Arlington Heights Daily Herald - Feb. 18, 2015

By Mike Riopell

Gov. Bruce Rauner today is asking suburbs to give up about half of the money they get each year from state income taxes.

The proposal comes as part of his sweeping ideas for budget cuts across state government intended to rescue the state's troubled finances, but mayors might not love what the move means for their budgets.

Rauner supported the state income tax reduction at the beginning of the year, but asking for the mayors' share would boost how much the state gets at the expense of local governments.

"Saying no is not popular," Rauner said.

The new governor touts the budget as one that doesn't rely on new taxes and says the amount the state has sent to communities over the years has continued to grow despite the state's troubles.

Mayors saw the proposal coming, and have already crunched some of the numbers. For Schaumburg, that'd be a cut of about $3.5 million in the next year.

Because of the give-and-take likely to occur with the legislature, however, Schaumburg Village President Al Larson considered it too early to start forming a plan as if Rauner's proposal was the final word.

"We have yet to sit down and discuss what our options are, but we have to wait until we find out what the final numbers are before we make any premature comment," Larson said.

Rauner, a Winnetka Republican, also has called for a freeze on property taxes, and Democrats said it was a contradiction that the governor would try to take money away and ask them to take in less local money at the same time.

"To me, it's a logical step to think that if we're taking their money ... that their option will be to increase property taxes," state Sen. Melinda Bush, a Grayslake Democrat, said.

Republicans, though, said there would need to be pain everywhere to solve the state's deep financial problems.

"It's going to be tough medicine for a lot of groups, but it's a realistic budget," state Rep. Tom Morrison, a Palatine Republican, said. "We actually balance the budget rather than using gimmicks."

Communities now share a pool of 8 percent of Illinois income taxes, and Rauner wants them to take 4 percent in the budget starting July 1.

Other towns that get less would lose less.

Rauner's plan will need lawmakers' approval to go forward.

His proposal is a more severe version of what's been proposed by former Gov. Pat Quinn in past years, so mayors have fought this battle before. They'd won so far, tapping into the political strength of local government at the Capitol, which is inhabited by lawmakers who have close ties to local officials. Many are former mayors or former members of various local boards.

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Category: In The News

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