Governor Pat Quinn’s recommended FY2011 budget, issued on March 10, 2010, proposes borrowing $4.7 billion to cover FY2011’s projected operating deficit. No details about the Governor’s borrowing plan have yet been made available. However, the budget proposal states that borrowing would be preferable to increasing the State of Illinois’ backlog of unpaid bills by roughly the same amount because…
Although the proposed FY2011operating budget for the State of Illinois, which includes a $4.7 billion annual deficit and carrying forward $6 billion in unpaid bills, has garnered the most attention since being released on March 10, 2010, Governor Pat Quinn also proposed an expansion of the capital budget in FY2011. The Governor’s proposed capital budget for FY2011 comes on the heels of a…
Governor Pat Quinn’s administration is promoting a plan for Medicaid health maintenance organizations (HMOs) as a major reform initiative, but several legislators have introduced bills in the General Assembly that would slow or restrict the plan. The pilot program would enroll roughly 40,000 disabled and elderly Medicaid recipients in Northeastern Illinois—excluding Chicago—in HMOs. The plan…
As part of an agreement with legislative leaders to push back the Governor’s annual budget address from February 17, 2010 until March 10, 2010, the Governor’s Office of Management and Budget posted preliminary FY2011 budget information to a new state website last week. In an introductory video on the website, Director David Vaught explains the fiscal crisis facing the State and the tough choices…
The State of Illinois’ underfunding of its retirement systems is a growing source of pressure on the State’s operating budget and an increasing focus of national attention. In a recent report by the Pew Center on the States, Illinois was found to be in the worst shape of any state with regard to the funding of its pension systems. The financial information in the Pew report was based on data from…
An Analysis of the State’s Fiscal Crisis and Actionable Recommendations for Governor Pat Quinn and the Illinois General Assembly Please visit the Illinois Fiscal Rehabilitation Plan web page for a comprehensive look at the report. This report describes the basis of the State of Illinois’ fiscal crisis and presents the Civic Federation’s plan for rehabilitating the State’s finances. The plan…
Proposes Comprehensive Package to Address State Budget Crisis Please visit the Illinois Fiscal Rehabilitation Plan web page for a comprehensive look at the report. CHICAGO – The Civic Federation, a 116 year-old government research organization, released today its plan to salvage the State of Illinois’ finances. “A Fiscal Rehabilitation Plan for the State of Illinois” calls for a comprehensive…
One of the Chicago Transit Authority’s ongoing fiscal challenges has been balancing the cost of providing rides on the CTA with the fares the Authority collects from its customers. CTA Board Chairman Terry Peterson announced at the Authority’s February board meeting that it costs the Authority approximately $7 to provide a ride on the system while the estimated average fare per trip in…
The State’s fiscal crisis is causing substantial difficulties for residents, state workers, state service providers and other governments. Budget cuts in early FY2010, which began July 1, led to reductions in state-funded services for some of Illinois’ lowest income citizens. Now, with the economy still mired in recession, the State is increasingly hard-pressed to pay its bills. Illinois’ backlog…
This article discusses the Institute for Illinois’ Fiscal Sustainability at the Civic Federation’s finding that the Illinois two-year budget deficit will reach at least $12.8 billion by the end of FY2010 as a result of the loss of tax revenue and structural deficits.
