With no budget; Administration lists steps to save $420 million

Budget woes threaten numerous projects and programs throughout the State of Illinois.  Without a workable budget, Rauner’s Administration is developing a series of steps to try to corral funding of, what they consider, non-essential programs and projects.  A listing of the steps to save around $420 Million, was developed by Catherine Kelly of RealEstateRama.Budget Cuts

Administration Initiates Additional Management Steps to Prepare for Madigan-Cullerton Budget  June 15, 2015,  Catherine Kelly,  by

Steps to Save Additional $420 Million, Cancel Funding for Legislative Earmarks, Freeze Non-Transportation Capital Projects    WASHINGTON, D.C. – June 15, 2015 – (RealEstateRama) — House Speaker Mike Madigan, Senate President John Cullerton and their caucuses two weeks ago finished passing a budget with a $4 billion hole.

Since that time, Speaker Madigan and President Cullerton have refused to pass real, compromise reforms that will grow the economy, pay down the debt and end the era of wasteful spending and broken budgets while implementing parliamentary maneuvers to keep the governor from acting on the budget bills.

In preparation for the possibility of having no budget on July 1, or a budget with a $4 billion hole, the Administration is initiating its second round of steps to responsibly manage the state’s finances. However, the options available to the Administration remain limited because the Madigan-Cullerton budget includes no reforms.

“Governor Rauner has compromised repeatedly, but Speaker Madigan and the politicians he controls continue to block any real reform,” Rauner spokesman Lance Trover said. “It’s deeply troubling to see that Speaker Madigan remains committed to sacrificing the middle class in order to protect the political class.”

More steps will be announced as they are finalized.


Action Initiated

  • Notify all State of Illinois vendors to prepare for the potential of a longer delay in receiving payments for goods and services provided to the State.

Effective July 1, 2015

  • Suspend capital projects, including construction at state facilities, schools and colleges.
  • Suspend all capital grants for legislators’ earmarks and non-bonded or “pay as you go” capital projects.
  • This freeze does not include road and other Department of Transportation projects.
  • Significantly reduce use of outside legal counsel by eliminating and/or reducing legal contracts.


Department of Healthcare and Family Services

Action Initiated

  • Reinstate timely re-determinations of Medicaid eligibility.
  • Roll back rates for ambulance services and renal care services to SMART-Act levels.
  • Reduce managed care capitation rates.
  • Discontinue special Medicaid payments to some hospitals.
  • Increase eligibility threshold (Determination of Need Score) to a level more consistent with national eligibility levels.
  • Achieve cost savings using new procurement strategy for purchasing durable medical equipment.


Department of Natural Resources

Effective September 1, 2015

  • Suspend operations at the World Shooting Recreational Complex (WSRC) near Sparta. The site will become closed to the public and not available for events.
    • All events scheduled through August 2015, including the Grand American, will not be impacted by this action.


Department of Agriculture

Effective July 1, 2015

  • Suspend funding to county fairs for premiums and fairground rehabilitation projects.
  • Suspend funding for agricultural extension and 4-H clubs for premiums at agricultural shows.
  • Suspend funding for premiums for Agricultural Education Fairs.
  • Suspend funding for the University of Illinois Cooperative Extension Service.
  • Suspend funding to the Soil and Water Conservation Districts.


Metropolitan Pier and Exposition Authority

Effective July 1, 2015

  • Suspend funding to Choose Chicago for tourism promotion.                          There’s more!!!

for the rest of the article from Catherine Kelly at RealEstateRama:  http://illinois.realestaterama.com/2015/06/15/administration-initiates-additional-management-steps-to-prepare-for-madigan-cullerton-budget-ID0986.html