Springfield….Following Thursday’s vote to override Governor Rauner’s veto of a package of balanced budget bills, State Representative Terri Bryant issued the following statement:
“Small businesses that are performing services for the state are being put into bankruptcy because of our failure to pay them. K-12 schools may not be able to stay open all year or may not open at all.
SIU is on the brink of losing its accreditation and its bonds are considered junk status because of the failure of the legislature to enact a balanced budget. Health care providers, children with autism, and victims of domestic abuse and sexual violence will all be helped by this balanced budget enacted today.
I understand that some may argue that a 1.2 percentage point tax increase is not fiscally conservative, but our current ‘government-by-court-order’ system is already costing the State of Illinois hundreds of millions of dollars more than what it takes in every month.
SB 6 is a bipartisan balanced budget bill that restrains spending. Since the impasse began, I and many other leaders at the Capitol have acknowledged that a mix of cuts and revenues would be necessary to balance the budget. SB 6 contains nearly $3 billion in state spending cuts. It is balanced and it will be a key to stabilizing the fiscal ship of the State of Illinois. The financial consequences of failing to act on a balanced budget at this point in our history were just too severe. I believe our action today will save the State of Illinois.”
Rep. Bryant also offered the following information to help explain what is contained in Illinois’ first balanced budget in more than 15 years:
* Balanced $36.5 billion dollar budget. (includes $3 billion in spending cuts)
* $800 million less than the Governor’s introduced budget
* Includes a 1.2 percentage point increase to the State’s individual income tax rate to balance the budget and begin paying down past due bills.
* The new 4.95% income tax rate is the same rate the Governor Rauner signed off on in May and is less than the 5% rate that expired in 2015
* There are NO new service taxes or cable TV taxes included
* Funding for K-12 Education and local schools
* Universities will begin the long process of repairing reputations
* Hospitals, doctors, dentist, pharmacies and health departments will begin to get paid for services provided