Controller: Illinois’ Backlog of $ 16.7 Billion Now Manageable at $ 3.5 Billion | Government and Politics
According to the Comptroller’s Office, a backlog of bills of $ 3 billion on a state budget of $ 42 billion is acceptable debt in the private sector over a 30-day period.
“(This) achievement is the result of diligent day-to-day management of government cash flows by my office, supported by government agencies who now provide monthly updates on invoice counts and penalties. late interest interest they hold in their offices, âMendoza said. .
The Debt Transparency Act came into effect in January 2018, requiring state agencies to submit monthly debt reports to reduce surprises about new bills for the comptroller’s office.
Schuster said Illinois was able to pay off its bills largely thanks to $ 6 billion in bonds sold at the end of 2017. Now federal aid has been able to help the state short term as the state seeks to pay its bills for the end of the year. the fiscal year.
âWe haven’t come out of the woods, there hasn’t been an underlying improvement in the state’s fiscal position,â Schuster said.
Mendoza also warns that navigation is not yet smooth for the state. The current backlog of bills does not reflect the additional $ 3.6 billion the state borrowed from the Federal Reserve to fight the COVID-19 pandemic last spring.
“I’ll say it as often as necessary: ââIllinois needs to develop a balanced state budget for fiscal year 2022 without relying on one-off federal financial assistance the state has received,” she said. “Responsible budgeting is leading the fate of the backlog as we continue to make progress in our finances and show taxpayers and credit rating agencies that we are serious about restoring financial stability to Illinois.”