Earlier this week the Institute for Illinois’ Fiscal Sustainability at the Civic Federation released a comparative analysis of the cost of the $9.6 billion in bonds the State of Illinois issued over the past year. The report estimated that the State might pay as much as $551.3 million in additional interest costs for only one year’s worth of borrowing because of its ongoing fiscal crisis and subsequent reductions in its bond rating. The analysis calculated the cost of the bonds sold by…
(CHICAGO) The Civic Federation released today a comparative analysis of the cost of the $9.6 billion in bonds the State of Illinois issued between September 2009 and July 2010. The report estimated that Illinois government may pay as much as $551.3 million extra for its borrowing as a consequence of its deteriorating bond rating. The full report is available at www.civicfed.org. “Due to Springfield’s failure to stabilize Illinois’ finances, Illinois residents will pay nearly 21% more for one…
This issue brief provides a comparative analysis of the cost of the $9.6 billion in bonds the State of Illinois issued between September 2009 and July 2010. The report estimates that Illinois government may pay as much as $551.3 million extra for its borrowing as a consequence of its deteriorating bond rating. The report found that the extra borrowing cost will continue to stress future budgets with increased debt service costs and a higher cost of government for the taxpayers of Illinois. Read…
A recent report shows that nearly all the bond subsidies promised under the Build America Bond (BAB) program are being paid by the federal government to issuers applying for the credit without significant administrative delay. The BAB subsidy, equal to 35% of the interest cost of qualified municipal bonds, was pledged as part of the American Recovery and Reinvestment Act of 2009. The program was aimed at providing state and local governments with low cost access to loans for capital projects…
Illinois Governor Pat Quinn recently announced his plans for $500 million in mass transit infrastructure improvements across the State. $442.7 million of that will go to the Regional Transit Authority for repairs to the Chicago Transit Authority’s rail infrastructure, the rehabilitation of Metra train stations, and new vehicles and a system-wide radio system for Pace. Click here for a list of all RTA projects. Click here for a list of all non-RTA projects. The funding for all these improvements…
This article is about how state pension systems around the country are coping with the effects of the financial crisis. The Civic Federation comments on the State of Illinois’ recent pension reforms, saying that the reforms are a good first step, but do not address the State’s unfunded pension liabilities.
This editorial discusses recent efforts to overhaul the State of Illinois’ public pension systems and reduce its unfunded liabilities. It mentions a Civic Federation proposal to eliminate the income tax exemption for pension income in Illinois as a possible part of a solution to the State’s budget crisis, which is caused in part by Illinois’ underfunded pension system.
This editorial about Illinois’ perilous fiscal condition features Civic Federation commentary about the State of Illinois’ fiscal crisis and mentions recommendations made by the Federation in its “Fiscal Rehabilitation Plan for the State of Illinois” report.
This editorial about the options Illinois has to balance its budget focuses on recommendations made by the Civic Federation in its “Fiscal Rehabilitation Plan for the State of Illinois.”
The Civic Federation is quoted in this article that details the challenges facing Illinois government agencies in their efforts to reduce expenditures to help the State balance its budget.
