Blagojevich is threatening to kill Amtrak in Illinois.
This from: whig.com
Herald-Whig Staff Writer
Gov. Rod Blagojevich is threatening to eliminate $28 million in subsidies for Amtrak routes to and from Chicago, including the two trains connecting with Quincy, as part of $1.5 billion in proposed reductions to balance the state budget.
The cuts would hit all facets of state government and touch the lives of many Illinois residents unless the governor and legislators find another solution.
From gutting Amtrak train subsidies to delaying health care provider payments, Blagojevich’s planned cuts would go deep in some areas to repair a budget for the year starting July 1 he says is $2 billion out of whack.
I wrote a letter to Springfield to voice my concern about this and here is what Harry Osterman had to say about it…
Dear Ms. Hawks,
Thank you for contacting my office to share your views concerning the Amtrak Illinois program. The Illinois train system is even more important than ever as we face rising gas prices and growing concerns over the environment. Illinois citizens, including myself (I take Amtrak to Springfield when the legislature is in session), depend on Amtrak for an economical, dependable and convenient option when it comes to transportation.
And for Blagojevich…here’s a snippet from a story by the AP: pantagraph.com
The additional income could mean a $60,000 tax bill for Blagojevich, according to the analysis. And unless he amends his past tax returns and pays the sum, the state could be penalized for not reporting the travel, according to tax law. The penalty could exceed $40,000, the AP review shows.
Blagojevich has an office in Chicago and may travel there for business without repercussion. Otherwise, the travel is taxable, said Marianna Dyson, an employment and fringe-benefits lawyer with Miller & Chevalier in Washington, D.C.
The analysis doesn’t include dozens of business trips Blagojevich took to other cities when, instead of taking a shorter return trip to Springfield, he flew to Chicago despite having no appointments there. Portions of those trips could be considered personal and taxable, experts said.
The review also excluded most of first lady Patricia Blagojevich’s flights along with dozens of trips by daughters Amy and Annie, even though the IRS allows tax-free family travel only when it has more than a minor business purpose.
Travel has meant trouble for Blagojevich from the start. He was criticized for not moving into the Executive Mansion, and questions arose about his frequent Chicago travel as early as fall 2003.
In June, the AP reported he was making nearly daily round-trip flights between home and capital while legislators were deadlocked on a budget. Last month, lawmakers hammered him for a flight to a Chicago Blackhawks hockey game during crucial legislative action.
In all, Blagojevich has flown on state aircraft more than 500 times. When he goes to Chicago for a job-related event he may fly at taxpayers’ expense, said Thomas Cryan, an employment lawyer for the Washington firm of Baker & McKenzie.
But absent business there — and work at his residence doesn’t count — his travel to work and home is no different from anyone battling rush hour. Commutes can be painful but are not tax deductible.
“The capital would be his main place of business. So getting to there, regardless of how he gets there, would be commuting,” said Cindy Hockenberry, a Wisconsin-based tax information specialist for the National Association of Tax Professionals.
