Drowning in deficits, Illinois has turned to a deliberate policy of not paying billions of dollars in bills for months at a time, creating a cycle of hardship and sacrifice for residents and businesses helping the state carry out some of the most important government tasks.No other institution in society is allowed to get away with this. The state of Illinois expects its' citizens to pay their taxes on time.Just a reminder, the rule of law doesn't apply to government itself.
Once intended as a stop-gap, the months-long delay in paying bills has now become a regular part of the state’s budget management, forcing businesses and charity groups to borrow money, cut jobs and services and take on personal debt. Getting paid can be such a confusing process that it requires begging the state for money and sometimes has more to do with knowing the right people than being next in line.
As of early last month, the state owed on 166,000 unpaid bills worth a breathtaking $5 billion, with nearly half of that amount more than a month overdue, according to an Associated Press analysis of state documents. Hundreds of bills date back to 2010 and the actual amount owed is likely higher because some bills are still in the pipeline.
While other states with budget problems have delayed paying their bills, the backlog in Illinois is unmatched, experts say. Year after year, Illinois builds its budget on the assumption that it will pay its bills months late — essentially borrowing money from businesses and nonprofits that have little choice but to suffer the financial hardship.
Sunday, October 16, 2011
Deadbeat Illinois Owes Billions
The Chicago Sun-Times reports:
