It’s no secret there’s a lot wrong with Illinois. Abraham
Lincoln’s birthday, Feb. 12, is an annual reminder of how far the state has
drifted away from the virtues of its most illustrious lawmaker.
Fixing what ails the state requires Illinoisans of all political stripes to be
honest about how they got here.
Here’s a handy list of some of the most popular myths that serve to distract,
distort or defend the indefensible in Illinois:
“Chicago Democrats destroyed the state.”
Hard feelings between Chicago and the rest of Illinois are nearly as old as the
state itself.
In the mid-1800s, for example, commodities trading sewed seeds of distrust among
downstate farmers who sent their grain to Chicago, where its grade and price
were determined by seemingly shadowy forces beyond their control.
 Today, Illinoisans find the most powerful politician in state history was born
and bred in the “Chicago machine,” a system of patronage and political privilege
from a bygone era. House Speaker Mike Madigan, of course, is at the very least a
mighty bystander in Illinois’ downfall, if not a primary cause.
But that doesn’t mean Illinois Republicans have clean hands. The Edgar ramp –
the pension “reform” that in fact was a massive can-kicking exercise – is the
namesake of a Republican governor. Some Republicans have been all too willing to
block needed government consolidation efforts, because those overlapping local
governments are sources of political power. And last year’s income tax hike was
made possible by a handful of willing Republicans.
The policy choices that have dragged down the state are the result of years of
bipartisan, transactional politics.
“State pensions are busted because politicians underfunded them.”
Politicians are indeed to blame for the pension mess. But that doesn’t mean
taxpayers are, too. And it doesn’t mean that shackling future generations to
debt they can never pay is a fair solution.
Illinoisans have paid billions more than the infamous Edgar ramp mandated to
fund state pensions, with dismal results.
The real problem? The growth in benefits.
 Total benefits promised to members of Illinois’ five state-run pension funds
increased at an average rate of 8.8 percent each year from 1987-2016, according
to data from the Illinois Department of Insurance. That’s an increase of more
than 1,000 percent, or eight times faster than median household income growth
over the same time.
This is not to say government workers don’t deserve a decent retirement. It’s
not to say government workers were sold a fair bill of goods. It’s not to say
government workers are to blame. It’s not even to say the typical worker takes
home too high a pension.
It’s simply a fact that benefits have grown far beyond what Illinoisans could
ever afford to pay.
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“Property taxes are high because the state won’t
fund our schools.”
Illinois homeowners shoulder some of the highest property taxes in
the nation. But opponents of lowering those bills through
cost-saving measures argue that they’re simply the result of the
state not doing its part in funding education.
Here’s the rub: Illinois’ state and local governments spend more per
student on K-12 education than any neighboring state, even when
removing property-rich districts from the calculation. This isn’t a
revenue problem, it’s a priorities problem.
Namely, Illinois’ spending on administrative costs
is among the highest in the nation – exemplified by the state’s
overabundance of school districts, each with its own expensive and
often overlapping bureaucracy. Instead of demanding higher state
taxes, try consolidating school districts first.
The real driver of property tax bills is the unsustainable growth in
local government spending. Reformers should tackle state-mandated
government union bargaining rules that hold taxpayers over a barrel
in contract negotiations, growth in pension costs, and mandatory
inflated wages on public construction projects in order to bring
them down. Another state tax hike won’t solve any of those problems
– or the high property tax bills that come with them.

“People aren’t leaving because of high taxes.”
The Paul Simon Public Policy Institute commissioned a poll of
Illinoisans in 2016. It found 47 percent of those surveyed wanted to
leave the state, the most common reason being taxes.
Until another poll comes out, lawmakers and pundits must make do
with this.
Further, government data reveal it’s not retired snowbirds leading
the march out of Illinois, it’s millennials. And the top three
states to which Illinoisans decamped in the most recent tax year,
according to IRS data, were Texas, Florida and Indiana.
Who moves to Indiana for the weather?
“Look, Minnesota!”
This one is the newest of the bunch. The argument is that Illinois
should enact Minnesota’s progressive income tax because it’s seen
better jobs growth and population growth than Illinois.
Here’s what proponents of the “Minnesota miracle” won’t tell you:
Minnesota property taxes are far lower than Illinois’, ditto for
workers’ compensation rates and prevailing wages. Its minimum wage
is lower for smaller employers. They spend less on education per
student (both for K-12 and in higher education), and its economy
benefitted tremendously from the North Dakota oil boom.
Good luck getting progressive tax proponents to champion any of
those policies.
Of course, there are far more myths floating in the Illinois ether
than these five alone. But hopefully, Illinoisans can pause and take
a second look the next time they hear a politician spin this yarn
again.
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