SPRINGFIELD — When it comes to money, Illinois is among the worst-off states in the country, a national think tank reported Wednesday.
In a study based on California’s epic budget problems, Illinois is listed among the nine other states suffering similar severe money troubles.
The report by the Pew Center for the States noted Illinois’ huge gap between how much money it takes in and how much it spends. The deficit, along with a high unemployment rate, is one of the several factors Illinois shares with other states on the list, including nearby Wisconsin and Michigan.
Another similarity among the states, according to Pew, is the political difficulties in raising taxes to bring in more money. The budget and taxes likely could be the biggest issue in the 2010 gubernatorial race, with most Republican candidates vowing not to raise them.
Gov. Pat Quinn, a Democrat, wanted to raise income taxes this year to help deal with the deficit. But opposition led by Republicans stymied that effort. They argued raising taxes on people during a recession would only make things worse.
The study emphasizes that for states like Illinois, getting back into good financial condition will not be easy.
“State budget problems are likely to get worse before they get better,” said Susan Urahn, managing director of the group.
Illinois’ more than $13 billion budget deficit puts it in the top three nationwide, according to report. One factor that makes it especially tough to solve, Pew says, is that the state was already running a deficit before the recession hit.
“Illinois, for example, has a long history of spending more than it takes in,” Urahn said.
The report quotes several Illinois budget experts, including former Gov. Jim Edgar. Edgar said the responsibility of cutting the state budget will probably have to fall on the governor, because lawmakers probably won’t do it.
“My experience has always been that the legislature is not usually the institution you’re going to depend on to hold the line on spending” Edgar said. “It’s the nature of the legislature to make their constituents happy.”
The full report can be found at www.pewcenteronthestates.org.
mike.riopell@lee.net / 217-789-0865
Posted in Local on Thursday, November 12, 2009 5:00 am
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