CHICAGO (AP) — Gov. Pat Quinn appealed Monday to an influential group of business leaders in Chicago to add their weight to his push to reform Illinois' debt-laden Medicaid and public pension systems, describing the plan as both a tough sacrifice and an urgent "rescue operation" for future generations.
With barely two weeks left in the legislative session, the Democratic governor has gone on the offensive and turned to unlikely allies in the business community to pressure lawmakers to pass his proposals. On the other side, unions and advocates for the poor say the reforms will hurt the most vulnerable.
Quinn told the City Club of Chicago that the two programs are taking a 39 percent bite out of the state budget this year, putting what he called a "serious squeeze" on spending for other essential government duties: to ensure public safety, provide education and other services and invest in transportation and infrastructure.
"All the other things that we want our government to do, there's less and less money available," Quinn said.
But leaders of the state's public universities are saying too much damage to pension benefits could drive away top faculty talent. In a letter to Quinn, presidents and chancellors of 15 schools urged him not to cut already-earned benefits, guarantee proper state funding for the systems in the future and give colleges time to adjust if they must contribute a portion of the funding.
Medicaid, the health program for the poor and disabled, is currently running a $2.7 billion deficit. The state retirement systems are running a shortfall of $83 billion on the money they'll have to pay out to state employees in the decades ahead.
To rein in Medicaid costs, Quinn has proposed cutting services for the poor and disabled and cutting payments to doctors and hospitals. To keep from having to cut further, he proposes essentially doubling the tax on a pack of cigarettes.
He wants to control pension costs by having government workers pay more from their paychecks into pension funds, making those employees work longer before they can retire and reducing cost-of-living increases after they leave work.
He said Monday he is sticking by all of those proposals, as negotiations continue in Springfield.
Quinn urged the hundreds of business leaders in the room to join his campaign.
"We want you to call today, call tomorrow, call every day legislators even if you don't know them ... to let them know that the stakes are very high," the governor said.
Quinn's proposals have gained support among many of the state's business leaders.
On Monday, Chicago-based energy provider Exelon Corp. and electricity utility ComEd voiced support, saying "the current structure is in dire need of change."
The letter from the universities, dated May 3, says pension reform must not hurt their "ability to retain and recruit talented faculty and staff" and "must respect constitutional protection" against reducing retirement benefits that have already been earned — a major factor in the debate.
The letter lists seven "objectives" for a pension package, from pronouncing a "clear plan" to ensure the state doesn't fall behind again to limiting new rules universities must follow that come without state funding to implement them.
"We've been heard and I think we have a place at the table," Governors State University President Elaine Maimon said. "I don't know at all whether we'll like the outcome."
Today is Friday, May 24, the 144th day of 2013. There are 221 days left in the year. 1863 -- 150 years ago: A military escort will be at the square at 9 a.m. tomorrow forthe funeral of Lieut. Joseph Eaton. The county judge is absent in Chicago, which willaccount for his not being in the procession. 1888 -- 125 years ago: Rock Island's City Council last night appropriated $95,000 forexpenses for the 1888 and 1889 fiscal year. 1913 -- 100 years ago: Mrs. F.W. Reimers last night was re-elected president of the RockIsland Musical Club at a meeting in the New Harper Hotel. 1938 -- 75 years ago: Seven members of Boy Scout Troop 21 got their Eagle badges lastnight. They were Ralph Hurt, Robert Nelson, Howard Schersten, Cecil Nelson, RobertFryxell, Clarence Stone and Rollin Hurt. 1963 -- 50 years ago: Mayor Morris Muhleman has resorted to a form letter in an effort toanswer objections to the wheel tax increase. "It was my hope that I could, in some way,restore the faith of the citizens in our city. In order to do this I knew I must face the factthat I would become very unpopular."All they are trying to do is protect the citizensproperty and build their town. 1988 -- 25 years ago: RICCA, the Rock Island County Council on Addictions, inconjunction with the Quad City Downs, will hold its annual "Night at the Races" June 2.The benefit "Night at the Races" will raise funds locally to assist in maintaining the twohalfway houses, New Hope Lodge (for women) and Beacon House (for men).