The State of Illinois budget for fiscal year 2013 underfunds the expected cost of State group health insurance by at least $550 million, paving the way for a significant increase in unpaid bills unless more spending is authorized later this year. Governor Pat Quinn signed the $33.7 billion budget on June 30, 2012, one day before the start of the current fiscal year. The Governor had recommended a…
In light of the State of Illinois’ pension funding crisis, it has become more widely understood that the annual Cost of Living Adjustment, or COLA, plays a large role in the State’s overall pension costs. Just how large, however, has been difficult to pin down. As discussed here, detailed information on pension costs and projected savings due to proposed changes was hard to come by during the…
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…
This article discusses the State of Illinois’ mounting fiscal challenges which persist despite a major income tax increase enacted in January 2011. The Civic Federation warns that Illinois already has the worst credit rating of all 50 states and could face further downgrades without action to stabilize the State’s finances.
UPDATE: On May 24, 2012 the Illinois General Assembly approved legislation to permit Cook County’s public health system to obtain federal funding for medical services for low-income adults under the Medicaid program. The plan must still be approved by the federal government. House Bill 5007 passed the House by a vote of 62 to 55 and the Senate by a vote of 35 to 22. The Cook County plan…
With two weeks left to go before the Illinois General Assembly is scheduled to adjourn, two budget plans for FY2013 are on the table: Governor Pat Quinn’s recommended budget and an alternative budget framework approved by the Illinois House. The General Assembly is scheduled to adjourn on May 31, 2012. Bills voted on after that date require three-fifths majority to pass, rather than a simple…
On May 1, 2012, the Civic Federation announced its support for Governor Pat Quinn’s FY2013 budget recommendation based on an analysis by the Institute for Illinois’ Fiscal Sustainability (IIFS), the Federation’s State government research arm. This marked the first time that the Federation has supported a Governor’s budget proposal since it founded IIFS in 2008 to expand its State budget research…
This article discusses Illinois fiscal crisis and the Civic Federation’s support for Governor Pat Quinn’s FY2013 proposed budget. Illinois’ already low credit rating could face further downgrades if the current legislative session doesn’t produce sensible reforms that match the magnitude of Illinois’ fiscal problems. The Civic Federation is calling on the Illinois General Assembly to approve the…
(The full text of this article is avalible only to the publication's subscribers.) This article summarizes the Civic Federation’s FY2013 State of Illinois Recommended Budget Analysis, which supports Governor Pat Quinn’s proposed budget as the first budget since the crisis began to offer real solutions to the State’s financial problems. It highlights the Civic Federation’s concern that more…
This Greg Hinz column covers the Civic Federation’s FY2013 State of Illinois Recommended Budget Analysis. The Federation supports the proposed budget because it acknowledges the depth of the State’s financial problems and introduces major reforms that would put Illinois finances on the road to recovery.
