Fiscal views from the candidates


FORMATION OF solid economic priorities and multi-facet governmental reorganization were the two views most frequently expressed by 48 of the 74 Senate candidates who responded to an Illinois Issues questionnaire seeking suggestions to alleviate the state's fiscal problems. Much like the House candidates, the Senate contenders also suggest different means for tackling the problem.

Taking all of the candidates' suggestions, six general categories were formed. But a candidate was not limited to one suggestion and may have responded with several ideas in more than one category. While responses from the candidates can be generally grouped, their individual answers ranged from specific proposals to general rhetoric regarding their economic ideas. Not every candidate is quoted directly in the summary, but the numbers) accompanying candidate biographies on the following pages indicates that a candidate answered the question and into which category his or her response would fit.

The major categories of suggestions to alleviate the state's fiscal situtation are:
1. Holding the line on spending or reducing current expenditures.
2. Reordering of priorities for spending, and making it easier to know where the money is going.
3. Reorganizing the legislative and/or executive departments and programs, and restructuring inter- and intragovernmental communications.
4. Altering tax structures, rates and collection procedures.
5. Improving the business climate of the state.
6. A few of the respondents also noted that unpredictable economic variables made an assessment impossible at this time, and they are indicated with a number 6.

1. Rejecting the concept that "government must do everything for everybody," Harber H. Hall (R., Bloomington) contends that "a fiscal problem in government is solved by simply reducing spending to a point where the total potential of the taxpayer is not exceeded." A reduction in last year's $185 million allocation for capital improvements at community colleges and universities was viewed as a good starting point for the state to alter its spending habits by Glenn T. Wilson (R., Edwards-ville). Construction of new buildings, he says, "makes little sense" in the wake of declining enrollments and birthrates which he expects to soon affect higher levels of education. Wilson also listed the construction of the Columbia-Waterloo airport, broadcast transmission tower at Southern Illinois University in Edwardsvilie, Exposition and Performing Arts Center in the Metro-East area and the Crosstown expressway in Chicago as other projects of "dubious merit" which the state cannot afford.

An across-the-board spending cut in all areas except for education and the road fund was indicated by John B. Roe (R., Rochelle) while Catherine Rondinelli (R., Chicago) believes that "the application of sound business management principles aimed at increasing productivity" could move the state away from deficit spending without curtailing vital services. If this policy is carried out in a firm and intelligent manner, Walter E. "Red" Medhurst (D., Alexis) says that overall spending can be trimmed by "at least 10 per cent or more."

Other money saving suggestions to avoid a tax increase include the removal of unnecessary positions and bureaucratic consultants from departments, by John A. Graham (R., Barrington); implementation of five-year plan nine; budgets with provisions forannual appropriations and review, by Carol A. Reitan(D., Normal), and adoption of a Taxpayers' Rights Amendment to

20/ August 1976/ Illinois Issues


the state Constitution which would limit increases in state spending to the growth of personal income, by James F. (Jim) Bell (R., Joliet). Periodic budget reviews to eliminate unneeded functions were suggested by Howard W. Carroll (D., Chicago); a study to determine if earmarked funds can be released into the general revenue fund, by Samuel C. Maragos (D., Chicago) and Ronald H. Stolle (R., Chicago); the hiring of better employees, by Gene Johns (D., Marion), and, a general "clean up" of welfare qualifications and administration, political appointments and unemployment by Willis McKinney (D., Stock-ton). From a broader perspective, Richard J. Durbin (D., Springfield) feels that an improvement in the economy may be sufficient to generate needed revenues if government does everything in its power to economize.

2. The formation of a blue ribbon committee to study and report on local school issues, unemployment and public work projects was suggested by Anthony F. Kominski (D., Matteson) as one possibility for reordering spending priorities. In concurring with this evaluative approach. Lee BraytonTrunkey (D., Wheaton) and Harber Hall would like to have all present departments and programs scrutinized to determine where savings can be gained without lowering the level of services. Full funding for education and improvement of services to the unemployed are important priorities for Trunkey.

