No Lock-Step Votes as Board Approves 2016 $4.5 Billion Budget as Amended

2016 Cook County Proposed Budget:  Finance Committee and Board Meetings, Nov. 18, 2015

President Preckwinkle was successful in getting the votes to approve all Amendments to the Executive Budget she supported during the Finance Committee meeting and then in winning approval of both the new revenues and overall spending plan for the $4.5 billion budget at the Board Meeting. One of the interesting aspects of the November 13 Finance Committee meeting, which dealt with the additional revenue sources for the 2016 budget, and the November 18 meeting of the Finance Committee to deal with proposed Amendments to the Budget, was that there were different Commissioners voting for and against the differing proposals.  The same held true during the Board meeting in which the related budget proposals were passed.  In past years, it was common to see the same Commissioners voting together. 

Voting yes to approve the entire budget, as amended, were Commissioners Arroyo, Boykin, Butler, Daley, Gainer, Garcia, Moore, Murphy, Silvestri, Sims, Steele, and Tobolski.  Voting no were Commissioners Fritchey, Goslin, Morrison, Schneider, and Suffredin.  Commissioners Fritchey, Schneider, and Suffredin stated that their opposition was largely based on the tax increases used to support the spending plan, especially the sales tax and hotel tax.

In addition, the following Commissioners voted in opposition to one or more of the other Administration-supported budget-related proposals: Gainer, Murphy, Silvestri, and Tobolski.  Also, Commissioners Boykin, Daley, Fritchey, Goslin, Schneider, and Sims voted against (with Commissioner Suffredin voting present) the two proposals to increase Clerk of the Court fees.

Amendments Delay COLA Increase for Non-Union Employees and Increase Money for Chief Judge’s Mortgage Foreclosure Mediation Program

The Finance Committee considered 24 proposed amendments to the budget, approving 12 and voting down 4, with 8 withdrawn by sponsors after discussions.  Most of the Amendments approved were non-controversial corrections.  All Commissioners also supported the partial restoration of money for the Chief Judge’s Mortgage Foreclosure Mediation Program to bring the program up to 60% of the 2015 budget, utilizing additional monies from the Adult Probation Service Fee and the Social Service/Probation and Court Service Fees. 

However, there was much discussion about the proposal to delay until June 1, 2016, the previously approved cost-of-living adjustment (COLA) of 2% for non-union County employees that had been scheduled to be effective on December 1, 2015.  The Chief of Staff for the State’s Attorney’s Office  talked about the disparate impact this delay would have on that office that has one of the largest number of non-union employees:  the office is 3% of the budget, but its employees will bear 22% of the total cost savings through the delay in salary increase.  Another complaint was that this Amendment, like all the others, was posted on the County’s web site less than 24 hours prior to the scheduled start of the meeting.  Nevertheless, the Amendment passed by a vote of 14-3, with Commissioners Fritchey, Murphy, and Suffredin voting no. 

Commissioner Fritchey ended up withdrawing 3 proposed amendments which offered an across the board cut of 1% in lieu of the hotel tax and ticket re-sellers’ tax, knowing that the votes weren’t there to pass them.  Also withdrawn was a proposal to add $500,000 for restorative justice for grants from the Justice Advisory Council.  The head of that Council spoke against the proposal saying that it preferred to first see whether the existing grants were producing positive results before giving out more money. 

One Amendment that failed to pass was sponsored by Commissioners Arroyo and Suffredin which would have eliminated 9 positions from  the Clerk of the Court’s Inspector General department in favor of adding 11 Asst. State’s Attorney positions.  Comm. Arroyo stated that based on what the Clerk of the Court had said the duties of the Inspector General’s department in her office were (to investigate complaints of fraud and abuse in that office), the Commissioner believes these positions are redundant to the duties of the State’s Attorney.  Another Commissioner wondered why the Clerk of the Court didn’t just use the County’s Inspector General.  However, the Clerk of the Court’s Chief of Staff said that its employees in the Inspector General’s department also had to transfer evidence, such as bags of heroin, to and from court, and transfer large sums of money around, which you wouldn’t want the average employee in the Clerk’s office to do.  Commissioners Daley, Fritchey, Gainer, Garcia, and Tobolski joined with Commissioners Arroyo and Suffredin, but the Amendment failed with 10 Commissioners voting against. 

