The State of Illinois’ statutorily required contributions to its five retirement systems will be $535.0 million higher than expected in FY2013, partly due to the impact of a pension reform law enacted in 2010. Required FY2013 state contributions to the five systems had been projected to total approximately $5.333 billion, based on actuarial valuation reports as of June 30, 2010. The retirement…
The State of Illinois’ 44 regional school superintendents’ offices, which were slated for elimination in Governor Pat Quinn’s FY2012 budget recommendation, have been granted a reprieve—at least for one year. In presenting his proposed FY2012 budget to the General Assembly on February 16, 2011, the Governor stated that he was eliminating state funding for the offices in order to spend more in the…
The Civic Federation's legislative priorities for 2012 include public pension reform, requiring the State of Illinois to develop and implement a capital improvement plan, dissolving the Illinois International Port District, creating a new governing board for the Cook County Forest Preserve District, requiring all counties to hold budget hearings and large counties to produce timely annual audits…
A proposed package of tax incentives currently being considered by the Illinois General Assembly includes eliminating tax relief known as “bonus depreciation” already provided to businesses for 2011 through a federal tax change that the State currently conforms to. Among other provisions, Senate Bill 397 provides tax credits to specific companies that have publicly stated they are considering…
The State of Illinois’ new commission tasked with improving the State’s budget process recently published its first annual report with substantive recommendations for implementation of performance based budgeting for the State and guidance for the next steps in the process. The Budgeting for Results Commission was appointed by Governor Pat Quinn in August 2011 and has spent the last several…
The Illinois General Assembly is expected to take up a host of budget-related bills during its veto session, which opened on October 25, 2011. During the veto session, the General Assembly considers bills vetoed by the Governor. The legislature also considers bills that it had not acted on when the spring session adjourned, but only if they progressed far enough in the legislative process to meet…
Faced with mounting pension costs, the State of Illinois and a number of other states are considering moving away from traditional pension plans. In traditional pension plans, formally called defined benefit (DB) plans, employers are responsible for a specified level of benefits at retirement, typically based on an employee’s earnings, length of service or both. In 401(k)-type plans, formally…
The State of Illinois will take public testimony this week on the goals, priorities and performance measures that are being developed as part of an ongoing effort to reform the State’s annual budget process. As previously described here, the State began a process known as Budgeting for Results in the fall of 2010 in preparation for the FY2012 budget. Under the statutory requirements passed as…
The Illinois General Assembly’s Commission on Government Forecasting and Accountability (COGFA) began holding public hearings on October 5, 2011 on Governor Quinn’s proposal to close seven state facilities. COGFA is required under the State Facilities Closure Act (30 ILCS 608) to hold public hearings on the proposed closing of prisons, youth centers and centers for the mentally ill and…
Entering the third year of the Illinois Jobs Now! capital program, the State’s capital revenue sources are still well below the anticipated debt coverage needed to pay for the more than $16 billion in bond funded projects already approved. In July 2009, along with a massive package of capital appropriations, the State passed a package of revenue ehancements to support the spending then estimated…
