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Summing Up Springfield: 2019 Review & 2020 Preview

By David Wood posted 12-17-2019 09:52

  

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For years, the Illinois legislative process has been complicated by struggles between the Governor and the General Assembly (GA). This, despite Democratic control of both chambers and irrespective of governors from both parties. Blagojevich and Quinn, both democrats, struggled to work effectively with the GA. With Rauner, a Republican, the process essentially collapsed and the resulting gridlock lead to years with no state budget and huge backlog in bills. Fortunately, because of the priority Elementary and Secondary Education (ESE) holds with voters, the GA and Governor, even under these trying times, and perhaps in part because of this gridlock, progress was made with the passage of the Evidence-Based Formula and increased funding.

 

This prior gridlock also likely played a role in the last election when voters elected Pritzker, a Democrat, Governor, and gave Democrats veto proof majorities in the GA and elected Democrats to all other statewide offices. In his first budget address, faced with billions in backlogged bills, a large structural budget deficit, and significant program expectations from the election and prior gridlock, Pritzker proposed what may be the most complicated and sweeping agenda of any Governor in recent memory.

 

By the end of session, it was clear that for at least one year, things had changed in Springfield. The Governor and GA worked well together and accomplished much of his agenda. The Governor was willing to compromise and clearly understood how to count votes and work with the GA to find ways to get much of what he proposed. The changing dynamics in Springfield both helped and hurt the Management Alliance. The Republicans were less able to balance the policy debate, the teachers and other unions were strengthened and the leadership of the Illinois State Board of Education (ISBE) changed. Another change likely to affect the dynamics in Springfield going forward is the retirement of the President of the Senate and the election of a new President. The accomplishments of the session also set up the agenda for the next year, particularly the constitutional amendment for a graduated income tax and what appears to be the desire of the GA to link this with Property Tax Relief (PTR). The constitutional amendment would authorize the GA to change the income tax from a flat rate to a series of graduated rates.

 

During session SB690 was proposed to provide significant PTR. It would extend PTELL to the entire state and freeze the next years extension growth to 0% if the GA fully funded EBF ($300 M) and funded 97% of the remaining Mandated Categorical grants. While this proposal did not pass, the GA created the Property Tax Relief Task Force (PTRTF). The Management Alliance has been monitoring the PTRTF, which must report to the GA by December 31, 2019. Issues they have discussed include among other things various freezes or limits, fund balance triggers, school district consolidation, exemptions and additional EBF funding (built in PTR Grant and increases ability of school districts to abate or at least control their growth of property tax).

 

Another major accomplishment of session affecting ESE, was the passage of a major capital bill including new authorizations for school construction and maintenance. The GA established a School Construction Task Force (SCTF) to review the rules associated with the existing school construction and maintenance program. This task force has met once and will continue to meet until it reports in the spring. At the first meeting ISBE and the Governors Office of Management and Budget announced the first $40 M in maintenance funds would be released soon (the Application is now open) but other funding would likely wait until the task force reported and changes could be made in law and rule. The program is funded with bonds backed by new revenues approved during the session and therefore the states ability to make grants and repay bonds will take time.

 

Given the changing dynamics in Springfield, the Management Alliance was unable to impact increases to the minimum wage and minimum teacher salary bills, new data privacy rules, and class size reporting. It was able to get exceptions for e-learning emergency days within the re-imposed five clock hour day.

 

The MA, with the help of the teachers’ unions and witness slips from school districts, was able to pass legislation during session which returned the pension penalty to 6%. The same coalition was able to stop legislation which would have re-imposed the PE mandate and force school consolidation. However, consolidation has been discussed by the PTRTF and along with PE is likely to continue to be an issue going forward.

 

For a more complete review of all legislative changes last session and in the fall veto session, see the Alliance Legislative Reports.

 

Additional issues that will continue into the 2020 session are:

  • Special Education Isolation
  • Pension Shift
  • Annual Funding, particularly EBF and Professional Review Panel changes to the formula
  • School Construction
  • Reporting and Accounting Changes, including EBF Spending, GATA, and ISBE Strategic Plan changes
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