In Springfield...

In case you forgot about Illinois' budget woes during the Fourth of July festivities, a New York Times article examined the disaster in Springfield and even likened us  to California.  A few days later, Comptroller Dan Hynes (pic 6) released a quarterly report showing that the state's number of unpaid bills has practically doubled since this time last year and could reach $6 billion by the August 31 deadline for submitting payment requests.  And Gov. Pat Quinn estimated that the Illinois Senate will not return to Springfield to vote on on a $3.7 billion pension borrowing plan until November. Quinn also found himself in hot water after the Associated Press reported that he authorized 43 salary increases for his staff. The pay increases have prompted angry editorials from across the state.

On a positive note, the Put Illinois to Work Program (PIWP) appears to be working. Some 60,000 people applied for the 35,000 positions that the initiative created. So far, 18,000 Illinoisans are working thanks to the PIWP, which conservatives initially criticized by as being a money waster.

Meanwhile, University of California-Berkeley law professor Christopher Edley proposed a way for states like Illinois to stop sinking: get cash advances from the federal government. The Center for Tax and Budget Accountability's Ralph Martire heartily endorsed the idea.

Another economic issue of interest is the minimum wage, which jumped by a quarter, from $8-per-hour to $8.25-per-hour on July 1st. GOP gubernatorial candidate Bill Brady has said Illinois should lower or freeze it's minimum wage until the federal rate, which is one dollar less, catches up with it. But our analysis shows that it is not overly generous and would actually exceed $10 if it had been linked to inflation in 1968.

In other news, the Washington Post burst the bubble of those conservatives advocating private managed care as a way to lower Illinois' public health spending.  The Land of Lincoln became the first state to require that all DNA evidence derived from rape kits be tested.  And, in light of a federal district court judge's decision to declare the Defense of Marriage Act unconstitutional, we talked to State Rep. Greg Harris (pic 5) about his fight for a civil unions bill in Springfield.

On the Campaign Trial...

Tax returns became an issue this week in both the Senate and gubernatorial races.  First, GOP U.S. Senate candidate Mark Kirk (pic 1) called out both Democratic rival Alexi Giannoulias and fellow Republican Bill Brady for having no tax liability in 2009.  Gov. Quinn then did the same, targeting Brady buy echoing Kirk's argument that those receiving a state paycheck should pay some form of state income taxes -- even if the tax code doesn't require them to in a given year.  (Of course, Kirk has been known to take advantage of hefty tax breaks himself.)

Kirk wasn't so outspoken, however, about his military record. After appearing ready to "correct" his resume embellishments last week, Kirk reverted back to prior form on Monday and refused to respond to questions about his assertion in January that he came under fire while on Naval Reserve duty in Afghanistan. Further, Politifact called the Kirk campaign out for an ad claiming that Giannoulias aide Endy Zemenides "a longtime BP lobbyist".

The Illinois Education Association announced that its endorsement of Quinn, citing concerns with Brady's budget priorities.  A new statewide Rasmussen poll showed Brady leading Quinn by only three points (in contrast to his 11-point edge in June) and Giannoulias and Kirk in a virtual tie. Elsewhere on the trail, 10th Congressional District Democratic candidate Dan Seals (pic 8) demanded that Republican nominee Bob Dold divest his personal funds from BP in light of the Gulf oil spill.

In Chicago and Cook County...

The Sweet Home Chicago coaliton's (pic 4) affordable housing ordinance still hasn't gone out for a vote, but the Joint Committee on Finance/Housing and Real Estate did hold a hearing on the issue on Wednesday. The debate was heated at times, particularly because there appeared to be some confusion among aldermen about the mechanics of the legislation, which would set aside 20 percent of the city's tax increment financing (TIF) revenue for affordable developments. On the eve of what they thought would be a committee vote on the issue, the Sun-Times "heartily endorsed" the Sweet Home Chicago affordable housing ordinance. There is no word on when aldermen will actually vote on advancing the ordinance.  In the meantime, all the attention on his TIF network has Mayor Daley (pic 7) acting a bit defensive.

In Washington...

On Thursday, the U.S. Department of Justice filed a lawsuit against SB 1070, a controversial immigration law passed by the Arizona General Assembly and signed by Gov. Jan Brewer earlier this year.  Members of the Illinois-based Labor Committee on Immigrant Workers Rights -- including SEIU Local 1 (whose state council sponsors this website) -- applauded that decision.

Three Illinois Republicans -- John Shimkus, Peter Roskam and Don Manzullo -- joined Rep. Judy Biggert in signing a so-called "discharge petition" in support of repealing the much-needed health care reform bill.

The U.S. Environment Protection Agency also outlined a new proposal targeting Illinois and other downwind states. Under the provision, Illinois will have to switch to cleaner-burning coal or install pollution control equipment, which is estimated to cost $2.8 billion nationwide.

At the Dirksen Federal Building ...

At the corruption trial of former Gov. Rod Blagojevich (pic 3) on Tuesday, FBI supervising agent Patrick Murphy recalled a 2005 interview with the then-governor in which he claimed to keep a clear line of separation between his fundraising efforts and his job as governor. That same day Gerry Krozel, former head of Illinois' Concrete Pavement Association, testified that Blagojevich told him that the fate of a $6 billion tollway program and $1.5 billion infrastructure program depended on his organization's ability to fundraise.

On Wednesday, prominent Indian businessman Rajinder Bedi told the court that he met with Rep. Jesse Jackson Jr. (pic 2) in October 2008 to discuss the congressman's interest in the vacant Senate seat and how much money Bedi would need to raise for the governor if he were appointed. Jackson denies involvement in the then-governor's alleged scheme.

On Thursday, the jury heard a wiretapped conversation from election night 2008 in which Blagojevich trashed the people of Illinois. Former Deputy Gov. Bob Greenlee also testified that Blagojevich told him to withhold funding for a negotiated increase in the rates hospitals were allowed to charge for Medicaid programs in the winter of 2008. Prosecutors have accused the former governor of extorting Children’s Memorial Hospital for a campaign contribution.

Blago's prosecutors said that they will probably rest their case next Tuesday.