As Illinois lawmakers pursue budget, governor issues warning

By Christopher Wills

SPRINGFIELD, Ill. – On the state’s first day without a budget, Illinois legislative leaders continued to seek an agreement without Gov. Rod Blagojevich and he responded with a sharp letter warning of a possible government shutdown.

The Democratic governor told the four leaders Wednesday not to suddenly send him a budget that papers over the state’s financial problems and fails to address his top priorities, particularly health insurance.

“A last-minute budget sent to my desk that fails on these criteria will be dead on arrival,” he wrote. “A ‘take it or leave it’ approach on a 12-month budget, sent to me as government shutdown looms, will do nothing more than simply precipitate such a shutdown.”

Comptroller Daniel Hynes, the state’s chief financial officer, attacked Blagojevich for suddenly warning against a budget that only appears to be balanced. Four previous budgets signed by Blagojevich were billions of dollars out of balance, he said in a statement.

“The governor’s hypocrisy knows no bounds,” said Hynes, a Chicago Democrat.

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The leaders met again to work on a budget compromise that would use some combination of gaming expansion and natural revenue growth to cover basic state expenses and give schools more money. Lawmakers describe the governor’s health plan as either off the table or a stand-alone issue that would have to succeed on its own merits, separate from the budget.

The Illinois House began moving empty “shell” bills through the legislative process so they could be amended later and used to pass a budget. Technically, Friday would be the earliest day that could happen.

Lawmakers and Blagojevich have been deadlocked for months over a new spending plan for the year that began July 1. They approved a one-month budget extension to keep government running until August arrived, but that has now expired.

The governor wants another budget extension, but lawmakers are focused on getting a full-year budget.

House Minority Leader Tom Cross, R-Oswego, dismissed Blagojevich’s letter as “posturing” and said lawmakers are working on a budget that lives within the state’s means.

“It may not take care of health care, but all the other state questions are being met,” Cross said.

Four major unions took advantage of the budget stalemate to propose an income tax increase of 1 percentage point phased in over four years. They said it would generate about $800 million a year, which could be used for schools.

Addressing lawmakers’ deep distrust of Blagojevich, they proposed putting the money in a special fund that would be controlled by the Legislature instead of the governor.