Also failing was an Amendment sponsored by Commissioner Steele to add 3 investigative positions to the Public Defender’s office by increasing the turnover adjustment for that department.  Commissioners Arroyo, Fritchey, Moore, Murphy, and Suffredin joined Steele in supporting, but 10 other Commissioners voted no.

The Finance Committee and Board meetings to deal with the budget began at 2 pm, after all the regularly scheduled committee and Board meetings that day.  These budget meetings ended at about 6:20 pm. 

-- Submitted by Priscilla Mims, League Observer

Finance Committee Supports Taxes on Hotels, E-Cigarette Vapor, Ammunition, & Ticket Resellers, Increases to Clerk of the Court Fees

2016 Cook County Proposed Budget:  Finance Committee Meeting, November 13, 2015

The Finance Committee voted to recommend all the items supported by the Administration at this meeting to consider additional revenues needed for the proposed $4.5 billion budget, as detailed below. The Finance Committee is expected to meet on Wednesday, November 18, following the already scheduled Board and Committee meetings, to consider amendments due to be filed Nov. 13 on the entire proposed budget. Following that meeting, the Board would likely vote on these revenue recommendations and the entire proposed budget. 

 

Also approved by the Committee was an Intergovernmental Agreement between Cook County and the Pension Fund (which has already been approved). This Agreement provides that $270,526.000 of the sales tax revenue will be contributed by the County to the Pension Fund in November, 2016.  This approval came after consideration of an alternative “Memorandum of Understanding” supported by Commissioners Gainer, Fritchey, Suffredin, and Murphy which would have provided for a continuing obligation beyond 2016, though this agreement, like the one approved, did have a termination provision. The Administration stated that it is expected that similar Intergovernmental Agreements will be presented as part of each future budget if the Administration’s Pension Reform Bill before the Illinois legislature is not enacted.

Hotel Tax (Item 15-6468).  As passed, effective May 1, 2016, will add a new County tax of 1% on the gross rental/room rate of all hotels, motels, and vacation stays in homes, the latter added by an amendment in order to make sure this covers Airbnb-type arrangements. This will increase the total tax in Chicago to 17.4%, the 4^th highest in the country. 

A number of speakers during the Public Comment portion who represent the hotel and tourist and convention industry opposed the taxes, expressing concern that it will result in conventions looking elsewhere where the costs are lower.  The representative from Choose Chicago, the official tourist marketing agency for Chicago, said that while there was no lost business when Chicago raised the hotel tax several years ago, that was done in connection with cost-cutting reforms at McCormick Place and the creation and funding of Choose Chicago, which currently has lost its state funding. Other speakers, including representatives from some of the County’s employee unions, supported this and the other taxes so that the County would not have to lay off workers and reduce services.  Commissioner Suffredin also expressed concern that this tax was being imposed without proper planning; he questioned whether the estimated revenues from this tax were too low.

Voting to approve:  Arroyo, Boykin, Butler, Garcia, Goslin, Moore, Murphy, Sims, Tobolski, Daley

Voting against:  Fritchey, Gainer, Morrison, Schneider, Silvestri, Suffredin

Absent:  Steele

Vapor Fluid Tax (E-Cigarettes) (Item 15-6025).  As passed, effective May 1, 2016, will add a new tax of $0.20 per fluid milliliter of nicotine liquid solution depleted as a vapor product. 

During Public Comments, speakers for and against spoke on this issue.  Speakers for cited health issues.  Speakers against (those in the business of selling vapor products) said that they would move out of Cook County and the County would lose the sales taxes, as well as not see the revenues from this new tax.

Voting to approve:  Arroyo, Boykin, Butler, Gainer, Goslin, Moore, Murphy, Silvestri, Sims, Suffredin, Tobolski, Daley

Voting against:  Morrison, Schneider

Voting present:  Fritchey

Absent:  Garcia, Steele

Tax on Ammunition (Item 15-6469).  As passed, will impose new tax effective June 1, 2016 of $0.05 per cartridge for centerfire ammunition and $0.01 per cartridge for rimfire ammunition, with all proceeds to go to public safety operations.

Speakers were for and against during the Public Comment period.  Commissioners voting against this were concerned that this would again drive out businesses, thereby losing sales taxes and jobs, but would not produce sufficient revenues to combat the problem of gun violence.  Also, the tax on guns enacted by the County several years ago has been tied up in litigation, and there was concern that this tax will be contested in court.

