 "That's something which we know we have to do first, to cut
government spending. That's what people are doing in their homes,
and that's what we're going to do here," Senate President John
Cullerton said after emerging from the more than two-hour meeting at
Quinn's downtown Chicago office.
The talk of cuts comes after the fact because lawmakers ended their
legislative session over the weekend without agreeing on an income
tax increase that Quinn said was needed to close an $11.6 billion
deficit.
Instead, they passed a budget that keeps government running but some
say will force $7 billion in cuts if another alternative isn't
found.
But even after cuts are made, Cullerton said the state will still
need more money, and he called a tax hike "inevitable." Cullerton's
Senate approved a tax increase, but the Illinois House didn't.
The state's top leaders huddled after Quinn received a report from
an advisory group he appointed to look for cost savings in state
government, although what it came up with isn't enough to bail the
state out of its current money troubles.
Quinn and the four legislative leaders are expected to meet again
next week.
The Republican minority in the General Assembly has demanded to see
more government reforms to save money. They have new bargaining
power now that the May 31 session deadline has passed because any
new budget or tax increase has to pass with a super-majority.
"We are going to insist on finding ways to structurally change the
way we run Illinois government from a budget standpoint before we
have any other discussions about revenue," House Republican leader
Tom Cross said.
That means looking at pensions, Medicaid and program spending, said
Cross, who pledged to work with Quinn.
Those are some of the areas Quinn's Taxpayer Action Board looked at,
suggesting the state could save money by cutting operating expenses
2 percent to 3 percent, raising the employee retirement age to 67,
better managing care for Medicaid patients and considering the early
release of some inmates from expensive prisons.
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 The recommendations could save initially more than $500 million and
then over time $2 billion to $3 billion in later years, said Tom
Johnson, the group's chairman and president of the Taxpayers'
Federation of Illinois.
All Quinn's commission showed was that the state can't cut its way
to fiscal health, said Anders Lindall, an Illinois spokesman for the
American Federation of State, County and Municipal Employees.
"These people spent two months and have concluded that even with all
of these radical and politically unlikely cuts, you would still need
significant new revenue to balance the budget," he said.
Senate Republican leader Christine Radogno said lawmakers would take
a close look at the group's suggestions. Budget negotiations are now
going on in the right order, she said. "What do we need to do in
order to reform and clean up state government before we talk about
the revenue side of things," she said.
Quinn isn't giving up on a tax increase. He has said he won't sign
the budget lawmakers passed.
"After doing all the things that we've just heard -- reforms,
reforms cutting costs, no frills -- we're still going to have to
balance the budget, and that means more revenue," he said.
In the meantime, Speaker Michael Madigan said lawmakers have to work
with the budget they've got, one he predicted would require "very
significant" state employee layoffs.
"That's the question before this group: How do we work through a
slimmed-down state government?" Madigan said.
[Associated Press;
By DEANNA BELLANDI]
Copyright 2009 The Associated Press. All rights reserved. This
material may not be published, broadcast, rewritten or
redistributed.
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