Daley Seeks Stimulation

Like most Illinois politicians, Chicago Mayor Richard Daley doesn’t trust the state’s embattled governor. This is particularly true when it comes to Blagojevich's ability to dole out stimulus dollars effectively. Yesterday, Daley intensified his efforts to engineer a political agreement with the federal government that would allow the city to receive a direct share of the federal stimulus plan being crafted by President-elect Barack Obama. Here’s what he told the Sun-Times’ Fran Spielman:

“We can’t wait. You can’t allow Springfield to take your money, hold the interest, then eventually give it to you in the middle of winter. You’ll never get the job done in the middle of winter,” Daley told reporters.

“You just go straight to the federal government and say, ‘We have all the construction ready to go. We have matching funds. Let’s go with it.’ ”

Daley's point is well taken. It’s expected that Congress will allocate much of the stimulus funding to cash-strapped state governments. But in Illinois that means the money runs through Gov. Blagojevich’s office -- a scary thought these days.

That being said, Daley’s request raises two concerns.

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Anti-Labor Forces Target Missouri Constitution

Expected to be one of the most brutal congressional fights of Barack Obama’s first term, the battle over card check is already heating up in one Midwestern state. Save Our Secret Ballot, a new coalition backed by business interests and conservative think tanks, is launching a campaign in Missouri and four other states to require all union elections be conducted by what they call “secret ballot.” Their hope is that by amending their state constitutions, these states can exempt themselves from the Employee Free Choice Act if and when Congress approves the law. Here is the 47-word amendment, courtesy of a press release (PDF):

“The right of individuals to vote by secret ballot is fundamental. Where state or federal law requires elections for public office or public votes on initiatives or referenda, or designations or authorizations of employee representation, the right of individuals to vote by secret ballot shall be guaranteed.”

The St. Louis Post-Dispatch reported last week that state Sen. John Loudon is heading up the effort in the Show Me State.

But as American Rights at Work spokesman Josh Goldstein told the AP, the suggestion that the EFCA would take away the “right of individuals to vote by secret ballot” neglects “the actual facts.

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Durbin's Foreclosure Bill Among Top Senate Priorities (UPDATED)

Yesterday, we noted that the Democratic House leadership looks poised to consider two bills dealing with workers' rights in the first week of the upcoming session: the Paycheck Fairness Act and the Lilly Ledbetter Fair Pay Act. Senate Majority Leader Harry Reid has his own priorities as well. The American Prospect’s Tim Fernholz got his hands on a list of 10 bills the Senate hopes to unveil when Congress reconvenes, as sent by leadership to various staffers. While the memo doesn’t contain specific legislative language, there are some encouraging details.

Indeed, third on the list is the “Homeowner Protection and Wall Street Accountability Act of 2009, which -- along with a moratorium on foreclosures and new regulations for the financial industry -- includes Sen. Dick Durbin’s plan to aid struggling homeowners by allowing the terms of their mortgages to be revised in bankruptcy court.

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Will IL GOP Oppose Pay Equity Bills Again?

Wondering how the soon-to-be sworn-in House of Representatives will pass the time before they move forward on a financial stimulus package in February? Here's your answer: by ensuring working women and people of color are protected under the law.

According to Roll Call (subscription required), the House will consider two labor-related bills next week: the Paycheck Fairness Act, sponsored by Rep. Rosa DeLauro (D-CT), and the Lilly Ledbetter Fair Pay Act, sponsored by Education and Labor Chairman George Miller (D-CA).

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Conservative Strategy In Obama's Washington

In a year when the Republican presidential candidate went down in flames and Democrats extended their majorities in both the House and Senate, “Drill Baby Drill” was about the only victory conservatives lawmakers garnered in Washington. It seems like ages ago when a coterie of House Republicans staged a congressional sit-in to protest what they deemed the “Pelosi shutdown”—the decision by Democrats to adjourn for August recess without first voting on offshore drilling legislation. The melodramatic rallying cry (Illinois' own Rep. Don Manzullo called it “America’s greatest hour”) proved effective. Facing pressure from Republican lawmakers, Blue Dog Democrats, and a riled public frustrated with soaring gas prices, Speaker Nancy Pelosi and the Democratic leadership let the 27-year offshore drilling moratorium expire without a fight.

