Tuesday, January 21, 2020

Connecting the dots between our economy, government and people —

Top Illinois Stories

New Illinois Senate President makes progressive income tax top priority – Center Square

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Illinois Senators Elect New President: Oak Park’s Don Harmon – WTTW

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Illinois Senate president race: Accusations of personal betrayal and payback fly furiously – Chicago Sun-TImes

Publicly, party leaders made a show of unity. Lightford, who is Senate majority leader, hugged Harmon on the Senate floor Sunday afternoon as she nominated him to become the next Senate president. Harmon, who is white, was elected unanimously after hours of negotiations. But afterward, accusations flew of personal betrayal, and long-time simmering feuds bubbled over.

Lightford, D-Maywood, blamed former Illinois Senate President Emil Jones Jr., and his son, Emil Jones III, who is currently in the Senate, for her loss. She would have been the first female black Senate president. She thinks their opposition may stem from an 11-year old grudge.

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Jim Dey | What good are new taxes if there’s no one here to pay them? – News Gazette

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Don Harmon elected Illinois Senate President, succeeding John Cullerton – Center Square

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More Highlighted Illinois Stories

From boom to uncertainty, a volatile decade for Illinois farmers – Center Square

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Ahead of March primary, Republicans demand hearing over non-citizen voter registration errors – Center Square

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Gov. Pritzker’s Lawyers Trying To Shield Him From Deposition In Racial Discrimination Lawsuit – NPR IL

Doris Turner, J.B. Pritzker, and Juliana Stratton

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Illinois ranks 3rd worst in new economic outlook analysis – Center Square

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Rich Miller: Reflecting (and Deflecting) with Governor JB Pritzker, One Year In

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New ‘Rape In Champaign’ Disclosure: State Braced For Senator’s ‘Extremely Negative Reaction’ – WBEZ

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Tens of Thousands of People Lost Driver’s Licenses Over Unpaid Parking Tickets. Now, They’re Getting Them Back. – WBEZ

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Don Harmon selected as Illinois Senate president – Chicago Sun-Times

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Skillicorn: Illinois should repeal their part in the National Popular Vote movement – IL Review

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Editorial: Repeating: Democrats, it’s time for Madigan to go. – Chicago Tribune

Comment: A particularly good summary of what should be obvious.

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Stampede to the pot parade – Washington Times

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For Shrinking Cities, an Aggressive Way to Dodge the Census Bullet – MSN

Over the last year, the City Council pushed Decatur’s boundaries outward, annexing hundreds of properties despite vehement objections from new residents whose spacious houses and half-acre lots contrast sharply with the smaller, aging homes in neighborhoods closer to downtown.

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Letter: Illinois’ problem isn’t the form of taxation, it’s the level – Crain’s

Illinois' problem isn't the form of taxation, it's the level. Illinois government is simply spending at a rate its dwindling number of taxpaying residents cannot afford.

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Remap reform advocates trying a new tack – Crain’s

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Illinois population shrinkage and dirty laundry – Eric Allie Cartoon

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State worker who allegedly kept ‘mouth shut’ about ‘rape in Champaign’ and ghost payrolling to receive $2.7M in pension payments – IL Policy

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Sen. Bill Brady On Property Tax Relief And Making The Case Against A Graduated Income Tax – WCBU

On the graduated income tax proposal, Brady says: “Pritzker has sold it in a way that some people might believe—and he might even believe. But the truth of the matter is, if you look at the history of politicians, particularly Democrats, you’ll find they are more than willing to reach into the taxpayers’ pocket and take more money,” Brady said. “And there were other circumstances surrounding his election victory. Gov. Pritzker spent a record $180 million on his campaign. Gov. Rauner spent less than $50 million. It was a very lopsided appeal. “I believe the voters will reject—when they’re informed about the risks of this alteration—I believe voters will reject it. The question is, can we overcome the Pritzker money when it comes to messaging the truth about this alteration?” Brady said.

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As far back as 2008, an IL Republican launched anti-Electoral College movement – IL Review

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New ‘Rape In Champaign’ Disclosure: State Braced For Senator’s ‘Extremely Negative Reaction’ – WBEZ

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Illinois farmers helped by latest U.S. trade deals, but many questions remain – Capitol News IL

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Illinois officials correct error that added more than 500 possible non-citizens to voter rolls – Center Square

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Prtitzker’s First Year Anniversary Booklet: ‘Together, We Are Headed in the Right Direction’

Presented without comment.

