Cook County faces cash crunch

Crain's Chicago Business reports:

Already reeling from the hospitalization of President John H. Stroger Jr., Cook County government now faces a troubling financial predicament: a cash crunch that sources say could force the county to borrow short-term operating funds for the first time in a decade.

Sources inside county government report that county officials approached a major Chicago bank in recent weeks to discuss establishing a line of credit up to $200 million, and that the county is considering talking with other institutions. Tapping such a line would allow the county to cover its operating expenses, beginning around mid-year, until second-half property tax revenues come in late this summer and officials can consider possible cost cuts, those sources say.

The funding deficit appears to be the result of revenue shortfalls, mostly from county-run hospitals.

Rather amazing when Cook County has rather high sales taxes,cigarette taxes,and property taxes.The population decline means higher taxes or cuts in government spending.