Illinois is heading toward a catastrophe.
Public employee unions get stiffed, along with others.
Illinois Comptroller Leslie Geissler Munger has warned that "the State of Illinois is on pace to spend an additional $6.2 billion more than it receives in revenue this fiscal year alone if the state continues its current rate of spending without a budget."
“When you put it together, it’s $6.2 billion more in debt for a state that already had a multi-billion bill backlog,” Munger said. “The situation without a budget is a little like a credit card limit. You can spend until you hit that limit – but in this case, the courts have essentially removed the limit and the state has blown through the caps to the tune of $1.2 billion. Without a budget, the spending is open-ended and our fiscal path is catastrophic.” [Emphasis added.]
The stink about the ever-sinking financial condition centers on the difficulty that social services are having. But here's some information that the public employee unions, which are bankrupting the state with their bloated pensions, should note: It's not just those social service agencies that are getting stiffed. It's those pension funds too.
Go into detail in the latest Comptroller's Quarterly report and you'll find this in a section that describes deferred payments:
In November, there was insufficient cash available to make payments as prescribed by court orders, consent decrees, and state and Federal law. After consulting with the public employee retirement systems, the state deferred its employer contribution until later in the fiscal year.
Later this year? Sure, just like the state had been deferring--raiding is more like it--those payments into the pension fund for years. So the state can pay its other bills, including the salaries of those whose pensions are bankrupting the state.
Illinois Watchdog has more details about Munger's warning.
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