Progress Illinois

Like most Americans, members of the Chicago City Council were thrilled by Barack Obama's victory last Tuesday. Not only was it gratifying to see a biracial Chicagoan ascend to the highest position in American politics, but the aldermen also expressed hope that in true Chicago tradition, Obama night might help the city get some:

After the appropriate nod to the history made by Barack Obama's presidential election, Chicago aldermen quickly got to the bottom-line, City Hall style: What's in it for us?

Asked what she expected an Obama presidency to mean to her West Side ward, Ald. Emma Mitts (37th) replied, “One word: money. You’re supposed to take care of home first, aren’t you?”

While not surprising, the aldermanic responses were both parochial and politically tone-deaf.  The expectation shouldn't be that Obama will give Illinois and Chicago special treatment, which seems unlikely.  Rather, as the country slips into recession, local politicians should be urging the president-elect to follow through on providing much-needed federal assistance to struggling states nationwide -- Illinois among them.

As we've written before, a second economic stimulus package that directs federal aid to state governments (which can't deficit spend) could be a crucial tool in staving off job losses and cuts to essential government programs. According to the New York Times, Obama agrees:

Quick passage of an economic stimulus package is high on Mr. Obama’s agenda, even more pressing for the moment than the tax package that he promoted repeatedly during his campaign.

Congress could act on the stimulus this month — but only if the president-elect signals that he favors a preinauguration special session, Congressional Democrats said. Legislators would more than likely adopt some relatively inexpensive measures rather than try to pass a much larger outlay that the Bush administration might oppose. After he takes office, Mr. Obama is likely to ask Congress for an additional economic lift, those in his camp say.

Speaking to George Stephanopoulos yesterday on ABC's This Week, incoming White House chief of staff Rahm Emanuel assured voters that a stimulus package remained a top priority. Even better, Obama seems to have the right instincts on what type of spending provides the best bang for the government's buck. "Before the Wall Street financial crisis hit, Obama called for a $50 billion economic stimulus package," reports Stateline, "with $25 billion going to financially struggling state governments and $25 billion to help states build and fix highways, roads, bridges, airports and rail systems." With a Democrat in the Oval Office, congressional leaders won't necessarily have to cater to the GOP's demands either, which offer little but tax cuts to the wealthy.

Interviews with top transition advisers suggest that more broadly, Obama will buck the conventional Neo-Hooverite wisdom and spur the economy using targeted but substantial government spending. Via the Financial Times:

US President-elect Barack Obama intends to push a comprehensive programme of social and economic reform beyond an immediate emergency stimulus package, Rahm Emanuel, the next White House chief of staff, indicated on Sunday. [...]

Sunday’s comments also reinforce the impression that Mr Obama’s transition economic advisory board – which includes leading lights of the Clinton era, such as Lawrence Summers and Robert Rubin – is tilting heavily towards a “big bang” approach that would combine a short-term stimulus with large public investments to raise the longer-term US growth rate.

What do they identify as priorities? The same programs on which Obama has campaigned: far-reaching reforms to our energy, healthcare, and education policy. It's increasingly clear that Obama doesn't want this historic opportunity to pass. Now, it's up to progressives to push for proposals that are ambitious enough.