Voting to approve:  Arroyo, Boykin, Butler, Garcia, Moore, Murphy, Sims, Suffredin, Daley

Voting against:  Fritchey, Goslin, Morrison, Schneider, Silvestri, Tobolski

Absent:  Gainer, Steele

Amusement Tax   (Item 15-6024): The Administration had withdrawn its proposal to tax cable television, as well as bowling and golf and other similar amusements, but this item is intended to make the County’s ordinance consistent with Chicago’s, and it also imposes the tax on ticket sellers and resellers who have a physical presence in the County.

During the Public Comment period, it was clarified that State law preempts the County from imposing the tax on internet auction listing services, such as E-bay, Stub Hub, etc.  The representative for the Central States Ticket Brokers Association said that it does not impose the tax per se, but wants it to be applied to all, but, as Commissioner Suffredin said, that would take a change to State law. 

Voting to approve:  Arroyo, Boykin, Butler, Gainer, Moore, Murphy, Silvestri, Sims, Suffredin, Tobolski, Daley

Voting against:  Fritchey, Goslin, Morrison, Schneider

Absent:  Garcia, Steele

Clerk of the Court Automation Fee (Item 15-5775):  Effective December 1, 2015, the court automation fee will increase from $15.00 to $25.00 and be imposed on each party in all civil cases and by the defendant in other cases.

A representative of the Illinois Association of Defense Trial Counsel spoke against this and the next fee.

Voting to approve:  Arroyo, Butler, Gainer, Moore, Morrison, Murphy, Sims, Silvestri, Tobolski

Voting against:  Boykin, Goslin, Schneider, Daley

Voting present:  Fritchey, Suffredin

Absent:  Garcia, Steele

Clerk of the Court Document Storage Fee (Item 15-5780):  Effective December 1, 2015, the court document storage fee will increase from $15.00 to $25.00 and be imposed on each party in all civil cases and by defendants in other cases. 

Voting to approve:  Arroyo, Butler, Gainer, Moore, Morrison, Murphy, Silvestri, Sims, Tobolski

Voting against:  Boykin, Fritchey, Goslin, Schneider, Daley

Voting present:  Suffredin

Absent:  Garcia, Steele

-- Priscilla Mims, League Observer

No Lack of Input at Second Public Hearing on Proposed Budget

2016 Budget Public Hearing:  Maybrook Court House, Maywood,  November 5, 2015,  6:30 PM.

The hearing began on time and had 12 commissioners present. The hearing was chaired by Comm. Boykin. 

Approximately 25 people spoke, some alone and some on behalf of groups with many people standing at the podium.
Many people spoke out against the e-cigarette tax, one even claiming that such a tax would increase the amount of people who smoked regular cigarettes. One speaker was the owner of a “Vape” shop and worried about the loss of business that might occur. Also noted were several speakers who wanted more money for Restorative Justice programs. A group called Peacekeepers handed out sheets of statistics to the commissioners about lowering recidivism rates. These folks were very polite and thanked the board for the $500,000 donation to their group. Conversations about budget balancing ensued. Finally, Reclaim Chicago spoke about the Responsible Business Act. It basically taxes employers who pay less than a fair wage.

   

Some other interesting speakers included the Mayor of Lyons who complained about the 3% Amusement Tax hurting seniors the most. The Commissioners thanked this mayor profusely for the recent regulations placed on the gun shop in Lyons. Other speakers complained about the same tax. Comm. Daley stated that this tax probably would not happen.

A doctor from Access to Care based at Loyola Medical Center in Maywood asked for more funding. Some discussion ensued about treating illegal immigrants. Comm. Suffredin said that he would work with this program to try to come up with a solution to this problem. Others complained about county taxes treating illegals. Comm. Garcia said CCHHS has a mission to treat everyone equally and doctors have an oath to treat the sick.

The SEIU (state unionized workers) speaker complained about cutting the grafitti removal team because it has been very successful. A speaker from Safer Foundation thanked the board for its support in the past. Several cancer patients thanked the board for County Care and the expansion of Medicaid. Many had had no health care at all until 2 years ago.
 

A huge group from TASC (Treatment Alternatives for Safe Communities) came to the podium. They explained their mission and looked forward to working with the State’s Attorney's Office and the Jail by expanding diversion programs. Another speaker asked for more county facilities to be compliant with the Americans with Disabilities Act. She complained about both downtown county buildings and the difficulties wheelchair bound people have negotiating some of the doors and elevators.

