This article looks at the fiscal health of states around the country coming out of the recession. While many states are experiencing economic recovery, Illinois and California are still facing large budget gaps. The Civic Federation said Illinois will end FY2012 with over $8 billion in unpaid bills, even after the Illinois General Assembly closed a $2.7 billion gap in the State’s Medicaid program through a combination of program cuts, reimbursement rate reductions for healthcare providers and…
State of Illinois officials expect unpaid Medicaid bills to decline to $600 million by the end of the 2013 budget year, but that prediction depends on legislation that has not yet passed the Senate. As discussed here, unpaid Medicaid bills on hand were projected to reach nearly $1.9 billion by the end of the current fiscal year on June 30, 2012, due largely to significant underfunding of the program. The backlog of bills would have increased to roughly $4.5 billion by the end of FY2013 without…
This blog post was updated on June 4, 2012 to reflect corrected information. With just hours to go before a midnight adjournment deadline, the Illinois General Assembly has passed most components of a legislative package designed to eliminate a projected $2.7 billion gap in the Medicaid budget for FY2013. The bills, which are expected to be signed by Governor Pat Quinn, include Medicaid program reductions, reimbursement rate cuts for healthcare providers and a cigarette tax increase. Another…
On May 7, 2012, the Civic Federation sent this letter to Senator Gary Forby and the members of the Illinois General Assembly. Click here to read the Civic Federation's Position Statement on SB 3564. Update: On May 9, 2012, the Illinois Senate narrowly rejected Senate Bill 3564. The vote was 29 to 23, with one member voting present. Passage requires a majority vote of the 59 Senate members. Dear Senator Forby: The Civic Federation opposes SB 3564, as amended, which would amend the State…
Update: On May 9, 2012, the Illinois Senate narrowly rejected Senate Bill 3564. The vote was 29 to 23, with one member voting present. Passage requires a majority vote of the 59 Senate members. On May 7, 2012, the Civic Federation sent this letter to Senator Gary Forby and the members of the Illinois General Assembly. The Civic Federation opposes SB 3564, as amended, which would revise the State Facilities Closure Act and make it more difficult for the Governor to close State facilities.…
(CHICAGO) In a new report released today, the Civic Federation’s Institute for Illinois’ Fiscal Sustainability supports Governor Quinn’s proposed budget for FY2013. The $57.4 billion budget proposal acknowledges the depth of the State’s financial problems and would put Illinois finances on the road to recovery with major structural reforms to the State’s Medicaid program and pension systems. This is the first time the Institute has supported a proposed budget in four years of providing fiscal…
The Civic Federation supports Governor Pat Quinn’s $57.4 billion FY2013 recommended operating budget, because it acknowledges the depth of the State’s financial problems and would put Illinois finances on the road to recovery with major structural reforms to the State’s Medicaid program and pension systems. The Governor’s proposed FY2013 budget makes several important steps toward Illinois’ fiscal recovery. The proposal does not rely on borrowing, a departure from the State’s pattern of…
A key component of Governor Pat Quinn’s proposal to close the State of Illinois’ $2.7 billion Medicaid funding gap in FY2013 is an increase in the State’s cigarette tax. The Governor projects that a $1 a pack increase in the cigarette tax, to $1.98, would bring $337.5 million in new revenues to the State to pay for Medicaid expenses. Medicaid spending is reimbursed by the federal government at a rate of 50%. The Governor expects federal reimbursements to bring in another $337.5 million,…
This editorial supports plans announced by Governor Quinn on April 19th for stabilizing the State’s Medicaid program with a combination of program cuts, rate reductions and additional revenues from a $1 per pack increase in the cigarette tax and resulting federal match funding. The Civic Federation commends Governor Quinn’s leadership in stepping forward with a plan that is reasonable, given the magnitude of the Medicaid crisis.
This column addresses Governor Quinn’s plan to stabilize Illinois’ debt-burdened Medicaid program following an April 19 announcement that outlined $2.7 billion in program cuts and additional revenues. The Civic Federation praises Governor Quinn’s plan to save the program and called on the General Assembly to adopt it, or identify alternate solutions with a comparable financial outcome.
