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GOP Lays Out Plan for Budget Cuts
(IRN)-Illinois Senate Republicans last week projected the state's budget deficit would reach more than $22 billion by 2016 if substantial cuts weren't made…but they were light on details about what to cut.

This week, they unveiled their suggestions.

In a Springfield news conference Thursday, Senate Minority Leader Christine Radogno (R-Lemont), backed by more than half of her senate republican colleagues, unveiled roughly $5 billion in proposed cuts, most of which she admitted would be painful, but necessary.

The Republicans' proposal targeted some so called "low-hanging fruit," such as state cars, planes and cell phones, as well as the Supreme Court Historic Preservation Commission and the East St. Louis Finance Authority.

But it also takes aim at big ticket items, such as Medicaid and state pensions. State Senator Matt Murphy (R-Palatine) admits people would be thrown off Medicaid if the state hopes to achieve $1.3 billion in savings.

"If you took, and put us at just the national average of states, we would save $1.6 billion a year," Murphy explains. "That's even greater than our target. The truth of the matter is we're not in a position to be any more generous than the national average when it comes to Medicaid."

Murphy says the state has expanded Medicaid coverage over the past few years to now encompass 2.8 million people, spending about $10.4 billion dollars per year.

The party suggests about $1.35 billion in reductions to the state's unfunded pension liability. Murphy says current employees could pay "significantly more" to stay in the current system, go into a defined contribution plan with a six percent employer match, or… current employees could opt into the system for new employees. But is it unconstitutional to renege on what was originally promised? Senate Minority Leader Christine Radogno isn't sure.

"That is a question that is open, there are differing opinions on that," Radogno said. "But to do nothing, and just say 'oh gee whiz we can't do it,' is not an option."

Republicans also suggested $725 million in cuts to K-12 funding next fiscal year, $200 million to higher education, and various cuts to other state agencies. All told, Republicans estimate their proposals could save the state $6.7 billion. Radogno promises at least 15 Republican votes on any proposal they outline.

Meanwhile, Senate President John Cullerton (D-Chicago) in a statement said he's pleased Republicans are bringing cuts to the table. He's left several appropriations bills available for the GOP to use during budget negotiations, and he hopes they'll be an integral part of the process.

"I believe that their proposals and commitment can be the base line for discussion on what we all agree is a necessary process of cutting waste and creating efficiencies," Cullerton said.

(Source: Illinois Radio Network)
03 17 11 by Newsroom
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