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Platitudes, Promises, and the Failed Pro-Union Policies of Illinois Governor Pat Quinn ^ | February 10, 2013 | Mike Shedlock

Posted on 02/10/2013 8:08:17 AM PST by Kaslin

I received an interesting email moments ago from John Tillman at the Illinois Policy Institute, a non-partisan watchdog of the ongoing mess in Illinois.

I traced the source back to an excellent article on Illinois Review written by Ben VanMetre, a Senior Budget and Tax Policy Analyst at the Illinois Policy Institute.

Please consider a repost of Quinn’s Illinois: regulations and cronyism crush entrepreneurship by Ben VanMetre.

In Gov. Pat Quinn’s State of the State address, he said, “In our Illinois, small business means big business. Driving economic growth for small businesses requires doing all we can to make sure government is not in the way.”

Quinn is right. Illinois’ economic future depends on a vibrant economy where entrepreneurs can start and grow businesses, create jobs and compete.

Unfortunately, Quinn’s policy solutions contradict his rhetoric. Quinn has been fighting for more government involvement in business, not less.

Despite the fact that Illinois already has $9.3 billion in unpaid bills, in his State of the State address Quinn advocated more government involvement in job creation and business activity: spending for roads, bridges, construction, high-speed rail, water infrastructure, technology, manufacturing and clean energy. More money for government projects requires higher revenues – this leads to calls for higher taxes, on top of the state’s highly regulated business climate. These factors explain why Illinois has one of the least competitive economies in the nation.

Illinois ranked 45th in gross domestic product growth from 2000 to 2010. Illinois’ combined federal and state corporate income tax is the fourth-highest in the industrialized world. And entrepreneurship in Illinois consistently lags behind the rest of the nation.

Illinois’ exploding government debt is crowding out business investment. Need evidence? Illinois has been downgraded 11 times since Quinn took office. The state has the worst credit rating in the nation.

The driver of Illinois’ disastrous business climate is a government that embraces corporate welfare, and continually increases taxes and burdensome regulations.

Illinois can lead the nation in economic output and job creation. But it must start by balancing the state budget, reining back out-of-control spending and taking government handouts off the balance sheets of politically connected businesses.

The Problem in Illinois

Illinois is bought, controlled, and owned by public unions and politicians on the take from public unions.

The unions do not want reform, nor do they want reasonable budgets. They do want more handouts and higher taxes.

Taking control of government in Illinois will not be easy, even with a Republican governor.

The only way to treat unions is the way Chris Christie treated them in New Jersey and the way Scott Walker treated them in Wisconsin. Bear in mind, the Walker solution was only the tip of the iceberg of the five things that need to happen.

Five Recommended Solutions

  1. Scrapping of all collective bargaining agreements
  2. National right-to-work laws
  3. Scrapping of Davis-Bacon and all prevailing wage laws
  4. End defined benefit plans for public employees
  5. Renegotiation of existing benefits in public defined benefit pension plans

Those recommendations would fix problems nationally, not just in Illinois.

Numbers 1-3 will bring down labor costs, not just for the state, but for every city and municipality in the state (an if implemented nationally, in every state). Numbers 4-5 are needed to solve massive pension underfunding.

Like the Illinois Policy Institute, I do not care if it's a democrat or a republican that gets the job done, but I do care that it does get done.

Unfortunately, I fully expect the Illinois pension problem will not be solved until the fund is within a few years of running out of money. However, that may happen far sooner than anyone thinks.

Some plans may be broke by 2020 in my estimation. All it will take is another big decline in the stock market with the pension plans overweight the wrong areas.

TOPICS: Business/Economy; Culture/Society; Editorial

1 posted on 02/10/2013 8:08:23 AM PST by Kaslin
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To: Kaslin

Illinois is broke now. For many products and services the State doesn’t even receive bids because vendors know they may not get paid for more than a year.

2 posted on 02/10/2013 8:32:40 AM PST by Lurker (Violence is rarely the answer. But when it is it is the only answer.)
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To: Kaslin

Don’t Illinois Governors end up in jail?

3 posted on 02/10/2013 8:34:15 AM PST by Old Retired Army Guy
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To: Old Retired Army Guy

They have a special wing just for ex-Governors.

4 posted on 02/10/2013 8:37:00 AM PST by dfwgator
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To: Kaslin

We keep making the mistake of thinking that a Democrat like Quinn cares about his state. Democrats run for office so they can access the public treasury for themselves, their families and their friends.

5 posted on 02/10/2013 9:28:00 AM PST by blueunicorn6 ("A crack shot and a good dancer")
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To: Kaslin
The state has the worst credit rating in the nation.

As far back as at least 30-40 years ago, signs started appearing on gasoline pumps, "We do not accept state credit cards". There's a reason for that.

My former dentist told me that he did not accept patients who were to be paid for by the state, he said he had a drawer full of unpaid bills and it took a minimum of two years to receive payment and that he had some bills that were unpaid after 10 years.

6 posted on 02/10/2013 11:12:12 AM PST by Graybeard58 (_.. ._. .. _. _._ __ ___ ._. . ___ ..._ ._ ._.. _ .. _. .)
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