The budget Gov. Pat Quinn presents to lawmakers this week is "hard and difficult" because of Illinois' worst-in-the-nation pension problem, but the contract agreement reached last week with the state's largest union is a positive step forward, the Chicago Democrat said Monday.
Quinn's budget address is Wednesday. His office has projected roughly $400 million in cuts to education and reductions to public safety and economic development. The news comes as Illinois faces roughly $97 billion in unfunded pension liability and $9 billion in unpaid bills.
"It's obviously going to be a hard and difficult budget because of the pension challenge primarily," he told reporters after an unrelated meeting in downtown Chicago. "We have to lay out the facts for the budget of the coming fiscal year and definitely the members of the Legislature have to come to the realization that pension reform is imperative if we're going to have a better budget in the future."
For decades, legislators didn't fully fund pension payments, causing the massive shortfall. Illinois has been trying to catch up, but costs grow annually. In 2008, the pension payment took up 6 percent of the state's general funds budget. When the fiscal year starts in July, it'll be more than 16 percent.
Attempts at an overhaul have been unsuccessful, though there are several pension proposals on the table.
"The fact that pension reform hasn't happened yet has caused serious repercussions for other parts of the budget, that includes education," Quinn said. "I'm going to try and present that to the members of the General Assembly and to the people of Illinois, what our choices are."
He said the recent tentative agreement with the American Federation of State, County and Municipal Employees Council 31 in which workers will pay more of their health costs was "a good step forward" in helping the state's financial outlook. The union agreement was reached after 15 months of negotiating.
The agreement is one "that serves the taxpayers well," Quinn said.
Thursday, May 16 2013 9:49 PM EDT2013-05-17 01:49:53 GMT
Mayor Emanuel will celebrate two years in office by unveiling "Elevate Chicago" on Thursday, a series of construction projects to improve Navy Pier and McCormick Place.
Mayor Emanuel will celebrate two years in office by unveiling "Elevate Chicago" on Thursday, a series of construction projects to improve Navy Pier and McCormick Place.
Monday, February 25 2013 1:41 PM EST2013-02-25 18:41:37 GMT
Just as Oscar host Seth MacFarlane set his sights on a variety of targets with a mixture of hits and misses, the motion picture academy spread the gold around to a varied slate of films.
Just as Oscar host Seth MacFarlane set his sights on a variety of targets with a mixture of hits and misses, the motion picture academy spread the gold around to a varied slate of films.
Monday, May 20 2013 5:52 PM EDT2013-05-20 21:52:14 GMT
Gov. Pat Quinn said Illinois lawmakers have a chance to make history on two fronts this month by approving a plan to fix the state's decades-old pension crisis and legalizing same-sex marriage.
Gov. Pat Quinn said Illinois lawmakers have a chance to make history on two fronts this month by approving a plan to fix the state's decades-old pension crisis and legalizing same-sex marriage.
Monday, May 20 2013 3:05 PM EDT2013-05-20 19:05:27 GMT
Former White House social secretary Desiree Rogers has been appointed to head the board of a government-supported nonprofit that promotes Chicago as a tourism and convention destination.
Former White House social secretary Desiree Rogers has been appointed to head the board of a government-supported nonprofit that promotes Chicago as a tourism and convention destination.
Republicans call them "scandals." Democrats call them "fishing expeditions." Whatever the case, the Obama administration finds itself trying to fix three big problems this week. FOX's Bret Baier reports.
Republicans call them "scandals." Democrats call them "fishing expeditions." Whatever the case, the Obama administration finds itself trying to fix three big problems this week. FOX's Bret Baier reports.
Friday, May 17 2013 7:51 PM EDT2013-05-17 23:51:51 GMT
Illinois Gov. Pat Quinn must decide if he will sign a measure allowing the use of marijuana for medical purposes after the state Senate approved legislation on Friday.
Illinois Gov. Pat Quinn must decide if he will sign a measure allowing the use of marijuana for medical purposes after the state Senate approved legislation on Friday.
Faced with a trio of controversies, President Barack Obama is trying to halt a perception spreading among both White House opponents and allies that he has been passive and disengaged as unexpected developments...
President Barack Obama, seeking to regain his footing amid controversies hammering the White House, named a temporary chief for the scandal-marred Internal Revenue Service Thursday and pressed Congress to approve new...
After initially opposing the legalization of medical marijuana in Illinois, Lieutenant Governor Sheila Simon now supports the bill awaiting a State Senate vote. She told Good Day Chicago why she changed her mind.
After initially opposing the legalization of medical marijuana in Illinois, Lieutenant Governor Sheila Simon now supports the bill awaiting a State Senate vote. She told Good Day Chicago why she changed her mind.
Monday, May 20 2013 8:33 PM EDT2013-05-21 00:33:23 GMT
A Merrillville police officer shot a man Monday afternoon when the two got into a fight in the parking lot of the Merrillville Planned Parenthood office.
A Merrillville police officer shot a man Monday afternoon when the two got into a fight in the parking lot of the Merrillville Planned Parenthood office.
Monday, May 20 2013 5:52 PM EDT2013-05-20 21:52:14 GMT
Gov. Pat Quinn said Illinois lawmakers have a chance to make history on two fronts this month by approving a plan to fix the state's decades-old pension crisis and legalizing same-sex marriage.
Gov. Pat Quinn said Illinois lawmakers have a chance to make history on two fronts this month by approving a plan to fix the state's decades-old pension crisis and legalizing same-sex marriage.
