Below is from: http://www.rrstar.com/article/20150413/NEWS/150419736/10458/OPINION
Tuesday, April 14, 2015
Monday, April 13, 2015
Rob Funderburg appointed to lead Illinois Finance Authority - News - Rockford Register Star - Rockford, IL
By Kevin Haas
Rockford Register StarPosted Apr. 13, 2015 at 6:58 PM
ROCKFORD — Gov. Bruce Rauner appointed Alpine Bank Chairman Rob Funderburg to lead the Illinois Finance Authority.The appointment was announced Monday in a news release from the governor's office that says Funderburg's background in business and as an entrepreneur make him supremely qualified for the job.Funderburg of Belvidere is the chairman of board for Alpine Bank and Trust and Alpine Bancorporation, Inc. He is also president and treasurer of both Funderburg Farms, Inc. and K-B Farms, Inc. The third-generation banker and philanthropist volunteers with numerous community organizations including the YMCA of Rock River Valley, the Rockford Art Museum, Keith Country Day School, the Belvidere Community School District Foundation for Excellence in Education, Rockford Symphony Orchestra Foundation, and the Rockford Park District Foundation. He was named Citizen of the Year by the Rockford Chamber of Commerce in 2009.The Illinois Finance Authority provides low-cost capital to public and private organizations in hope of fostering economic development, creating and retaining jobs, and improving quality of life for Illinois residents.
Groups warn of Illinois gas tax increase : Politics
April 11, 2015 7:55 pm • Jordan Maddox Lee Springfield Bureau
SPRINGFIELD | A potential boost in Illinois' gas tax could help repair Illinois roadways, but organizations affected by such an increase say that is not the answer.
Bill Fleischli, executive vice president of the Illinois Petroleum Marketers Association and the Illinois Association of Convenience Stores, said an increase in motor fuel taxes is not needed and it will hinder Illinois business.
“Though gas prices have been on the decline the past few months, there’s no guarantee the low prices are here to stay,” he told reporters at a news conference Thursday. “Illinois citizens and businesses pay enough on motor fuel to fund (a) more than adequate road construction program.”
Illinois’s motor fuel tax is 19 cents per gallon on top of the federal rate of 18.4 cents. The state also charges a 6.25 percent sales tax on gas.
A coalition of business and labor groups earlier this year floated a plan that could reduce the sales tax on gas, while increasing the motor fuel tax as a way to pay for road and bridge construction projects. Gov. Bruce Rauner says he wants to jump-start a statewide construction program, but has not outlined a specific way to pay for the projects.
Fleischli said the sales tax on fuel goes to the general fund of the budget and some of the motor fuel tax is handed to agencies. So the money generated by a higher tax may not be guaranteed for road construction anyway.
The road fund did have a large surplus until last month when the General Assembly took $250 million to help pay for the $1.6 billion deficit in this year’s budget.
“Taxpayers currently have no assurance that the dollars are actually going to roads,” said Andrew Nelms, deputy director of Americans for Prosperity, an anti-tax advocacy group.
Curt Adams, president of Ayerco, which operates 24 convenience stores throughout central Illinois, said increasing the tax could push residents near the state border to head into other, lower-tax states.
Fleischli said roads should be repaired and there is already enough money to do so.
A Rauner spokeswoman did not offer a timeline for when the governor might outline his plans for a construction program.
"Updating and improving the state's infrastructure is one of Governor Rauner's priorities. He looks forward to working with the Legislature to make those investments for the future of Illinois,” said spokeswoman Catherine Kelly.
Sunday, April 12, 2015
News and Investigations Mike Madigan's Folly? Don't Be So Sure
Illinois’ controversial "millionaires’ tax," one of Democratic House Speaker Michael J. Madigan’s top revenue-generating ideas and legislative causes, is alive and kicking even as it stirs continuing resistance from opposing lawmakers, Gov. Bruce Rauner and business interests, a BGA Rescuing Illinois report finds.
In an attempt to blunt Gov. Rauner’s budget ax, Madigan is pushing for Illinois to join a growing list of other states that have recently sanctioned variations of the "millionaires’ tax." Basically, Madigan’s plan calls for charging a 3 percent surcharge on annual income over $1 million.
California, New Jersey, Oregon, Hawaii, Maryland, Vermont and New York have each created income tax brackets that compel the wealthy to pay a greater percentage of their riches to the state.
In 2014, Illinois had an estimated 265,000 millionaires, reports Phoenix Global Wealth Monitor, a market research firm. If Illinois passes the millionaires’ tax it could mean up to at least $1 billion annually in added revenue, according to Madigan’s estimate.
