Two weeks ago we asked you to support an increase in the state income tax from the current 3% to the proposed 5% on behalf of education funding in Illinois.
We pointed out that funding for the education of children in Illinois is both unfair and inadequate. What we did not do was provide answers to the two most basic questions, among others, you are likely to be asked about an income tax increase.
We want to do that now so that you will be well armed as you urge others to sign our petition and join us for the Faith in Action Day in Springfield on May 12th.
First question: whenever new taxes are proposed, someone inevitably asks, "Shouldn’t we just cut government spending?" After all, that’s what families do when their budgets are out of balance. And, besides, don’t we all know that governments always spend too much anyway?
In response, I was impressed with remarks of John Cullerton, our new senate president, at the 2009 fiscal symposium sponsored by the Center for Tax and Budget Accountability (CTBA) last Monday.
It is clear that our senate president does not see fat in state government. He pointed out that general revenue funds in the Illinois state budget (that is, the part that might be reduced from year to year) total $28 billion dollars. Of this amount, $11 billion flows in contractual obligations to education funding at all levels – pre-school through colleges and universities. An additional $11 billion is allocated to health care (where we are already drastically short-changing providers). The remaining $6 billion is divided between human services staff and the rest of state government.
Senator Cullerton noted that Illinois has the lowest ratio of state employees to total population of any state. Illinois ranks 49th in the country per capita in expenditures on education.
Second Question: isn’t it a bad idea to increase taxes in the midst of severe recession? The problem is that the state constitution requires that we balance the budget every year. A decision to do this primarily through expenditure cuts would deepen the recession in Illinois rather than move us out of it. The CTBA briefing paper “Moving Forward” states this point well: “During a recession, the economy is already contracting. Cutting state government takes even more money out of local economies, worsening both the recession and job loss.”
The reasons for a tax increase go far beyond the points made here. Illinois has faced a huge “structural deficit” for years, finessed through smoke-and-mirrors budgeting. Our major disappointment is that, while we respect Governor Quinn’s courage in telling the truth about the need for an increase, he does not call for the measures that will fully meet the most pressing needs of the state, including education funding reform.
Please sign our petition and join us in carrying this message to Springfield on May 12th. We hope that the answers to the questions posed here will help you recruit others in your congregations.



