The Governor has taken action to sign the FY14 budget bills passed by the General Assembly into law, with the exception of HB 214 which awaits action. The following chart shows the bills as passed by the General Assembly and the appropriation totals contained in the bills:
FY14 Spending
|
||
Bill
#
|
Budget
Item Description
|
Amount
|
HB
206
|
Includes
Pension Payment and Group Insurance
|
$7,396,391,220
|
HB
208
|
IBHE
and ISBE Operations; Partial Grants
|
$608,251,200
|
HB
213
|
Human
Services
|
12,167,774,100
|
HB
214
|
General
Services
|
1,180,398,200
|
HB
215
|
Public
Safety
|
1,691,969,800
|
SB
2555
|
K-12
Education Grants
|
6,620,012,600
|
SB
2556
|
Higher
Education Grants
|
1,447,026,400
|
Budget
Bill Subtotal:
|
$31,111,823,520
|
|
SB
1329
|
BIMP
- Transfers
|
2,172,000,000
|
SB
1329
|
BIMP
Debt Services
|
2,182,000,000
|
SB1329
|
GRF
Transfer for Old Medicaid Bills*
|
601,000,000
|
CIP
and TRIP Continuing Approp
|
32,000,000
|
|
Less
Permanent Lapse
|
(650,000,000)
|
|
FY14
Spending:
|
$35,448,823,520
|
|
* Total Old Bill set aside of $651 million including $50 million
set aside in HB 206
|
||
In addition to the FY14 appropriations, HB 206 also included an $879 million FY13 supplemental, bringing the total FY13 appropriation level to $35.5 billion. This is almost a $2 billion increase compared to the initial FY13 bipartisan budget framework of $33.7 billion.
The FY14 spending framework is based on the final revenue projections contained in HR 389, which sets the FY14 general funds revenue projection at $35.446 billion. The FY14 revenue projection had previously been set by a bipartisan resolution, HR 83, which set the FY14 revenue estimate at $35.081 billion. The adoption of HR 389 shortly before adjournment, and with Republicans united in opposition, allowed the overall level of spending for FY14 to be increased even higher despite the looming phase down of the income tax increase in FY15.
FY13 Spending
Record Spending Levels
- The FY13 budget is predicated on an initial revenue estimate of $33.719 billion.
- Actual spending has outpaced the initial FY13 revenue estimate.
- Prior to the filing of the FY14 budget and associated FY13 supplemental, FY13 spending had climbed to $34.6 billion.
- The FY14 spending bills also provide for an additional FY13 supplemental, adding another $879 million in spending to the FY13 budget.
- This brings the total spending for the FY13 budget to $35.5 billion – nearly $2 billion over the initial FY13 revenue estimate.
- This record spending has been masked by increases in revenue receipts which were fed by private individuals and businesses cashing in assets in fear of looming federal tax increases.
Backlogs and Pressures Remain
- Despite this record growth in revenue and spending, the Comptroller estimates the FY13 end of year backlog at $6.1 billion with pressures which will increase the backlog to $7.5 billion by August of 2013.
- Even at this record spending level, many FY13 spending pressures remain unresolved due to fiscal mismanagement and the drive to increase spending.
- The bill backlog remains due to unrealized savings, such as nearly $500 million in Medicaid reforms which were built into the FY13 budget but not realized and uncertainty regarding $166 million in past due raises for state employees.
- Earlier this year, the General Assembly passed a supplemental to increase appropriations for the Community Care Program by $173 million.
- The FY14 budget bills also include an FY13 supplemental to address many of the areas where old bills have been created due to mismanagement. These include:
- Community Care Program - $142 million
- Group Health Insurance - $350 million
- GRF Transfer to the Healthcare Provider Relief Fund - $130 million
- Developmental Disability Community Services old bills - $220 million
- Developmental Disability transitions to community - $15 million
- Alcohol and Substance Abuse (DASA) old bills - $9 million
- Department of Corrections - $41.8 million
- Court of Claims Awards – $27.2 million I
- In total, this new FY13 Supplemental adds $879 million in spending to the FY13 budget, bring the total FY13 spending level to $35.5 billion.
FY14 Spending
Revenue Estimates Updated To Increase Spending
- FY14 spending will continue to build on the record FY13 spending, ignoring the FY15 fiscal cliff when revenues are estimated to decrease by $1.7 billion.
- In March of 2013, the House passed a resolution setting the FY14 revenue estimate at $35.081 – consistent with COGFA estimates.
- On the last day of session, new provisions were passed to increase the revenue estimate to $35.446 – to allow for $365 million in additional spending.
FY14 Budget bills
- The FY14 budget bills, contained in 5 House bills and 2 Senate bills, provide for appropriations of $31.11 billion.
- In addition to the appropriation bills, transfers in the BIMP increase the overall spending number to $35.45 billion.
- The budget bills contain a direct $50 million allocation into the old bill payment set aside and also include a $601 million transfer into a fund to pay old Medicaid bills. This is a decrease in old bill payment compared to the $800 million set aside in FY13.
Highlights of each of the appropriation bills which have been signed into law for the FY14 budget and the FY13 Supplemental