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News Tuesday June 2nd, 2015, 6:29pm

In Budget Battle, Rauner Announces Spending Cuts, Facility Closings

The Rauner administration on Tuesday detailed $400 million worth of spending cuts it is set to implement "in order to begin balancing the phony Madigan-Cullerton budget," according to a news release.

Democratic lawmakers are pushing a 2016 spending plan that's $3 billion short.

The administration calls the Democrat-backed budget -- which has cleared the legislature, but has not been sent to Gov. Bruce Rauner's desk -- "broken" and "phony."

Faced with a more than $6 billion deficit in the next fiscal year, beginning July 1, Democrats have put forward some spending cuts and want to work with the administration in finding new revenues to tackle the budget. Rauner has said he will not sign an unbalanced budget and will not consider new revenue options unless Democrats go along with components of the governor's controversial "Turnaround Agenda."

In the event that a budget agreement does not happen by July 1, the administration said it is beginning the process to reduce spending in a number of areas, including the Child Care Assistance Program, the Community Care Program, which helps seniors stay in their homes, and a service that provides financial assistance to low-income Illinoisans for their heating bills. The governor also plans to put a stop on tax breaks for movie making as well as new EDGE tax credits, which were meant "to encourage companies to locate or expand operations in Illinois when there is active consideration of a competing location in another State," according to the Illinois Department of Commerce and Economic Opportunity's website.

The Rauner administration is also preparing to shut down state museums and other facilities, including the Hardin County Work Camp and possibly two juvenile correctional facilities. 

Additionally, Rauner essentially killed the Illiana Corridor project, a move that has been lauded by some.

"We applaud Governor Rauner for heeding the advice of thousands of Illinois residents who urged him to kill the wasteful Illiana expressway. Governor Rauner cited the 'current fiscal crisis,' but even in good fiscal times, the Illiana was an unjustified waste of taxpayer dollars," said Illinois PIRG Director Abe Scarr.

"Highway projects are notoriously hard to kill, so we need to examine how this boondoggle got as far as it did and take steps to make sure it is not resurrected in the future," Scarr added. "We need to examine how the Illiana could top of the state's declared list of funding priorities, and what reforms are needed to prevent such hijackings of the transportation investment process in the future."

In responding to the governor's actions, Rikeesha Phelon, spokeswoman for Senate President John Cullerton, said: "The plan passed by the General Assembly is a statement of our priorities to provide vital services and invest in the middle class ... If the governor shares that goal, then he is invited to work with us to develop a full plan to fund our shared priorities in education, public safety and community services."

"Unfortunately," she added, "today's actions signal that the governor would rather slash child care, services for troubled youth and senior care rather than work on a bipartisan budget solution."

Sources

  • News links: 
    Chicago Sun-Times
    Chicago Tribune

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Categories

  • Economy
  • Taxes
  • Transportation

Tags

  • budget
  • Budget cuts
  • Child care
  • Child Care Assistance Program
  • Community Care Program
  • corporate tax break
  • corporate tax breaks
  • Democratic Party
  • Democratic Party of Illinois
  • Economic Development For a Growing Economy Tax Credit
  • Economy
  • EDGE tax credit
  • facility closings
  • Hardin County Work Camp
  • Illiana Corridor
  • Illiana Expressway
  • Illinois
  • Illinois budget
  • Illinois Democratic Party
  • Illinois Department of Commerce and Economic Opportunity
  • Illinois economy
  • Illinois General Assembly
  • Illinois PIRG
  • Illinois Public Interest Research Group
  • Illinois revenue
  • Rauner Administration
  • Senior Citizens
  • Seniors
  • Social Services
  • State budget
  • State legislature
  • State Taxes
  • Tax Breaks
  • Tax credit
  • Taxes
  • Transportation
  • Turnaround Agenda

Public figures

  • Bruce Rauner
  • John Cullerton
  • Michael Madigan
  • Mike Madigan

Level of gov't

  • State of Illinois

Comments

kastigar
8:28pm
Tue Jun 2

How can the legislature spend more money that is coming in? 

Either accept the cuts or increase the taxes. 

But the Democrats want to keep spending but they don't want to accept the responsibility of passing the tax increase.

 

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