Construction costs a political hang-up

SPRINGFIELD -- Around the Capitol, the perception is that "everyone" wants new roads, bridges and schools. The problem is no one can agree on how to pay for them.

There are political negatives attached to every funding idea, further complicated by looming elections. To date, no dominant idea has emerged. Here's a rundown of funding sources that have been mentioned or used in the past.

Gambling expansion: Various proposals would add casinos in Chicago, Waukegan and the South suburbs, expand existing casinos and add slot machines at horse tracks. However, last week, Senate President Emil Jones Jr., a Chicago Democrat and ardent gambling supporter, suggested gambling expansion was hopelessly stalled.

Income tax increase: Jones' new favorite way to pay for construction is an income tax increase. He offered no details. The current rate is 3 percent for individuals and 5 percent for businesses. However, Gov. Rod Blagojevich has twice been elected on a vow to veto tax increases and lawmakers have not demonstrated the votes exist to enact any tax increase.

Vehicle registration fees: Lawmakers are again considering raising the cost to register vehicles with the state. They last did this in 1999 as part of then-Gov. George Ryan's Illinois FIRST construction spending plan. They raised passenger vehicle registrations to $78 from $48. Ryan initially wanted $98.

The 1999 deal also raised commercial truck registration fees 25 percent, which added hundreds onto the total. The increase generated $78 million.

This time, however, Republicans say the trucking industry has been hit hard with higher gas prices and state fees, so they'd demand truckers be exempt from any new increases, meaning only passenger vehicles would see hikes.

Title transfers: The 1999 deal raised vehicle title transfer fees to $65 from $13, which raised $166 million. So far this idea has not re-emerged for the latest construction plan.

Illinois Lottery: Blagojevich wants to sell off the rights to collect state lottery ticket sales for cash upfront to finance construction. His $25 billion spending plan calls for getting $11 million in the lottery deal. Lawmakers have previously rejected this concept because it eliminates a steady cash flow for years to come in favor of cash now.

Alcohol taxes: The 1999 deal included $80 million from higher taxes on beer, wine and whiskey. The state tax went to 10 cents from 4 cents per six-pack; 15 cents from 5 cents per bottle of wine; 90 cents from 40 cents per hard-liquor bottle.

It has not been mentioned either as part of a new construction spending plan.

Sources: Daily Herald archives, legislative documents