   

The most emotional part of the evening came when one speaker (calling himself “just a taxpayer") complained about the increasing sales tax which makes Cook County have the highest sales tax in the nation. Comm. Sims said that it was a fair tax because it hits everyone who shops in Cook County evenly. She became emotional when she told everyone how difficult it was to balance this budget when all groups are asking for more money.

--Submitted by Jan Goldberg

Opposition to Tax on Cable TV and E-Cigarettes; $2 Million for Restorative Justice; Tax on Corporations Paying Less than Living Wage; and Lost Animals Raised at Public Meeting

2016 Cook County Proposed Budget:  Public Hearing at the County Building, November 3, 2015

Lawrence Msall, on behalf of the Civic Federation, after complimenting the County government for the actions taken with regard to criminal justice reform, health care, and rationalizing the workforce, said that with regret, the Civic Federation could not support the proposed budget. The opposition was mainly to the 1% increase in the sales tax that the Board had approved this summer, and on which this budget is based.  The Civic Federation cited the competitive disadvantage the Board was creating for the many businesses in Cook County, particularly those on the County’s borders. 

However, in response to a question by Commissioner Suffredin, the Civic Federation thinks the $30 million in additional taxes and fees that are part of this budget proposal are reasonable.  This was clearly not what the Commissioner wanted to hear, as he expressed his concerns about these revenue proposals.   Subsequently, the Chamber of Commerce expressed its opposition to extending the amusement tax to (or rather eliminating the current exemption for) cable television.  There were several other speakers similarly expressing opposition, as well as one speaker in favor.  Chairman Daley stated that in talking with the individual Commissioners, it seemed unlikely that the Board would pass the expansion of the amusement tax, so the Commissioners will have to come up with proposals to cover the $18 million projected from this tax, either through other new revenues or through cost cuts.

Several speakers also voiced opposition to the proposed tax on E-cigarettes. 

Several speakers called on the Board to increase the $500,000 for restorative justice programs in the budget to at least $2 million. The dialogue between a couple of the Commissioners and one of the speakers got a little heated at one point, as the Commissioners explained that they supported more money for restorative justice programs, but also were faced with trying to balance the budget.  The speaker argued that if the County would stop spending so much on the jail, it could fund restorative justice, which would do much to reduce the jail population.  Commissioners pointed out that they have a responsibility to see that there is sufficient money for the jail in order to protect the public from those committing crimes.

Several speakers spoke in support of a proposed ordinance (the “Responsible Business Act”) that would impose a tax on employers who had 750 or more employees making less than a “living wage.”  Chairman Daley pointed out that this proposal is not part of the budget, and has been referred to a Board committee for separate consideration.

Several speakers also urged that the focus of the Animal Control Department of the County be expanded to include helping owners find their lost pets. 

One speaker complained about the Health & Hospitals System treating undocumented immigrants.  Chairman Daly stated that the mission of the County’s health system has always been to treat everyone.

Next Steps

The Finance Committee finished its last department meeting on Nov. 2, and has one more public hearing at the Maybrook Courthouse at 6:30 pm on November 5.  Chairman Daley indicated that the deadline for the Commissioners to submit amendments to the proposed budget would likely be next week, but had not been finalized.  Check on the budget calendar.  A meeting of the Finance Committee to vote on these amendments and the resulting budget will then be held, followed by the Board meeting to vote on the budget, as amended.

-- submitted by Priscilla Mims, League Observer

Cook County Board Meeting June 19, 2013

The meeting was called to order at 11:15 am by President Preckwinkle after an extended Finance Committee meeting. All commissioners with the exception of Commissioners Tobolski and Garcia were in attendance.

The first order of business was to refer three agenda items regarding amendments to the recently-adopted Source of Income Amendment to the Human Relation Cods to the Human Relations Committee. The speakers for the issue will be given notice of the new meeting time and date.

USE TAX
J. Thomas Johnson from the Taxpayers Federation spoke concerning his view about constitutional problems that might occur with the county's proposed tax levy for personal property. The County's plan is to tax on the value of property rather than on the purchase price. Without amending the municipal tax laws, he feels that this would be unconstitutional and an unfair burden. It would require citizens to file with the state, county, and city.

HONORS
Rules were suspended for the purpose of moving to item 18 on the agenda: a resolution honoring injured Silver Star Family War Veterans in Cook County. Presentations were made by all board members for those in their districts. Veterans included: 2 from the Korean War, 14 from the Viet Nam War, 1 from Desert Storm, 5 from the War in Iraq and 1 from the War in Afghanistan. Names were read for those not present, including one from World War II.