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Tax flight: Myth versus reality – 1IL

Comment: To all of us who think Illinois taxes cause population loss, this article says "back that argument up before it carries you off to fantasyland — or to Indiana, whichever is worse." They should have added, for all you Wirepoints commenters who've told us you've moved or plan to because of taxes -- you're all liars. CC: Indiana Economic Development Corporation.

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After A Year Of Hemp Growing, Illinois Farmers Are Frustrated – IL Public Media

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Budget Solutions 2020: A 5-year plan to balance Illinois’ budget, pay off debt and cut taxes – IL Policy

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Could Wisconsin And Illinois Be Headed For Different Time Zones? – WI Public Radio

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Madigan’s $10 million windfall: How the 13th Ward made out big – Crain’s

Madigan’s home ward, the 13th on the Southwest Side, is receiving a special $10 million appropriation for street resurfacing, new streetlights and other improvements—a gift far larger than most and maybe all of the city’s other 49 wards are receiving. The money was tucked into Gov. J.B. Pritzker’s huge new $45 billion capital program, the one that passed the Legislature last year with Madigan’s help. And though neither state officials nor especially Mayor Lori Lightfoot’s administration seem thrilled about it, both are going along with the move.

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Illinois lawmakers propose taxpayers pay for first two years of college for state residents – Center Square

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Is Gov. Pritzker Clueless Or Reckless On Pensions? – Forbes

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University of Illinois administrators seek a tuition hike – Pantagraph

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Top Chicago Stories

Our Monthly Crain’s Article: Chicago doubling down on dangerous ‘securitized bonds’

The losers in Chicago's bond scheme may end up being taxpayers, service recipients, public pensioners and everybody else except the muni bond community—bondholders, underwriters, bankers and lawyers.

   

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Thousands turn out for Chicago’s women’s march – NBC Chicago

   

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Chicago Teachers Union Inc.: How the clout-heavy labor group spends its money – Chicago Sun-Times

As it geared up for a two-week strike last fall, the Chicago Teachers Union spent nearly $1.5 million from the dues it collects from members on lobbying and other political activity, a Chicago Sun-Times examination of the clout-heavy union’s finances has found. The money was on top of $1.2 million that the CTU’s two political action committees gave union-friendly candidates and political organizations.

And a union foundation has cut back sharply on the money it gave to charities and like-minded groups — to $1 million in 2018 from $1.9 million the previous two years. That’s according to the Sun-Times’ review of tax and campaign-finance filings as well as documents the union for the first time is required to file with the U.S. Department of Labor. Those offer a more detailed picture than previously has been available to show how the 24,000-member labor group spends its substantial wealth.

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More Highlighted Chicago Stories

Chicago Tribune staffers seek new owners amid fears of hedge fund takeover: ‘We’re doing everything in our power to try to stop them’ – CNN

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Why developers grumble about affordable housing rules – Crain’s

A city task force is looking at it.

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John Kass: Why is Kim Foxx sticking taxpayers with a bill for her Jussie Smollett mess? – Chicago Tribune

Foxx needs lawyers now, what with special prosecutor Dan Webb looking into the Smollett mess and the FBI hanging around the case. But she doesn’t need to stick taxpayers with the legal bills. Retired Judge Sheila O’Brien insists state law mandates that state officers with legal issues be represented by the Illinois attorney general’s office.
Isn’t Foxx supposed to follow the law?
“We’re going to find out,” O’Brien said Friday in an in-depth interview on this issue during a taping of my podcast, “The Chicago Way,” for WGN Plus. “Why this state’s attorney has gone out on our tax dime and hired somebody else that she gets to choose? How does that work? You can’t make this stuff up,” O’Brien said.

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Evanston’s reparations program that could offer a blueprint for the nation – The Guardian

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One-party rule enabled property tax dysfunction – Opinion – JournalStandard

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Preckwinkle Takes CRE To Task For Racial Inequity – Bisnow

Cook County Board President Toni Preckwinkle began Bisnow’s Chicago 2020 Forecast event Wednesday with some tough words for the commercial real estate industry. In her keynote address to hundreds gathered in the atrium of GlenStar Properties’ Schaumburg Corporate Center in suburban Schaumburg, she called out the industry for its lack of diversity, noting that the county’s population was 25% Latinx, 24% African American and 8% Asian American.