What did Republicans learn from the experience? According to The New Republic’s Eve Fairbanks, they saw a "blueprint for the future".

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Families USA: More Medicaid Spending Would Stimulate IL Economy

Although hospital surgeries and emergency room visits dropped slightly in the third quarter of this year compared with the same period in 2007, health care consumption is generally considered recession proof. If people are sick, they go get checked out, regardless of the economic climate. That’s problematic in an economic crunch, because as revenue sources dry up, it’s often state and federal medical programs that are first on the chopping block. Illinois currently owes a whopping $4.5 billion to health care providers, including more than $2 billion in Medicaid reimbursement. While state officials advanced a crucial $1.4 billion borrowing plan earlier this month, it won’t begin to cover the state’s medical debt. And Illinois isn’t alone, according to the Washington Post:

Already, 19 states—including Maryland and Virginia—and the District of Columbia have lowered payments to hospitals and nursing homes, eliminated coverage for some treatments, and forced some recipients out of the insurance program completely.

Barack Obama’s transition team has signaled that extra help for Medicaid will be included as part of his administration’s economic stimulus proposal. And like spending on neighborhood stabilization -- which we covered last week -- it makes both moral and economic sense to prioritize Medicaid payments.

A new study by Families USA underscores the point.

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Internal Report Finds No "Inappropriate Discussions" Between Obama, Blago Staffs

According to an internal review released by the Obama transition team moments ago, President-elect Barack Obama had no direct contact with Gov. Rod Blagojevich or any of his staff about the vacant U.S. Senate seat. Incoming chief of staff Rahm Emanuel did have multiple conversations with the Illinois governor's office, but the Tribune reports that "no one close to Obama suspected that the governor might be trying to sell Obama's Senate seat as prosecutors allege."

Despite intense media speculation, U.S. Attorney Patrick Fitzgerald had repeatedly reiterated that Blago's affidavit "makes no allegations about the president-elect whatsoever." The report verifies Fitzgerald's claim.

FOX Chicago Report Ignores Union Motivations

If you didn’t know anything about the American labor movement, FOX Chicago’s report last week on the political connections between Gov. Rod Blagojevich and the Service Employees International Union (whose Illinois State Council sponsors this website) would be a poor introduction.

While FOX Chicago generally provides decent coverage of the local political scene, this piece from investigative reporter Larry Yellen seemed tailor-made for the FOX News mothership, providing a platform for unchallenged right-wing arguments under the guise of objectivity.

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Fitzgerald: Panel Could "Significantly Compromise" Investigation (UPDATE)

While he has not ruled out giving the Illinois House impeachment committee copies of conversations caught on wiretaps, U.S. Attorney Patrick Fitzgerald is warning state legislators not to dig into criminal charges against Gov. Rod Blagojevich. The Trib has more:

In a letter released Tuesday, U.S. Attorney Patrick Fitzgerald says the panel could "significantly compromise" his investigation by interviewing Blagojevich aides about possible crimes.

Fitzgerald is also declining to provide information about his investigation, such as the identities of people mentioned in a criminal complaint.

UPDATE: CF points out that Fitzgerald did green-light the committee's probe of "fraud in the governor’s hiring and firing of state workers.”

Preventing Neighborhood Blight With Stimulus Dollars

President-elect Barack Obama and his team of economic advisers have been busy at work devising a blueprint for the stimulus package they hope to pass next month. If all goes according to plan, Democratic Congressional staff members will have an outline to draft legislation from by the the end of the year. On Saturday, the New York Times reported on those items likely to be included in the Obama administration’s initial proposal:

About a fifth of the Obama package could go toward health care, Democrats say. The biggest piece would be up to $100 billion to subsidize the states’ growing Medicaid caseloads of the poor. [...]

Besides the health care financing, it would propose billions of dollars for energy-saving programs, public works projects, school construction and renovation, and expanded jobless aid and food stamps for “the most vulnerable,” as well as tax cuts.

Financing Medicare and expanding unemployment insurance and food stamp benefits is a pretty straightforward endeavor. But officials will have to decide exactly what public works projects are worth pursuing if, and when, a stimulus is passed. One sound choice would be an expansion of HUD’s recently-created Neighborhood Stabilization Program.

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