Legislative Update for August 8th, 2007

Today was actually a new and productive day. We are very close to an operational budget only, which means we will keep the state running to provide services with some necessary increases to some agencies and for some services. There are increases in the budget based on projected revenue growth and it is closer to the live within your means budget that I have advocated for. It obviously does not do all things for all people but it reflects compromise on all sides and has some good things in it. However, along with the good comes the bad. I worry about the sustainability into the future. The budget is being filed as I write and unfortunately, I will probably only be given an hour before I have to vote on it!

Rumor has it that the vote will be taken tomorrow! If it passes (and there are reasons to vote for and against it) then it should be called in the Senate on Saturday. Once it is sent to the Governor, who knows what will happen. His plans are not included so he probably won’t like it!

Rumor has it that the vote will be taken tomorrow! If it passes (and there are reasons to vote for and against it) then it should be called in the Senate on Saturday. Once it is sent to the Governor, who knows what will happen. His plans are not included so he probably won’t like it! State workers are hopeful that they will continue to receive their paychecks on time if the budget passes and is signed. There has been talk that August 8 wasn’t the drop dead date, but now August 12 is the critical date on which checks need to be issued. The Governor sent a letter yesterday ordering Comptroller Dan Hynes to continue issuing paychecks to workers like normal, however, Hynes said he does not have official authority to do so without an appropriations budget.

State union workers represented by the American Federation of State, County and Municipal Employees Council 31, or AFSCME, are prepared to file a lawsuit with the Governor to ensure that the state can uphold its contract obligations to more than 40,000 state employees.

Worse yet, state employees are not the only ones to be affected from this day going forward. Several lawmakers voiced their concerns because $174 million is scheduled to be sent in state payments to Illinois schools. With the school year just a few weeks away, it is difficult for school officials to produce their own district budgets without knowing if they will receive state funding.

Again, the Governor insists schools will not be disrupted financially and that Hynes can issue checks to cover costs. He has also offered a proposal to offer school districts interest free loan, but lawmakers questioned this plan’s reliability. Some said only 40 school districts out of Illinois’ 880 school districts would be eligible for the loan assistance. He said that the Illinois Finance Authority will dispense this money - problem is that they only do bonds and have only $48 million in bonds on hand; go figure.

On another note, the CTA today approved a plan that will take effect in September if it does not receive additional funding in an upcoming budget. The plan includes reduced services by 8 percent, $7.5 million in service cuts, and the elimination of many routes. I am worried about the inevitable impact on PACE routes and eventually on Metra who has dipped into its reserves to maintain itself.

Session is scheduled to begin at 10 a.m. tomorrow I hope to have good news!