AGENDA
The consent Calendar was approved.  The commissioners then voted to go into closed session to discuss litigation.  The meeting resumed at 12:30.

Interesting discussion took place on the relief of overcrowding at Cook County Jail. Chosen inmates are sent to other facilities in-state for the purposes of safety and cost. There are currently 9,904 in custody. $143 is spent per day on each. 83% are arrested for violent crimes.

A lengthy discussion took place concerning the costs for a disparity study required every 5 years for the Forest Preserves, Hospitals, and Professional Services. Cost for this is shared with the state. It was approved.

Commissioner Daley moved to suspend remaining agenda items to proceed to New Business. All New Business Items were moved to committees.

The meeting adjourned at 3:30 pm.

--Submitted by Pat Lind  

Cook County Board and Committee Meetings of May 29, 2013

A Public Hearing of the Finance Committee concerning a proposed amendment to the Cook County Parking Lot and Garage Operation Tax Ordinance was scheduled to begin at 9am but was delayed as a quorum was not present until 9:15am.

After Chairperson Daley called the meeting to order he announced that the amendment had been withdrawn but did allow those who were in attendance to give their testimony on the issue. A person representing parking lot owners and managers stated that much work had been done to change state law so that a percentage tax would be used and not a flat rate. Implementation was supposed to be revenue neutral though and the proposed amendment included a percentage tax that would increase revenue and thus increase rates. The 3 speakers representing the hotel and parking industries were not in favor of the amendment as proposed. Chairman Daley stated the administration would be back with a new proposal at a later time.

Several other committee meetings were then held prior to the board meeting. The only item of note was during the Finance Committee meeting when John Cookinham, CFO for CCHHS, stated that the first payment for those persons qualified for Medicaid under the 1115 Waiver was received in April. Monthly 1115 Waiver payments will be coming in now and will include retroactive payment to the date of application for those who qualify.

The board meeting was called to order promptly at 11am by President Preckwinkle. Public comment now begins all of the committee meetings and the Board Meeting. Items from the Consent Calendar that were highlighted included memorials to Cal Sutker, a previous CC Commissioner, and Sister Sheila Lyne, a recently retired member of the CCHHS Board.

At 12noon Comm. Steele stepped in as President Pro Tempore to preside over the remainder of the meeting. Each agenda item was moved, seconded, summarized, and voted on in short order with minimal discussion. Highlights: The start time for board meetings was changed from 11am to 10:45am beginning with the next board meeting in June. Another item that was approved was a change to the board rules that clarifies how an item can be divided from a committee report for a vote. (Agenda item #7) According to Comm. Suffredin this is now known as the “Fritchey Rule”, resulting from a parliamentary disagreement at a previous board meeting.

There were 9 items on the New Items agenda, 3 of which could be acted on as they had been posted more than 48 hours before the meeting. An item that was referred to the Finance Committee was an amendment to the CC Procurement Code that will require social service contract providers to submit an annual performance report to the Board of Commissioners. A contract extension was granted to Northwestern for $1.8m to manage the Juvenile Court Clinic for another 18months while an evaluation of this court is undertaken. An RFP was issued a year ago and is considered still active while this evaluation takes place and is intended to result in a new plan by December of 2014. Another new item was the proposed appointment of 4 members to the CCHHS Board. If appointed the new members will include M. Hill Hammock, Wayne M. Lerner, and Lewis M. Collins for 4 year terms ending on June 30, 2017 and Ada Mary Gugenheim until June 30, 2014 to fill Quin Golden’s unexpired term. The appointments were referred to the Legislative and Intergovernmental Affairs Committee for consideration.

The meeting was adjourned at 12:30pm.

Submitted by Cynthia Schilsky, LWVCC Observer

Final Report on Cook County Budget Meetings

Budget Passes 16-1 after Finance Committee Deals with 64 Proposed Amendments; A Number of Jobs Saved

Following the final meeting of the Board’s Finance Committee dealing with the 2012 budget, the Cook County Board convened and voted 16 to 1 to pass the budget, as amended.  Comm. Beavers was the lone dissenter.  This vote took place around 4:30 pm.

Thus, for the first time in many years, the County Board completed its work during business hours and prior to the start of the fiscal year, which begins December 1.  The Cook County web site touts that this is the earliest a budget has been passed since 1995.

