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By NORA NEWMAN JURGENS

The races for the money: campaigns for comptroller


Adeline Jay Geo-Karis Republican




Jerry Cosentino Democrat

Mike Houston Republican

THE most important responsibility of both the Illinois comptroller and treasurer is to generate more jobs in the state, according to the candidates running for those offices.

Given the constitutional constraints of the offices, they may be stretching the jobs issue, but the candidates for comptroller and treasurer are at the bottom of the November ballot list for statewide offices, competing for media coverage and the public's attention with the more powerful offices at the top of the ballot. But with all the quirks in candidacies of both political parties, the races in 1986 for these two executive offices wind up being the only "regular" ones.

All four candidates won their party's primary, and all are veteran politicians. In the comptroller's race incumbent Roland W. Burris is a two-time winner of the office. His Republican opponent, Sen. Adeline Jay Geo-Karis (R-31, Zion), has served for 13 years in the Illinois legislature and is currently in the middle of her second term in the Senate. Neither faced opposition in the March 18 primaries.

The treasurer's race offered a little more excitement for Democrats, when what everyone thought would be a walkaway for incumbent James H. Donnewald turned into a hotly contested battle between three very different Democrats and an unknown fourth candidate backed by Lyndon H. LaRouche Jr. It had taken threats by ticket leader U.S. Sen. Alan Dixon to convince the regular Democratic party to slate Donnewald in the first place. Donnewald then had to defend a lackluster record against the onslaughts of public activist Patrick Quinn and former treasurer Jerry Cosentino who stayed on the ticket despite the lack of the official party endorsement. Cosentino emerged the victor.

The Republicans had problems with the treasurer's spot, too. Before the primary, Gov. James R. Thompson tried to convince state Rep. Jack Davis (R-84, New Lenox) that he would be a stronger candidate than Springfield Mayor Mike Houston, who had already announced his intention to seek the office with or without the governor's endorsement. Davis backed out, leaving Houston, who has been mayor of Springfield since 1979, with no opposition in the primary.

After the March 18 primary fiasco suffered by the Democratic party, every statewide office needs a viable candidate. Democrats now have the incumbents for comptroller and attorney general, but they are also saddled with LaRouche-backed candidates for lieutenant governor and secretary of state on the November ballot. They have Dixon, of course, as the incumbent U.S. senator at the top of the ticket, but there is a hole in the ballot since Adlai E. Stevenson III dropped off as the Democratic party's gubernatorial candidate. Stevenson is still running for governor under a new party label and must slate a field of candidates for all statewide offices. The confusion of the new Stevenson slate on the ballot may hurt the regular Democrat party candidates — and help the Republicans. Republicans have the incumbent governor and secretary of state on the November ballot, but they, too, have some candidate problems.

July 1986/Illinois Issues/15


There is little problem with the main issue of the campaigns for both comptroller and treasurer. The four candidates, Democrats and Republicans, echo the same theme in discussing their campaigns. That central theme, as Burris put it when he ran for the office of comptroller in 1977, comes down to three issues: "Jobs, jobs, jobs. Any fiscal officer who does not move in that direction is not carrying out the extension of his responsibilities."

Although the candidates say the issues are jobs and economic development, these two state "money" officers play an important role in the fiscal and political balancing act of the state. This role isn't highly visible, however, and does not easily translate into a campaign plank. Yet the role of watchdogging the state's spending, investments, revenue collections and transfers has become a counterpoint to the fiscal information from the governor's Bureau of the Budget. Since the 1970 Constitution went into effect the two financial offices have been controlled by the party opposite that of the governorship (with the exception of 1975-1978 when Democrats held both the governor's and the treasurer's office). The Democrats now control both financial offices as well as both chambers of the General Assembly, which theoretically controls all spending authority of the state through the appropriations it approves each year.

Comptroller 'fiscal watchdog'

The candidates highlight the jobs issue instead of the fiscal role. All four believe, if elected, that their duties include "selling" Illinois to create more jobs. Geo-Karis said she would use the "aegis of the office" to bring more jobs into the state. She would expand the comptroller's office "by myself, even if I had to do it on my own time and with my own money." Burris and Geo-Karis agree that Illinois offers numerous advantages for business, from a skilled work force to plenty of natural resources.

