Even without an annual operating budget, the State of Illinois has already spent billions of dollars for the fiscal year that began on July 1, 2015. What remains unclear is how much the State is obligated to pay out for the entire year and how that compares with estimated FY2016 revenues. The State is obligated to make numerous FY2016 payments due to continuing appropriations and court orders. In addition, although Governor Bruce Rauner vetoed most of the budget passed by the General Assembly…
This article covers the budget impasse facing the State of Illinois and how it is contributing to a growing deficit as the State continues to spend without clear parameters. A Civic Federation analysis found savings in Governor Rauner’s proposed FY2016 budget unachievable and said the eventual budget solution will require an increase in taxes, cuts to spending, or likely both.
Although the State of Illinois in entering the second month of its new fiscal year without an operating budget, the Governor and General Assembly have agreed on a capital construction budget for fiscal year 2016. Governor Bruce Rauner issued several line item vetoes to the capital appropriations bill, which primarily reauthorized ongoing spending from the Illinois Jobs Now! program that began in 2010. Following a proposal included in the Governor’s recommended FY2016 capital budget,…
This article gives an overview of the Chicago Public Schools FY2016 budget released August 10 for the fiscal year that began July 1. The Civic Federation said the spending plan that relies on the State of Illinois to provide $480 million in additional funding or pension relief is enormously risky, and the budget does not detail the consequences if the State does not provide that funding.
The City of Chicago recently released its Annual Financial Analysis for 2015. 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 discussion of key factors impacting the performance of the City’s revenue streams; A three-year baseline forecast…
This article reviews findings in the City of Chicago’s Annual Financial Analysis, released July 31. The Civic Federation said the only thing that can improve Chicago’s financial position is a comprehensive plan that relies on sustainable revenue sources rather than borrowing.
This article examines the projected deficit of $426 million reported in the City of Chicago’s Annual Financial Analysis, which does not include additional contributions required under existing State law to the City’s police and fire pension funds. The Civic Federation said it is very difficult to see how the City could close the budget deficit without a significant increase in property taxes.
This article discusses the impact taxpayers could feel following a July 24 court ruling that struck down reforms for the City of Chicago’s police and fire pension funds. The Civic Federation said that without the reforms, it is highly likely the City will have to resort to increased taxes and reduced services.
This article covers the $426 million budget deficit projected in the City of Chicago’s Annual Financial Analysis released July 31. The $426 million budget gap does not include nearly $550 million in additional contributions required by State law for the City’s Police and Fire Funds because the City is petitioning the General Assembly and Governor to lower the required contribution.
More than three weeks into fiscal year 2016, the State of Illinois continues to operate without an annual budget. Despite the lack of a budget, members of the General Assembly are reportedly in line to get pay raises of about 2%, or at least $1,300 each, for the year that began on July 1, 2015. The reasons are complicated and relate to prior legal disputes between Illinois governors and the executive and judicial branches of State government. As a result of previous court rulings and statutory…