Gov. Rauner, who made millions as a private equity investor before being elected, has shot down the idea of generating more revenue by raising taxes and spoke out against the Madigan tax while campaigning for governor in 2014. Instead, Rauner’s 2016 Illinois budget philosophy centers on reducing costs by pulling back on state services while also trimming the overall size of the government.
Illinois is in the clutches of a mammoth budget crisis with an estimated $6 billion deficit and over $110 billion in unfunded pension liabilities.
"The governor has said that he feels that he can eliminate the deficits just by cutting state services. I disagree," said Madigan, (D-Chicago), during a press conference after the governor’s annual budget address in February.
TAX HISTORY
Last year, Madigan proposed—but failed to gain support — for the same millionaires’ tax.
Yet there appears to be populist support for Madigan’s plan.
While voters in November sent fiscally conservative Republican Rauner to the governor’s office with about 51 percent of the vote, even more — roughly 63 percent — said they like the idea of taxing the rich when asked about that possibility in a statewide advisory referendum.
Moreover, an estimated 75 percent of 1,000 registered voters statewide said they’d back a 3 percent millionaires’ tax, according to a recent poll conducted by the Paul Simon Public Policy Institute at Southern Illinois University.
Now, Madigan has resurrected his pet proposal, which also comes after the state’s income tax rate in January dropped to 3.75 percent, following a temporary increase to 5 percent in 2011.
Some Republicans contend Madigan is posturing and isn’t serious about pursuing the tax this session. But Steve Brown, Madigan’s spokesman, said passing the millionaires’ tax is a top priority this legislative session, which ends in late May. However, the Democratic House Speaker does not have a set timetable, he added.
"We’re letting the result of the [advisory] referendum sink in. People are a little shell shocked about the budget," said Brown.
Madigan has introduced the tax as a House Joint Resolution Constitutional Amendment. Such resolutions require adoption by both the Senate and the House, at which point it's then put on the ballot for voters to accept or reject in a binding resolution that allows the tax rate change under the state constitution. House rules also require such resolutions be approved by 71 votes, a threshold that will likely require "aye" votes from several Republicans.
Madigan has acknowledged the challenge of gaining support in the House, despite presiding over a Democratic super-majority and having what appears to be adequate support for the measure in the Senate, where Democrats also have a majority."The answer . . . lies among Republicans from central and southern Illinois who represent areas that would profit greatly from the imposition of the surcharge," Madigan said at the recent press conference.
Rep. Jack Franks
(D-Marengo)Rep. Jack Franks, (D-Marengo), who’s among those denying Madigan support needed to pass the measure with Democrats alone, said that time was ultimately on Madigan’s side.
"There’s no rush," said Franks, who contends the proposed tax is "bad public policy" that will chase wealthy people from Illinois and hurt its economy.
Brown wouldn’t say if any House Republicans were on board with the proposal yet, but suggested they should fall in line with "the vote of their constituents."
"It was never intended to be an all Democratic proposal to begin with," he added.
OTHER STATES TAX BIG INCOMESReviled by fiscal conservatives who contend a millionaire’s tax will damage corporate job-generation and incite the rich to flee for low-tax states, the measure has nonetheless proven to be a way to raise revenue in a handful of states, the BGA Rescuing Illinois examination found.
Some examples:
- California: Golden State millionaires pay an income tax rate of 13.3 percent. California has a progressive tax scale with nine brackets. The very lowest rate for those earning up to $7,749 is 1.0 percent while the second-highest tax rate (beneath millionaires bracket) is 12.3 percent.
- Oregon: When faced with massive budget cuts, voters in Oregon, which does not have a state sales tax, approved a temporary 11 percent tax rate on incomes above $250,000. That rate ended in 2011, but Oregon still taxes incomes above $125,000 at a rate of 9.9 percent. Those beneath $125,000 pay at a 9.0 percent rate.
- New Jersey: Anyone making over $500,000 a year has paid a nine percent income tax since 2004. In 2009, the state also imposed a temporary one-year tax on top of that, boosting the top tax rate to 10.75 percent on incomes above $1 million. New Jersey also uses a sliding scale of six brackets for taxing at various income levels.
A 2011 study co-authored by two sociologists from Stanford and Princeton University, published in the National Tax Journal, found a small and statistically insignificant number of millionaires left New Jersey after taxes on the rich increased.
"I’m sure we lose a few here and there and some may have left because of taxes," said Jon Whiten, deputy director for the New Jersey Policy Perspective, a nonpartisan research group. "But even if wealthy individuals are leaving, the state . . . continues to generate new ones. So it really hasn’t affected the state."
In Maryland, state political leaders allowed a temporary 6.25 percent tax rate on millionaires to expire in 2011 after a drop in the number of millionaires filing state tax returns. Maryland still taxes those making more than $250,000 at a rate of 5.75 percent compared to the 4.75 percent rate charged to those making less.