Prior to the Board taking its vote, the Finance Committee met to consider some additional revenue proposals and 64 proposed amendments that had been submitted prior to the deadline on Wednesday, Nov. 16.

Amendments Save Positions

As a result of these amendments, a number of jobs originally slated to be eliminated by the proposed budget, were reinstated by cutting money from non-personnel budget categories, such as training and use of outside contractors.  One of the more controversial ways to provide additional money to retain jobs was the use of what is called a “turnover adjustment.”  This is a credit to a department's budget to reflect the fact that not all the positions that have been budgeted will actually have people employed in them throughout the entire year. For example, if an employee leaves, it might be a month or more before that position is filled. So, if the annual salary for that position was listed in the budget for $60,000 and if there was an assumption that the position would be unfilled for one month, then the turnover adjustment for that position would be $5,000, or 1/12 of the annual salary.

Comm. Schneider expressed concern about the liberal use of turnover adjustments in a number of amendments, recalling that several years ago when he and then Comm. Claypool proposed saving positions by using a turnover adjustment, they were told that that was not a sound or prudent practice. Budget Director Andrea Gibson said that utilization of a turnover adjustment was reasonable, as long as the amount was not too great. In one instance, the Budget Department stated it was opposed to a proposed amendment because the turnover adjustment was 50% of the total yearly amount of the positions to be retained.  And in that case, the Finance Committee voted down the proposed amendment.  Where the Budget Department approved the use of turnover adjustments, the amendments were approved.

Among the positions saved were those in the offices of the State’s Attorney and Public Defender, as well as positions under Facilities Management as a result of utilizing an assumption that more revenues than originally assumed in the proposed budget would be realized in the Unknown Heir Legal Settlement fund.  The County Clerk’s budget resulted in there being an excess of $400,000 in the Election Fund, which was then used to add positions to the Board of Review.  During the department meeting with the Board of Review, the 3 Commissioners stated that if they could get additional funds to restore these positions, they would be able to get out the 2^nd installment tax bill on time (for the first time in 34 years!).  However, the statements were not nearly as strong at today’s meeting: simply that the restored positions would help in getting the bills out on time.

In order to save jobs, the Clerk of the Circuit Court, Dorothy Brown, obtained an agreement from the non-union personnel in her departments to take 10 furlough days in 2012.  These are the only furlough days to be taken by any personnel in 2012. 

Because none of the unions had agreed with the President’s proposal that some of the holidays be unpaid, a number of amendments that would have reinstated additional positions were withdrawn.   

IT Shared Services Department Created

Amendment 36 revisited a controversial concept from the 2011 budget discussions, except this time the Finance Committee voted to create an IT (Information Technology) Shared Services Department under the Bureau of Technology, which reports to the President.  It is supposed to be a shared services center to help the offices of all elected officials and departments throughout the County, with the notable exception of the Health & Hospitals System, which for now, has been left out of the consolidation. This amendment is still controversial, however, and there was discussion that some elected officials were against this, while others were supportive.  During the debate, it was stressed that this is a small start and it would be reviewed and revised after 90 days.  The goal is to reduce IT costs and create computer systems that are more efficient and compatible with other County systems.

Increased Wheel Tax

In addition to the other revenue proposals that were approved at the Nov. 14 meeting (see the report from that day in this Observer Blog), the Finance Committee also approved the doubling of the wheel tax (i.e., the cost of vehicle stickers) for those who live in unincorporated Cook County.  For example, the annual fee for small passenger vehicles went from $40 to $80. This revenue proposal had been deferred at the Nov. 14 meeting.

The Process

There was a concerted effort by Commissioners to assist those in the audience (as well as their fellow Commissioners) by summarizing the nature of the amendments being considered.  Unlike past years, “floor amendments” (that is, amendments introduced for the first time during the meeting) were not allowed.  However, there were a number of “substitute” amendments which were passed out to the Commissioners and which the public did not have access to.  While from the discussion it appeared that these substitutes contained only corrections generally, it is unfortunate that there was no way for the public to be sure of this.  The League has been urging that the Board room have screens and projection equipment permanently installed to assist the Commissioners, as well as the public, in knowing what is being voted on.  Comm. Gainer complained that the 64 amendments were not available to the Commissioners (and the public) until after 10 pm the night before.  This presumably was due to the fact that the Budget Department first vetted all proposed amendments to check for problems, but this raises the issue as to whether there should be more time allowed between the deadline for submitting amendments and the meeting to vote on them.

