January 18, 2008

“If people behaved like governments, you’d call the cops.” 

 ~Kelvin Throop

The General Assembly was back in action on Thursday, January 17, 2008 to take action on the gubernatorial amendatory veto of House Bill 656, the final version of the mass transit package that had been narrowly approved last week which INCLUDED the authority for the city of Chicago to increase their real estate transfer tax up to $3 per $1,000.  Once again the votes were very close in both chambers. The House acted first, accepting the amendatory veto on a roll call vote of 61-47-0 (60 votes needed for passage). The Senate later took similar action accepting the amendatory veto on a roll call vote of 32-19-0 (30 votes needed for passage).

HOUSE ROLL CALL VOTE
http://www.ilga.gov/legislation/votehistory/95/house/09500HB0656_01172008_002000M.pdf

SENATE ROLL CALL VOTE
http://www.ilga.gov/legislation/votehistory/95/senate/09500HB0656_01172008_001000M.pdf

The one day session was necessary because last week the Governor added language using his amendatory veto power granting free transportation to residents aged 65 years and older on any fixed route public transportation services. While touted by the Governor as a positive change for “all senior citizens” in Illinois, the Republicans in both chambers pointed to the fact that there were thousands of senior citizens who would not qualify because they were in downstate transit districts without “fixed route services”. In fact of the 38 downstate public transit districts only 14 would meet the criteria (found in Bloomington-Normal, Champaign-Urbana, Danville, Decatur, DeKalb, Kankakee, Madison County, Pekin, Peoria, Rock Island, Rockford, South Beloit, Springfield, St. Clair County).

While approved, the debate in both chambers from Democrats and Republicans alike was scathing. The Governor was berated by legislators who called his action shameful, comparing him to a dictator, accusing him of grandstanding and charging that he was exercising “government by gimmick”. There were those who questioned the constitutionality of the Governor’s action stating that the added language went beyond the constitutional power to “tweak” legislation. This point is particularly relevant since there have been two rulings by the Illinois Supreme Court on the issue. In a 1972 decision the Court ruled that "the substitution of complete new bills ... is not authorized by the constitution" and in 1980 the Court ruled that amendatory vetoes can't "change the fundamental purpose of the legislation, nor make substantial or expansive changes in the legislation.”  In response, democratic Representatives John Fritchey and David Miller introduced HJRCA35 on Thursday that proposes to amend the constitution to repeal the amendatory veto, a power that Illinois shares with only a handful of other states (Alabama, Massachusetts, Montana, New Jersey and Virginia).

The approval of the amendatory veto means that House Bill 656 becomes law. For taxpayers the news is higher taxes without voter approval. The Chicago city council now, within 6 months, is given the authority to bypass State law that requires public hearing and voter approval to increase its local real estate transfer tax by 40%- an additional $3 per $1,000. The State legislation also provides that Chicago can opt to add the additional burden on the buyer (who currently pays the city’s $7.50 per $1,000 tax) on the seller (who currently pays the county and State tax which is a combined $1.50 per $1,000) or split the new tax between the parties. Beginning April 1st taxpayers will face a ¼ of 1% increase in the existing regional RTA sales tax that is authorized for Cook and the collar counties with an ADDITIONAL ¼ of 1% sales tax increase in DuPage, Kane, Lake, McHenry and Will counties for local transportation or public safety projects. 

Also on Thursday, the House approved Senate Bill 1409, a “trailer bill” to House Bill 656. This legislation sought to narrow those eligible for free services on fixed route public transportation added by the Governor in his amendatory veto and to require that the five collar counties file annual reports with the General Assembly, the RTA and the Commission on Government Forecasting and Accountability by March 1st following the adoption of the sales tax increase for transportation/public safety projects. The bill was overwhelmingly approved by the House on a roll call vote of 86-22-0 but it was NOT CALLED in the Senate.

The General Assembly is not scheduled to return to Springfield until February 13, 2008.

The February 5, 2008 primary election date is rapidly approaching! PLEASE exercise your right and VOTE!! Early voting, which must be done by personal appearance, is permitted until Thursday, January 31. Contact your local election authority for locations and for more information.  

For more information, contact Greg St. Aubin, Director of IAR Governmental Affairs, gstaubin@iar.org, or Julie Sullivan, Assistant Director, Legislative and Political Affairs, jsullivan@iar.org.

Contact information for members of the House and Senate, notice of committee hearings, text of legislation and roll call votes are all available on the Illinois General Assembly’s Web site, www.ilga.gov.