Archive for March, 2009
March 19th, 2009
I made a lot of noise about John Anderson’s proposed West State Street development, which would be in a large tract of land between State and School streets and Pierpont and Springfield avenues. It would feature a health care facility, retail and other businesses. I wrote about it because the city was stalling on the project for over a year. Monday night, the City Council approved an agreement between the City and Spring Creek Partners, and I applaud them for doing that. Now, let’s get started.
Next up is a project to rebuild and expand the Wayne Swanson fire academy at State and Pierpont. For more on that, read my Sunday column.
March 19th, 2009
The word I have is that Gov. Pat “Peotone” Quinn plans to come to Rockford on Monday to tout a Chinese company’s proposed solar energy factory at Chicago Rockford International Airport.
That’s adding insult to injury. This is the governor who has just revived the corpse of Peotone airport, surprising one and all by vowing to build it with all deliberate speed.
We might as well call this “Mid America II,” in honor of the other airport the state built east of Belleville at Scott Air Force Base. The state of the art airport has no airplanes. The airlines aren’t interested.
Meanwhile, if the governor hasn’t noticed, he should be aware of the fact that the U.S. keeps pumping money into Rockford’s airport because the FAA , Sen. Dick Durbin and Congressman Don Manzullo know that our airport, already the 18th largest cargo airport, is becoming a more important Chicagoland resource. We are set to begin nonstop passenger service to New York City via Newark, and the Baltimore-Washington area via BWI.
Durbin this week was successful in directing $5.3 million in economic funds to the airport. Most of the money will be used to rebuild a 30-year old taxiway; about $1 million will be used to expand and improve the international arrival terminal, which is in the portion of the airport headquarters building that used to house a fire station.
The Peotone airport has been a mistake from day one. Airlines don’t want it. We can’t afford it. There’s no need for it, except for politicians who want to dole out contracts and patronage jobs.
Let me remind the governor that this was George Ryan’s pet project, and it was closer to his home town of Kankakee than it was to Chicago. When he was governor, Illinois’ transportation department warned Rockford airport leaders not to push for passenger service here because it would hamper efforts to build Peotone.
Peotone languished during the chaos of the Blago era, and many people thought it would just die a natural death.
Why Quinn brought it up again is beyond me. I’ll ask him about it if he still shows up Monday.,
March 17th, 2009
Gov. Pat Quinn gives his budget speech Wednesday, March 18. To close a budget gap he estimates at $11.5 billion, Quinn will call for a variety of tax and fee increases.
Here’s a condensation of what he’s scheduled to propose, as reported by Associated Press:
-An increase in the 3 percent personal income tax rate. The new rate would be 4.5 percent, generating $2.8 billion.
-Tripling the personal exemption, shielding up to $6,000 in income from being taxed. That means a family of four with an income of $60,900 would pay less in taxes next year.
-A hike in the corporate income tax from 4.8 percent to 7.2 percent, bringing in $350 million more.
-Keep $287 million from the higher taxes that would normally go to local government.
-Increase the $79 fee for license plates by $20, generating $180 million.
-Increase the $10 fee for driver’s license by an additional $10, generating $20 million.
-Raise the 98 cent cigarette tax to $1 a pack over two years. Would generate $276 million in the second year.
-Offer a sales tax “holiday” on back-to-school items for 10 days in August, costing as much as $50 million that would be paid for by reducing the amount retailers get to keep in payment for collecting the tax.
-End several tax breaks for businesses, generating $100 million.
-Take $200 million out of various special-purpose funds supported by user fees.
-Divert $150 million from the road fund to help pay for a statewide construction program.
March 13th, 2009
Some thoughts on the Adam Smith situation:
When he was elected mayor, Larry Morrissey said he would upset applecarts, and he certainly has done that. In his world view, Rockford cannot improve substantially until the school system improves substantially. So, that was the number one apple cart.
For upsetter in chief he chose Adam Smith. By the very nature of the job, Smith was not going to be popular. People like their comfort level and especially in Rockford they resist change with a very special passion.
Now, it seems that Morrissey has accomplished some of what he wanted on the education front. If LaVonne Sheffield works out as the kind of superintendent of schools she is advertised to be, then he can will not need a parallel education czar.
The problem is the clumsy way in which Smith’s 43 percent raise was handled. That’s a bigger raise than anybody I know has received over at City Hall in my memory. It wasn’t justified, mainly because Rockford never has a huge reserve of money. The economy started going south in 2008, the year Smith got his raise. Maybe 10 percent, but not 43.
Chalk that up to a mistake in judgment.
Clearly the Smith raise, which only got publicized last week, became a big fat target for Morrissey opponent Doug Block in the April 7 election, and Morrissey had to act fast to get Smith off page one. And he did.
But the controversy will remain, because of the timing. Morrissey and aldermen are trying to come up with $8.6 million in budget reductions because tax revenue has declined. And the Smith raise story was getting in the way.
