Will Blago Finally Take a Stand? Updated X2

June 24th, 2008 at 02:22pm Aaron Chambers

Gov. Rod Blagojevich has scheduled an afternoon news conference regarding the budget plan for next fiscal year …

**Governor’s Public Schedule**

For Tuesday, June 24, 2008

CHICAGO – Governor Rod R. Blagojevich will brief the media with an update on the status of the FY09 budget.

WHO: Governor Rod R. Blagojevich

WHAT: Gov Blagojevich holds media availability on FY09 budget.

WHEN: 1:00 p.m.

WHERE: Governor’s Office
JRTC, 16th Floor

100 W. Randolph Ave.

Chicago, IL 60601

The governor says that budget plan is more than $2 billion out of balance. But he has yet to say how he might rectify that plan. Will he finally take a stand?

UPDATE 1

From the AP …

Gov. Rod Blagojevich plans to make a staggering $1.5 billion in cuts to the state budget lawmakers approved last month unless legislators step in with money to prevent them, The Associated Press has learned.

Blagojevich intends to detail the proposed cuts at a Tuesday afternoon news conference at his Chicago office.

The governor also will try to use the cuts to pressure the House to send him two ideas that would spare more than $1 billion in the proposed cuts, said an aide to the governor who did not want to be identified because the plans had not yet been publicly announced.

One would borrow $16 billion to free up $500 million now directed to the vastly underfunded pension systems, while the other would sweep $530 million out of state funds set aside for special purposes. The Senate approved both ideas in late May but they did not come up for a vote in the House.

Blagojevich does not plan to call lawmakers back into special session right away but will urge the House to come back to town soon to prevent the cuts that will start being felt when the new budget year begins next Tuesday.

Blagojevich will make the reductions if no new revenue is passed, the aide said.

UPDATE 2

From the governor’s news release …

A lack of additional revenue would mean:

o Significant reductions in staffing throughout State government at agencies such as Department of Natural Resources, Department of Human Services, Department of Corrections, and others.
o Increased workload for DCFS caseworkers.
o A $110 million reduction in education spending.
o Nearly $260 million in reductions to social services programs. Over 100,000 individuals would see a reduction in services or access to community health and prevention services; 21,000 individuals with developmental disabilities living in the community would face reductions in service; mental health services and programs for individuals with developmental disabilities would be reduced; rates for foster parents would not increase.
o A $257 million reduction to economic development and transit. More than 100,000 workers will not receive job-skills training, and state support for RTA fare subsidies for students and people with disabilities would be eliminated.
o More than $600 million in healthcare reductions. This includes a $530 million Medicaid reduction resulting in healthcare providers such as hospital and pharmacies waiting an additional 20 days for payment from the State, on top of the 70 days they already wait; 20,000 outpatients would not receive service at Oak Forest Hospital; and up to 10,000 uninsured residents who are unaware of their HIV status would not be identified and linked to healthcare.
o More than $106 million in reductions to services for seniors and Veterans. Expansion of the Elder Abuse Line would not be funded, despite a 25 percent increase in calls to the line since its inception. An additional 40 bed expansion at the LaSalle Veteran’s Home would not open.

Entry Filed under: Rod Blagojevich