted Chicago Democratic Rep. La Shawn Ford.
Ford is accused of lying to the now-defunct ShoreBank, which was located in Chicago. A federal indictment alleges that Ford, a real estate developer, told the bank that a $500,000 line of credit was for his business but instead used the money on personal expenses, including mortgage payments, campaign costs and gambling debts. Ford, who says he is innocent, faces 17 criminal counts.
But unlike former Rep. Derrick Smith, who is accused of taking a bribe in exchange for helping a business get a state grant, it appears that the charges against Ford are not directly related to his duties as a lawmaker. That may make all the difference in terms of whether Ford will face disciplinary action in the House. “We’re going to digest that and not going to do anything at the moment,” House Minority Tom Cross said of Ford’s indictment. “We’re kind of curious to see what the Democrats are going to do at the moment. We’re evaluating it right now, and we’ll take a look at it. I think there’s a distinction between Ford and Smith in that Smith’s involved his office; we’re not sure Ford’s does.”
The House voted in August to remove Smith from office. However, Smith won the general election for his former seat and plans to return to the House in January when the new legislature is sworn in.
When asked what his thoughts were on the indictment and whether Ford should be disciplined, Steve Brown, spokesman for House Speaker Michael Madigan, said, “I have no thoughts.”
Ford said he plans to stay in his position in the House and declined to discuss the indictment today. “I’ve had a great day in the legislature today,” he said. But Ford did respond in a statement on his website shortly after the indictment was made public. “This has happened quickly; I became aware of this issue not long ago. I believe I am innocent of the charges brought against me today. An indictment is an accusation, not a conviction that the law was broken. I believe I did not break the law, and I look forward to the truth being told and justice being served. My family and I are grateful for all of the support we have received during this time.”
Senate approves driver's licenses for undocumented immigrants
By Jamey Dunn
The Illinois Senate approved a bill today to give driver’s licenses to immigrants who are in the country illegally, but the House may not vote on it until January.
Senate Bill 957 would give immigrants without documentation a chance to get three-year temporary Illinois driver's licenses, which are already available in Illinois to immigrants who lack a Social Security number but have proof that they are in the country legally. The measure passed today with bipartisan support. It received 41 “yes” votes and 14 votes in opposition. Supporters frame the issue as a public safety initiative. “It seems to me that we are better off having folks tested to make sure they know how to drive, make sure that they get driver’s education, make sure that they have vision so that they can see, make sure that they have insurance rather than having so many of them drive illegally because of necessity,” said Senate President John Cullerton.
“We believe that this is a good public safety issue that ensures that our roads are safe for everyone who drives on our roads,” said Lawrence Benito, chief operating officer of the Illinois Coalition for Immigrant and Refugee Rights.
Opponents said they have reservations about having to address an issue related to illegal immigration before Congress addresses immigration reform. “I am in favor of legal immigration but oppose illegal immigration. I also support efforts by the national government to finally and equitably solve the illegal immigration problem in America. However, we have the cart before the horse in the case of granting additional legal privileges to people already breaking our country’s law. The national government should act first, which then paves the way for this action,” said Aurora Republican Sen. Chris Lauzen.
But proponents argued that the state can no longer wait for Congress to act. “There’s no perfect solution. It needs to be dealt with federally. So I think this is a good example of states trying to figure out how to handle a problem that we have,” said Senate Minority Leader Christine Radogno.
“For me, this has been somewhat of a process of evolution, where a number of years ago I was not supportive of this bill. I think a lot of us felt like the federal government would be more aggressive and proactive on the issue of immigration, and clearly they have not,” said House Minority Leader Tom Cross.
The driver’s licenses would look different from a standard-issue Illinois license, and under the legislation, they could not be used as for identification or commercial driving. Failure to buy the liability insurance required by state law would make such a license invalid.
However, Lauzen said he had doubts about whether those getting the licenses would be concerned with the legal requirement for insurance. “And when folks say to us, 'It’s only one law, the immigration law, that’s being broken,' that is simply not accurate for tens of thousands of people who are also employed illegally, many of them driving to work, therefore breaking the traffic laws. Now we’re expected to believe that folks who are already breaking the immigration law, the employment law, the traffic laws, are now going to follow the insurance law,” he said.
But few from Lauzen’s party back his stance on the bill, which also has bipartisan support in the House. “This will, in my opinion, make our roads safer,” said Cross. Because of procedural requirements, a vote on the bill may not come until the lame-duck session scheduled for early January. Under the standard procedure for passing legislation, a bill must be read three times in each chamber on three separate days. Tomorrow is the second opportunity to read the bill in the House and also the chamber’s last day of scheduled veto session.
The Illinois Senate approved a bill today to give driver’s licenses to immigrants who are in the country illegally, but the House may not vote on it until January.
Senate Bill 957 would give immigrants without documentation a chance to get three-year temporary Illinois driver's licenses, which are already available in Illinois to immigrants who lack a Social Security number but have proof that they are in the country legally. The measure passed today with bipartisan support. It received 41 “yes” votes and 14 votes in opposition. Supporters frame the issue as a public safety initiative. “It seems to me that we are better off having folks tested to make sure they know how to drive, make sure that they get driver’s education, make sure that they have vision so that they can see, make sure that they have insurance rather than having so many of them drive illegally because of necessity,” said Senate President John Cullerton.
“We believe that this is a good public safety issue that ensures that our roads are safe for everyone who drives on our roads,” said Lawrence Benito, chief operating officer of the Illinois Coalition for Immigrant and Refugee Rights.
Opponents said they have reservations about having to address an issue related to illegal immigration before Congress addresses immigration reform. “I am in favor of legal immigration but oppose illegal immigration. I also support efforts by the national government to finally and equitably solve the illegal immigration problem in America. However, we have the cart before the horse in the case of granting additional legal privileges to people already breaking our country’s law. The national government should act first, which then paves the way for this action,” said Aurora Republican Sen. Chris Lauzen.
But proponents argued that the state can no longer wait for Congress to act. “There’s no perfect solution. It needs to be dealt with federally. So I think this is a good example of states trying to figure out how to handle a problem that we have,” said Senate Minority Leader Christine Radogno.
“For me, this has been somewhat of a process of evolution, where a number of years ago I was not supportive of this bill. I think a lot of us felt like the federal government would be more aggressive and proactive on the issue of immigration, and clearly they have not,” said House Minority Leader Tom Cross.
The driver’s licenses would look different from a standard-issue Illinois license, and under the legislation, they could not be used as for identification or commercial driving. Failure to buy the liability insurance required by state law would make such a license invalid.
However, Lauzen said he had doubts about whether those getting the licenses would be concerned with the legal requirement for insurance. “And when folks say to us, 'It’s only one law, the immigration law, that’s being broken,' that is simply not accurate for tens of thousands of people who are also employed illegally, many of them driving to work, therefore breaking the traffic laws. Now we’re expected to believe that folks who are already breaking the immigration law, the employment law, the traffic laws, are now going to follow the insurance law,” he said.
But few from Lauzen’s party back his stance on the bill, which also has bipartisan support in the House. “This will, in my opinion, make our roads safer,” said Cross. Because of procedural requirements, a vote on the bill may not come until the lame-duck session scheduled for early January. Under the standard procedure for passing legislation, a bill must be read three times in each chamber on three separate days. Tomorrow is the second opportunity to read the bill in the House and also the chamber’s last day of scheduled veto session.
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