Any decision to leave a state involves more than just taxes, even when it comes to millionaires, says Jason S. Seligman, an economist and tax expert with the John Glenn School of Public Affairs at the Ohio State University.
Urban centers with the cultural and economic appeal of Chicago, which Seligman referred to as "a rare and precious city", tend to hold on to the well-heeled, even if they resent paying more.
"I am not being smug or smarmy. The question is begged: where would they go?" said Seligman when asked about the potential of a millionaires’ tax in Illinois. "They would have to look for states under 6.75 percent and they would pay big costs moving there."
WHAT IF TAX PASSES?
Madigan says revenue raised by the tax would go toward funding K-12 education, boosting by $550 the state’s per-pupil allocation — currently pegged at $5,782 under Rauner’s budget proposal. Money would be distributed directly to local school districts beginning in January 2017.
No sooner had Madigan announced a renewed push for this tax, a powerful coalition of union leaders and schools advocates announced their support.
Robin Steans, Executive Director of Advance Illinois
"Money alone will not improve education or close achievement gaps, however, money matters," Steans said."This proposal is an important first step toward restoring the millions that have been cut from K-12 education in recent years," said Robin Steans, executive director of Advance Illinois, a business-backed education reform group, who said the measure is "not a complete solution" but amounts to progress toward solving "education funding concerns."
POLITICAL OPPOSITION
Critics argue that the imposition of a millionaires’ tax could lead to a drop in overall revenue because the wealthy will take their money to lower-tax states such as Florida, Indiana or Texas.
The Illinois Policy Institute (IPI), a Chicago-based nonprofit research group that advocates for free market-based legislation, castigates the tax as an unwanted drag on the state economy, especially small business owners, who tend to create entry-level and local community-based jobs.
"A millionaire’s tax won't solve Illinois' budget problems and neither will any other tax hike proposals. Illinois has record revenues, and yet lawmakers cannot balance the budget. Why is that? Spending is out of control and much-needed reforms are long overdue," said Kristina Rasmussen, executive vice president of IPI.
"Many of the so-called 'millionaires' who would pay higher taxes actually are small business owners who are creating jobs in Illinois – jobs this state desperately needs," she added.
Some Republicans doubt Madigan is serious about pursuing the tax plan. Instead, they speculate he may have proposed the tax with an eye toward using it as a bargaining chip when budget negotiations with Rauner heat up later this session.
A spokesman for Rauner did not respond to requests for comment.
Jim Durkin
Republican House Minority LeaderJim Durkin, Republican House Minority Leader, blasted the Speaker’s proposal.
In a statement, Durkin, (R- Western Springs), suggested it would "drive high wage earners out of the state" and have "an adverse impact upon small business owners."
"When we have high unemployment, billions of dollars in unpaid bills, and unbalanced budgets, is this the way to put Illinois back on track?" Durkin asked.
Brian Slodysko is a BGA freelance contributor. BGA policy analyst/researcher Alex Gilewicz and Robert Reed, director of programming, contributed to this article.
Michael Madigan image courtesy of Chicago Sun-Times.
Robin Steans image courtesy of Advance Illinois website.
News and Investigations Mike Madigan's Folly? Don't Be So Sure
Pope’s forthcoming message on climate change likely will have huge impact - Blogs - Rockford Register Star
you may already know, Pope Francis is expected to issue an encyclical this summer on environmental issues and climate change.
It’s no exaggeration to suggest that there’s not another person on Earth who can wield greater influence on the debate over these matters, especially here in America.
Consider THESE FACTORS, for instance:The pope… can reach segments that the three primary messengers on climate change – environmentalists, Democratic politicians and scientists – cannot.
First, the pope can reach the world’s 1.2 billion Roman Catholics with an unmatched power to convince and motivate. Religion, unlike any other institutional force in society, has the power to directly influence our values and beliefs.
Government regulations can influence behavior, but often without changing underlying values and motivations. But by connecting climate change to spiritual and religious values, and introducing notions of sin, people will have new and more powerful motivations to act. The pope can make the issue as personal as Sunday School. Once the pope’s message is out, Catholics will hear that message reinforced in homilies in their home parish…
But the pope’s reach extends far beyond his Catholic followers. A survey by the Pew Research Center found that the pope is extremely popular with both Catholics and non-Catholics. Americans are particularly fond of Pope Francis, with more than three-quarters (78%) giving him positive marks. In Europe, Catholics and non-Catholics view the pope with very similar acclaim.
His message will undoubtedly reach beyond the Catholics of the world, and has the potential to draw attention to the ongoing efforts of leaders in other denominations, including Ecumenical Patriarch Bartholomew I of the Orthodox Church, nicknamed the “Green Patriarch”). With the pope taking a stand on climate change, it could compel other religious leaders to make more public calls for action.
