Our own little Venezuela.
“This is not just a slap in the face to Illinois taxpayers. This is a 2-by-4 smacked across the foreheads of the people of Illinois,” [Governor Bruce Rauner] told reporters at a bar on Chicago’s far South Side. “This tax hike will solve none of our problems. In fact, in the long run, it will make our problems worse, not better.”
Keep in mind that the situation in Illinois is pretty dire, and I suspect the politicians there were hoping for a President Clinton who would help out with the support of former President Obama:
That’s because the budget bill lacks…A LOT. Illinois has “unpaid bills to state contractors and vendors that’s reached about $14.5 billion and roughly $130 billion in unfunded pension liabilities.” Last Friday, a judge ordered the state to “start paying $293 million in state money toward Medicaid bills every month and an additional $1 billion over the course of the next year.”
This, in addition to other financial problems in Illinois:
After years of struggling financially, Susan Rick thought things were looking up when her boyfriend won $250,000 from the Illinois Lottery last month. She could stop working seven days a week, maybe fix up the house and take a trip to Minnesota to visit her daughter.
But because Illinois lawmakers have not passed a budget, she and her boyfriend, Danny Chasteen, got an IOU from the lottery instead.
This means Illinois is out of the multi-state Powerball and Mega Millions compact since Illinois has stopped paying lottery winners who win more than $25,000:
Cash-strapped Illinois has begun turning off one of its most lucrative cash spigots as a casualty of an unprecedented budget stalemate.
As of 9 p.m. Wednesday, the Illinois Lottery stopped selling Powerball tickets, and by 9:45 p.m. Friday it will stop selling Mega Millions tickets — unless and until lawmakers and the governor cut a deal to at least let the lottery pay out prizes for those games from cash it collects.
Illinois’ annual profit from Powerball and Mega Millions is historically about $90 million.
When things get so bad you stop paying lottery winners, things are bad.
And how bad have they gotten?
In a recent Reddit thread asking What is the best US state to live in and why? the consensus was, well…
“Well structured comment about what state is best to live in”
3k and gold
Yep. Fuck Illinois.
High rate of crime, high taxes, bad local government, corrupt politicians Etc.
Illinois, extremely corrupt, high ass property taxes, great place to waste a lot of money for no reason
It’s like Illinois is our own little Venezuela: they’ve run out of money to pay contractors, the unfunded pension liabilities almost guarantee people who receive pensions will only receive pennies on the dollar, and the solution is not to cut the size of government or to reform redistribution programs, but to raise taxes on the very people who have the funds and the means to relocate to other states.
Hell, if I were at the North Carolina Chamber of Commerce, I’d be sending reps to all the large businesses in Illinois encouraging them to relocate to North Carolina.
Because why not?
So rising obligations, inevitably falling funds, and the inability to appeal to the wealthy and powerful to stay (as New York City and the San Francisco Bay area does by appealing to the rich, often at the detriment of the poor), Chicago and Illinois in general are in terrible trouble.
It’ll be fascinating to watch.
From a distance, of course.