With new attention being paid to the cost of the State of Illinois’ Medicaid program, it seems logical to ask why the total annual costs of the program are not reflected in the State’s budget. The answer lies in an obscure statutory provision, found in Section 25 of the State Finance Act, that allows Medicaid costs to be paid from future years’ appropriations. In simple terms, this provision allows the State to hold down Medicaid appropriations below expected costs in order to help balance the…
This article examines the challenge facing several states that enacted temporary tax increases during the recession and now face long-term budget challenges as the increases are scheduled to sunset. The Civic Federation says that the State of Illinois still has billions in unpaid bills even with extra revenue from a temporary income tax increase that is scheduled to partially sunset in 2015.
This article examines Governor Pat Quinn’s FY2013 budget proposal and includes reaction from the Civic Federation that the Governor’s budget is a step in the right direction because proposed General Funds expenditures appear to be below projected General Funds revenues.
On February 22, 2012, Governor Pat Quinn presented his administration’s fourth annual budget for the State of Illinois. The Governor’s FY2013 budget address to the General Assembly focused on the difficult financial challenges facing the State and the critical need to reduce Medicaid costs and unfunded pension liabilities. In his speech, the Governor said that the recommended budget for FY2013 reflects the reality that there is no easy way for the State to fix its chronic financial problems.…
Governor Quinn’s FY2013 Budget Address proposed unspecified Medicaid cuts of $2.7 billion and the consolidation or closure of 62 State facilities. The Civic Federation says that painful, difficult reductions are necessary to address the State’s chronic financial problems.
This article discusses Governor Quinn’s proposal to cut $2.7 billion from the State’s Medicaid program. It cites the Civic Federation’s report that General Funds costs for Medicaid will increase from nearly $8.6 billion in FY2012 to $12.1 billion in FY2017.
This article discusses Governor Quinn’s call to stabilize the State’s pensions and restructure the Medicaid program. The article cites the Civic Federation’s projection that, without action, the State’s unpaid bills could rise to $34.8 billion by the end of FY2017.
On February 8, 2012, the Chicago Park District Board of Commissioners unanimously voted to provide the Institute of Puerto Rican Arts and Culture (IPRAC) $243,407 in funds from the District’s personal property tax replacement (PPRT) receipts. The PPRT is a corporate income tax that is collected by the State of Illinois and remitted to local governments; it was implemented in 1979 after local personal property taxes were abolished. The monies for the Institute will come from the District’s…
In advance of Governor Pat Quinn's budget address on February 22, this op-ed by Civic Federation President Laurence Msall discusses Illinois' damaged fiscal reputation. The piece offers recommendations for stabilizing the State's finances and curbing unsustainable trends in the State's Medicaid and pension systems.
A week before Governor Pat Quinn’s FY2013 budget address, a panel of Illinois State senators met in Chicago to hear testimony on the State’s major budget challenges: rising Medicaid costs and unfunded pension liabilities. The Senate’s two Appropriation Committees held the joint hearing on February 15, 2012. Senator Heather Steans, who chairs one of the committees, said the hearing was intended to prepare members for the release of Governor Quinn’s recommended budget on February 22.…