Illinois budget

FLICKR User Jim Bowen

Illinois Senate leaders are hoping to move swiftly on their pledge to advance a state-budget compromise by month's end.

The Democratic-controlled chamber has assigned 13 pieces of legislation for committee hearings that aim to break the two-year budget deadlock between legislative Democrats and Republican Gov. Bruce Rauner.

The proposals include an income tax increase and a hike in the minimum wage, but also attempt to satisfy Rauner's pro-business agenda with a property-tax freeze and restrictions on workers' compensation awards.

State government is projected to spend as much as 13 billion dollars more than it will collect in taxes this year. That's according to a recent report by the General Assembly's bipartisan budget analysts.  

Revenue manager Jim Muschinske notes that collection of sales tax has been essentially flat from July through November.  

“Seventy percent of the economy is driven by the consumer, so anytime they take a pause, it’s a little bit of a concern," he says. 

He also says there's low performance with income and corporate taxes.  

Jenna Dooley / WNIJ

The Illinois Legislature today passed pieces of a stopgap budget deal between the governor and top legislative leaders to keep the state running and fund schools in the fiscal year that begins Friday.  The bills now head to the desk of Illinois Gov. Bruce Rauner for his signature.

The deal includes money to fund state services, colleges, prisons and road construction for the next six months. It also provides a full year of funding for elementary and secondary education, including money for financially struggling Chicago Public Schools. 

Brian Mackey/Illinois Public Radio

Illinois Gov. Bruce Rauner painted a bleak picture Monday morning of what could happen if a state budget is not passed before Friday.

But he gave some hope that a solution could be reached when the Illinois General Assembly returns to Springfield on Wednesday for the first time since the spring legislative session ended in May.

The Illinois Department of Transportation has begun informing contractors that all IDOT projects will begin shutting down starting June 30 if no state budget agreement is reached.

A statement attributed to IDOT Secretary Randy Blankenhorn says the move is "due to the majority party in the legislature’s failure to pass a balanced budget."

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