Estimate: Special Session Costs $48000 For 1 Day
- Author: Santos West Jun 22, 2017,
Jun 22, 2017, 6:10
House Republican Leader Jim Durkin said it was hypocritical of his Democratic colleagues to question whether the GOP budget plan was balanced, noting their history of passing budgets that spend more than the state has on hand.
IL already has $15 billion in overdue bills and the lowest credit rating of any state, and some ratings agencies have warned they will downgrade the rating to "junk" if there's no budget before the next fiscal year begins July 1.
Republicans say Speaker Madigan should adopt their plan or present his own.
Entering a third-straight fiscal year without a spending plan could sink Illinois' credit ratings to "junk", a first for any US state, leaving some investors unable to buy the state's debt and others to demand even fatter yields. They earned two of the three "F" grades (along with Connecticut) in the 2016 Thumbtack Small Business Friendliness Survey, and ranked 50th and 48th, respectively, in Chief Executive magazine's annual "Best and Worst States for Business" survey.
Rauner says Republicans do have a plan to get the situation under control. "I'm not saying they are not necessary positions, but are they anymore necessary than a classroom teacher", Sanders said.
Republican lawmakers said they would vote for that tax plan, and Rauner has pledged to sign it, but only if the hike is limited to four years starting in July and tied to a four-year property tax freeze. Republicans and Senate Democrats fashioned a working compromise last week. Both plans also include an expansion of the state's sales tax to certain services, and an increase in Illinois' corporate tax on businesses.
At the core of their proposal is the Senate Democrats' increase in taxes of 5.4 billion dollars per year that the Dems had passed in the Senate, raising the individual income tax rate to 4.95%, just short of its 2014 level of 5 %, and extending the IL sales tax to certain services.
A special session, or a continuous special session, is a period when the House and Senate convene following the end of the regular session.
The special session could last up to 10 days.
"We can walk and chew gum at the same time", Durkin said. Also, they want the Democrats to continue to support the modest pension reform and workers' comp. reform that the Senate Democrats had previously supported. Ratings agencies have said without a budget, IL will be downgraded to "junk" status.
Ives also said the reforms don't go near far enough to improve the state's economy and jobs climate. This year as IL could enter a third straight year without a budget, he said the special session was urgently needed.
The state's backlog of unpaid bills will skyrocket to $28 billion by June 2019 without a deal, Moody's predicted, which would rack up even more interest and penalties than what is already owed. "At the exact same time the governor calls for "unity", he is using the speech to raise campaign cash and spending millions on political attack ads that undermine any attempt at compromise".
"Failure to act is not an option".
Illinois Governor Bruce Rauner will deliver a live address to the people of Illinois tonight from Representative Hall of the Old State Capitol. Rauner said lawmakers need to act by then.