SPRINGFIELD - Gov. Rod Blagojevich's plan to raise taxes on Illinois businesses was dealt a symbolic setback Wednesday.

Republicans in the House gathered 61 signatures on a resolution opposing Blagojevich's so-called "gross receipts tax" proposal. That number signals that a majority of members in the chamber would likely vote against such a plan if it comes up for a vote.

"That must be one of the most clear and unequivocal signals I've ever seen," said state Rep. Chapin Rose, R-Mahomet, who is opposed to the tax idea.

Without the estimated $7.6 billion the plan would raise from higher taxes on businesses, the governor's ambitious and controversial initiative to boost spending on health insurance, schools and pensions could be in jeopardy.

A spokeswoman for the Democrat from Chicago vehemently downplayed Wednesday's development.

"It is no surprise at all that Republicans are playing politics with our priorities," said spokeswoman Rebecca Rausch. The list of 61 included nine of Blagojevich's fellow Democrats.

The maneuvering in the House came as thousands of parents and educators gathered on the Capitol grounds to rally in favor of school funding reform.

The event, sponsored by the state's largest teacher's union, was designed to generate support for Blagojevich's tax plan, which would provide hundreds of millions of dollars for schools and provide property tax relief for homeowners.

"The legislators took the job to figure out how to get the money. They promised to get the money for education. They need to do their job, we are doing ours," said Deb Holmes, a high school teacher from East Moline who joined colleagues from across the state in a march through downtown Springfield.

Pattie Richardson, a teaching assistant at Garfield Montessori school in Decatur, said it is clear Illinois lawmakers need to boost funding for education.

"It's time for the government to step up and do its part and equitably fund our schools," said Richardson.

But, with the governor's proposal facing opposition from both Republicans and Democrats, it is not clear whether any new money will be heading to schools when the new fiscal year begins July 1.

The governor opposes raising the income and sales tax, meaning lawmakers must find other ways to raise cash if they want to boost spending on schools or health care.

House Speaker Michael Madigan, D-Chicago, didn't get behind Blagojevich's plan, but, in a speech to business groups Wednesday, he left the door open for a tax hike of some kind.

"Now as I said, I said that I think we're going to need a tax increase, and that's as far as I'm going to go," Madigan said.

Madigan will convene a meeting on Wednesday for all 118 members of the House to discuss the state's revenue situation.

"The governor has made a very serious proposal, and in his mind, it's a very well-intentioned and a good proposal. But everybody should have a chance to participate," Madigan said.

Meanwhile, at the rally, Centralia Junior High School teacher Tron Young told the crowd that he has too many children in some of his classes to be an effective instructor.

"I know around the state that similar things are happening and it's just not right," said Young, who graduated from Eastern Illinois University two years ago.

"It is not a north-south issue. There are school districts all over suffering," said Bob Gard of Marshall, who has been a teacher for 23 years. He said he attended the rally because school funding is a "worthwhile cause."

Nadine Risley, a retired teacher's aide from Elkville, said the current school funding system is not fair because some schools have more money than others.

"I would rather see the income tax increased and property taxes reduced, because that would be fairer," Risley said.

Lee bureau reporters Mike Riopell and Blackwell Thomas contributed to this report.