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Nike’s Obama Center donation raises questions about corporate branding, public resources – Chicago Reporter

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Ex-Judge: Kim Foxx Shouldn’t Use Tax Dollars for Outside Counsel – WTTW

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Obama Center Plans Would Change Historic Aspects Of Park Boulevard System Too, Updated Report Says – Block Club Chicago

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Chicago STSC up to 40 times oversubscribed on long end – The Bond Buyer

Comment: That's what happens when you convey away full ownership of future sales tax revenue -- when you sell body parts you haven't even grown yet. Bond buyers may be happy, but for service recipients and taxpayers, we will be writing shortly about how this works.

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Chicago Prepares to Declare Climate Emergency – WTTW

From the resolution: “Restoring a safe and stable climate requires a Climate Mobilization, an emergency mobilization on a scale not seen since World War II in order to reach zero greenhouse gas emissions across all sectors of the economy; to rapidly and safely drawdown and remove all the excess carbon from the atmosphere at emergency speed and until safe, pre-industrial climate conditions are restored; and to implement measures to protect all people and species from the consequences of abrupt climate breakdown …”

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Lawyers: Immigration court system is ‘red tape gone crazy’ – A.P.

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Viking Cruise Line Bringing New Ships to the Great Lakes – NBC Chicago

While the cruise line’s initial Great Lakes offerings do not include Chicago, Milwaukee will serve as an origin point for several excursions.

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Preckwinkle seeks more control over county health board after CEO ousted with $542,000 severance – Chicago Tribune

Cook County Board President Toni Preckwinkle is seeking veto power over the selection of the public health system’s next leader, a move that comes after a $542,000 severance package and generous pension for the ousted CEO raised eyebrows.

In addition, Preckwinkle would get the power to directly appoint the chair of the health system’s board of directors. The new CEO also would be required to meet monthly with her, and the Preckwinkle-controlled Human Resources Bureau would wield the power to negotiate union contracts.

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Chicago’s Bond Penalty Plunges as Investors Hunt for Yields – Bloomberg

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Mayor Lori Lightfoot Scolds Aldermen Over ‘Offensive Nature’ Of Debate On Study Of Possible Contract Set-Asides For LGBTQ Businesses – CBS Chicago

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Burke Spent More Than $400K on Legal Fees in 4th Quarter of 2019 – NBC Chicago

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Pot taxes in Chicago could be as high as 41% by July as county moves forward with 3% levy – Chicago Sun-Times

That 3% would be in addition to the city’s 3% planned tax and state excise taxes of 10-25%, based on the level of THC, the ingredient in pot that gets users high, in the product purchased. Marijuana products also carry normal sales taxes — which in Chicago are 10.25% — meaning some products could carry taxes of 41.25% starting this summer.

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Aldermen fear setting aside contracts for gay-owned businesses could lead to fraud, fewer contracts for people of color – Chicago Sun-TImes

Comment: If set-asides are extended to gays, only 13.6% of Chicago's population would be left without access to a set-aside – straight, white, males with no handicap, as we detailed earlier. In other words, over 86% of Chicagoans would be entitled to preferential treatment when bidding for city contracts. Maybe it would be easier just to designate the small minority that gets no preference.

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Nike pledges $5 million for Obama Center athletic/conference building – Chicago Sun-Times

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Why Illinois Is Pumping Millions Into the Census – Chicago Magazine

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More Weed Taxes? New Hospital? What To Watch For At Cook County Board – WBEZ

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State should allow cannabis cafes that serve edible pot products, aldermen say – Chicago Sun-TImes

Ald. Jason Ervin wants the Illinois legislature to let Chicago license smokeless cafes where marijuana-infused foods can be sold and consumed on premises.

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Number Of Social Workers Growing In Chicago Public Schools – WBEZ

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Chicago Sees Strong Year in VC Funding With $2.2B Raised in 2019 – Chicago Inno

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Chicago eyes bigger budget savings from upsized bond refunding – Reuters

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Lightfoot-backed study to look at possible set-asides for gay-, transgender-owned Chicago businesses advances – Chicago Tribune

Mayor Lori Lightfoot’s move to study whether gay- and transgender-owned businesses should get city contracting set-asides similar to those for minority- and women-owned companies advanced Tuesday despite black aldermen’s concerns about how such status can be verified and that it could mainly benefit white men.