-- reported by Karin Hribar and Priscilla Mims

Nov. 3, 2011 Public Hearing on the Budget at the County Building

Those Testifying Generally Either Against Proposed Fee and Tax Increases or For More Spending to Save Jobs and Services

The Nov. 3 hearing in the County Building is one of four public meetings being held to obtain citizen input on the proposed budget.  The Board was left in a quandary:  if they don’t enact the proposed tax and fee increases, they will need to either increase other revenues or cut the proposed spending further, which means more jobs lost.  And in order to save some of the jobs that will be lost under the proposed budget, more revenues or other cuts will be needed.  But with about 70% of the budget covering employee costs already, there isn’t much left to be cut that doesn’t entail cutting jobs.

Commissioners who were there (Daley, Fritchey, Silvestri, and Suffredin throughout; plus, for a portion of the time, Butler, Gainer, Gorman, Schneider, Sims, and Tobolski) heard business owners complain about the proposed expansion of the cigarette tax to cover all tobacco products, the proposed increase in the alcohol tax, the proposed increase in the use tax on the sale of boats, and the proposed tax on amusement devices (such as juke boxes, pinball, and video poker machines).  The president of a homeowners’ association in unincorporated Cook County spoke against the proposal to create special service areas to cover the incremental costs of the Sheriff providing police services.

They also heard from very emotional employees in such areas as the offices of the State’s Attorney and Public Defender who have already received layoff notices in anticipation of the proposed budget being passed.  Doctors also appeared seeking more money for the Health & Hospitals System.  One woman testified that she was a 29-year employee at the information desk at 26^th & California who had received notice that she was being laid off.  She has just one year to go before she could take retirement.  Some of the employees expressed disappointment that there weren’t more Commissioners there to hear them.

The Civic Federation also testified in support of the overall budget, explaining that it had just issued a 77-page report on the budget.

Chairman Daley asked those testifying against fee and tax increases if they had suggestions as to where additional revenues might be found.  Comm. Suffredin mentioned that the County might have to look at the property tax levy, which hasn’t been raised since the early 1990’s.  Chairman Daley pointed out that none of the elected officials had spoken in favor of maintaining the sales tax when the Board voted to reduce it last Feb.   

Chairman Daley mentioned that the Finance Committee is expecting to vote on the proposed revenue increases on Nov. 14.

--  reported by Priscilla Mims

Cook County Finance Committee Budget Review, October 27, 2011

Cook County Finance Committee Begins Review of the Proposed 2012 Budget; Concerns Raised over Some Proposed Fees and Taxes; Impact of Recent League Initiatives Seen

Department of Finance; Department of Administrative Hearings; Department of Technology; Offices under the President; and Bureau of Administration

All of the areas and departments appearing this day are under the President.  The Finance Department began by presenting an overview of the proposed Operating Budget of $2.943 billion (down from $3.055 billion in 2011).  There is also a 5-year Capital Improvement Plan for 2012 which proposes $180 million to be spent in 2012, all from funds from bonds issued in 2009 and 10; and $143 million for Capital Projects. 

Proposed Fees and Taxes

During the course of the day, Commissioners expressed concerns about several of the taxes and fees that were proposed by the President in order to balance the budget.  The proposal to have unincorporated areas either be annexed, contract for police services, or pay an additional amount for police services provided by the County Sheriff through a “special service area” tax appears to be among the most controversial.  Andrea Gibson, the Budget Director, explained that her department had worked with the Sheriff to identify that the incremental costs for the Sheriff to provide policing service for the unincorporated areas is $5 million.  Comm. Silvestri noted that areas can opt out of a “special service area” with a 51% vote of the residents.  Some of the questions asked:  Why wouldn’t the residents all vote to opt out?  Would the Sheriff really not provide service there?  The Sheriff is currently providing policing service for Ford Heights which eliminated its police force several years ago because it couldn’t afford to pay for its own.  So how will the County distinguish between Ford Heights and the unincorporated areas?

Expect much more on this topic when the Sheriff appears to discuss his proposed budget.

Several Commissioners, including Collins, Suffredin, and Schneider, expressed concern over the proposed increase in the county’s alcohol tax.  The Finance Department was asked to provide information on the current and proposed total tax on alcohol (including federal, state, and local, as well as county portions) and compare that total to the totals in other major urban areas, as well as adjoining counties.  They don’t want to vote to approve and then find out that the County would then have the highest liquor tax in the U.S., as happened several years ago when they voted to increase the sales tax by a penny.

