Capital Q & A: Why your wallets aren't safe yet
SPRINGFIELD - Lawmakers left a rash of unanswered questions and unsolved problems at the Capitol over the weekend. The Daily Herald takes a quick look at some of those key issues, where they stand and the politics behind them.
Q: Higher income taxes were voted down, does that mean my wallet is safe?
A: For now, yes. How long "now" lasts is a good question. The new state budget year begins July 1 and even Republicans tacitly recognize that some kind of increase is likely. They just don't want to be part of it until the Democrats who run the state agree to some kind of sweeping reforms to how state government is run.
Q: What do Republicans want?
A: The two key issues are pensions and government-sponsored health care. On pensions the push is for a two-tiered system that would leave all current teachers, university and state workers alone because their benefits are constitutionally protected. But those hired under a new system would generally pay more and work longer for a smaller benefit. They'd still be guaranteed a retirement benefit which, as most people in the private sector know, is often better than relying on the stock market. On health care, the focus is more on using managed care to keep Medicaid costs down.
Q: Will these happen?
A: Even Democratic leaders acknowledge that the current pension system cannot sustain itself. A plan creating the two-tiered system cleared a House committee, ironically on the strength of Democratic votes and over Republican opposition. But the Democrats ran it through a committee filled with GOP members whose local communities are filled with pension-earning public-sector employees. Based on that vote, Democrats concluded there wasn't enough support among Republicans to get the plan approved through the full House. Health care is in a similar limbo for similar reasons.
Q: Didn't they already vote to raise some taxes?
A: Yes. The House and Senate approved raising alcohol taxes, vehicle fees and legalizing video gambling in order to finance a $29 billion construction-spending spree. But then the governor said he wouldn't sign it until a balanced budget (read: income tax increase) was also approved, so lawmakers decided not to send the construction deal to his desk. That leaves billions of dollars for roads, bridges and schools again in limbo.
Q: Is House Speaker Michael Madigan stalling all this to help his daughter?
A: He says "no." The Madigan-run House is where an income tax stalled. And the House pushed through a budget that would keep the state running only for six of the next 12 months. That could force Gov. Pat Quinn to beginning making unpopular cuts or renew his tax hike crusade in the midst of a Democratic primary campaign that could pit him against Attorney General Lisa Madigan. Yes, she's Speaker Madigan's daughter. "Lisa Madigan is going to do what she's going to do, and she'll do it on her own. Her record stands," Speaker Madigan told reporters. "And apparently, she doesn't need me."
Q: What's next?
A: July 1 is the key date. That's when a new budget is supposed to start. Gov. Quinn says he'd like to get Republicans onboard a budget plan and get everyone back to the Capitol for another vote before then.
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