Saturday, April 11, 2015
Tornado ruins 30 homes in Rochelle; 2 dead in Fairdale - News - Rockford Register Star - Rockford, IL
By Ben Stanley
Rockford Register StarPosted Apr. 10, 2015 at 7:00 AM
Updated Apr 10, 2015 at 5:34 PMSUNNY STRADER/RRSTAR.COM | Rubble photographed Friday, April 10, 2015, at Grubsteakers restaurant in Rochelle, which was damaged by a tornado the previous night.
By Ben Stanley
Rockford Register StarPosted Apr. 10, 2015 at 7:00 AM
Updated Apr 10, 2015 at 5:34 PM
Zoom
SUNNY STRADER/RRSTAR.COM | Rubble photographed Friday, April 10, 2015, at Grubsteakers restaurant in Rochelle, which was damaged by a tornado the previous night.
By Ben Stanley
Rockford Register StarPosted Apr. 10, 2015 at 7:00 AM
Updated Apr 10, 2015 at 5:34 PMROCHELLE — Dawn broke over twisted strips of aluminum, loose bricks and shards of wood Friday, hours after entire neighborhoods were obliterated by what National Weather Service representatives are calling an EF-4 tornado.EF-4, used to describe tornadoes with wind speeds reaching 166 to 200 mph, is the second-most-powerful category.The tornado ripped through multiple northern Illinois counties Thursday.About 30 houses were destroyed or rendered uninhabitable, Ogle County Sheriff Brian VanVickle said at a news conference Friday.Two people were killed in nearby Fairdale: neighbors Geraldine Schultz, 67, and Jacklyn Klosa, 69. Schultz was killed during the storm and found in her home. Klosa’s body was recovered Friday morning.Officials said 20 people were admitted to the hospital Thursday and six stayed overnight; one is in serious condition.VanVickle, whose residence was destroyed, said there are no warning sirens in Fairdale or in the most heavily affected parts of Ogle County in and around Rochelle.“We didn’t hear any sirens,” said Dave Schabacker, who hid with his wife in a crawl space while the tornado ripped through their home near Kings, just north of Rochelle.“Our phones went off about 10 minutes, 12 minutes before (and) said there was a tornado.”Schabacker said dirt was blowing all around them. “We saw the thing coming. We got our shoes on … and we crawled in the crawl space and just rode her out.”Schabacker, his wife and members of their extended family sifted through the rubble of the house where the couple lived for 30 years, searching for salvageable clothing and valuables.“What do you do?” he said.Gov. Bruce Rauner visited Rochelle to survey the damage and visit with families.“We’ve obviously suffered a great tragedy here,” he said, declaring DeKalb and Ogle counties as state disaster areas.About 200 yards east of the Schabackers’ leveled house, T.B. Carmichael assessed the damage to his family’s farm. An equipment shed had been severely damaged, but his parents' home, where he grew up, was unharmed.“Everybody’s good, the house is good,” Carmichael said, turning to the shed. “All this stuff can be replaced.”
Read the entire article by clicking on the following: Tornado ruins 30 homes in Rochelle; 2 dead in Fairdale - News - Rockford Register Star - Rockford, IL
Online Petition Seeks to Replace Gov as SIUC Keynote | WSIU
A SIU Carbondale student has started a petition drive to remove Governor Bruce Rauner as one of the keynote speakers for the university's graduation ceremony next month.
petition originated on change.org to remove Gov. Rauner as a keynote speaker at SIUC's spring commencement.
Credit change.org
The petition created on 'change.org' is circulating through social media. SIUC student Emily Neal created the petition. As of Friday afternoon more than 700 people had signed the petition - including a number of SIU students, faculty, and alumni. One individual signing the petition said it's "not fair to the graduates whose accomplishments are being celebrated." Another expressed similar frustration saying that having Governor Rauner speak at graduation is a "slap in the face to the student body."
SIU-Carbondale spokesperson Rae Goldsmith say the university realized some people would oppose Rauner's commencement visit, but she says it's always an honor to have the sitting governor speak at graduation. Goldsmith says SIU President Randy Dunn extended the invitation to the Governor in January before Rauner announced his proposed budget cuts for higher education. She says that makes the Governor's visit even more important to show him the positive and powerful outcome of the state's investment in higher education.
Goldsmith says the university hopes those opposing Rauner's appearance will be respectful of the ceremony and not cause any disruptions. She says SIU-C will prepare for any possible unrest. Governor Rauner is scheduled to speak on May 16th at the 1:30 p.m. commencement ceremony for students in the College of Business and the College of Education and Human Services.
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