Comm. Schneider expressed concern over the proposed new auto amusement device tax on machines that require payment to be used by the general public, such as jukeboxes and slot and video poker machines.  Comm. Schneider said that many bars will have 5 or more of these machines, and if the tax on alcohol is also raised, these small businesses will really be hurting.

Comm. Suffredin criticized the President for not mentioning that the budget contains a proposal to align Cook County and the City of Chicago’s parking tiers for charging the county’s parking tax on public garages for daily, weekly and monthly parkers, which results in an increase in the parking tax.  He said this will also affect suburban garages, which won’t necessarily be in alignment, and may hurt suburban downtown shopping districts.

Several Commissioners also wanted to know if there was any consideration given for exempting jurors, state’s attorneys, and public defenders from the proposal to institute parking fees at county parking facilities.  Comm. Gainer asked that information be provides as to whether the proposed fee was set above a threshold that would result in the County having to pay Chicago’s parking tax.

Furlough Days

This controversy was touched upon since also on this day the Interim Comptroller issued a revised and corrected report on who had not been taking these unpaid days off.  Apparently, about half the county’s employees have been deemed “essential” by their departments and thus have not taken any. While it was expected that a number of employees of the Sheriff and the Health & Hospitals System would be exempt from taking all the furlough days since some of their services are offered 24/7, there is concern that other departments are not taking the days.  The Committee will be getting further information by department, and Chairman Daley said that the Finance Committee should ask the departments about the status of furlough days when the departments appear during this budget review.  The Committee may want to amend the departments budgets for 2012 if they can’t justify not having the furlough days taken in 2011.  All employees under the President are taking the furlough days.

Note there is no proposal for furlough days in the 2012 budget.  There is a proposal to have one unpaid county-wide “shut down” day (the day after Thanksgiving in 2012).  In addition, the Administration has offered to cut the number of proposed layoffs (about 1,000) in half (to about 500) if the unions will accept 8 of the existing holidays as being unpaid.  Thus far, the unions have not agreed to this.

League Impact on Special Purpose Funds and Transparency

In September, the League provided the Commissioners its Final Report on its Study of the County’s Special Purpose Funds, along with an updated chart detailing each of the funds.  Representatives of the County League and local Leagues also met with a number of the Commissioners to discuss the concerns as to whether the Commissioners were paying sufficient attention to these funds, including whether they were still needed.  It was clear on this first day of hearings that the League has had an impact.

The Budget Director noted that one special purpose fund for the Homeland Security Department had been eliminated.  Comm. Silvestri questioned several people as to whether the county needed all 36 of the remaining funds.  The one for Animal Control was highlighted because it has a significant fund balance.  The department head explained that she hopes to utilize this fund balance at some point to build a facility to provide a number of services.

With regard to transparency, in the meetings with the Commissioners, the League noted that there appears to be more and more information being provided to Commissioners outside the public meetings.  Chairman Daley stated that, in response to the League’s concerns, for the first time the Commissioners’ questions to departments and the written responses that are provided outside of the budget hearings will be posted on the county’s web site for the public to see.

Technology

During the budget process for fiscal year 2011 (that took place in Feb.), Comm. Fritchey noted that he had offered an amendment that would require all the technology personnel under the different elected officials to work together under the direction of the County’s Technology Chief (currently Greg Wass).  This amendment did not pass because of the opposition from the other elected officials.  Comm. Fritchey stated that he intended to offer this amendment again, and asked whether Mr. Wass still supports such a consolidation.  Mr. Wass said that he supported such a move with regard to infrastructure (i.e., hardware) and enterprise functions (e.g., e-mail).  However, Mr. Wass indicated that applications for particular areas would not be ready for consolidation, noting that the Technology Collaboration Group, which was set up in lieu of the consolidation proposal, and which brings together representatives from different technology personnel throughout the county to share information about what they are doing and planning to do, may be sufficient at this time.

Overall Impression

Despite all the questions and concerns expressed by Commissioners, it was clear that the Commissioners are pleased with a number of the initiatives being taken by the Administration and all of these departments that are under the President in order to improve service, create efficiencies, and increase collaboration among different departments and between the County and City and the County and suburbs in order to reduce costs and improve services. 

-- reported by Priscilla Mims