Economy This Week: Illinois

chicago violence

Illinois, which faces fifteen billion in back-log bills, has been struggling for the last two weeks to come up with a budget for the first time in three years, due on June thirtieth. Faces an imminent rating downgrade, to junk- the first ever In US state history. The Illinois state Transportation Department has to stop all road work by July first, if Illinois goes into it’s third consecutive year without a budget. State workers receive pay due to a court order, but school districts, colleges and medical and social service providers are under increasing strain and if something doesn’t happen and soon, the whole system there will fall apart. They are in crisis mode. This is not a false alarm. Fifteen billion dollars in their back-log spells huge trouble.

Huge trouble? It’s huge trouble if the government can’t control the education systems? Fifteen Billion in debt, so they can tell our kids a bunch of agendas and theories they want executed by the following generations. We must have this. We ‘are in crisis mode’. In crisis mode because the money has been gone- embezzled. We the people are having money taken from our paychecks by law. By the point of a gun if necessary.

The citizens of Illinois have been robbed by their own state government. This state has stolen from itself apparently for such a high figure to be missing in the back logs. So what happens when all State buildings are closed? Parks and Recreation centers would close. In the healthcare system there would be no one twist and abuse the patients with tricky laws made to cover big money from even bigger Pharma. Where does Big Pharma get most of it’s newest prescription drugs- meds for short? It gets a lot of medications made from the poppy fields growing in Afghanistan.

Afghanistan and Iraq. Children in Syria and Iran. While all those deaths are just as tragic, why are we more worried about saving kids in theses countries when there are kids- right here in Chicago that are dying more rapidly than the ones in the middle east that everyone is so concerned about? In a state that has some of the strictest gun laws in the country people, many of them children are being shot almost everyday. Fifteen billion in debt and yet they can’t manage to keep the right people armed so they would at least have a chance.

David Shaper shares some real consequences for Illinois‘ actions in regard to their finances:

“If states could go bankrupt, Illinois might be the first.”

State finances are in such a mess that many experts say the “Land of Lincoln” is on borrowed time and money.

One of the biggest issues is a huge unfunded pension liability. According to the Pew Center on the States, Illinois is worst in the nation when it comes to setting aside enough money for its pensions. Its analysis of states’ pension funds in 2008 found Illinois had set aside just 54 percent of the money that’s been promised to its state workers and retirees.

AFSCME is one of many groups pushing for a state income tax increase that many believe is long overdue in Illinois. Retired and current state workers are a potent political force in a state in which Democrats control both chambers of the General Assembly and every statewide elected office.

That makes reducing benefits or raising taxes a difficult choice for state lawmakers in this election year.

Legislative leaders already have said a tax hike proposed by Democratic Gov. Patrick Quinn is not likely to pass this session.

But experts say kicking the can down the road one more time puts Illinois’ pension funds on the brink of going broke within the next decade.”

Zerohedge has also put  thought provoking article about the dire straights that Illinois is in:

“With just 10 days to go until Illinois enters its third year without a budget, resulting in the state’s imminent downgrade to junk status and potentially culminating in a default for the state whose unpaid bills now surpass $15 billion, Democratic Illinois Comptroller Susana Mendoza issued a warning to Illinois Gov. Rauner and other elected officials on Tuesday, saying in a letter that her office has “very serious concerns” it may no longer be able to guarantee “timely and predictable payments” for some core services.

In the letter posted on her website, Mendoza who over the weekend warned that Illinois is “in massive crisis mode” and that “this is not a false alarm” said the state is “effectively hemorrhaging money” due to various court orders and laws that have left government spending roughly $600 million more a month than it’s taking in. Mendoza said her office will continue to make debt payments as required, but indicated that services most likely to be affected include long-term care, hospice and supportive living centers for seniors. She added that managed care organizations that serve Medicaid recipients are owed more than $2.8 billion in overdue bills as of June 15.

“The state can no longer function without a responsible and complete budget without severely impacting our core obligations and decimating services to the state’s most in-need citizens,” Mendoza wrote. “We must put our fiscal house in order. It is already too late. Action is needed now.”

Unveiling the most dire language yet, in her letter Mendoza said “we are now reaching a new phase of crisis” perhaps in an attempt to prompt the Democrats and Republicans to sit down and come up with a compromise:

She then addresses “the full extent of [Illinois'[ dire fiscal straits and the potential disruptions that we face in addressing even our most critical core responsibilities”:

‘Accordingly, I must communicate to you at this time the full extent of our dire fiscal straits and the potential disruptions that we face in addressing even our most critical core responsibilities going forward into the new fiscal year.  My Office has very serious concerns that, in the coming weeks, the State of Illinois will no longer be able to guarantee timely and predictable payments in a number of areas that we have to date managed (albeit with extreme difficulty) despite an unpaid bill backlog in excess of $15 billion and growing rapidly.'”

The article goes on to say that, “Bruce Rauner will deliver a brief address Tuesday night calling for unity as lawmakers prepare to return to Springfield for a special session, a move Democrats quickly dismissed as a political stunt.” So a speech- and what comes next after the speech? What will they be pushing during this whole time?

More bills written into law for taxes on the people of course.

It’s not enough that they are practically sacrificing their young doing this, but they want to add a tax on. This has become the American way. This shames us as a nation that we can have troops all over the world, killing and doing God knows what else to ‘help’ and make others submit. We always have the money for this, but we never have the money for our own people. We have been occupying Syria illegally for the last five years at least. Sure- they determined that we the people could afford that. Not only can we afford for our troops to be all over the world in other countries’ business, but we can tax the people for a solution! Yes! This is always the answer- don’t you know? Just grab your ankles and trust that Uncle Sam can keep you and your family safe. This way, they can keep even more of your money, and maybe your kids won’t get shot if you happen to live in Chicago where they are dropping like flies.

Is this really what the people of Illinois are settling for?

Their money is paying for all of this. Will they ever get a good result this way?

Lastly some of the most moving observations were made by Tim Preuss of the Preusspodcast in episode two-hundred and fifty-one, entitled Anatomy of the State. There is a link to give you his full opinion posted below and another link just from the City of Chicago, showing us where they are in the loop of things. Just since his last broadcast when he announced that there were two-hundred and ninety-nine murders from gun violence in Chicago, terrorist hoodlum gangs in the streets- there have been six more murders and eighteen more shootings. What is the state of Illinois doing that their crown jewel city has become a war zone? Nothing. People, kids keep dying and it’s beyond ridiculous. What did they do with all of their money, and why haven’t things improved in Chicago instead of getting worse?

“You will stand outside of a Planned Parenthood building with a sign that has the picture of a fetus on it, and that abortion is murder. What about regular murder? Who is protesting regular murder?  Just straight up bad guy shoots another person. They don’t care about that, there’s over sixteen-hundred individual shootings that have happened this year in Chicago, just under three-hundred of them have been homicides, and no one gives a damn because they don’t care about human life. They care about Afghanistan’s future, but they don’t care about Chicago’s future. That’s the mindset, of most American politicians. They don’t care about Americans. They don’t care about you. They don’t care about you! If you are listening in Chicago your politicians do not care about you.”

This is where every state is headed, Illinois just beat us to the punch. It’s only a matter of time before other states like the one I live in, or others around me- will be facing the same situation. Another belly-up state, that will be absorbed into what? What kind of demographics are we making here? And what will happen if this state goes under? Of course it will take others down with it until we are all up for sale like slaves on a block.

Stop deceiving yourselves. Prepare. Just in case. Better safe than sorry.

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