WHAT'S TO BE DONE about the state's tight fiscal condition if it continues? Sixty-seven of the 112 downstate House candidates responded to that question on an Illinois Issues questionnaire. (All legislative candidates have been asked the same question, and Illinois Issues will report results from the Cook County House candidates and Senate candidates in upcoming magazines.)
Taking all the suggestions received from candidates to help solve the state's fiscal problems, five general categories were derived. But a candidate was not limited to one suggestion and may have responded with suggestions in more than one category. And while responses from candidates can be generally categorized, their individual answers ranged from specific proposals to general rhetoric regarding their economic views. Not every candidate is quoted directly in the following summary, but the footnote numbers on the list of candidates on the following pages indicates 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 situations are:
1. Holding the line on spending, or reducing current expenditures.
2. Reordering of priorities for spending.
3. Reorganizing the legislative and / or executive branches of government.
4. If none of the above work, increasing the state income tax (only suggested as a last resort in each case).
5. Improving the business climate of the state.
1. A "common sense" policy of maintaining, and even more preferred, reducing current expenditures was the most popular position taken by the office seekers. Legislative review, alteration and enforcement of existing programs and policies was one means suggested to accomplish this. Public aid appropriations received particular attention. Richard Mulcahey (D., Durand), for example, contends that a line item reduction of the department's current budget in accordance with the alleged 10 per cent ineligibility rate would net the state a $200 million saving. Calvin Skinner (R., Crystal Lake), on the other hand, advocates additional hiring of investigators and caseworkers from interested persons who are already on welfare rolls, while implementation of a federal grant that would prevent future medical provider frauds is being demanded William Kempiners (R., Joliet). The money, designated to establish a computerized surveillance system, would spot and stop fraudulent claim payments.
Alteration of local government aid was also discussed. Harry Leinenweber ( R., Joliet) suggests a cut in categorical grants, or provision of a waiver for programs that are automatically funded for economically pressed units. George Ryan (R., Kankakee) would like to see prorated grants and aid to local areas; Mary Lou Sumner (R., Dunlap) feels that "government should be returned to the local level," and Vincent Birchler (D., Chester), wants to get "an honest evaluation" of both the local and state fiscal pictures through a consensus of the agencies involved in the budgetary process.
Changes in the current budgetary process were also considered. As drafter of the federal Budget Control Act of 1974, Republican candidate Jim Reilly (Jacksonville) wants its adoption at the state level. Providing for a legislative budget procedure, the proposal would require the General Assembly's adoption of a resolution indicating
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the estimated income and planned division among various subject areas before actual appropriation bills could be considered. A second concurrent resolution would be adopted at the end of the process to reconcile the amounts appropriated with anticipated revenues. Other suggestions were the adoption of biennial budgets (Michael McClain, D., Quincy), of program budgets (Lynn Martin, R., Rockford), and zero based budgets (Kenneth Johnson, D., Wood Dale). Establishing a bi-partisan legislative committee to examine both spending patterns and the current tax structure was suggested by Joseph Dakin (D., Carbondale), and the reevaluation of present tax systems was suggested by Gilbert Deavers (R., Normal).
Additional belt tightening suggestions include expanded legislative investigation into the spending of appropriated funds by Joseph Mudd (D., Peoria) and John S. Matijevich (D., North Chicago); creation of special task forces to study "the most severe problems" by Ronald Griesheimer (R., Waukegan); formation of a "little Hoover Commission" to determine the areas of waste by Adeline Geo-Karis (R., Zion) and Everett Steele (R., Glen Carbon); elimination of "loaded" state payrolls by Betty Lou Reed (R., Deerfield); adoption of a seven per cent spending reduction by executive branch departments and agencies by Donald Deuster (R., Mundelein); cutback in working hours by Ron Stroupe (D., Huntley); enforcement of tax assessment legislation by Lynn Martin (R., Rockford); curtailment of outside consultants and continuation of federal revenue sharing by Celeste Stiehl (R., Belleville); reorganization of the State Board of Elections and elimination of the Illinois Information Service by Richard Luft (D., Pekin); reduction in all agency requests for travel, commodities and printing by Larry Stuffle (D., Charleston); adoption of a wholesale tax to replace the sales tax by Ray Christensen (D., Morris), and adoption of an Illinois Taxpayers' Rights Constitutional Amendment to protect against over appropriations by George Hudson (R., Hinsdale).
The majority of respondents agreed with Roland Tipsword's (D., Taylorville) desire to fund the school aid formula, but several, like Gerald Bradley (D., Bloomington), want to see it changed. Only Thomas Ewing (R., Pontiac), supported a cut in this area. Other suggestions for helping schools included allotment of lottery money to education by Joe Lucco (D., Edwardsville) and inclusion of all programs into a single funding formula by Douglas Kane (D., Springfield).
2. A general reordering of priorities was a second major area considered by the respondents. Adhering to the need for efficiency, economy and accountability, they all supported elimination of low priority programs and curtailment of new ones until cash flow problems are relieved. Michael McClain (D., Quincy) also advocated the formation of a legislative budgetary committee to update the General Assembly's fiscal data.
3. The need to reorganize both the legislative and executive branches was another factor discussed by several of the candidates. Emphasizing that the last streamlining occurred in 1917, Richard Mautino (D., Spring Valley) recommends a consolidated property control inventory to eliminate duplicate budgets and functions. Moreover, Mrs. Robert "Giddy" Dyer (R., Hinsdale) suggests a two-phase procedure of consolidating the present 56 executive agencies into 10 departments, and a Constitutional amendment to reduce the size of the General Assembly by 1980. If approved, only two rather than the present three representatives would be elected from each legislative district, reducing House membership by one-third.
4. Only six of the respondents tackled the
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possibility of — and need for — an increase in the income tax. Monroe L. Flinn (D., Cahokia) stresses that an increase should be considered only while also arbitrarily cutting appropriations of all departments in accordance with expected revenues and implementing other administrative procedures that would reduce spending. James Von Boeckman (D., Pekin) and Robert Brinkmeier (D., Freeport) also qualified their responses by indicating that they could support such an increase "IF additional revenue is absolutely necessary."
Removal of the 5 per cent sales tax on food, clothing and medication was cited as a prerequisite to any increase in the income tax by Helen F. Satterthwaite (D., Urbana) and Thomas J. Hanahan (D., McHenry). Referring to an increase in the individual tax rate as "a last resort," Hanahan agreed with Fred Tuerk (R., Peoria) that all available ways of reducing state expenditures must occur before the tax rate is increased. Moreover, Hanahan also stressed that the current constitutional 8 to 5 corporate tax ratio should be abolished, enabling corporation profits to be taxed at the higher rate before affecting individual incomes.
5. Improvement of the state business climate was the final issue discussed by several candidates. Democrat Richard Brummer of Effingham advocates an aggressive promotion of industrial development by avoiding a tax increase, initiating investment tax credit, increasing the allowable dollar limitations and interest rates which industry can pay for industrial revenue bonds, and lending assistance to the Department of Business and Economic Development to stimulate this growth. Virgil Wikoff (R., Champaign) and Allen F. Bennett (R., Decatur) stress that a more favorable business climate would remove many people from welfare rolls, thereby decreasing unemployment claims but expanding the current tax base. Donald Anderson (R., Peru) is calling for "equitable compromises between the needs of business to make a profit and the needs of labor to receive just compensation," while Monroe Flinn (D., Cahokia) urges the state to explore the letting out of more work to private firms instead of hiring temporary employees. / T.S.B. & B.J.V.
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