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Downtown office market posts best year since 2007 – Crain’s

Companies moved into more downtown Chicago office space in 2019 than in any year since before the Great Recession, keeping the good times rolling for landlords into the new decade. But some landlords still have big holes to fill.

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Foundation’s Chicago affordable housing defaults spread to suburban portfolios – The Bond Buyer

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Wirepoints Commentary and Research

Why Nobody But Bond Buyers Should Like Chicago’s Latest Deal – Wirepoints Original

The toddlin’ continued for now, but the music can’t go on forever.

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WCIA TV: “A study by Wirepoints tracks population losses from 2010 to 2018, and Macon County ranked 4th out of 102 counties.”

WCIA Decatur used Wirepoints' report to tell its story on Macon County's loss of people. 93 counties in Illinois lost population between 2010 to 2018. Macon County suffered the 4th worst loss - over 6,000 people.

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Illinois’ Early Move to Kill the Electoral College May Be Nearing Success

Survival of the Electoral College depends on how remaining states will vote on NPV and what the courts would do with it.

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Why an aging and shrinking Illinois is a threat to public sector pensions

There’s a perfect demographic storm brewing in Illinois that threatens to take retirement security for government workers from bad to worse: Illinois’ boomer generation is hitting retirement age just as Illinoisans and their wealth are migrating out of the state at a record pace.

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Quotes and No-Quotes from a Day in Springfield’s Unfolding Email Scandal – Quicktake

“Not knowing is foundational and fundamental to the entire design of the organization.”

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“People move to states where there is opportunity, jobs, growth potential, affordable housing…people aren’t choosing Illinois, they’re leaving Illinois.” – Ted on WJPF NewsRadio

Ted was on WJPF radio this week talking to Tom Miller about Illinois' constant loss of people. "The people who are productive are leaving Illinois and going to places like Florida or Texas or Indiana..."

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More Wirepoints Original Stories

93 of Illinois’ 102 counties have lost population since 2010 – Wirepoints Original

If you’re wondering how widespread Illinois’ problems really are, look at county populations: 93 of the state’s 103 counties have shrunk since 2010. 

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Illinois Comptroller Mendoza Exercises Her ‘Moral Authority’ – Wirepoints Original

Dare I say that Susana Mendoza is not the person to be exercising moral authority on use of state resources to victimize taxpayers?

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New IRS data reveals winners and losers of wealth migration across 50 states – Wirepoints Original

The winners of the battle for people and their incomes included states like South Carolina, Arizona, Texas and Florida. On the other end of the competition are states that have become perennial losers. Connecticut, New Jersey, Illinois and New York have experienced some of the nation’s biggest drain of people and their money.

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Pathetic. Summary of the Draft Report by Illinois Property Tax Task Force – Wirepoints Original

It’s a hodgepodge of may-be-this-maybe-that non-conclusions and half-baked evasions from different subcommittees. It omits any quantification of the ideas it presents and offers no concrete recommendations whatsoever that can reasonably be expected to lower taxes meaningfully.

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“Illinois is really sick and needs dramatic reforms, not the tax hikes, record spending and progressive tax threat we’ve got.” – Ted on the Illinois Channel

Ted was on the Illinois Channel last week taking a look at what happened to Illinois in 2019 and what the state needs to do to make 2020 a better year.

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UPDATED: Report of Illinois Property Tax Relief Task Force Was Due at Year-End. Where is it? – Quicktake

Would it be too much to ask why it's late and when we can expect it? We've seen no answers from anybody.

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New IRS data release: Record losses of taxable income and taxpayers for Illinois – Wirepoints Special Report

Illinois’ new decade is starting off with the same bad news the state struggled with throughout the 2010s – the increasing flight of Illinoisans to other states. The IRS has just released new domestic migration data and it shows Illinoisans left the state in record numbers.

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Connecting the dots between our economy, government and people —

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Wirepoints Original Stories

Why Nobody But Bond Buyers Should Like Chicago’s Latest Deal – Wirepoints Original

The toddlin’ continued for now, but the music can’t go on forever.

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WCIA TV: “A study by Wirepoints tracks population losses from 2010 to 2018, and Macon County ranked 4th out of 102 counties.”

