Naperville Community Television, Channel 17

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THIS WEEK'S NAPERVILLE NEWS 17

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Illinois’s State Budget Plan to Fill The $13 Billion Hole
What Do The Cuts Mean For Naperville?
NCTV17's Laura Swan Reports

Illinois Governor Pat Quinn recently spoke to lawmakers about the state’s 13 Billion dollar shortfall. Among the purposed solutions, a 33 percent income tax increase.

“I am not going to try to sugar coat the situation,” Governor Quinn said. “The problems we face today are daunting.”

“When wages fall, state revenues fall too. When people lose their jobs, that sends income taxes plummeting. And those who have their jobs, think twice before they spend. So that means, less in sales tax too,” Governor Quinn explained.

He purposed a budget plan that included several spending cuts. In the plan; cutting $214 million from various state spending, reforming new public pension plans to save another $300 million, reducing the amount of income tax revenue the state gives to local governments by $300 million, and cutting 1.3 billion dollars in education funding.

So what do all these cuts mean for Naperville? A city that has seen some serious budget issues itself? The city itself would loss three point $5 million in state funding, school district 203 would see $8.8 million less and school district 204 would lose $12.2 million dollars.

To avoid the education cuts, Governor Quinn proposed a one percent increase in income tax. Both city officials and local business leaders feel there has to be other ways.

Councilman Richard Furstenau stated, “Until they look at internal spending I don’t think they should be talking about raising taxes.”

Last year lawmakers rejected Governor Quinn’s proposal for a fifty percent raise to income tax

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