Democratic leaders of the General Assembly and the Governor face a May 31 deadline of passing a budget with a simple majority vote with their own party members. If the budget is not passed before June 1, then a three-fifths majority is required, bringing Republicans into the budget negotiations.

 

The House is returning Monday and is scheduled to meet Tuesday.

The Senate is scheduled to meet Tuesday, Wednesday and Thursday.

 

Key bills under consideration for a final budget are:

SB 1211, House Amendment #2. Currently in the House, this bill carries the House version of a budget proposal with flat funding for K-12 general state aid and higher education but cuts some education block grant programs and human services. It also extends the $6 billion backlog of unpaid bills that includes $800 million owed to higher education and $1.4 billion owed to K-12 schools.

 

HB 859, Senate Amendments 3 and 6. This budget bill was passed by the Senate May 6 and is in the House for consideration. It contains the Senate’s plan for “flat funding” appropriations for preK-12 education, higher education and many state agencies. However, it leaves $6 billion unpaid including $800 million owed to higher education and $1.4 billion currently owed to K-12 schools in FY 2010. It also contains a six month delay in pension payments which the IFT opposes.

 
HB 2428. gives Gov. Quinn extraordinary power to spend or withhold money under a new “Emergency Budget Authority” law. The IFT opposes both bills in their current form.

 

HB 543 Senate Amendment #1. State payments to public pension systems would lose their “automatic” status by changing the current “continuing appropriation” law. This bill allows the Governor to make the monthly pension payments whenever he determines there is sufficient funding to do so. The IFT opposes this plan as a costly new “pension holiday” with multi-billion dollar losses to the pension systems over many years. However, HB 543 may also serve as a legislative vehicle for a Pension Obligation Bond plan which is supported by the IFT.

 

SB 44 Cigarette Tax. This bill imposes a $1 a pack tax on cigarettes collecting $300 million with revenue to be used to fully fund mandated categorical programs in K-12 education.  

 

 

IFT Supports New Revenue for Education & Services The IFT continues to push for new revenue because the state cannot work its way out of this budget hole and the billions owed to P-20 education under current budget plans. IFT, IEA and School Management continue to warn that up to 20,000 education staff could be laid off unless these budget proposals are backed by new revenue. Another 5,000 spring graduates with education degrees from Illinois universities also face dim prospects of gaining employment in Illinois schools.

 

Budget May Pass via Other Legislation

Legislative action next week is not limited to these bills. Any one of hundreds of other legislative proposals may be brought up to carry funding and budget implementation language.