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 "An unbalanced short-term budget with no real reforms is still a
phony budget and unacceptable to the people of Illinois," said a
statement from the Republican governor's office.
On Wednesday, Illinois Comptroller Leslie Geissler Munger said
nearly all payments handled by her office will cease on July 1
without appropriation authority contained in an enacted fiscal 2016
budget. That includes workers' paychecks and new payments to
Medicaid providers.
The Illinois Hospital Association said on Thursday that a lack of
state funding for Medicaid, the healthcare program for poor
residents, could jeopardize access to services for children, seniors
and families, and the ability of hospitals to meet their operating
expenses.
 "If a budget resolution does not appear likely by the end of the
month, the adoption of a temporary one-month budget should be
considered to preserve access to essential health services until a
final budget agreement is reached," the group said in a statement.
The American Federation of State, County and Municipal Employees
Council 31, a union local which represents 38,000 people employed by
the state of Illinois, could go to court as it has done in the past
to ensure workers are paid, said Anders Lindall, its spokesman,
adding that an interim budget could avert a shutdown.
"Failing that, our union will be prepared to do whatever’s necessary
to ensure that public services are not disrupted and public service
workers are paid on time and in full," he said.
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Democrats, who control the House and Senate, have passed a $36.3
billion budget that relies on cuts and at least $3 billion in
yet-to-be-identified new revenue. Rauner has insisted that lawmakers
approve his so-called turnaround agenda, which includes term limits
and a local property tax freeze, before he will consider a tax
increase.
The governor's office said a budget deal can still be reached this
month with Democrats if they embrace "real reform and compromise to
grow the economy."
In 2007, the Illinois legislature passed a one-month temporary
budget amid a fiscal 2008 spending dispute with then-Democratic
Governor Rod Blagojevich. A full-year budget was not signed into law
until Aug. 23, 2007.
(Reporting By Karen Pierog; Editing by David Gregorio and Jonathan
Oatis)
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