Mohammed Alshmaimri 1
Name: Mohammed Alshmaimri
Professor Daniel Manetti
Business economic
Date 19 October 2015
Illinois General Funds Budget and the Latest Developments
On 25 June, the governor of Illinois took the liberty to veto the house bill 4146 from the
99th General assembly. The aim of his move was to protect the taxpayers from the unbalanced an
unconstitutional budget (Wheeler, 2015). This marked the beginning of the budget crisis in the
state. This study aims to observe the latest development in relation to the budget crisis taking
effect. Despite the fact that the state of Illinois has for the initial two months been able to operate
without a budget, the standoff before the warring factions have not resulted in any government
shutdown (The Economist). Furthermore, since June, the senate has been meeting on rare
occasions since the beginning of the budget crisis in the month of June. The resulting effect of
the cuts is the cut in programs that are designed to ensure that the state can continue operating
efficiently into the New Year.
The state has not had the general funds balanced budget since the federal year 2001.
Illinois has only been on the lapse period 15 times since the 1970s when the state had adopted
the practice of annual budgets. It is therefore clear that the popular belief shared by the governor
and a larger sector of the company is that the constitution requires the general funds budget to be
balanced whole in reality the actual words seems to be more of a goals than an absolute.
Meanwhile, the state is spending and racking up bills at nearly the same rate as it did last year, an
Mohammed Alshmaimri 2
estimate of $38 billion, yet it only expects to take in about $32 billion after the temporary income
of 2011 was past its due date. Consequently
This leads to the question of how the government has been balancing its funds over the
years. While the general funds have been in the red since the year 2002, the all funds budget
finished in the black in all with the exception of 2 years, that is 2009 and 2010 during the start of
the great recession. This information was provided by the state comptroller. In the financial year
of 2014, the most recent year for which complete data is available the all funds budget was about
$ 4 billion whereas the general funds $3.9 billion in the whole (BallotPedia).
Despite court orders placed by the courts to the financial department, the department
cannot sustain the court orders. Geiger and Garcia (2015) give an instance, regarding the 12,000
people that are living in the group home setting, the state can only manage to pay costs for only
