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As income tax talks heat up, some suburban lawmakers remain cool to it

SPRINGFIELD — With tax-increase talk still percolating at the Capitol, many suburban lawmakers remain wary of asking Illinoisans who might be facing their own budget troubles to help solve the state's.

Last-minute, closed door talks continue over whether the state should raise the income tax rate a point or two in order to at least begin dealing with the state's budget deficit, which is among the most severe in the country.

The idea of raising taxes has been around the Illinois General Assembly for almost two years. But with lawmakers facing the ends of their terms by the middle of next week and several outgoing members not needing to worry about their next re-election campaigns, now might be the only time the plan is politically feasible.

Rep. Elaine Nekritz, a Northbrook Democrat who thinks an income tax is needed, said that as lawmakers try to find deep spending cuts, some minds could change in the coming days.

“There's a developing understanding that we truly have a crisis,” Nekritz said.

Still, some lawmakers remain strident in believing that an increase in the tax rate could cripple already-struggling businesses and hamper the state's economy.

Rep. Michael Tryon, a Crystal Lake Republican, said the key aspect people are missing in the income tax debate is how it will affect employers.

For that reason, Gov. Pat Quinn, an Illinois income tax hike's biggest cheerleader, still faces a tough road to find more revenue.

On the cuts side, senators of both parties Wednesday afternoon approved a major reform of Medicaid, the state program that provides for medical care for the poor. The plan would reduce who's eligible for care, as well as take steps to eliminate costly fraud.

Republicans who oppose raising taxes have pointed to Medicaid as a reform that was needed before they'd support the state collecting more taxes or taking out more loans to pay its bills.

Sen. Matt Murphy, a Palatine Republican, said he's glad that those kind of cuts are being discussed and approved, but still remains opposed to higher taxes.

“A tax increase with our jobs climate is going to put more people out of work and keep people out of work longer,” Murphy said. “If spending is your priority, then you raise taxes. If jobs are your number one priority, then you don't.”

And Republicans aren't the only ones opposing a tax hike.

Rep. Keith Farnham, an Elgin Democrat, has instead pushed a constitutional amendment that would cap state spending in the future.

“If we don't look at government itself and structurally change how government is being done now, all you're doing is filling the gas tank up and burning it,” Farnham said. “And then you can have an empty tank in a few years again.”

Others remain on the fence, and which side they land on in the coming days could eventually determine the fate of a proposed tax hike.

Rep. Mark Walker, an Arlington Heights Democrat who was defeated in the November election, said last week he'd at least consider the idea of a tax increase now that holiday spending suggested some economic good news.

And Sen. Michael Noland said he is willing to give a little to get what he has campaigned for since 2002 — property tax relief.

“Any bill that comes our way that envisions an income tax increase, for me to vote yes, it would also have to accompany some property tax relief,” Noland said.

Quinn and top lawmakers continue to negotiate and hash out those kind details behind closed doors in an effort to find support.

“Governor Quinn has been and will continue meeting with a number of lawmakers as they work to address the state's budget,” Annie Thompson said in a statement.