(CHICAGO) In an analysis released today, the Civic Federation withholds support for the Chicago Public Schools (CPS) proposed $6.6 billion budget for FY2014, which closes a $977 million budget deficit with a complete drawdown of unrestricted reserve funds, as well as use of some restricted reserve funds. Even after the pain of layoffs and school closings, the District’s long-term fiscal health remains in jeopardy absent pension reform. The full 83-page analysis is available at www.civicfed.org…
An increase in the cigarette tax increase designed to provide additional funding for the Illinois Medicaid program generated more revenues than expected despite a drop in sales and hoarding of tax stamps prior to the effective date of the tax increase. As discussed here, the $1-per-pack increase was enacted as part of an overhaul of the Medicaid program that sought to eliminate a funding gap of $2.7 billion in FY2013. The State estimated that the increase would bring in an additional $350…
This article summarizes the Civic Federation’s support for the City Colleges FY2014 tentative budget. The budget holds the property tax levy flat, reduces unrestricted operating expenses and prudently plans for the phased-in shift of employee pension costs that has been proposed but not yet enacted by the Illinois General Assembly.
The Civic Federation supports the City Colleges tentative FY2014 budget totaling $657.0 million for continuing the District’s exemplary work to improve its financial and operational health. The FY2014 proposed budget holds the property tax levy flat for the fourth consecutive year and reduces the unrestricted operating portion of the budget, the portion over which the District has the most control, by 6.9% or $21.1 million. Now in the middle stages of its multi-year Reinvention reorganization…
Proposed budget holds property tax levy flat and prepares for State’s uncertain fiscal outlook (CHICAGO) In an analysis released today, the Civic Federation supports the City Colleges of Chicago’s proposed FY2014 budget of $657.0 million which continues the District’s exemplary work to improve its financial and operational health. The full 44-page report is available at www.civicfed.org. “Under the leadership of Chancellor Cheryl Hyman and her team, City Colleges has consistently shown…
Second installment property tax bills for Cook County residents were mailed out this week, the second year in a row that they have been sent out on time. Between at least tax year 1977 and tax year 2011, second installment bills were sent out late every year according to the elected officials associated with the Cook County property tax process. Cook County Clerk David Orr’s office released the 2012 Cook County Tax Rates Report on June 25, 2013. The report lists property tax rates for all…
Many cash-strapped states are looking to a proposal in the U.S. Congress to help collect sales taxes on internet purchases. The legislation could lead to a windfall in recaptured state sales tax revenues but currently would exclude Illinois. The U.S. House of Representatives and the U.S. Senate are debating identical versions of the Marketplace Fairness Act (H.R. 684 and S. 743). The new law would require larger online retailers to collect and remit sales taxes due for online purchases to the…
The Illinois Department of Revenue has announced that the final equalization factor for the Cook County 2012 property assessment year (taxes payable in 2013) is 2.8056. The 2012 final equalization factor of 2.8056 is less than the final 2011 equalization factor of 2.9706. This does not mean that property taxes will go up or down. It means that, overall, the weighted average level of assessment[1] in Cook County for all types of property averaged over the past three years has increased to a…
The Civic Federation supports Governor Pat Quinn’s $62.4 billion FY2014 recommended operating budget for balancing revenues and expenditures without borrowing and making progress toward reducing the State’s backlog of unpaid bills. However, this budget proposal is only a stopgap that further demonstrates the urgent need for comprehensive pension reform. The State’s pension costs, including debt payments on past borrowing for pensions, will consume nearly 25% of State-source General Funds…
State's pension costs to consume nearly 25% of State-source revenues in FY2014 (CHICAGO) – In a new report released today, the Civic Federation’s Institute for Illinois’ Fiscal Sustainability supports Governor Quinn’s proposed budget for FY2014, but warns the proposal is only a stopgap that further demonstrates the urgent need for comprehensive pension reform. The $62.4 billion proposal balances revenues and expenditures without borrowing and makes progress toward reducing the State’s backlog…
