Illinois Stops Paying Its Bills

Monday, 05 July 2010 11:20 AM EDT ET

Illinois’s comptroller Daniel W. Hynes is between the proverbial rock and a hard place -- his state is in the red to the tune of $5.01 billion with apparently no way out, according to a report by the New York Times.

“This is what the state owes right now to schools, rehabilitation centers, child care, the state university — and it’s getting worse every single day,” he says.

Illinois lawmakers have reacted to the crisis by simply refusing to pay the state’s bills and refusing to make the cuts and tax increases necessary to close the mounting deficit.

Legislators left the capital without deciding how to pay 26 percent of the state budget.

Every major rating agency has downgraded the state -- Illinois now pays millions of dollars more to insure its debt than any other state.

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Illinois s comptroller Daniel W. Hynes is between the proverbial rock and a hard place -- his state is in the red to the tune of $5.01 billion with apparently no way out, according to a report by the New York Times. This is what the state owes right now to schools,...
Illinois,Stops,Paying,Bills
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2010-20-05
Monday, 05 July 2010 11:20 AM
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