The traditional duty of the comptroller, as created by the 1970 Illinois Constitution, is that of the keeper of the state's checkbook, paying all of the state's bills with the money received by the state treasurer. The comptroller is also a watchdog for the state, making sure all requests for payments meet the requirements of law. The comptroller monitors revenue collections as well as expenditures and is in charge of the state's central accounting system. He or she reports on the financial health of the state and must provide public access to the state's financial records.


The governor may prefer to call
it 'flexibility' when he tries to balance the budget,
but Burris prefers to call it 'manipulation' . . .


Keeping the books of a "$20 billion corporation," as Burris describes Illinois state government, would seem to be enough to occupy every spare moment of the officeholder, but Geo-Karis believes that the office could do more. Specifically, she believes the comptroller should do more to curb the problem of forged state checks, a problem she believes costs the state "millions." She says she would push to establish a commission to screen state checks for forged signatures. Burris has instituted an expenditure analysis and review section to detect some illegal activities; this section screens Medicare and Medicaid payments for irregularities or suspected fraud.

As his second term is ending, incumbent Burris is pushing for funds to begin the process of upgrading the state's accounting system, originally established in 1973. Known as CUSAS (Centralized Uniform Statewide Accounting System), the system was set up by the first comptrailer, George W. Lindberg, and has not been changed except by "patchwork," Burris said. Under CUSAS II the system would be modernized to allow for such time savers as writing one check for all vouchers submitted by a vendor. Currently, a separate check must be written for each voucher. Such a system, if put in place, would also allow the comptroller's office to be more up to date on all transactions of state funds.

Fiscal responsibility is a key function of the office, and Sen. Geo-Karis said she would not hesitate to hold the governor and his budget office accountable: "The governor knows me well enough to know that I tell it like it is." She says that she would apply more pressure on the appropriations process — on her present legislative colleagues — by keeping the chairmen of the four appropriations committees informed of the money available at all times. She would suggest that they "tailor" appropriations accordingly.

Both candidates agree that the comptroller must remain an independent executive officer. Burris said that the comptroller cannot be "beholden" to the governor, "or else you will never hear the other side of the story." He believes that the office acts as a "deterrent" to manipulations of the budget by the governor and his Bureau of the Budget. The governor may prefer to call it "flexibility" when he tries to balance the budget, but Burris prefers to call it "manipulation, because it keeps the pressure on."

16/July 1986/Illinois Issues


Treasurer more than banker

The Illinois Constitution is equally brief in its description of the duties of the state treasurer. The Illinois Blue Book explains that the office serves as "banker for the state of Illinois," receiving all revenues and dispersing money "upon the order of the comptroller." The treasurer is also responsible for investing state funds to earn the highest return possible.

The treasurer's office, like the comptroller's office, has been shaped by whoever holds it. Cosentino, the Democratic candidate who held the office from 1979 to 1983. claims that he earned three times as much interest for the state as any treasurer before him. He also takes credit for starting the farm loan program which, through depositing state revenues in various banks around the state, makes money available to farmers for spring planting, and for the Illinois Public Treasurers' Investment Pool (IPTIP) program, which allows treasurers of public bodies such as small municipalities and library districts to pool their money with the state to earn greater returns.


While the candidates push their ideas
to further the state's economic development, the
real issues of the two offices tend to center
around efficient state operations...


Cosentino says the office should expand its services to help small businesses in light of the continuing shrinkage of federal small business programs. The state treasurer is in a good position, he said, to help local businesses through the "linked deposit" concept. As treasurer Consentino would establish a "Buy Illinois" program to make state dollars available through local financial institutions for loans to business and industry. The treasurer should also be an advocate for the consumer, Cosentino believes. His campaign to reduce interest rates on bank credit cards has been frustrated, he said, by lobbyists for the banks and the Retail Merchants Association, who wants to keep interest rates high. He believes that lower rates will ultimately generate more use of credit cards by consumers.

