Imperative to hold the line on spending

It is impossible to ignore the economic slowdown. At the national level, the candidates for president, leading economists and the media have all joined together in agreement: the economy is a critical issue facing America today. Unfortunately at the state level, Illinois' economic future is just as dreary.

Under Gov. Rod Blagojevich, economic development has faltered. Illinois continues to rank near the bottom of United States in job growth, while state leaders and fiscal watchdog groups have repeatedly lamented Illinois' fiscal condition. In recent days, the state treasurer reported that income from this year's investments is expected to be anemic at best. The state stands to lose $40 to $50 million on its investment portfolio and revenue growth has fallen significantly behind initial projections. In fact, budget experts are predicting more than a half-billion dollar shortfall in the state's budget.

Meanwhile, state Comptroller Dan Hynes is reporting extensive delays in reimbursements to hospitals, nursing homes and Medicaid providers. Though Illinois' $1 billion backlog of unpaid bills has been reduced since December 2007, the comptroller's office anticipates the backlog will continue to rise in the coming months -- prompting Hynes to float the idea of additional short-term borrowing. Hynes said Illinois has the largest budget deficit of any state in America!

As the former chief of staff for Gov. Jim Edgar, I have seen better times financially in Illinois. Gov. Edgar prided himself on holding the line on spending and he relished the role of caretaker of the state's finances. I agree with the Edgar philosophy of "This isn't our money, it's the taxpayers money. You can't spend what you don't have nor can we be all things to all people." When Edgar left office he left $1 billion in the state treasury.

Illinois is in serious trouble. Unless state leaders summon some measure of restraint, we could be headed for a fiscal meltdown. I urge the governor and the state's four top legislative leaders to address this emergency immediately as the new legislative session convenes.

State Sen. Kirk W. Dillard

Republican Whip

Hinsdale