News from the State House
Pritchard’s Perspective – June3, 2010
Observations and comments about state government by State Representative Robert W. Pritchard.
Thoughts About Memorial Day
Legislators Call it Quits
Another Lump Sum Budget
Bipartisan Effort for Better Government
Several Significant Bills Head to Governor
Enhanced Principal Training Approved
Pension Payment Decision Delayed
NIU, IVCC Forge Nursing Partnership
We set aside one day each year to remember the service and lives of our military soldiers. It’s a tradition that started on May 30, 1868, and still has an important message for us today. We honor and thank those who risked and gave their lives to defend freedom and our national interests.
But as President Lincoln said in the dedication of the Gettysburg cemetery, “It is for us, the living, rather to be dedicated here to the unfinished work which they have, thus far, so nobly carried on.” And in the poem In Flanders Field we hear the call from those now dead to pick up the torch of freedom they handed us. We must all defend freedom.
We all take responsibility for the actions of our government when we ignore what it is doing, when we don’t hold leaders accountable for their actions or when we fail to vote. The soldier can only fight to give us the rights of liberty; it is our task to exercise democracy. That is the message of Memorial Day for me.
Legislators Call it Quits
As I returned to Springfield last week, I couldn’t help but reflect on the number of House members who are voluntarily retiring this year. There are 14 members who are moving on to a new phase of their lives or are simply frustrated and tired of fighting the system.
I know that some may look at this as a positive step in getting rid of the old and will try to “retire” many more who helped take our state to its current fiscal and moral crisis. Knowing these legislators personally, I respect their hopes and dreams and cannot help but feel a sense of sadness for what Illinois is losing.
Many have fought long and hard for what is right and should be commended for their years of public service. The legislature will certainly miss their institutional knowledge and dedication to making Illinois a better place to live and work. I hope their replacements will come with renewed commitment to work in a bipartisan manner for real solutions and to represent their constituents in the important policy debates we face.
Another Lump Sum Budget
Rather than follow the constitutional mandate for the General Assembly to appropriate expenditures, the legislature for the second year in a row has given that responsibility to the Governor. SB 859 provides the same overall budget expenditures as last year with a five percent across the board cut to state agency operations. The budget ignores the nearly $6 billion in outstanding bills and how to pay for $3.7 billion in pension payments. No respectable accountant would call this a balanced budget.
The Governor was given extra-ordinary powers to “borrow” funds from designated accounts, set appropriations for agency programs including making cuts to state programs, and to allocate over $3 billion to reduce the budget cuts for certain programs. He failed to use his authority to make over $3 billion in cuts last year so I don’t look for him to use all of this newfound authority to balance the budget.
One of the budget bills calls for cuts to legislator travel and lodging reimbursements, to forgo any legislator cost of living adjustment and to take 12 unpaid furlough days, the same as managers in the Executive Branch.
Until the Governor makes his allocations, it’s hard to say how much is appropriated for agencies or specific programs. It appears that higher education institutions are funded at last year’s level but mandated categorical programs (special education) in elementary and secondary schools were cut $300 million.
SB 859 relies on $26.17 billion in revenue from normal state sources, up to $1.75 billion in borrowing using tobacco settlement payments to service the debt, and $1 billion in borrowing from dedicated funds. In addition there could be $250 million in receipts from the new tax amnesty program, and $4.1 billion in borrowing to make pension payments if the Senate approves the legislation.
One of the most troubling parts of the budget authority is allowing the Governor to use six months of FY2011 revenue to pay FY2010 outstanding payments. If you thought the current delay in making payments to state providers was bad, the Governor now has 18 months to pay bills.
Bipartisan Effort for Better Government
In a departure from the status quo, a group of mutinous Democrats joined Republicans this week in passing amendments to the Emergency Budget Act (SB3660). Several amendments, which included a number of Republican ideas, will require the Governor to prepare quarterly budget statements and present periodic budget addresses to the General Assembly.
The legislation will also direct appropriation committees to review individual line item expenditures for each agency, set program goals and evaluate program accomplishments. The amendment also requires agencies to review and possibly rebid sweetheart contracts for possible savings.
House Republicans tried unsuccessfully to bring 63 other ideas to the floor for discussion and a vote. These pieces of legislation would have curbed state spending, reformed Medicaid, created jobs and restored accountability to the budget process.
Several Significant Bills Head to Governor
Tax Amnesty—SB 377 took an idea I introduced in January to allow delinquent taxpayers to pay back taxes without penalty or interest. The amnesty covers taxes accumulated between June 30, 2002, and July 1, 2009. You have until November 8, 2010 to file for the amnesty.
SB 377 also allows for the state to sell certain uncollected debt to private collection agencies. Estimates place the income from the amnesty at approximately $250 million which will be applied to the FY2011 budget.
School Supply Sales Tax Reduction—The Senate passed SB 3658 as amended in the House to reduce the sales tax on school clothing and supplies from August 6 to August 15, 2010. SB 3658 was pushed by proponents as a way to save money for families with school age kids but it reduces state revenue by millions of dollars that could be used to fund schools programs.
Solar Energy Ramp Up–HB 6202 passed both chambers with its ramp up to production of solar energy by 2015. The bill will create about 5,000 more jobs by phasing in the mandated six percent solar energy production before 2015. Current law already has a cost cap to protect ratepayers so HB 6202 will not raise rates for consumers.
Enhanced Principal Training Approved
A task force several years ago found that principal leadership was second only to teacher effectiveness among school-related factors that impact student performance. Teachers cite lack of administrative leadership and support as the single biggest factor in leaving a school or the teaching profession.
Armed with that information, several groups have been working on a new principal preparation program for over a year. SB 226, which passed both chambers, sets forth new provisions for principal preparation programs and requires all principal training programs to be reaccredited.
This legislation commits all Illinois principal preparation programs to demonstrate improved quality, increased selectivity and closer partnerships with schools. Such programs have been turning out 2,500 general administrators each year when there were only about 400 new principals needed.
To gain accreditation as a principal after July 1, 2014, individuals must have at least 4 years of teaching experience, undergo more clinical experience to focus on the business and academic parts of principal leadership and obtain a masters degree.
Pension Payment Decision Delayed
Last week the House voted to borrow $4.1 billion to pay Illinois’ retirement systems but the Senate failed to pass the authorization knowing that there is no viable plan to repay the loan. As a result, the Senate will have to vote again, allow pension payments to be made from General Revenue Funds (GRF) or pass a new bill to defer pension payments until January.
There are no simple solutions. Borrowing the funds to make the required pension payments would add about $1 billion per year to state expenses while missing the payment would add over $20 billion to future pension obligations. Current GRF spending would have to be cut $4 billion to make the pension payment.
I certainly support making our pension payment on time and in full as state law requires, but ignoring the pleas of Illinois taxpayers for fiscal accountability is simply unacceptable. Citizens have demanded we cut waste and fraud from state government and create jobs, not continue to add to our children and grandchildren’s debt.
NIU, Illinois Valley Community College Forge Nursing Partnership
Northern Illinois University and Illinois Valley Community College, Oglesby, will begin in the fall of 2011 to offer a bachelor’s degree completion program for registered nurses who live and work nearby. Faculty from NIU’s School of Nursing and Health Studies will travel to Illinois Valley to teach the introductory course and the capstone course while the rest of the classes will take place online.
Students will complete a total of nine courses (24 credit hours) with NIU and can fulfill other degree requirements at IVCC or any other community college. The online NIU courses can enroll an unlimited number of nurses interested in helping advance their careers – and their patients.
Bob
District Office 815-748-3494 or E-Mail to bob@pritchardstaterep.com
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