June 1, 2009



No Tax Increase, Major Budget Cuts – The General Assembly failed to act to raise the revenues needed to address the state’s dire fiscal crisis, instead enacting a barebones budget in the final hours of the legislative session and then adjourning and heading home, leaving disaster in its wake.
The Senate, under the leadership of its new president, John Cullerton, did the right thing and actually passed HB174, a version of SB750, legislation AFSCME has long advocated that would have raised the income tax, while providing property tax relief. But Speaker Madigan refused to call the bill in the House. Instead the House voted on a smaller income tax increase which would have only been temporary—and even that failed by a wide margin.
Many legislators who should have stood with AFSCME members voted against the tax increase—and paved the way for enactment of a budget that will radically cut state services, as well as funding for other vital programs, such as the community disability agencies where thousands of AFSCME members work. (Council 31 will soon send out a list of those legislators who voted wrong to every local.)
The legislative leaders admit they have passed an unworkable budget—and say they will continue to seek a compromise to raise the needed revenue. But in meantime, the situation is dire. The legislature passed a budget in several parts. Funding for most staff and other operations from the General Revenue Fund, as well as staff and operations from dedicated funds, were passed at the level originally proposed by Governor Quinn. But a third bill containing programmatic staff and grant funding key to state operations was appropriated at only half of the Governor’s introduced level.
The bill cut funding for state employees in several agencies, as well as AFSCME members caring for the disabled in community based programs, to unsustainable levels. If this budget stands it will mean layoffs. And the bill also cut funding for programs affecting all state employees, like health insurance and Upward Mobility. Despite these cuts, the total budget as enacted – the three bills above plus Medicaid expenditures and two bills funding education – is short $2 billion. During floor debate legislators said they would short fund the pensions to make up the difference.
It is impossible to predict at this point what the fallout from these cuts will be. The budget bills appropriated money not by division or facility but in lump sums by agency. This gives the Quinn administration great authority to decide how the limited funding available would be used—if the Governor signs this budget. Gov. Quinn has already made clear that he recognizes that the budget as enacted is inadequate to meet the state’s needs. It is not yet clear whether he intends to veto it—or how the legislature will respond if he does.



Unions Beat Back Pension,Healthcare Cuts – In a remarkable demonstration of unity and determination, AFSCME joined with the teachers’ unions (IFT and IEA) in an intensive grassroots lobbying campaign that beat back an all-out assault by big business on public employee pension benefits. Seizing on the state’s current fiscal woes as a cover for their anti-government crusade, the Civic Federation and other corporate forces sought to create the impression that public employee pensions were excessively high and a drain on the state budget. In response to their pressure, Gov. Quinn’s budget plan included increases in pension and health care contributions for current employees, higher health care costs for retirees, and drastically lower pension benefits for new hires. Legislative leaders got on board with his proposals—and many claimed the changes were all but inevitable.
But AFSCME and our allies in the Illinois Retirement Security Initiative (IRSI) quickly went to work to build opposition. Union members fought back, turning out in droves for regional legislative forums and deluging legislators with phone calls and mail. After months of intensive lobbying, when the final bell rung, all of the pension cutbacks were off the table. Nor was any legislation ever moved to effectuate the employee and retiree health care cost increases that the Governor had proposed. However, it is important to note that the budget as enacted significantly underfunds group health insurance.
This critical victory in the effort to protect retirement security for AFSCME members is a clear indication of the importance of having a strong labor movement. In states without unions—or where unions didn’t organize and fight back—there have already been major cuts to pension benefits. This battle is by no means over. Our opponents have already made clear that they are mobilizing for another round when the legislature reconvenes. We’ll have to be ready to continue the fight—but for now, our retirement security remains strong.

No New State Aid to Local Governments – HB174 as passed by the Senate, would have brought significant new revenues to local governments all across the state that are struggling with their own fiscal crises. The failure of the House to concur in passing this legislation effectively robbed local governments of millions of dollars.

Community Disability Agencies Could Face Layoffs -- The budget as enacted drastically reduces funding to DHS which provides the funding to community agencies serving individuals with developmental disabilities, so there is a very real threat that funding to these agencies could be drastically reduced unless the legislature acts swiftly to repair the damage it has done by failing to enact a tax increase.

