ICCTA Action Alert
April 17, 2000
FY 2001 State Budget Approved
On Saturday afternoon, April 15, 2000, the
Illinois General Assembly adjourned the spring legislative session. Lawmakers are scheduled
to return to Springfield on November 14, 2000 to begin the fall veto session.
This adjournment date was the earliest time that the General Assembly has completed
its business in 101 years.
The General Assembly approved a $46.5 billion overall state budget
for fiscal year 2001. The budget includes an assortment of tax cuts and spending increases
based on even higher revenue projections for FY 2000 and FY 2001 than had been anticipated
earlier in the year. Revenue estimates for FY2000 were recently revised upward to reflect
that the state would take in $147 million more than originally expected. FY2001 revenue
estimates were correspondingly changed to predict $40 million more.
Using these additional funds, $350 million in Tobacco Settlement Funds, and some reductions
in Gov. George Ryan's recommendations, a budget was crafted that
largely leaves the Governor's education budget intact at the institutional levels and also
provides some election-year tax cuts. The largest tax cut will come in the form of property
tax refunds of up to $300 that will be mailed to income tax payers in the late fall -
just before the November elections. The amount of the property tax refund will be based
on the amount the taxpayer actually paid in property taxes. The "Circuit Breaker" program
for poor elderly residents was also expanded, and an income tax credit was created for the
states' working poor.
Higher education funding was increased by $133 million, or 5.6% overall (down $22 million
from the Governor's recommended level of funding). K-12 funding was increased by $330,
down $40 million from the Governor's funding recommendations. Most reductions from the
Governor's recommendation for higher education came from the Illinois Student Assistance
Commission (Illinois Career Scholarships costing $12 million was eliminated) and
reductions in the Illinois Board of Higher Education's inter-institutional grants.
Overall education funding increases amounted to 53% of the new state revenue growth.
Although this is down from the 56% that the Governor had recommended this year, it is
still above the 51% to which the Governor committed in his March budget address.
The FY 2001 community college grants budget was approved at the Governor's recommended
funding level, which is a 6.2% increase above FY 2000.
The General Assembly also approved Gov. Ryan's community college capital appropriations
as recommended in his fiscal year 2001 capital plan. In addition to the regular capital
projects, each of the four legislative caucuses was allocated about $95 million for
"member initiatives." These are usually smaller capital projects that individual
legislators may be able to include in the FY 2001 budget. These projects were approved
in lump sum appropriations and will be announced throughout the fiscal year.
For additional information on state legislative issues,
contact ICCTA at 1-800-454-2282.
Illinois Community College Trustees Association|
401 E. Capitol Ave., Suite 200
Springfield, IL 62701-1711
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