Tackling Deficits: The Chicago Way, and the Other Way

Mike Brownfield / January 13, 2011

While it’s being reported that every state (except Florida) had snow on the ground this week, 46 states are digging out of another kind of mess — a combined deficit of at least $127 billion. Democratic and Republican state leaders alike are grappling with structural budget deficits, many of whom are proposing budget cuts to tackle the problem.

But then there’s Illinois.

President Barack Obama’s home state is beleaguered by a $15 billion budget deficit that is said to be the worst in the nation. And apparently the last thing on Democrat Gov. Pat Quinn’s mind is budget cuts. Instead, he intends to sign a bill passed by the state legislature that would raise state income tax by 67 percent (from 3 to 5 percent) and borrow $12.2 billion to pay the bills ($6.2 billion of which are past-due). (Quinn campaigned on a pledge to only raise taxes by one percentage point.) (more…)