Funding Options

Perhaps the citizens of our great state will get a chance to decide on taxes! Since the Governor and the Legislature can't decide on how to raise money to pay for state operations, two new bills have been proposed to allow the general public a voice through a constitutional amendment. HJRCA 42, sponsored by Rep. Mike Smith (D-Pekin), would raise the income tax on people making more than $250,000 to 6% of net income while leaving the general rate at 3%. Revenue from this plan would be split between schools, capital construction and to increase the standard tax exemption to reduce the tax load on the poor. This could raise about $1 billion for education.
SJRCA 89 would eliminate the current prohibition against a graduated income tax system. It assumes a graduated rate might be put into place but does not require it. It also is mute on where any additional funds would go.

To get either of these issues on the November ballot is a very remote possibility. Perhaps the new reality is that the general public will have to assume the role of our elected officials to solve our fiscal crisis. Read about these bills at www.ilga.gov