Rauner wins round in union contract fight after House upholds veto of bill calling for arbitration

From Illinois Business Journal news services

SPRINGFIELD – Gov. Bruce Rauner won a significant philosophical victory Wednesday when the House failed to override his veto of a union-backed bill that would have stripped his authority to negotiate a major union contract on behalf of taxpayers.

The attempt to override fell just three votes short. But it was enough to claim at least temporary victory in a months’ long gubernatorial dispute with leaders of the House and Senate.

“I want to thank every House member who stood with taxpayers today. It is encouraging that many legislators recognized the dire financial impact this legislation would have had on our state,” Rauner said in a statement following the vote on SB 1229. “While House members chose to help us avoid digging a deeper financial hole, we still have a lot of work to do and time is of the essence. We have now entered our third month without a balanced budget, which only the legislature can pass, and court orders have shown that I can’t simply reduce the budget and balance it without legislative changes.”

Rauner said he hoped the action marks the “marks the beginning of serious negotiations over how we can deliver needed structural reforms and a balanced budget.”

The American Federation of State, County and Municipal Employees bemoaned the failed override. Council 31 Executive Director Roberta Lynch issued a blistering criticism. The union had sought outside arbitration of the contract.

She said the bill did nothing more than extend to child protection workers, nurses, caregivers, emergency responders and other state employees the same independent arbitration process provided to police, fire and other public safety personnel in Illinois for more than 30 years.

She said the Rauner administration justified its veto with an array of false claims about the bill’s provisions, constitutionality and potential cost, as well as unsubstantiated ad hominem attacks on the independence and fair-mindedness of arbitration professionals.

“Day in and day out, public service workers in state government keep us safe, care for veterans, protect kids and much more,” said the head of the largest union of state employees. “State employees don’t want to be forced out on strike, but we’re determined not to let Gov. Rauner undercut workers’ rights, jeopardize workplace safety or threaten the economic security of working families.”

Union supporters accused House Republican leadership of publicly threatening rank-and-file lawmakers with political retaliation if they voted to enact the bill.

“The governor’s ferocious and false attacks on this moderate and responsible bill clearly show he wants conflict, not compromise,” Illinois AFL-CIO President Michael Carrigan said. “The governor’s assault on this bill may have won the day but poisoned the well for legislators of both parties who want to work together responsibly to solve problems and serve the people of Illinois. It is clear that Gov. Rauner will stop at nothing to carry out his scorched-earth agenda against working people, their rights and well-being.”

Two other groups came out firmly in the governor’s camp.

Illinois Opportunity Project President Matthew Besler issued the following statement:

“Yesterday evening’s vote to protect the bargaining authority of Gov. Rauner signals an important shift in Illinois’ political climate. It is clear that House Speaker Michael Madigan is losing his vice-like grip on the Illinois General Assembly. Speaker Madigan has a veto-proof supermajority in the Illinois House. He is renowned for his shrewd political intellect and tight control of a majority caucus. Yet, he was not able muster the votes to protect one of his most powerful political allies, the American Federation of State, County and Municipal Employees, from having to negotiate their interests with a genuine representative of the state’s taxpayers.”

Illinois Policy Institute CEO John Tillman released the following statement:

“The failure of the House to override Illinois Gov. Bruce Rauner’s veto of Senate Bill 1229 represents a great win for taxpayers on two fronts. First, taxpayers’ voice in AFSCME negotiations was protected. The governor, not an unelected and unaccountable arbitrator, will set the terms of the next contract. But the failure of the House to override the governor’s veto also marks the end of an era: the era of Madigan’s tight grip and control over Illinois politics.

“The Democrats have veto-proof supermajorities in the General Assembly. The Senate voted to override the governor’s veto of SB 1229. House Speaker Mike Madigan put immense pressure on his caucus to follow suit – even threatening to kick members out of his caucus or to run candidates against them. Madigan pulled out all the stops – but he still lost.

“In 2014, Madigan’s caucus failed to enact a progressive income tax even with a Democrat governor eager to sign it. Madigan’s caucus couldn’t muster up enough votes for his proposed millionaire’s tax, or even a minimum-wage increase. It failed to make the temporary tax increase permanent, which Democrats continue to complain about. Now, his caucus failed to override the governor’s veto on the AFSCME bill even though Madigan wanted this; the Democrats had enough votes to do so and government unions are the Democrats’ key constituency.

“Madigan’s loss is a win for taxpayers. But it is important not to look at this in purely political terms; today’s failure to override the governor’s veto represents the General Assembly listening to taxpayers’ voice before they listen to Madigan’s. It represents putting the interest of all Illinoisans ahead of the interest of the small percentage who belong to a major campaign contributor, AFSCME. And it represents the chipping away at the Madigan regime that has so damaged Illinois’ economy and finances.”