Thursday, May 19, 2011

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Local cities: Show us the money, Illinois

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[May 19, 2011]  SPRINGFIELD -- The city of Moline's public library is open only six days a week. Its public parks' lawn is mowed once a month. And the city staff has been cut by 10 percent, while the remaining workers are taking more furlough days and a pay freeze.

Local cities are "cutting to the bone" and may need to start cutting into their public safety departments, if the state of Illinois doesn't pay what it owes to local governments, which also are fighting against a proposed $300 million funding cut.

"We have already cut a lot of the amenities that bring families and small businesses into a particular community because of the quality of life, and it's a good place to live," Moline Mayor Don Welvaert said during a Wednesday morning news conference attended by other mayors from across Illinois.

Kelly Kraft, spokeswoman for the Governor's Office of Management and Budget, said Gov. Pat Quinn is proposing payment delays, not cuts, for the cities just so the state can catch up with its other bills. Illinois' backlogged bills are expected to double to $8 billion by the end of June, according to the comptroller's office.

Exterminator

And no one likes to have unpaid bills, said Ron Baiman, director of budget and policy analysis for the Center for Tax and Budget Accountability, a Chicago-based, nonpartisan, data-driven organization that analyzes public policy and budget-related issues.

"If the state can't borrow to pay its unpaid bills, then it's going to have to decide who to pay first, and local governments don't necessarily come first on the list there," Baiman said.

Local governments are supposed to receive 10 percent in funding from the state's income tax, which is the one of the largest revenue generators for the state. And despite this past year's 67 percent personal income tax hike, which was implemented in January, local governments are not receiving additional funding.

"We didn't continue to get our 10 percent. We were dropped back to 6 (percent)," said Elburn Village President David Anderson. "We didn't holler too loud, because basically most of us had already made that decision (consciously) and made cuts."

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Palos Hills Mayor Gerald Bennett said local governments are generating revenue, but they are not getting their fair share back from the state.

"We provide the income tax through our residents working; they get 90 percent, (and) we get 10 percent," Bennett said. "We provide the motor fuel tax that helps the state build the roads, and we only get a portion of that."

Welvaert, the Moline mayor, agreed.

"It's time for Springfield to wake up and understand that the locally generated revenues are just that -- local revenues," he said. "They do not belong to the state and the state of Illinois representatives and senators to do with as they please."

Mike Houston, Springfield's newly elected mayor, said his residents don't want to see local taxes increased to cover local shortfalls.

"They're telling us, 'Live within your means,'" he said.

[Illinois Statehouse News; By MARY J. CRISTOBAL]

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