WCIA Decatur used Wirepoints' report to tell its story on Macon County's loss of people. 93 counties in Illinois lost population between 2010 to 2018. Macon County suffered the 4th worst loss - over 6,000 people.

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Illinois’ Early Move to Kill the Electoral College May Be Nearing Success

Survival of the Electoral College depends on how remaining states will vote on NPV and what the courts would do with it.

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Top Illinois Stories

New Illinois Senate President makes progressive income tax top priority – Center Square

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Illinois Senators Elect New President: Oak Park’s Don Harmon – WTTW

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Illinois Senate president race: Accusations of personal betrayal and payback fly furiously – Chicago Sun-TImes

Publicly, party leaders made a show of unity. Lightford, who is Senate majority leader, hugged Harmon on the Senate floor Sunday afternoon as she nominated him to become the next Senate president. Harmon, who is white, was elected unanimously after hours of negotiations. But afterward, accusations flew of personal betrayal, and long-time simmering feuds bubbled over.

Lightford, D-Maywood, blamed former Illinois Senate President Emil Jones Jr., and his son, Emil Jones III, who is currently in the Senate, for her loss. She would have been the first female black Senate president. She thinks their opposition may stem from an 11-year old grudge.

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Jim Dey | What good are new taxes if there’s no one here to pay them? – News Gazette

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Don Harmon elected Illinois Senate President, succeeding John Cullerton – Center Square

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Other Illinois News

From boom to uncertainty, a volatile decade for Illinois farmers – Center Square

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Ahead of March primary, Republicans demand hearing over non-citizen voter registration errors – Center Square

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Gov. Pritzker’s Lawyers Trying To Shield Him From Deposition In Racial Discrimination Lawsuit – NPR IL

Doris Turner, J.B. Pritzker, and Juliana Stratton

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Illinois ranks 3rd worst in new economic outlook analysis – Center Square

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Rich Miller: Reflecting (and Deflecting) with Governor JB Pritzker, One Year In

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Top Chicago Stories

Our Monthly Crain’s Article: Chicago doubling down on dangerous ‘securitized bonds’

The losers in Chicago's bond scheme may end up being taxpayers, service recipients, public pensioners and everybody else except the muni bond community—bondholders, underwriters, bankers and lawyers.

   

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Thousands turn out for Chicago’s women’s march – NBC Chicago

   

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Chicago Teachers Union Inc.: How the clout-heavy labor group spends its money – Chicago Sun-Times

As it geared up for a two-week strike last fall, the Chicago Teachers Union spent nearly $1.5 million from the dues it collects from members on lobbying and other political activity, a Chicago Sun-Times examination of the clout-heavy union’s finances has found. The money was on top of $1.2 million that the CTU’s two political action committees gave union-friendly candidates and political organizations.

And a union foundation has cut back sharply on the money it gave to charities and like-minded groups — to $1 million in 2018 from $1.9 million the previous two years. That’s according to the Sun-Times’ review of tax and campaign-finance filings as well as documents the union for the first time is required to file with the U.S. Department of Labor. Those offer a more detailed picture than previously has been available to show how the 24,000-member labor group spends its substantial wealth.

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Other Chicago News

Chicago Tribune staffers seek new owners amid fears of hedge fund takeover: ‘We’re doing everything in our power to try to stop them’ – CNN

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Why developers grumble about affordable housing rules – Crain’s

A city task force is looking at it.

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John Kass: Why is Kim Foxx sticking taxpayers with a bill for her Jussie Smollett mess? – Chicago Tribune

Foxx needs lawyers now, what with special prosecutor Dan Webb looking into the Smollett mess and the FBI hanging around the case. But she doesn’t need to stick taxpayers with the legal bills. Retired Judge Sheila O’Brien insists state law mandates that state officers with legal issues be represented by the Illinois attorney general’s office.
Isn’t Foxx supposed to follow the law?
“We’re going to find out,” O’Brien said Friday in an in-depth interview on this issue during a taping of my podcast, “The Chicago Way,” for WGN Plus. “Why this state’s attorney has gone out on our tax dime and hired somebody else that she gets to choose? How does that work? You can’t make this stuff up,” O’Brien said.

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Evanston’s reparations program that could offer a blueprint for the nation – The Guardian

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One-party rule enabled property tax dysfunction – Opinion – JournalStandard

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