Notable Bill Signings
It’s that time of the year again. A flurry of activity surrounds the governor’s office as he issues his signatures on new laws or vetoes the bulk of the bills that have been sent to his office.

Donor Registry Bill
If you can drive, you can choose to be a donor. That’s the concept behind a new law, the Drive for Life Act. 16 and 17 year olds can now join the donor registry with the Secretary of State’s office. Parents and guardians still have the right to give or revoke consent until the donor turns 18.

IT Security 
Cyber security threats and hacks are popping up in the news more and more often. States are increasingly the targets of these attacks, and security threats pose a daily risk to the state’s ability to serve taxpayers and protect critical and confidential information. In response, House Bill 2371, requires all state employees to undergo annual cyber security training. This training will help employees understand the risks and learn the best practices to defend against these kinds of attacks. The training itself will be implemented by the Department of Innovation and Technology, a new agency created by Governor Rauner in 2015 to consolidate the state’s IT functions and update the state’s cyber security. Illinois is now the 15th state to adopt mandatory this kind of awareness training for employees.

Procurement Reform
Governor Rauner signed Senate Bill 8, a bipartisan bill that makes the state procurement process more efficient and transparent, thus saving money for Illinois taxpayers. Specifically, it eliminates unnecessary administrative delays for state universities. The bill also permits Illinois to enter into joint purchasing agreements with other units of government, allowing state and local government entities to save money because of their increased purchasing power.


Breaking Down Senate Bill 1’s Amendatory Veto
On May 31st the Illinois House passed Senate Bill 1 with the bare minimum number of votes necessary, 60. A parliamentary hold was placed on the bill so that it did not have to be sent to the Governor. When the budget was passed it included a provision that requires the state to implement an evidence based funding formula or schools cannot recieve any state money. To be clear, the issue with Senate Bill 1 has never been the use of an evidence based model, which is widely accepted as the right shift for the state school funding formula. The issue has always been an unfair allocation of additional funds to CPS. Under SB1 there is an additional $778 million invested in K–12 education, of which CPS receives $495 million. This means that CPS will receive 64% of all new money despite having only 19% of the students in Illinois. The breakdown of CPS dollars is as follows: $221M for pensions, $202M Block Grant, and $72M for New Tier Funding. SB 1 essentially buries CPS pension reform in the school code, not in the state pension code where it belongs.
After two months, the procedural hold place on Senate Bill 1 by the Democrats was lifted and the bill was finally sent to the Governor last week. Shortly thereafter he issued his anticipated amendatory veto. 
There are three options now:
1) Pass the amendatory veto with a three-fifths (71 votes in the House) vote in both chambers 
2) Override the governor's veto with a three-fifths vote in both chambers
3) Allow the bill to die and pass new legislation for school funding
The first set of school payments are scheduled for Aug. 10, so the legislature must take action as soon as possible. However, I have yet to see movement in either the Senate or the House to call members down to Springfield to take urgent action.
The governor’s amendatory veto makes the following changes to ensure an adequate and equitable school funding formula:
  • Maintains a per-district hold harmless until the 2020-2021 school year, and then moves to a per-pupil hold harmless based on a three-year rolling average of enrollment.
  • Removes the minimum funding requirement. While the governor is committed to ensuring that the legislature satisfies its duty to fund schools, the proposed trigger of one percent of the overall adequacy target plus $93 million artificially inflates the minimum funding number and jeopardizes Tier II funding.
  • Removes the Chicago block grant from the funding formula.
  • Removes both Chicago Public Schools pension considerations from the formula: the normal cost pick-up and the unfunded liability deduction. 
  • Reintegrates the normal cost pick-up for Chicago Public Schools into the Pension Code where it belongs, and finally begins to treat Chicago like all other districts with regards to the State’s relationship with its teachers’ pensions.
  • Eliminates the PTELL and TIF equalized assessed value subsidies that allow districts to continue under-reporting property wealth.
  • Removes the escalators throughout the bill that automatically increase costs.
  • Retains the floor for the regionalization factor, for the purposes of equity, and adds a cap, for the purposes of adequacy.