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Changing the Nation, One State at a Time
Take action for a better future.
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Changing the Nation, One State at a Time
The highly respected Chicago-based fiscal watchdog group, the Civic Federation, released a report yesterday detailing the dire state of Illinois' financial situation. The challenges facing Illinois are nothing short of frightening and monumental. Read the report here.
It is clearer than ever, Illinois needs real leadership from the Governor and General Assembly to tackle the state's massive spending problem and its unsustainable obligations in public pensions and Medicaid. Here at AFP-IL, we will keep the pressure on our leaders and demand pension, Medicaid and spending reform.
READ MOREIf there was any doubt that the very powerful state government employee union, AFSCME, is out of sync with most of Illinois, check out this article from the State Journal-Register.
Apparently, AFSCME does not believe that state government employees should be subject to a wage freeze proposed by Minority Leaders Cross and Radogno. Most Illinoisans would love to have had consistent 3% raises throughout the Great Recession. But, Illinois can't pay its bills and has the worst funded pension system in the nation. It certainly seems reasonable to ask state employees forgo raises as part of the plan to rescue our state from financial disaster.
READ MOREIllinois Becomes Moody’s Lowest-Rated U.S. State With Debt Downgrade to A2
Unsurprisingly, a rating agency says has downgraded Illinois' debt citing runaway pension costs:
The downgrade to the sixth-highest rating came after a legislative session that “took no steps to implement lasting solutions to its severe pension under-funding or to its chronic bill payment delays,” Moody’s said in a report. Illinois, it said, has “weak management practices.”
Moody’s revised its outlook on the debt to stable from negative, citing the state’s sovereign power over revenue and spending, and laws that establish the priority of payment for general-obligation bonds. The downgrade affects $32 billion of debt, according to the statement. Click Here for entire article: http://www.bloomberg.com/news/2012-01-06/illinois-rating-lowered-to-a2-by-moody-s-with-32-billion-of-debt-affected.html
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