State Senator

Heather Steans

Springfield Update
 

June 02, 2011

May 16, 2011

Dear Neighbor,

Last week the Senate passed a budget that would reduce total spending from $65.8 billion in FY11 to $59.9 billion in FY12, and cut $1.7 billion from the Governor’s introduced General Revenue Fund (GRF) budget.  This budget brings our spending into line with available revenues, and is gimmick free.  There is no borrowing.  We account for all mandated costs in this budget and reduce spending to ensure vendors will be paid.  We do not push bills into future years.

While reducing costs, the Senate’s budget ensures we protect core services like education and moves dollars into community services that safeguard our most vulnerable residents.  For example, the budget:

·         Keeps education general state aid at the same level as FY11;

·         Decreases dollars to institutions and increases funds available for community

          programs that serve individuals with developmental disabilities and mental

          illnesses; 

·         Reduces the Governor’s proposed cuts to Medicaid from 6% to 3%;

·         Restores many human services programs that were drastically cut in the  

          Governor’s proposed budget including Illinois Cares Rx, Teen Reach and   

          programs for the homeless. 

The House passed a budget that cuts over $1 billion more from state appropriations than the Senate’s budget.  While the budget the House passed has more reduced spending than the Senate version, over $500 million of the cuts in House budget merely puts off spending to next year rather than actually reducing expenses.  The House budget also cuts General State Aid for schools and has much deeper human service cuts.  You can see a detailed comparison of the Senate and House budgets at http://capitolfax.com/HouseDemSenDemComparions512b.pdf.  I welcome your thoughts on preferences between these two approaches.

Over the next two weeks we will work to reconcile the two budgets to pass a single budget through both chambers.  We are also likely to address workers compensation reform, further pension reform, and the redistricting map.   I believe we are taking overdue steps to return the State to fiscal health, but it is painful and not yet assured.  Your input as we make challenging decisions is appreciated.

Best,

Heather Steans

Dear Neighbor,

This update provides an overview on where we are with the budget, and highlights some of the key bills that have passed the Senate thus far.

Budget Overview

As you recall, the Senate passed Senate Joint Resolution 29 that estimates the State has $34.3 billion in General Revenue Fund (GRF) for FY12.  This revenue estimate is based on the bipartisan Commission on Government Forecasting and Accountability’s revenue estimates.  Last week the Senate passed bills that I sponsored to make full payments for our pension systems and debt service.  These bills already passed the House, thus with the Governor’s approval we stop our past practice of borrowing to make our pension payments.  I believe this is an enormous step forward, and appreciate that most of our Republican colleagues supported these bills as well.

The first week in May the Senate will work to pass bills that allocate the remaining dollars to state operations.  This year we will pass agency line item budgets, rather than one large budget bill that includes lump sum allocations like we did each of the 2 previous years.  This approach provides greater transparency and accountability to state spending.  There will be an opportunity to discuss each agency’s budget.  Further, it will be clear how much appropriation authority the Governor has in each spending area, thus providing social service organizations and other State vendors with confidence in how much is available for their program areas.

Given our revenue estimates and allocations for pensions and debt service, the dollars available for state operations are about $1.7 billion less than spending outlined in the Governor’s proposed budget.   Finding needed spending reductions while maintaining core services like education and a strong safety net for our neediest residents is a daunting challenge. 

Legislation Update

Some significant legislation has been addressed in the Senate recently.  Some key items are highlighted below.  You can review a more complete summary here.

·  Education reform (SB7).  Senator Lightford led months of negotiations between teachers, administrators and reform groups to arrive at this remarkable bill.  If enacted, this bill will prioritize teacher performance instead of seniority in school staffing decisions (tenure and layoffs).  School board members will be required to receive training, and excellent teacher will be able to port their tenure if they move to another district.  The largest obstacle during negotiations was how to address teachers’ right to strike.  This bill achieves a balance, allowing for more transparency in the negotiations and increasing requirements before a union can strike.  Further, Chicago Public Schools can establish longer school days/school year, but the impact on teachers must be bargained.

·  Workers Compensation reform (SB1349). Illinois has the highest workers’ compensation costs in the country.  There is a commitment to reform this system this session.  The Governor’s office is leading negotiations with House and Senate Republicans and Democrats and the many interested stakeholders.  While a bill sponsored by Republican Senator McCarter failed in the Senate this week, I believe a bill based on the Governor’s negotiations will be up for a vote in May with a strong chance of passing.

·  Government consolidation (SB173). With 7,000 units of local government, Illinois has more than any other state, leading to duplicative and inefficient service delivery.  Senator Link’s bill will create a commission charged with identifying local governments in Illinois that should be consolidated.  The Local Government Consolidation Commission would review the costs and benefits of each unit and determine where improvements and savings can be achieved.  The Commission would develop a list of units to eliminate by 4/1/2012.  The General Assembly can disapprove of the entire list, but not individual items.  If the General Assembly does not disapprove, the recommendations will be implemented a year later.  I look forward to voting yes on this bill and hope it is enacted – Illinois needs this consolidation.

Please let me know if you have questions on these or any other bills.  You can email me or call 773-769-1717.

Best regards,

Heather Steans

Neighborhood News

Next month Metra will start a bridge reconstruction project on the Union Pacific North Line. The bridges run from Clybourn to Balmoral  Avenues in Chicago.  The first phase will cover work on 11 bridges from Balmoral to Grace Avenues.

Visit www.metrarail.com for updates.  If you would like construction updates and alerts sent to you, sign up at the “My Metra” feature on Metra’s website, www.metrarail.com

INTERNSHIP OPPORTUNITIES

The Office of the Illinois State Treasurer will be conducting an internship program this summer from June 1 through August 31, 2011 for college or graduate students.  This program seeks to expose exceptional students to the daily operations of the state treasurer’s office.  Compensation is $9.50 per hour, and applications will be accepted through May 6, 2011.

Please contact Cathy Smith at 773-769-1717 or cathy@heathersteans.com  to have an application sent to you.

The Office of State Senator Heather Steans is seeking energetic, politically minded students and community members to work in the Chicago 7th Legislative District Office for the summer. This is an excellent opportunity to learn the inside workings of a state legislative office while making valuable contacts for a future role in government and politics. Interns will sharpen their communication and analytical skills and gain an enhanced understanding of all levels of government. The scope and content of the position will be shaped around the unique talents and interests of the particular student. 

Contact:

Cathy Smith, Chief of Staff

cathy@heathersteans.com