The clock’s ticking, but the hands aren’t moving
BY BETHANY CARSON AND DEANESE WILLIAMS-HARRIS
About two hours before the midnight deadline for the regularly scheduled spring session, Republicans called a caucus just as the Senate was about to vote on a multi-billion proposal to create four Chicago-area casinos. Stay tuned.
About three hours before the midnight deadline, the House left for the night without acting on a legislative motion filed to stall the budget that won approval last night. The budget is just sitting there as a leveraging point for downstate lawmakers who don’t want to adjourn for the summer without addressing high electricity rates.
The House inaction spoiled Senate plans to vote on that minimum-growth budget in committee tonight. With no budget to vote on, Sen. Jeff Schoenberg, committee chairman and Evanston Democrat, couldn’t help cracking a few jokes about presenting and debating a bill that didn’t exist in his chamber yet. “This is all conceptual,” he said motioning his hands around an imaginary ball.
On a more serious note, Sen. Donne Trotter, a Chicago Democrat and budget negotiator, said the House budget is a “great start,” but it’s not balanced. And he’s disappointed the Democratic-controlled House, Senate and governor’s office missed opportunities — such as leasing the Illinois Lottery or expanding gaming — to make a dent in the drastically under-funded state employee pension system while also bolstering education and health care funding. “What this is lacking is a real revenue stream to pay for the needs of this state,” Trotter said. “I’m always disappointed that we weren’t able to finish the work when we felt that it was supposed to be done. But we also know that by constitution, we have 30 more days to get that job done.” They have all of June before the next state budget kicks in July 1.
Gaming is the answer for some Senate Democrats. “We have to have revenue before we can start putting a budget together,” said Sen. James Clayborne of Belleville earlier Thursday night. He’s sponsoring the legislation to create the new casinos that’s about to be voted on in his chamber, and although he said he expects the expansion of gaming to be difficult for some legislators to vote on, he said, “When we call it, we will have the votes to pass the bill.”
As for the electricity rates that caused the House budget to stall in the first place, Democratic Rep. John Bradley of Marion said it’s a good sign because it shows lawmakers aren’t leaving for the summer without addressing the sky-high rates. After the House finished business about 1:30 a.m. Thursday, he showed up at the Capitol at 7 a.m. for more negotiations with Ameren Illinois and ComEd utilities and a group of lawmakers from both chambers. Then again, they’ve been negotiating since last September.
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Blagojevich Creates New Illinois Bonding Authority
January 6, 2004
Preview
Illinois Gov. Rod Blagojevich has rolled out a new super-bonding authority, which, he said, will save the state money. Blagojevich dissolved five state bonding authorities into the IFA. The entity has the power to allocate $5 billion in bonding authority for a variety of projects, including school construction, agricultural loans and economic development.
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Illinois Gov. Rod Blagojevich has rolled out a new super-bonding authority, which, he said, will save the state money.
While the Blagojevich administration says the newly created Illinois Finance Authority, or IFA, is not political in nature, a majority of the current appointees and the entity’s executive director have donated money to Democrats.
Blagojevich dissolved five state bonding authorities into the IFA. The entity has the power to allocate $5 billion in bonding authority for a variety of projects, including school construction, agricultural loans and economic development.
“The new IFA is another example of how we are bringing change to state government, change that will help us to make smarter choices, be more efficient and more accountable to the people of Illinois,” he said. The move is part of the governor’s attempts to streamline state government.
The IFA eliminates the Illinois Development Finance Authority, Illinois Health Facilities Authority, Illinois educational Facilities Authority, Illinois Farm Development Authority and the Illinois Rural Bond Bank.
Becky Carroll, a spokeswoman for the Governor’s Office of Management and Budget, said the downsizing will save the state more than $2 million, in part by eliminating 22 jobs from the previous combined 40-person payroll.
So far, Blagojevich has appointed nine of the board’s 15 members. There are no rules requiring the authority have a certain number of Democrats or Republicans, unlike some of the organizations being dissolved such as Illinois Development Finance Authority. However, the unpaid board members still must receive Senate approval.
Cindi Canary, the executive director of the Illinois Campaign for Political Reform, said partisan divisions on a board can help provide different viewpoints.
“It’s a good way of having checks and balances,” she said. “It doesn’t mean that appointing all Democrats means that you won’t have a division of opinion.”
While there are no prohibitions regarding party affiliation, six of the nine members appointed have given money to the Democrats over the years. And the newly appointed director, Ali D. Ata, 51, a Chicago-area resident, has donated at least $35,000 to Blagojevich’s campaign committee.
Ata’s appointment may be appropriate, Canary said, but the amount of giving does raise questions.
“When we see someone giving $35,000, it raises a red flag,” she said. “The person may be the best person for the job, but it does beg for a second look.”
Ata most recently served as the chief executive officer of Aaim LLC, a real estate investment and management firm. Ata also worked for more than two decades at Ondeo-Nalco, the world’s largest specialty water treatment company.
He also served as chairman of the building committee and vice chairman of the finance committee of the board of directors of St. Jude Children’s Hospital, where he managed $500 million in construction projects.
Carroll said political considerations are not part of the selection process.
“No political considerations have been made here,” she said. “The most important consideration is their expertise.”
Three IFA members have not given any money to state campaigns, according to the state. They are David Gustman, a Chicago-area resident and senior partner at the powerful law firm of Freeborn and Peters LLP; Timothy Ozark, a Chicago-area resident and founder of Aim Financial Corp. and chief executive officer of TKO Finance Corp.; and Andrew Rice, a Chicago-area resident and vice president at Jordan Industries, Inc.
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Among the six IFA members who have made contributions to Democrats over the past few years are:
• Joseph Alford, a Girard resident and member of the Illinois Farm Development Authority, who has given $1,350 to Blagojevich since the Chicago Democrat first sought the governorship. Alford also sat on Blagojevich’s advisory committee on farms and farm families.
• Michael Goetz, a Springfield resident and executive director of the Laborer’s Home Development Corporation, has donated $1,950 to various Democrat candidates since 1998.
• Niantic resident Edward Leonard’s family-run Leonard Farms donated $200 to Blagojevich’s campaign fund.
• Talat Othman, a Chicago-area resident and chairman and chief executive officer of Grove Financial Inc., has donated $4,000 to the Blagojevich campaign and another $250 to the governor’s father-in-law, Chicago Alderman Richard Mell. But Othman has also given $2,774.53 to Republican Jim Ryan’s campaign.
• Joseph Valenti, a Chicago-area resident and former banker, contributed $400 to former gubernatorial candidate Paul Vallas.
• Jill Rendleman York, a Fairfield resident and president and chief executive officer of Peoples National Bank, has contributed $2,000 to Blagojevich and another $1,500 to Jesse White.
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