Quinn readies budget ax to chop away at deficit

SPRINGFIELD - Gov. Pat Quinn said Illinois needs to "cut, cut and cut costs" as a first step toward pulling the state out of a budget hole estimated at more than $9 billion and growing.

Saying once again that "everything is on the table," Quinn told reporters Tuesday that "in a tough economic time, you have to cut back."

"What we're trying to do is come up with the least bad option. There are no good options," Quinn said.

The governor will present his budget plan to the state legislature next Wednesday. The economic downturn combined with unsustainable government spending in recent years has created the more than $9 billion deficit in a roughly $27 billion spending account.

Quinn said his budget will focus on preserving core functions of government - public safety, education and health care - "and some of the frills of government will have to go away."

Among the frills that could disappear are generous pensions for state employees. Quinn said new state employees might be kept out of the current pension system and shifted into an alternate retirement program. Existing state employee pensions are protected from being decreased by the state Constitution.

"Whatever needs to be done in the area of saving money for the taxpayers will be done," Quinn said.

One thing the state can do right away is get back to paying its bills on time, the governor said.

"There are billions and billions of dollars of unpaid bills. I don't think it's right or proper to see people lose their jobs because their employer didn't get paid by the state of Illinois," he said.

Quinn said his budget also would likely contain a $25 billion state construction program intended to spur economic growth and create new jobs.

"It's our job to roll up our sleeves and build a strong economy. And right now it needs some strengthening," Quinn said.

The governor reiterated his opposition to an increase in the state gas tax to pay for a construction program, and would only say there would be a "sound payment approach." Quinn also previously rejected Rod Blagojevich-era proposals to lease the state lottery for quick one-time money.