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Chicago, IL — Republican Gov. Bruce Rauner (R) delivered his third State of the State address to the Illinois General Assembly today, which attempted to strike a hopeful tone in the face of the monumental financial burdens plaguing the state.
“All of us – Republicans, Democrats, and everyone in between – have a moral obligation to work together to bring change. We together can return Illinois to a place of hope, opportunity, and prosperity,” remarked Rauner at the close of his speech.
But all is not sound in Illinois. The state government is broken.
Taxpayers United of America (TUA) stands with taxpayers, no matter what political party is in power, and TUA will continue to push for systemic change to the operations of the Illinois state government.
“Once again, Gov. Rauner stood before the Illinois General Assembly and tried to outline both the progress made since he took office, as well as the obstacles immediately before us,” said Jared Labell, executive director of TUA.
“However, speeches are not going to solve Illinois’ disastrous financial crisis or lessen the tax burden on its residents.”
“Legislators should vote on behalf of the interests of taxpayers, not their fellow government employees. Illinoisans want their very real and mounting concerns over the state’s financial situation addressed, not ignored for another few decades.”
“TUA opposes the proposed multi-billion dollar income tax hike floated recently by the Senate leadership of the Illinois General Assembly. We will champion the interests of the taxpayers of Illinois and continue to oppose the state government’s spendthrift policies,” said Labell.
Gov. Rauner will deliver his budget address to the Illinois General Assembly on February 15.
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Chicago, IL – The Illinois Senate is expected to vote on a budget compromise this Wednesday, the day of Gov. Bruce Rauner’s (R) State of the State address. The proposal will include hikes to Illinois’ personal and corporate income tax rates and neglects to consider substantive, long-term reforms to the state government.
Taxpayers United of America (TUA) urges the Illinois Senate to reject this deeply flawed budget.
“The only compromise found in the new budget proposal is a growing tax burden for Illinois residents in exchange for minimal reforms,” said TUA’s president, Jim Tobin. “Passing this budget will continue to allow Springfield to operate its fiefdom without systemic changes to Illinois’ state government.”
Under the proposed budget compromise, the state’s personal income tax would increase from 3.75 percent to 5.25 percent, surpassing former Gov. Quinn’s (D) 2011 sixty-seven percent income tax hike, which sunset in January 2015, and failed to significantly reduce the state’s unfunded liabilities or improve Illinois’ financial standing.
The state’s corporate income tax rate would also be hiked under the proposal, from its current rate of 7.75 percent (including the often-overlooked personal property replacement income tax surcharge of 2.5 percent) to a rate of 9.5 percent, one of the highest corporate income tax rates in the country.
“According to the Tax Foundation’s most recent data, Illinois is tied with Wisconsin and California for the fourth highest overall state and local tax burden,” said Tobin. “Taxpayers are fleeing the state at the highest rate in the country for better economic opportunities, which increases the tax burden for those of us who cannot move or refuse to leave the lives we’ve made for our families in Illinois.”
“The Senate’s proposal includes a two-year property tax freeze and minor government pension and worker’s compensation reforms, but the hikes to the personal and corporate income tax rates will only continue the financial downfall of Illinois,” said Tobin. “We urge the Senate to reject this tax-increasing budget compromise in the interest of the taxpayers of Illinois.”
Karen Kidd of the Madison-St. Clair Record interviewed Taxpayers United of America’s executive director, Jared Labell, about the chances of longtime Illinois House Speaker Mike Madigan stepping down as Speaker and TUA’s letter demanding he do so for the sake of Illinois’ taxpayers.
SPRINGFIELD – The number of signatures is growing on a petition urging Illinois House Speaker Mike Madigan to step down but Taxpayers United of America’s executive director says he’s very realistic about the chances Madigan will step down.
“While we certainly hope the unimaginable happens – that Speaker Madigan suddenly decides to relinquish power tomorrow – it’s doubtful,” Taxpayers United of America Executive Director Jared Labell said in an email. “History tells us that Speaker Madigan will continue to raise taxes, incur debt, and spend wildly until he leaves office, and the taxpayers of Illinois should see to it that this session in Springfield is his last.”
Signatures are being gathered largely online on a page at Taxpayers United of America’s website. Paper petitions and copies of the letter were sent to Taxpayers United of America members. Responses via email and :snail mail” are also welcome, Labell said.
“Taxpayers United of America has received thousands of signatures online, in the mail, phone calls, and support via social media,” Labell said.
He said the response is heartening, despite the slim likelihood at Madigan will respond to it.
“I’m encouraged by the response we’ve received so far and would certainly love for all Illinois residents to join us in demanding that Speaker Madigan step aside for the good of taxpayers and Illinois’ economy,” he said. “Taxpayers are pleading for property tax relief and are worried about possible income tax hikes, but they will remain unsure of their financial futures as long as career politicians like Speaker Madigan rule Springfield.”
The swearing in of the 100th General Assembly was scheduled for Jan. 11.
Madigan, the nation’s longest-serving state House speaker, has held that seat since 1983 except for a couple of years in the mid-1990s when Republicans controlled the House.
Calls for Madigan to not enter a fourth decade as House Speaker have been mounting.
The Chicago Tribune’s editorial board urged voters in the run-up before the General Election to “break up” with Madigan as House speaker.
“Madigan has become a liability for many Democrats on the Nov. 8 ballot, and not only in southern Illinois,” the Tribune said to voters on Oct. 21. “The dysfunction of state government, the enormous spending, the pension crisis, the chronically unbalanced budgets – the onus falls largely on the leader who’s been in Springfield for 46 years. Since 1971.”
Illinois voters, especially those outside of the greater Chicago area, did turn out for Republicans in the General Elections. As a result, the GOP gained four House seats in the legislature. Those results left Springfield House Democrats with a 67-51 majority, eroding the 71-47 super majority the party had before the General Election.
The higher number of Republicans in the State House might be sending its own message to the House Speaker, even if enough Democrats can’t be persuaded to join Republicans to vote against him.
Should all Republican House members vote against Madigan, which observers say seems likely, nine Democrats would have to break ranks, which seems unlikely. If that did happen, those 60 votes against Madigan would be enough keep Madigan from continuing on as House Speaker.
Before Christmas, the Chicago Tribune’s editorial board issued a list of Democrats who might be persuaded to vote against Madigan.
“What do you have to lose except two more years of dysfunction?” the newspaper’s Dec. 21 editorial said. “Remember, you don’t work for him. You work for voters. They didn’t send you to Springfield to be gutless. They sent you to do what’s best for Illinois, regardless of the consequences.”