Houston, the GOP candidate, disagrees with Consentino on the treasurer becoming a consumer advocate, but agrees the treasurer should aid small business. Consumer issues, Houston says, are not a part of the treasurer's duties; the treasurer should only be concerned with using state funds for economic development. Consentino's plan to place limits on what Illinois businesses can charge for credit card interest rates would not make much difference for consumers, Houston said, since 60 percent of credit cards are issued from outside the state.

Houston's plans for using the treasurer's office to promote economic development sound similar to Consentino's. Houston said he would also develop programs, using the linked deposit approach, to make money available to local governments and businesses for development projects. Houston advocates an active role for the treasurer in representing the state when it goes to the bond market. Houston believes that since the treasurer is the person who invests state funds, he should be more closely involved with the bond houses. Most of that spade work is now done by the governor and his Bureau of the Budget.

Houston would also like to see a better system of cash management in the treasurer's office. He says that while the banking business has changed drastically, the treasurer's office operates in the same way it did 20 years ago. He would computerize the office, including instituting electronic transfers of funds, a process which "would be more efficient and would generate more interest."

Both Cosentino and Houston agree that the office of treasurer should remain an elected one, independent of the governor. "Why give the governor more power?" Cosentino asks. In Houston's view, the elected office provides for more accountability, as well as strengthening the system of checks and balances with the governor.

Low-key, but important

While the candidates push their ideas to further the state's economic development, the real issues of the two offices tend to center around efficient state operations, which, as Burris points out, do not make for much in the way of "sexy" news. The comptroller must be concerned with the flow of revenues, meeting the state's many obligations in an efficient and expeditious way. Emphasizing his incumbency, Burris contends that the person in charge of that office should have a strong administrative background, with a good understanding of the workings of state government.

Burris has made his mark as a watchdog who is not afraid of biting even the governor if he feels that Thompson has manipulated the numbers. At the same time, Burris' commitment to the office has been questioned. In her bid to unseat him, Geo-Karis has said drolly that she wants to make it easier for him to "seek other opportunities." Burris was a candidate for U.S. Senate in 1984, joining Senate President Philip J. Rock and Alex Seith in a primary battle won by Paul Simon. Before Adlai E. Stevenson III decided to have another go at being governor, Burris wanted the attorney general's spot on the 1986 ballot. He was forced to seek reelection as comptroller when Atty. Gen. Neil F. Hartigan was pressured into giving up his run for governor in order to make room for Stevenson.

Hartigan is also running for reelection, which brings up the Republican party's problems of shifting candidates. Their candidate for attorney general, Arlington Heights Mayor James Ryan, resigned from the ballot in May after reporters uncovered allegations that he had abused his two wives. The vacancy has set Republican party officials scrambling to fill the void. It has been suggested that Sen. Geo-Karis, who is a practicing attorney, move into the slot, which would mean a latecomer GOP candidate taking on Burris for comptroller.

Party leaders got a proven winner when former Cook County State's Atty. Bernard Carey agreed June 16 to take on Hartigan. Carey, a member of the Cook County Board of Commissioners, was put on the defensive when it was suggested that he agreed to run only when assured that the Chicago investment firm he works for would still be eligible for state bond business. Carey said he would work for the firm "until inauguration day" but would not be involved in any state business it might pick up.

Party pressure does affect who gets the nod for candidacies, and Cosentino says he would still be treasurer if he hadn't bowed to the party's wishes and taken on Secy. of State Jim Edgar in 1982. He believes that the treasurer's office, which is responsible for investments of more than $2 billion a year, needs someone with experience and he has it. Houston says he has the necessary "hands-on" experience to be state treasurer both as mayor of Springfield and as past president of the Illinois Municipal League.

As long as the Constitution mandates that the offices of comptroller and treasurer be elected, they can be effective tools for balancing the power of the governor in the executive branch. The duties of all three executive offices, not expressly limited by the Constitution, have grown as the state government as expanded its programs and services. They have been shaped by the persons holding the offices, and they have come to reflect a movement away from a strict concern with day-to-day operations toward the new theme of state government: "Jobs, jobs, jobs."

July 1986/Illinois Issues/17


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