Now Morrissey can say he’s doing his part by cutting the mayor’s office budget by not filling Smith’s position. That’s $95,000 and benefits. But it doesn’t seem genuine because Morrissey didn’t phase out Smith’s job before the salary increase became publicized.
Question is, will voters think so?
March 12th, 2009
Congressman Don Manzullo, R-Egan, is going all digital on us. He’s up and running on FaceBook, YouTube and Twitter. And he’s doing a variety of additional high-tech things on his website. Here’s what he says in a news release:
Manzullo’s YouTube page has become extremely popular since its launch last fall, amassing more than 713,000 views to date and moving him into 17th Place for all-time views on the Politician Channel (just ahead of the JoeBidendotcom page). The signature video on Manzullo’s page – his 5-minute questioning of federal bailout czar Neel Kashkari – has received more than 650,000 views and 500 comments. You can view and subscribe to Manzullo’s YouTube videos at http://www.youtube.com/user/repmanzullo
Manzullo more recently launched Congressional pages on both Facebook (www.facebook.com and search for “Donald Manzullo”) and Twitter (www.twitter.com/donmanzullo) to share his opinions with the people he represents and gather their thoughts on public policy and the issues of the day. He has several hundred followers on both sites.
In addition, Manzullo has upgraded his official Congressional website with Flash video, Google maps, podcasts, an enhanced photo album, and social media tags. Residents can continue to sign up to receive Manzullo’s email updates at http://manzullo.house.gov. To date, more than 3,320 residents have subscribed to Manzullo’s e-newsletters, emailed news releases, and updates on issues of interest. The website also provides Manzullo’s positions on issues and bills he has authored and co-sponsored. The Constituent Services section provides assistance to the people of northern Illinois who are having problems cutting through the red tape of the federal bureaucracy. It also helps constituents order U.S. flags, sign up for tours in Washington, D.C. and apply for the military academies.
“Communicating with the people I represent has always been important to me, and the difficult times we face as a nation right now make it even more vital for me to hear from residents,” Manzullo said. “I strongly encourage the people of northern Illinois to visit my web page and sign up for my email updates, as well as subscribe to my pages on YouTube, Facebook and Twitter. I look forward to hearing from residents on the important issues we face as a nation.”
March 11th, 2009
Congratulations to the Quad Cities folks who are organized and have their act together when it comes to advocating for passenger rail from Chicago to the Quad. Here’s a news release from their rail advocacy group which you can access at qcrail.com. Will Rockford get any of the billions in rail funding in the stimulus?
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Quad Cities-Chicago Route Receives First Ever Funding
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President Barack Obama signed the Fiscal Year 2009 Omnibus Appropriations Act today, which included a $475,000 earmark for Quad Cities track improvements. The earmark was secured by Rep. Phil Hare (IL-17) at the request of the Quad Cities Passenger Rail Coalition. Today marks the first ever federal or state funding specifically allocated to restore passenger rail service on the much anticipated Chicago to Quad Cities route. While $22.7 million is needed to complete the entire Quad Cities route, IL DOT will receive $475,000 to begin track improvements identified in the 2008 Amtrak Feasibility Study.
“This funding is a historic milestone for the Quad Cities,” said Paul Rumler, Executive Director of the Quad Cities Passenger Rail Coalition. “QC Rail thanks Congressman Hare for securing this funding and the entire Quad Cities Congressional Delegation for their continued support. All of QC Rail’s 6,500 individual members and 130 government, business, labor, and community organization supporters should be proud to know their advocacy efforts are being successful.”
QC Rail has been actively organizing supporters and advocating to state and federal legislators since forming the coalition in May 2007. Just in recent months, QC Rail has met with congressional staff in the Quad Cities and twice visited with Congressmen and Senators on Capital Hill in Washington, DC. Members of QC Rail will return to Washington, DC next week to discuss funding the remainder of the project.
Just last month, President Obama and Congress passed the $787 billion Economic Stimulus proposal, which included the largest ever funding amount for passenger rail in United States history. A total of $9.3 billion was allocated for passenger rail - $8 billion for intercity and high speed rail corridors and $1.3 billion for Amtrak. QC Rail has requested IL DOT and IA DOT apply for stimulus funding for the Chicago-Quad Cities-Iowa City route when it becomes available. U.S. DOT Secretary Ray LaHood will release a funding strategy for the $8 billion in April and project funding criteria in June.
“Today’s funding demonstrates how real Quad Cities Amtrak service has become,” said Jim Bohnsack, Chairman of the Quad Cities Passenger Rail Coalition. “This project has been a longtime priority of the Quad Cities and QC Rail will keep pushing to make sure the route is fully funded.”
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Thank Your Area Congressmen and Senators
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Please contact your members of the Quad Cities Congressional Delegation and thank them.