An "unspectacular but consistent" approach to reordering priorities was suggested by James H. Rupp (R., Decatur). Emphasizing that "a person who needs a new roof does not go out and buy a new set of golf clubs," he feels that the legislature should adopt this same common sense attitude for state business. By doing so, Rupp believes that school aid, mental health needs and highway programs could be considered thoroughly during the early part of the session before "we spend the money on golf clubs." Full funding of the school aid formula but cut other areas (Robert S. Carter, R., Evanston), prompt payment of unemployment compensation claims (LeRoy Walter Lemke, D., Chicago); insure adequate funding of education, crime prevention and senior citizen benefits (Richard S. Clewis, D., Chicago), and an additional one percent increase for prison budgets (Wilson) were also listed as additional spending priorities. Salary increases for teachers, state police, prison guards, civil service workers and university professors to keep pace with inflation were viewed by Wilson as high priorities if and when additional money becomes available.

From a budgetary perspective, Mark Q. Rhoads (R., Western Springs) feels that the adoption of economic impact statements on almost all bills would also help the priority issue. These, he says, should include estimates of future costs for all legislation and an evaluation of what revenue source would be available to fund the desired program. Other ideas include funding programs directly related to human betterment by Mary Virginia Kerr (D., Deerfield) and those, especially education, that have a prior Constitutional commitment by Robert 0. Williams (R., Rock Island.)

Both David J. Regner (R., Mount Prospect) and Donald A. Moore (R., Midlothian) don't want to see any new programs adopted at this time. Regner, viewing the problem from both the state and local levels, also wants a closer look at contractual services. Crediting local government spending as "the fastest rising of all," he insists that local units realize that "they can no longer look to the state to bail them out."

3. Program reorganization was another major concern of the candidates, and public aid claims received special attention. Phillip Bianco,Jr.(R., Chicago) says estimates of payment to ineligible claimants costs the state about $150 million annually, and he would seek ways to eliminate cheaters so those monies can be used in other areas, such as education. One possibility for accomplishing this came from Rondinelli. According to her plan, the entire welfare system would be revamped to include job training, daycare services, public works employment and other programs that would help able-bodied recipients to rejoin the workforce. However, the aged, disabled and ill would still continue to receive necessary assistance. Rupp also took a

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Fiscal views of candidates

positive approach by suggesting that the abilities of welfare recipients be matched with state service areas that might help maintain those services the state might otherwise have to reduce.

Measures for preventing fraudulent claims were offered by Roger A. Sommer (R., Congerville). These provide for the inclusion into existing laws of a fingerprinting system, work programs and personal appearance requirement for check collection. In addition, Wilson feels that keeping Illinois' welfare dollar benefits consistent with neighboring states will help to avoid the attraction of "deadbeats" from areas that pay less.

Education was another program area that some respondents feel needs reorganization. Changes, according to Rondinelli, should include priorities that encourage more vocational training and a return to basic skills which are necessary to keep a job. McKinney, however, says that local taxes will have to provide more of the local educational costs; if schools want a greater share of the funds provided by the resource equalizer, they will have to make a greater effort to meet state requirements. Bell cited the Illinois Office of Education's "over-spending" as "temporarily beneficial" if it results in a tax increase. He also called for a curb on road building demands by the state Department of Transportation.

Structural reorganization was a second major area considered by the respondents. A general consolidation of departments and agencies (Williams, Stolle, Robert R. Heier, R., Chandlerville, and Richard J. Doyle, D., Hoopeston), elimination of nonessential service agencies (Moore), an increase in Senate management over state commissions (Micheel David Rothman, R., Lincolnwood) and a review of possible reductions in operational costs of executive departments (Maragos) were some of the ideas offered.

