Despite its name, a social impact bond (SIB) is not a debt instrument and does not require a government to issue debt. Rather, an SIB is a social impact financing arrangement whereby funds are raised from private sector investors to provide social service agencies the funding necessary to deliver their services. The government enters into a contract with a private sector entity working as an…
Businesses do not always pay their bills immediately, and neither do governments. Delays of a month or two are standard practice, although prompt payment is preferable to take advantage of discounts, avoid penalties and maintain access to the largest possible pool of vendors. Since FY2009, long payment delays by the State of Illinois have been a highly visible sign of the State’s financial…
This article discusses the 2015 Cook County Health and Hospitals System’s preliminary budget which is based on a projected increase in CountyCare membership to about 150,000 members from about 100,000 in FY2014. The Civic Federation urged the Health and Hospitals System to develop a multi-year financial plan that accounts for the increased population and related program costs.
In the coming months, the State of Illinois will conduct a revenue volatility study to establish a basis for an adequate rainy day fund balance to protect the State from future economic downturns and other revenue variances. This analysis of historic changes in State revenues was mandated as part of the budget legislation passed for FY2015 and must be completed by the end of the current calendar…
(CHICAGO) The full market value of real estate in Cook County was approximately $414.4 billion in tax assessment year 2012 according to an annual estimate released today by the Civic Federation. The 2012 total value estimate represents a decline of $28.4 billion or 6.4% from the 2011 estimated full value. Tax year 2012 is the most recent year for which data are available. The 2012 estimates…
This report provides estimates of the total market value of real property in Cook County from 2003-2012 and shows how property value is spread among the City of Chicago, the northern and the southern suburbs. The full market value of real estate in Cook County was approximately $414.4 billion in tax assessment year 2012. This represents a decline of $28.4 billion or 6.4% from the 2011…
Despite Illinois’ tight budget for the current fiscal year, the State enacted major Medicaid legislation featuring increased payments to nursing homes and hospitals. Public Act 98-0651 covers 231 pages and was the result of months of negotiations involving legislators, State officials and healthcare providers. The legislation was introduced as an amendment to an existing bill on May 26, 2014—the…
This week the City of Chicago released its Annual Financial Analysis for 2014. According to an executive order issued by Mayor Rahm Emanuel on May 20, 2011, the Office of Budget and Management is mandated to produce a financial analysis of the City budget by July 31st of each year. The report includes: A financial condition analysis that covers the previous ten years, including a…
This article discuses an upcoming $550 million contribution to the City of Chicago’s police and fire pension funds. The City’s 2014 Annual Financial Analysis, released July 31, interprets language in the 2011 pension law such that the increased contribution is not payable until 2016. The Civic Federation said this gives the City 16 months to negotiate and pass a pension deal before difficult tax…
This article discusses the City of Chicago’s 2014 Annual Financial Analysis released July 31, which reviews 2014 and includes projections for fiscal years 2015 through 2017. The Civic Federation said the City is making significant progress on managing its finances and reducing the structural deficit, but continued progress is threatened by the failure to address the City’s police and fire pension…
