State of Illinois Governor Quinn’s Proposed Budget Summary

Source: State of Illinois FY2010 Budget Book



FY2010 General Funds Budget:

• Revenues - $33.076 billion (after new proposed revenues)
  
• Operating Expenditures - $30.662 billion
  
• Pay-back short-term borrowing - $2.318 billion
  
• Pay old FY2009 bills - $1.333 billion
  
• Remaining FY2010 budget deficit - $1.237 billion (likely carried over to FY2011)
  

CLOSING THE DEFICIT

Current FY2009 deficit: $4.317 billion

• REVENUE: New FY2009 Federal Stimulus funds: $2.155 billion
  
• REVENUE: Fund sweeps: $199 million
  
• CUT: Pension payments: $550 million
  
• CUT: Other spending decreases: $155 million
  
• INCREASE: One-time Medicaid backlog pay-down: $1.491 billion (necessary to get federal funds)
  

New FY2009 deficit: $2.748 billion.

The State of Illinois will borrow $2.25 billion to pay bills this year and pay it back in FY2010. That leaves $1.333 billion in bills carried over to FY2010, $835 of which was carried over to FY2009 from FY2008.



Projected FY2010 deficit: $7.289 billion

• REVENUE: New FY2010 Federal Stimulus funds: $1.843 billion
  
• REVENUE: Income and corporate income tax increase: $3.207 billion
  
• REVENUE: Loophole closures, fee increases, and fund sweeps: $1.054 billion
  
• CUT: Pension payments: $2.296 billion
  
• CUT: Other spending decreases: $1.303 billion
  

New FY2009 surplus: $2.404 billion.

The State will use some of that surplus ($2.318 billion) to pay-back short-term borrowing. The rest ($97 million) will go toward paying down the $1.333 billion in bills carried over from FY2009 to FY2010.

We will be updating our information all day and in the weeks ahead as it comes out. Head on over to Wonkish.com for updates and a nifty Quinn Tax Reform calculator.