Changes in employment policies were also noted. Lemke, for example, believes that efficiency could be increased if "men with years of government experience" worked in executive offices. Carter, however, wants to reduce the number of government employees through the elimination of overlapping agencies. In addition, Rondinelli feels that a reduction in the number of supervisors with a corresponding increase in clerical and support staff would increase efficiency. Creation of more nonpolitical jobs in state government to help maintain clean streets and alleys was made by Edward T. Ploski (R., Chicago).

A third reorganizational area centered around governmental cooperation. Calling for increased communication between local and state officials, James M. Thomas (D., Ottawa) wants to have local input, including from rural areas, used by the state while drafting possible plans for solving local tax, employment and school problems. A similar feeling was echoed by Rondinelli and Frank C. Lakatos (R., Belleville), with their desire for this cooperation extending to the national level. As one possibility, Lakatos has suggested the inter-governmental creation of a national riders pool to better utilize auto space and gasoline supplies. A . driver transporting the individual would be presented with a coupon that could be used as a tax reduction or a rebate on gas purchases.

Several legislators also felt that governmental efficiency could be improved by a change-in personal attitudes. Frank Ozinga (R., Evergreen Park), states voting on "silly" bills should be stopped. Michael T. Smith (D., Elk Grove Village) feels a part of the problem is the lack of a solid economic policy. Smith also believes that stronger ethics among legislators, through the elimination of double dipping, conflicts of interest and advance pay, would not only restore public confidence, but also create a more productive attitude among other state employees. Moreover, Johns is seeking ways to improve his own . performance of public duties, while Heier and Kerr recommend that officials write fewer legislative proposals, but rely more heavily OB ' public participation.

4. To avoid any tax increase,an overhaul of the?

Incumbents

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entire tax structure aimed at providing equitable levies and better administration and collection was advocated by Stolle. Regarded as a long-term project, he feels that a return to biennial budgets will give legislators the time necessary to tackle this problem. Trunkey is also working on an evaluation of local assessment and taxation problems, and wants the legislature to pass reform bills that consider the ability to pay and, if possible, revoke regressive structures. Other proposed changes include a revamping of the property tax that will lead to an eventual replacement by a more equitable income tax (Williams), elimination of the sales tax on food and medicine (Ploski), adoption of a graduated income tax (Kelly), revision of local taxes (Medhurst), assessment of a minimum income tax (Rondinelli) and changes to eliminate tax loopholes (Rondinelli and Rupp). Adoption of a constitutional tax limitation amendment is supported by Rhoads, a change in the current 8 to 5 ratio of corporate-individual income taxes to a closer ratio of 2 to 1 by Clewis and implementation of a state revenue sharing program by Kelly. This plan would allow state taxes to be given to counties which show efficient operations. A speed up of revenue collections was supported by Reitan arid Maragos while Doyle wants to eliminate some governmental bodies with taxing powers. This action, he feels, will increase revenue sources for other basic services.

Calling for a cutback on tax burdens for all levels of government, Lakatos wants to have a ceiling imposed on interest rates for loans for residential and industrial construction. He also wants to reduce property taxes for home improvements, prorated over a 10-year period.

If and only when all attempts by government to economize fail, some of the candidates felt that a tax increase would then have to be considered. In taking that position, Durbin emphasized that tax revision would be the only means of "meeting our Constitutional and moral obligations to fund our common schools." Also concerned with educa- tion, Kenneth G. McMillan (R., Bushnell) would give schools income taxing authority as a first resort to prevent a further real estate burden. His last preference would be some increase in the state income tax, which he believes is the least unfair of state taxes.

5. Improving the state business climate was a final issue discussed by several of the candidates. All of the respondents in this category felt that economic incentives should be implemented for attracting and keeping businesses in the state. They feel the result will be more jobs, additional revenues, reduction in welfare rolls and a way to avoid a tax increase. Heier feels that this philosophy should be applied to the agricultural sector, too. ž /B.J.V.

Note: The numbers following the candidate biographies refer to specific views that a candidate expressed in response to a general question on the state's economic condition. The numbers correspond to the categories outlined in "Fiscal views from the candidates" on page 20.

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