The Civic Federation is unable to support Governor Rauner’s recommended budget for FY2017 because it has an operating deficit of at least $3.5 billion and presents an insufficiently detailed plan for closing the gap. According to the report, the $3.5 billion deficit appears to be significantly understated, because it does not fully account for the actual cost of essential State services. Illinois’ backlog of bills could grow as high as $12.8 billion by the end of FY2017 under the plan. This…
The State of Illinois’ budget impasse could cost taxpayers another $138 million due to liabilities associated with its swaps portfolio, if the lack of a spending plan causes its bond ratings to fall much further. As previously discussed here, two of the three major rating agencies cut Illinois’ bond ratings in October 2015 due to its ongoing budget crisis and worsening financial condition. These downgrades make Illinois the only state credit currently rated below the ‘A’ category and…
This article discusses the City of Chicago’s billion-dollar plan to build the George Lucas Museum of Narrative Art that will require borrowing and tax increases. Laurence Msall, President of the Civic Federation, explains that until an agreement is made by the State on how to prioritize spending, it will be hard for any project of this magnitude to be addressed.
This article reports on Illinois Comptroller Leslie Munger addressing the budget impasse by delaying paychecks to lawmakers until the stalemate is resolved. Civic Federation President Laurence Msall remarks that the Comptroller’s plan draws increased attention to the fact that Illinois has been operating without a budget for the past ten months, during which many of the State’s vendors have continued to provide services without being paid.
This article examines the amount of borrowing and tax increases necessary for the City to construct the George Lucas Museum of Narrative Art. Laurence Msall, President of the Civic Federation, notes that it would be difficult to prioritize such a project in the midst of the budget impasse.
This article discusses an announcement by Illinois Comptroller Leslie Munger that lawmakers’ paychecks will be delayed as a result of the ongoing budget impasse. Civic Federation President Laurence Msall notes that not having an FY2016 budget has been devastating for groups that rely on the State funding.
This article discusses a recent state budget forum featuring a panel of eight Illinois lawmakers providing their respective insights on Illinois’ current financial crisis. Civic Federation President Laurence Msall co-moderated the event. He called on lawmakers to provide specific solutions to end the budget impasse and reinforced the reality that in the absence of an FY2016 budget, Illinois is spending more than it is taking in.
This segment examines how the State of Illinois has been spending billions of dollars in revenue even in the absence of an FY2016 budget. Laurence Msall, President of the Civic Federation, notes that the impasse creates tremendous burdens for current and future citizens and taxpayers.
Due to its growing backlog of overdue group health insurance bills, the State of Illinois is expected to pay a total of at least $454 million in interest penalties in the current and upcoming budget years, according to a new report. The report by the General Assembly’s Commission on Government Forecasting and Accountability (COGFA) shows that the backlog of unpaid claims held by the State Employees’ Group Insurance Program stood at approximately $2.9 billion at the end of February 2016. That…
This article examines the nearly billion dollars of interest the State of Illinois has paid in penalties over the last several years because of its continually late bill payments. Civic Federation President Laurence Msall notes that these penalty payments are a fiscally irresponsible use of the State’s money.