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March 11th, 2009
Just got off the phone with EJ Dilonardo, president of Rockford Firefighters Local 413. It wasn’t the union that suggested higher ambulance fees, EJ sez, but the Morrissey administration.
EJ also says that the union has offered about $1.2 million in savings to the city, “in wages and in hours.”
One issue on which the union is not likely to budge is truck staffing levels. The city wants three to a truck, the union maintains that four is the minimum needed:
“When the mayor says shared responsibility, that means citizens are at more risk, and they don’t’ save any money, they just assume more risk. We’re going to be advocates for citizens. I believe in negotiations. We’ve put our money where our mouth is,” says EJ.
“We’ve offered about $1.2 million in concessions, in both wages and hours. The city now needs to find the rest of the money in their general fund. They can bridge this gap and keep the fire service functioning at the level it is. ”
“They’ve asked me questions like, if you were to get a raise, would you go to three firefighters on a truck? And the answer is No. You can’t pay a firefighter enough to trade away public safety. You couldn’t offer a 42.6 percent pay raise and expect us to trade away public safety. We would not do it.”
March 10th, 2009
Forget the R word. We’re way past that. The Rasmussen poll out today says 53 percent of Americans believe a 1930s type Depression is coming. Check out the story here.
March 9th, 2009
Sen. Dick Durbin joined Gov. Pat Quinn in Chicago’s Union Station Monday to pledge cooperation in an effort to get some of the $8 billion in high speed rail money for Illinois. First up: Making the line from Chicago to St. Louis capable of 110 mph top speeds, reducing the trip from 5 and a half hours to 4.
This is not European style high speed rail, for the Europeans are far, far ahead of the U.S. when it comes to developing and investing in modern rail transportation. But it’s better than today’s trains. Actually, 110 mph trains would restore the Chicago-St. Louis route to the high speed of the 1950s, when GM&O passenger trains cruised at 100 mph or better — the EMD diesel electric engines that pulled those trains had a top speed of 109.
The state of Illinois could help passenger traffic by encouraging state employees to take the train to and from Chicago, which was the common practice in the 1970s.
The high speed rail network terminating in Chicago does not feature Rockford, so we are not likely to get any of the high speed money. We could, however, get regular rail funding for trains from Chicago to Rockford , Freeport, Galena and Dubuque, Ia.That, of course, depends on a united coalition from Dubuque to Rockford, and I don’t see signs of that being developed to any level that matters to politicians.
Anyone thinking of posting a critique of federal subsidies for passenger rail, forget it. All transportation is heavily subsidized, roads, rivers, canals, airports. No transportation mode makes money without Uncle Sam’s help.
March 9th, 2009
Hooray! The national debt is $11 trillion! That’s from an independent accounting group in Northbrook.
Here’s their e-mail:
INSTITUTE FOR TRUTH IN ACCOUNTING
FOR RELEASE: March 10, 2008
Be The First To Know:
America’s Official Debt Will Soon Top $11 Trillion
(Northbrook, IL) This week, the official debt of the United States of America will top $11 trillion, just 165 days after hitting $10 trillion. “To increase the debt at this alarming rate is just plain scary,” said Sheila Weinberg, founder and CEO of the Institute for Truth in Accounting, the Northbrook, Illinois based accounting watchdog organization.
The absolute size and the growth of the nation’s obligations are alarming.
“In round numbers, U.S. debt will shortly cross the $100,000 level for every household in America.” said Weinberg. “There is no parallel to this amount of absolute debt in American history, even during our wars and recessions. For example, the U.S. debt at the end of World War II was $258 billion or just $2.8 trillion in today’s dollars.”
Total U.S. obligations have ballooned since the economy turned down. “The Federal government is bailing out banks, the auto industry and the housing market,” said Roger Nelson, the Institute’s chairman. “At the rate the feds are borrowing I am wondering who is going to bail out our country?”
The U.S. government has risen to an unprecedented $11 trillion. That’s up from $9.4 trillion just one year ago. Debt held by the public has grown by nearly $1.4 trillion or a whopping 25.8%. Nelson said, “The growth in our ‘public’ debt concerns me, because an increasing proportion of ‘the public” are actually foreigners who may not have our nation’s best interests in mind.”
This official debt is only part of the nation’s obligations-unfunded liabilities and social insurance promises are more than five times greater. Find out more and keep an eye on the rising debt by viewing our spinning debt clock at: www.truthinaccounting.org.
About the Institute for Truth in Accounting
The Institute for Truth in Accounting (IFTA) is dedicated to promoting honest, accurate, and transparent accounting at all levels of government and business. As a non-partisan, non-profit organization, the IFTA works to expose accounting deficiencies while promoting better, more accessible delivery of accurate government financial data-and, in turn, providing a foundation for more informed public policy. The IFTA provides its expertise to develop more effective accounting standards and deliver accurate government financial information to policymakers, opinion leaders, and citizens, so they can all work for a more secure financial future. To learn more, please visit our website at www.TruthInAccounting.org.
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