Created: Thursday, August 14, 2008 12:00 a.m. CST
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Ill. House approves rewrites from gov.

By CHRISTOPHER WILLS - Associated Press

SPRINGFIELD  - The Illinois House on Wednesday approved new versions of legislation that Gov. Rod Blagojevich had rewritten to cut taxes for disabled veterans and lower insurance costs for college students. Speaker Michael Madigan also said House Democrats may reverse course and support the governor's idea of privatizing the lottery to pay for a statewide construction program. But Madigan cautioned that his caucus still has deep doubts about whether the governor can be trusted to oversee that program fairly. They won't be pushed into a deal, he said. “We're not prepared to have things dictated to us. Everybody in the building ought to understand that,” said Madigan, D-Chicago. Blagojevich has begun a campaign of using his amendatory veto power to make dramatic changes to legislation approved by the General Assembly. He calls it “Rewrite to Do Right.” One of his rewritten bills would exempt disabled veterans from paying property taxes. Blagojevich's office estimates 16,000 people would qualify for the exemption, which would apply to veterans with at least a 50 percent disability. Local governments would lose $35 million to $40 million in tax revenue, said the sponsor of the legislation. The House voted 78-12 to accept the governor's changes. Lawmakers also approved 70-21 a rewrite that would let parents keep college-age children on their health insurance. Unmarried children could stay on their parents' health plans up to age 26 under the legislation. State Rep. Robert Pritchard, R-Hinckley, said he voted in favor of both measures, but noted the governor's actions may give lawmakers a chance to challenge Blagojevich in court. Some lawmakers think the governor is overstepping his authority by drastically rewriting legislation, Pritchard said, noting that the original legislation aimed at helping veterans initially involved a Tax Increment Finance district in the village of Downs. Legislators would like the state's court system to “provide some clarity as to if the governor has this type of authority to amend laws,” Pritchard said. In a news conference after the House had adjourned, Blagojevich denied that it would increase costs for insurance companies or businesses that provide health care for employees. Asked if approving the governor's changes was meant as an olive branch, Madigan said, “You could take it that way, if you wish.” Madigan's majority leader, Rep. Barbara Flynn Currie, said the changes could be challenged in court, creating an opportunity for the courts to spell out the limits of the governor's amendatory veto power. The state Senate now has 15 days to consider the governor's vetoes or the legislation dies. The Senate is not in session, so that would require bringing senators back to Springfield. Madigan said discussions among House Democrats show new interest in privatizing the Illinois lottery to pay for statewide construction projects. “The prospects look very, very good,” he said. Blagojevich has pushed for years to lease the lottery to a private company. His most recent idea is to use the proceeds to support a $25 billion capital plan. Madigan's comments and the House votes left Blagojevich in an upbeat mood. “It's been a good day,” he said. The House also approved a $360 million bond program. If it became law, this would let Illinois qualify for federal matching money and proceed with more than $1 billion worth of construction work. “It's not the way you would want to run government, but given the gridlock we've got around here in terms of a capital bill, this will at least help capture some of that money,” Pritchard said. He voted in favor of the legislation; the Senate still has to vote on it. This is meant as a small-scale alternative to the major capital program that Blagojevich wants. His administration says the House plan is technically flawed and far too small. The legislation is HB4201, HB5285, SB1460.

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