Fw: Steans Springfield Update

[Guest guest]

Though this is not good news, I appreciate the fact that Senator Steans

acknowledges that funding for disability services is inadequate...that is a

start, at least.

I emailed her back to thank her for her advocacy.

Ellen

Ellen Garber Bronfeld

egskb@...

Steans Springfield Update

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State Senator

Steans

Springfield Update

June 02, 2011

Dear Neighbor,

At midnight on Tuesday the Illinois Senate completed its

legislative session. This email highlights some of the major items that were

passed in our closing days, including the budget, workers' compensation reform,

gaming, and a ComEd deal. While I am pleased that Illinois' sky-high workers'

compensation costs will be coming down, I do not believe we have completed the

work on the state budget. I am concerned about the cuts to education and human

services, and hope we will achieve some changes going forward.

Budget

The General Assembly passed a FY12 budget that reduces total

spending $6.9 billion (10.5%) from the current fiscal year. While General

Revenue Fund (GRF) spending increases from $31.1 billion to $33.2 billion

(6.8%), this situation occurs only because the State borrowed for rather than

made its pension payments this year. Pension payments grew from $3.7 billion

to $4.2 billion - excluding these payments from FY12, GRF spending decreases

$2.1 billion (6.8%). The spreadsheet and graph below provide details on

spending trends over the last 5 years.

(In Billions)

FY05

FY06

FY07

FY08

FY09

FY10

FY11

FY12

GRF

$26.2

$27.2

$28.5

$30.4

$33.0

$28.7

$31.1

$33.4

OSF

$16.8

$13.2

$17.0

$13.6

$15.1

$20.5

$20.8

$16.8

FF

$5.8

$5.7

$5.8

$5.0

$5.9

$9.9

$10.2

$8.9

Subtotal

$48.8

$46.1

$51.3

$49.0

$54.0

$59.1

$62.1

$59.1

Bonded Pensions

$3.4

$3.7

TOTAL

$48.8

$46.1

$51.3

$49.0

$54.0

$62.5

$65.8

$59.1

I am concerned about the cuts to education and human services

that are in the budget we passed. General State Aid for schools is cut $152

million, for example, and many programs that serve our neediest citizens are

reduced significantly. The Senate proposed an alternative budget that would

keep bottom line spending the same, but rearrange spending to prevent such

significant cuts to these critical programs. Since we reached no compromise

with the House, the Senate instead adopted an amendment to the capital

reappropriation bill to add spending for these core services and we reduced

statutory transfers out from GRF to help offset this additional spending. The

House did not accept the Senate amendment to the capital bill, so we do not yet

have an agreement.

Workers' Compensation (HB1698)

Illinois' businesses will see significant decreases in their

workers' compensation costs from the reform package that passed. The medical

fees are reduced 30%, determination of benefits for an injured worker must now

incorporate American Medical Association guidelines, workers will now select a

doctor from preferred provider programs established by employers, and there are

numerous changes to fight waste, fraud and abuse in the system (for example

rather than having the burden reside with an employer to prove that an employee

was drunk when an accident occurred, the employee must prove that alcohol or

drugs did not cause the workplace accident if there is evidence the employee was

intoxicated at the time of the incident). You may read the bill here.

Gaming (SB744)

The General Assembly sent a gaming bill to the Governor that

creates 5 new casinos (one in Chicago) and allows slot machines at O'Hare and

Midway airports as well as at the state's existing racetracks. Initially state

revenues from the gaming expansion will be used to pay down overdue bills, with

ongoing revenues from casino/riverboats used to fund education and ongoing

revenue from racetracks used for capital projects. Local municipalities and

counties will also receive revenue. This bill is a significant priority for

Mayor Emanuel, who indicates he will use local gaming revenue (rather than

increased property taxes) for education and infrastructure projects. While I

support a downtown Chicago casino that will be a large draw for visitors, I am

concerned about the additional gaming elsewhere. The Governor has indicated he

may use his amendatory veto powers to decrease the scope of the gaming bill.

You may read the bill here.

ComEd/Ameren Deal (SB1652)

This bill allows ComEd and Ameren to implement " smart grids "

that enable easier tracking of problems online and allows customers to reduce

electrical costs at peak hours to lower their costs. The two power companies

would invest more than $3 billion in upgrades over the next 10 years and an

easier process for securing rate increases is implemented. This bill passed,

although I voted no due to my concern about consumer rate hikes. The Governor

has indicated he will veto the bill, and it did not pass the House or Senate

with enough votes to override the veto. You may read the bill here.

Two other issues were on the table but did not get addressed

by the end of session: pension reform for current employees and retiree/employee

healthcare. I believe there will be further negotiations on these topics - I

hope with all parties at the table - and we will likely see new legislation on

these topics in the veto session this fall.

A couple of community events are listed below. Please feel

free to call my office for more information at 773-769-1717.

The Loyola University Farmers' Market will open on Monday,

June 6 and operate each Monday through to October 17. Hours of Operation will

be 3:00 p.m. -7:00 p.m. The Market location is 6556 N. Sheridan Road. The

market promotes small producers and family farms.

Midsommarfest is ville's annual summer street

festival, now entering its 46th year. Each year, nearly 50,000 people throng

Street from to Catalpa for two days of music, dancing, kids'

entertainment, and delicious food. Vendors from around the region sell their

wares to passers-by, while ethnic dance troupes and cutting-edge bands keep the

party going.

Dates:

June 11 and June 12

Hours: 11:00am- 10:30pm

Please let me know if you have questions or would like

additional information on these or any other topic.

Best,

Steans

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