$100m for Secretary of state in limbo

January 8th, 2008 at 04:22pm Aaron Chambers

School districts around Illinois aren’t the only ones waiting for money thanks to the state’s failure to finalize a budget implementation bill.

Secretary of State Jesse White also is waiting for $100 million — roughly 25 percent of his operating budget, an aide said Tuesday.

White spokesman Henry Haupt said the agency will make payroll on Friday but that employee paychecks will be delayed if the so-called BIMP is not approved by Jan. 25, the next pay date.

“All employees will be paid no matter what,” Haupt said.

The BIMP is a companion to the state budget, which Gov. Rod Blagojevich approved in August. Lawmakers sent the BIMP to Blagojevich on Nov. 5, but he waited until last Friday to veto it.

The governor has 60 days to act on a bill after lawmakers send it to him, or it automatically becomes law. Friday was day No. 60.

At issue for the secretary of state is a law authorizing the state to transfer dollars from its road fund to the secretary of state for operational costs. The BIMP modifies that law to increase that annual transfer from $30.5 million to $130.5 million — a difference of $100 million.

Lawmakers return to Springfield on Wednesday but it’s unclear when they will respond to the governor’s veto of the BIMP. If they can’t agree to either accept or reject the governor’s changes, the entire bill dies.

“We’re optimistic that the General Assembly will address the changes that the governor made in his amendatory veto,” Haupt said. “If and when that takes place, this issue will of course be moot.”

Another provision in BIMP would raise the foundation level, the minimum amount that schools must spend on each pupil, by $400 from $5,334 to $5,734. The foundation level drives general state aid to schools, particularly in districts with lower property values.

Until the BIMP is approved and the foundation level is actually changed, the State Board of Education says it will withhold $617 million in general state aid earmarked for schools.

Entry Filed under: Illinois finance