IL comptroller warns of 'massive fiscal crisis' by end of the month
Comptroller Susana Mendoza must prioritize what gets paid as Illinois nears its third year without a state budget.A mix of state law, court orders and pressure from credit rating agencies requires some items be paid first. Those include debt and pension payments, state worker paychecks and some school funding.Mendoza says a recent court order regarding money owed for Medicaid bills means mandated payments will eat up 100 percent of Illinois' monthly revenue.There would be no money left for so-called "discretionary" spending - a category that in Illinois includes school buses, domestic violence shelters and some ambulance services.
- If there is no state budget by June 30, 2017, the Illinois Department of Transportation announced that they would be forced to halt all state projects that could cost 30,000 jobs.
- The Illinois Lottery faces threats of removal from the Powerball and Mega Millions if there is no budget by June 30, 2017.
- Illinois owes school districts more than $1.1 billion in categorical payments for special education, transportation, bilingual and early childhood services.
- Illinois’ backlog of unpaid bills stood at record $14.5 billion as of May 31, according to Comptroller Susana Mendoza.
- The state’s Medicaid managed care organizations are owed $2 billion.
- Centerstone, a non-profit behavioral health organization that helps 16,000 clients in southern Illinois and the metro-east region, has shuttered offices and cut services amid the budget impasse, affecting 700 clients and 39 staff members throughout the state.
- The Wells Center, a drug treatment facility in downstate Jacksonville that has been operating for 50 years, was forced to shut down operations because of the budget impasse.
- Illinois’ unpaid bill backlog could hit $25 billion by FY 2019 if the state continues without a budget.
- Students and parents are looking to out-of-state colleges due to the unstable climate within Illinois’ higher education system.
- More than 1,500 employees have been laid off at public universities and community colleges throughout the state.
12 June 2017