Illinois on Autopilot, the Reality of FY2016
Release: February 16, 2016
In both magnitude and meaning, state elected officials have no greater obligation than passing a General Fund budget into law. Consider magnitude first. Last fiscal year the General Fund budget provided for the expenditure of $35 billion. No question, that constitutes a sizeable expenditure of taxpayer money. It is also meaningful. While nearly $11 billion was targeted for Hard Costs like debt service and other legally mandated payments, over $24 billion was invested in current services across communities statewide. In fact, over 90 percent of FY2015 General Fund expenditures on services covered education (35 percent), healthcare (30 percent), human services (21 percent), and public safety (7 percent). To be clear, it is those services which provide for the basic health and well-being of the citizenry, and go to the very heart of why we elect a Governor and General Assembly in the first place.
By failing to pass a General Fund budget for FY2016, elected officials are basically punting the following difficult, but fundamental, responsibilities to:
- Make decisions about how to allocate scarce resources among the aforesaid four service priorities;
- Identify which of, and by how much, those services will be cut, despite their high priority, if the state’s current woeful fiscal condition is not addressed; or
- Raise the tax revenue needed to fund those core services to the amounts needed to satisfy demographically driven demand.
It Is All About the Revenue: Why Both Current FY2016 General Fund Budget Proposals Fall Short
Release: August 12, 2015
This Report provides a detailed analysis of both Governor Bruce Rauner’s and the General Assembly’s two very different proposals for the FY2016 General Fund budget. Both budget proposals would cut services and increase the state’s deficit due to the phase down of the temporary tax increases in the state’s personal and corporate income tax rates that became effective on January 1, 2015. Collectively, those income tax rate cuts will cause Illinois’ General Fund to lose $4.6 billion in recurring revenue over the course of the full fiscal year.