Suburban lawmakers offer little support for a tax increase

The votes of suburban lawmakers will undoubtedly have to be part of any solution to pull the state out of its financial disaster, but solid support for specific plans to increase taxes or decrease spending is hard to find.

Among West and Northwest suburban lawmakers there's not overwhelming support for Gov. Pat Quinn's proposed income tax hike.

The suburban lawmakers also are not necessarily in sync as far as finding enough specific spending cuts to deal with Illinois' $13 billion-plus deficit.

As lawmakers take a break for Thanksgiving and target the beginning of 2011 as the earliest probable time to discuss serious budget fixes, divergent opinions among them could be a recipe for more of the gridlock that has consumed the Illinois Capitol in recent years.

Leaving the Capitol Thursday afternoon, Quinn noted that he expects “a lot of good things to happen” when lawmakers return the week of Nov. 29.

Quinn is poised to push for his income tax increase again. His plans have been mostly held up in the Illinois House, where Democratic Speaker Michael Madigan wants to see Republicans support a tax increase before he calls it for a vote.

But after a tough election season where suburban Republicans largely campaigned as anti-tax candidates, support from them could be hard to find.

“We need a comprehensive and creative plan to solve the budget crisis without raising taxes,” said state Rep. Randy Ramey, a Carol Stream Republican. “We need for Illinois to live within its means and stop creating costly new programs without a revenue source.”

Despite Republican opposition, Quinn's fellow Democrats have majorities in both the House and Senate and could band together to approve a tax increase if they really wanted to.

But some suburban Democrats don't want to.

State Rep. Keith Farnham, an Elgin Democrat, for example, is among them. But Farnham said he's in support of forming a bipartisan committee that “finds places to agree on what to cut.”

Senate officials did just that last week, forming committees to study workers' compensation and Medicaid issues. Republicans have pointed to Medicaid, the federal- and state-funded health care program for the poor, as a place the state could possibly save billions.

“A sincere bipartisan effort is the only way we can make the fundamental changes necessary to get Illinois and the state budget back on the right track,” Senate Republican Leader Christine Radogno of Lemont said in announcing the committees.

It will be tough to find enough cuts to fill the whole budget gap, though.

For instance, the Illinois State Board of Education's entire budget for fiscal year 2011 is $7 billion. The department of corrections budget is $1.2 billion. So, for perspective, even eliminating all state funding for schools and closing down every state prison would still leave Illinois with a $5 billion deficit.

That's the logic used by suburban lawmakers who support an income tax increase. State Rep. Elaine Nekritz, a Northbrook Democrat, says that while the state has to cut back even on popular programs like education, it's “dishonest” to think Illinois' financial problems can be solved without more tax revenue.

“The budget hole is so big that we have to use every arrow in the quiver to solve the problem,” Nekritz said.

Other Democrats, such as state Sen. Michael Noland, say they could support more taxes, but only conditionally. The Elgin Democrat said he would not support an income tax increase unless his constituents can see lower property tax bills in return.

“Illinois is overreliant on property taxes,” Noland said. “From a fiscal standpoint, we must reform the state's general revenue structure.”

Before any taxes get raised, though, most lawmakers from both parties say they have to make the case that they've already worked hard on cutting back. Republicans say that includes a wide-sweeping audit.

“Then, the public will see whether or now we're doing a good job,” said state Sen. John Millner, a Carol Stream Republican.

That will take time, though, and anyone the state owes money is suffering now.

Some local schools and state universities are millions behind in their own budgets as they wait for state money. And local organizations that take care of the elderly or disabled have had to take out loans to continue operating as they wait for the state to come through.

Among the plans that may get a vote before any tax increase proposals is one state Sen. Terry Link, a Waukegan Democrat, is pushing to create five new casinos and allow for slot machines at Arlington Park. He says revenue from more wagering could mean $1 billion more a year for the state.

And for months, lawmakers have debated a controversial plan to borrow up to $4 billion to pay into state employee retirement funds.

Republicans say the state should stop borrowing. But Democrats say not putting cash in those retirement funds will cost the state much more long-term than the interest on billions of dollars in loans.

State Sen. Kirk Dillard, a Hinsdale Republican, said he doesn't support borrowing, but some of his colleagues eventually might.

“If Gov. Quinn and the Democrats show that they can seriously cut the budget and stop making new programs, there would be some Republicans who just might be able to provide some assistance,” he said.