Legislation Leverages Historic Agreement to Limit Mandatory Overtime – SB1369, AFSCME’s legislation to force a total ban on mandatory overtime in state prisons, mental health and developmental centers and vets home had strong backing in the state senate, where it passed overwhelmingly. But the bill ran into resistance in the House because of opposition from Gov. Quinn. The Administration argued that it would be impossible to operate 24-hour facilities without being able to mandate overtime at critical points. AFSCME countered that under the Blagojevich Administration, mandation was not just used in emergencies as was the original intent, but had become a normal part of operations, relied on rather than hiring the staff that are needed to function effectively.
Sen. Mike Frerichs and Rep. Emily McAsey, the measure’s sponsors, asked AFSCME and the Governor’s Office to try to work out a compromise. The result was a landmark agreement reached in the final days of the legislative session. Entered into as a Memorandum of Understanding that will become part of the AFSCME Master Agreement with the state, it sets a goal of cutting overtime in half over the next two years. It states clearly that overtime should be the exception, not the norm, of state operations and, effective July 1, 2010, it prohibits disciplining employees for refusing mandation--unless the mandation occurred due to an unusual or unforeseen circumstance.
This historic agreement is another example of the ability of AFSCME to tackle a tough problem—and force management to respond. AFSCME began the campaign against forced overtime with a dramatic report documenting its consequences in human and financial terms which was issued last year. The report received press coverage all across the state and laid the basis for an intensive lobbying campaign in which dozens of legislators signed on to cosponsor legislation aimed at halting the widespread abuse of mandation in state government.

Questions Remain on Facility Closures -- The budget did not clearly restore the funding needed to keep IYC Pere Marquette open, nor did it ensure that Tinley Park MHC and Howe DC would have sufficient funds to operate for a full year. If this budget stands, AFSCME will be pushing to get some of the “lump sum” dollars in DOC and DHS budgets used to keep these facilities open.

Require legislative approval for closures (HB2376) -- HB2367, sponsored by Rep. Gordon/Sen. Crotty, would amend the state’s Facility Closure Act to require that if a facility or site is funded in the budget enacted by the General Assembly, it cannot subsequently be closed without a joint resolution of the General Assembly approving the closure. This legislation was vigorously opposed by those forces that want to close down all state mental health and developmental centers, as well as by the Quinn Administration. The measure was not called for a vote and AFSCME lobbyists are now trying to get the deadline extended till the end of the year.

Bring greater equity to the Unemployment Insurance program (HB2555 and SB1350) -- AFSCME sought to enact legislation (HB2555) that would expand UI benefits to those school district and university employees who are laid off in the summer months. However school districts and universities vigorously opposed this measure because of the costs involved.
In addition, Council 31 sought to enact legislation (SB1350) that would extend the time period for cut-off of UI benefits when an employer has locked out its employees. This measure was sparked by the experience of AFSCME members at Heartland Human Services in Effingham who have been locked out by their employer for nearly a year—and whose unemployment benefits expired many months ago. Even though the costs of implementing this bill were minimal, it was vigorously opposed by big business lobbyists who want to strengthen the hand of employers in labor disputes.
Neither HB 2555 nor the content of SB 1350 made it through the General Assembly this year. But AFSCME intends to continue its efforts to enact these important bills.

Improve health care quality for all AFSCME members/support nurse staffing ratios (SB224/HB485) --The American health care system is in crisis. The only real solution is a national program of universal health care—and Council 31 is participating in the AFL-CIO’s nationwide campaign to press for the development and enactment of major health care reform to meet that goal. At the same time, we will seek to address problems that can be tackled at the state level.
To that end, AFSCME has taken up the challenge of enacting legislation to establish required nurse-to-patient staffing ratios in Illinois hospitals and to provide for nurse input into staffing plans. SB224 and HB485 were held in committee pending negotiations with the Illinois Hospital Association, which is fiercely opposing to establishing required staffing levels.
During the coming months, the Coalition for Quality Patient Care, spearheaded by nurses from Resurrection Health Care hospitals who are part of the HEART/AFSCME organizing committee, will be engaging in grassroots activities through the state to build support for this important legislation.

Provide fairness for Corrections health care employees (SB1987) – AFSCME-represented medical vendor employees in DOC and DJJ have made steady progress through their union toward achieving wage parity with state medical personnel in these departments. However, they still have to pay significantly more for their health coverage and do not have a defined benefit pension plan. AFSCME pushed for passage of this legislation that would make employees of corrections medical vendors state employees and enable them to keep their union representation. The legislation met very strong opposition from the vendors (HPL and Wexford), as well as from the Illinois Nurses Association (INA), who effectively kept it from moving forward. The bill’s chief sponsor, Sen. John Sullivan, is very committed to the measure and has pledged to continue to work with the union to move it forward when the legislature reconvenes.

Restore and expand union rights (HB2445) -- Council 31 worked with the Illinois AFL-CIO to pass this omnibus reform of the Illinois public sector labor relations law in order to address the lengthy delays employees have experienced in obtaining union recognition. HB 2445 has passed both houses and now goes to the Governor.

Establish fair mileage reimbursement rules (HB 480) – AFSCME has been pressing for several years now to bring state mileage reimbursement regulations in line with federal protocols which are fairer to employees. HB480, sponsored by Rep. Boland, would accomplish that goal.
HB 480 has passed both houses and now goes to the Governor.

Establish MRSA protections in law (HB185) – Since MRSA infections first emerged as a serious health threat, AFSCME has led the effort to force employers to institute appropriate protocols to prevent the occurrence of such infections. Council 31 supported this legislation to make sure that every workplace in Illinois state government has appropriate employee protections in place to prevent the spread of MRSA. HB185 has passed both houses and now goes to the Governor.

