Cook County Proposes Huge Tax Hike on Poor

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Chicago–Cook County Board boss Toni Preckwinkle’s promotion of a $1.00-per-pack tax increase on cigarettes as a humanitarian initiative has questionable motives, according to Rae Ann McNeilly, director of outreach for Taxpayers United of America (TUA).
“Such an increase targets those who can least afford it,” said McNeilly.
“Smoking is most prevalent among the poor without even a high school diploma, so why propose a tax that will hurt them more than help them? This is also the same group hardest hit by unemployment and crime, which will also be bolstered by this tax increase.”
“It is either naïve or dishonest to promote this tax hike from the bully pulpit at the Stroger Hospital, exploiting the truly sick and suffering as well as those who are dedicated to helping people quit smoking. Recent cigarette tax hikes have done nothing to decrease smoking. From 2006 to 2010, Cook County and Chicago held the country’s second highest tax rate. During that same period, smoking decreased by only 4% in Illinois, but decreased by 18.4% nationally, according to the CDC.”
“The county’s revenue from cigarette taxes fell from $200 million to $131 million, or 34%, after the cigarette tax-increase in 2006. Increasing cigarette taxes does nothing to reduce the number of smokers but, instead, pushes them to purchase across county lines or out of the trunks of black-market dealers.”
“It is difficult to believe that Cook County board president Toni Preckwinkle doesn’t understand the realities of cigarette tax-hikes and their unintended consequences. If revenue decreases, crime increases, and legitimate Cook County businesses will lose business, what is the intent?”
“I will be testifying on this outrageous proposal at the public hearing on Friday, October 26 at 9:00 a.m. in the County Building, 118 N Clark, Room 569. I urge everyone to attend one of the hearings and let the board know that we won’t stand by while taxes are raised on businesses and low-income residents.”
Public Hearings on the 2013 Cook County Budget:
•    Thursday, October 25, 2012 – 6:30pm Public Hearing – Skokie Courthouse (Forest Preserve begins at 6:00 PM)
•    Friday, October 26, 2012 – 9:00am – Public Hearing – County Building, 118 N Clark, Room 569
•    Tuesday, October 30, 2012 – 6:30pm Public Hearing – Markham Courthouse (Forest Preserve begins at 6:00 PM)
•    Thursday, November 1, 2012 – 6:30 pm Public Hearing – Maywood Courthouse
Taxpayers can pre-register to speak at any of the hearings at https://www.surveymonkey.com/s/C6JTW3H.

Adams County Crushed by Government Pensions

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Quincy—Taxpayers United of America (TUA) today released the results of a new pension study for the Quincy municipal government employees, Adams County government employees and Adams County government teachers.
“Illinois lawmakers have only flirted with reforms of the government pension system,” stated Jim Tobin, president of TUA. “Illinois is in just about the worst financial shape and yet taxpayers are still expected to pour their hard earned money into a failed system.”
“While residents across Adams County face crushing tax increases, falling home values, rising unemployment, and a painfully slow economic recovery, government employees continue to receive stunning pensions largely funded by taxpayers who will never collect more than about $22,000 a year from Social Security.”
“Chicago Machine Boss, Michael Madigan, and the Democrats have been draining taxpayers in Quincy and all across the state for the last 30 years without addressing the number one budget problem: outrageously lavish, government employee pensions. Across the country, millions of bureaucrats are being paid billions, to do absolutely nothing!”
“The purpose of our study is to put some perspective around individual pensions, to put them in terms to which the average taxpayer can relate. Area taxpayers, whose average income is $39,000, need to know how much Quincy’s government retirees are being paid not to work and the astronomical accumulation of those payments over an average lifetime.”
Tobin continued, “For example, Nicholas N. Schildt, retired from government school district 172 and collected a 2012 pension of $194,663. His starting pension, when he retired, was $153,532. He has received more than the average annual wage for this area in cost of living adjustments alone. His estimated lifetime pension payout is stunning $6.9 million, of which he only contributed 2.4%.*”
Richard A. Klusmeyer, retired from the Adams County government, has an annual pension of $80,598, with a staggering estimated lifetime payout of $2,077,462.* ”
“Retired Quincy municipal government employee, Donald J. Kulek, has a lifetime estimated pension payout of $2,553,495*, with an annual pension of $60,465.”
View pension amounts below:

“Illinois’ government pensions are in serious trouble with no end in sight. Government employees should be paid a fair wage for the work they do today so they can save for their own retirement. Replacing defined benefit pensions for all new government hires with social security and 401(k)s would eventually eliminate unfunded government pensions.”
“The only way taxpayers will get relief from the tax-raisers who ‘temporarily’ increased our income tax by 67% is to throw all the Democrats out of Springfield and make Madigan the house minority leader,” added Tobin. “If we don’t, taxes will go even higher and the pension system will collapse anyway. It’s mathematically impossible to tax your way out of this problem. Illinois has more than 6,700 retirees collecting more than $100,000; in about 8 years, that will be over 25,000 six figure pensioners.”
*Lifetime estimated pension payout assumes life expectancy of 85 (IRS Form 590).

Westmont Bureaucrats Desperate to Protect Home Rule Taxing Power

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Chicago – “Westmont residents stand to keep a lot more of their hard-earned money if they vote “YES” to end home rule on November 6,” stated Rae Ann McNeilly, director of outreach for Taxpayers United of America (TUA).
“Home Rule always means higher taxes. Bureaucrats try to sell home rule as a good thing for the community, but the only thing it is good for is helping them grow their empires.”
“They are concerned with losing more than $2 million in home rule taxes that fund their excessive empire with five employees that make over $100,000 a year. Fifty-four Westmont government employees made over $50,000 in 2011 – in a village of less than 25,000!”
“Westmont residents became victims of unlimited Home Rule taxing powers as a consequence of the population reaching 25,000. The 2010 census, however, affords residents the opportunity to reclaim their right to vote on municipal tax increases as a result of enough people leaving an over-taxed community.”
“Rather than shrink the budget to match the shrinking population, Westmont is asking voters to renew the blank check power they have with Home Rule.”
“Shall the Village of Westmont cease to be a home rule unit? Yes/No”
“The answer is a resounding, ‘YES’. Taxpayers continue to lose income to inflation and a stagnant economy and yet are expected to ensure government ‘revenue’ continues to climb. Our municipal leadership need to respect their constituents’ intelligence and make the cuts necessary to relieve taxpayers from the burdensome growth of government employee salaries and pensions.”
“TUA is helping activists in Westmont and 8 other communities to fight Home Rule taxing power in November. We helped beat down 6 out of 6 referenda in March of this year and we are looking to establish a new record this November, starting with Westmont.”
“Taxpayers can download a copy of our Westmont flyer or any of the other 8 Home Rule flyers at www.taxpayersunited.org and get the word out to friends and neighbors, that they have a chance to reclaim their right to vote on tax increases by voting YES to end home rule in Westmont.”