Illinois could get $13.2 billion from federal government, $7.5 billion for state, $5.7 billion for locals

(The Center Square) –Illinois’ forthcoming budget from Gov. J.B. Pritzker won’t include tax increases, but continues historic levels of spending while relying on federal funding, sweeping funds from cigarette taxes and other budget maneuvers.

The governor said Wednesday in Quincy the budget he’ll present is balanced.

“The combination of the cuts that we’ve proposed, the fact that we have a flat budget to last year, and the fact that the economy has done better is what’s allowing us to balance the budget,” Pritzker said.

The budget Democrats passed last year was billions of dollars out of balance. Pritzker also said that budget was balanced.

Truth In Accounting Research Director Bill Bergman said it’s hard to discern the basics of the proposal with limited details being released to select media instead of being released to the general public.

“The governor’s office has a press release webpage, but this isn’t on it,” Bergman said. “Is that honest? Is that really press releases? What’s the purpose of the website for public communication? I believe this is worth a story all by itself.”

The governor’s office didn’t return messages seeking comment about the lack of a statewide news release.

“We’re going to have to make some painful cuts in state government in order to balance the state budget,” Pritzker said Wednesday.

Media reports indicate the proposal will maintain $700 million in spending reductions from the existing spending plan.

It will also “close corporate tax loopholes of $900 million.”

There are sweeps being reported, such as taking cigarette tax revenue and putting it into the General Fund.

Another report said there will be significant federal funding for education and additional support for schools.

As for federal funds, one estimate provided by the office of U.S. Rep. Raja Krishnamoorthi, D-Schaumburg, of what Illinois could get from President Joe Biden’s proposal would be $7.5 billion. Local governments would share $5.7 billion in federal funds. It’s unclear how such federal funds for local government will impact the state government’s line item for the Local Government Distributive Fund.

The reported reliance on federal funds to plug the state’s budget hole should concern federal taxpayers in what Bergman called “responsibly run states.”

Bergman said other reports he has seen indicate the state’s pensions will be fully funded, but with little publicly released information, he questioned what that means.

“Is it either the statutory requirement what the legislature dictates is the right amount versus the actuarial requirement and historically just doing what the legislature says doesn’t cut the mustard,” Bergman said.

It’s unclear how the governor will deliver Wednesday’s budget address. His office didn’t return messages seeking comment.

Disclaimer: This content is distributed by The Center Square