Preserve Tamms CC role as IDOC safety valve (HB2633) – HB 2633 would have made it more difficult to transfer dangerous inmates to Tamms, as well as barred the incarceration of inmates with mental health problems at Tamms. It also established more clearly-defined procedures for inmates to be moved out of Tamms.
AFSCME opposed this measure as originally introduced because it could have greatly increased the danger at other correctional facilities throughout the system by making it more difficult to swiftly move an inmate who presents an immediate danger to Tamms. IDOC also opposed the bill. The sponsor, Rep. Hamos, has sought to bring together concerned parties—including AFSCME—to see if a compromise can be reached. The bill was never called for a vote, but discussions regarding how to changes procedures relative to the operation of Tamms are continuing.

Anti-Privatization bill blocked – As originally introduced SB 1602 was intended to place strong restrictions on the ability of state government to contract out bargaining unit work. It passed the Senate by a wide margin. However, Rep. Jack Franks, the bill’s sponsor in the House, allowed the Quinn Administration—which opposed the bill as introduced—to strip out all of the language restricting privatization and to substitute an unrelated measure.

Agency restructuring – In the final hours of the legislative session, a bill (HB 88) was enacted that would override Gov. Quinn’s Executive Order merging the Department of Natural Resources and the Historic Preservation Agency. It is not known whether the Governor will sign this bill; if not, then his EO will stand.

Legislation seeks alternatives to incarceration (SB1289) – In the final few weeks of the legislative session, a bill was introduced to foster greater use of alternative sentencing programs at the local level. While AFSCME believes that such programs can play a valuable role in the criminal justice system, the Union opposed the bill as originally introduced because it required that such programs be operated by private agencies (rather than counties or other local governments) and because it explicitly stated that funding for such programs would have to be reallocated from state correctional facilities. IDOC is supporting the bill. AFSCME lobbyists were successful in getting the bill amended to address the Union’s key concerns. As amended it will allow counties and other public entities to operate alternative sentencing programs and it will not require that funding for such programs be reallocated from state correctional facilities. SB 1289 has passed both houses and now goes to the Governor.

“Fumigation” bill (SB1333) – Legislation introduced to terminate state employees in certain exempt positions stalled in the Senate. Originally, this legislation covered all Rutan-exempt employees, but it has since been amended to only cover those who are both Rutan-exempt and exempt from the Personnel Code and to exclude bargaining unit employees. SB 1333 also codifies several the of the agency restructuring proposed by Governor Quinn via executive orders.


Employee privacy jeopardized – AFSCME strongly supports real reforms that would prevent the kind of gross ethical violations committed by the Ryan and Blagojevich administrations that have given state government such a black eye. However, the Union had to oppose Senate Amendment 6 to SB1013, Gov. Quinn’s ethics bill, because it would require the disclosure of the name and related information of any state employee who is disciplined before his or her due process rights are exhausted. In another blatant assault on employee privacy, HB 35, which provides for the establishment of a web portal listing all state employees’ names and salaries, passed both houses by wide margins. AFSCME was the only organization to oppose this measure. Amendment 6 to SB 1013 was never called for a vote. HB 35 has passed both houses and goes to the Governor.

Employee protection included in bill to privatize lottery management (HB255/HB2424) – This legislation is primarily intended to jump start a massive capital program to repair and rebuild our state’s infrastructure. However, it also includes language to allow for the privatization of the management of the Illinois lottery. AFSCME pushed for inclusion of strong employee protection language for lottery employees in this measure, but it was not included in the original bill that passed. However, as a result of the Union’s efforts, employee protection language was added to HB 2424 which is the budget implementation bill for the capital program.

Legislation To undermine sheriff’s deputies blocked (SB1817) – This measure would have encouraged the use of volunteer auxiliary deputies in county sheriff’s departments. AFSCME opposed the legislation which stalled in committee and was never called for a vote.

Measure sought to block expansion of services (SB682) – This legislation would have required that new state programs (or expansions of current programs) include a specific funding source. It would have made it very difficult to expand important services and made it even harder to achieve the additional funding needed to raise the wages of AFSCME members in community disability agencies. The measure passed the Senate by a wide margin, but at AFSCME’s request, the House sponsor (Rep. Will Burns) agreed to hold the bill

Limit outsourcing of DNA testing (SB2010) – Under the Blagojevich Administration, rather than hire needed staff, the State Police Crime Lab sent much of its DNA testing to outside labs—which often botched the job. This measure would make it more difficult for such outsourcing to occur. This legislation passed both houses and awaits approval by the Governor.

Campaign finance “reform” (HB7) – This very complicated and controversial legislation was adopted by both houses in the final days of the legislative session and could have a significant impact on labor’s participation in electoral politics. AFSCME is still analyzing the bill to determine whether it will level the playing field to enable working families to have a stronger voice in the political arena—or whether it will make it more difficult for that voice to be heard.