With Illinois 15 billion in debt, Gov. Pat Quinn has an idea to fix it

[nick1985]

...by borrowing 15 billion dollars.

"As the state's stack of unpaid bills grows, Gov. Pat Quinn is floating the idea of borrowing roughly $15 billion to alleviate the pressure, though taxpayers would be saddled with loan payments for years."

http://articles.chicagotribune.com/...uinn-20101227_1_income-tax-tax-hike-pat-quinn

I dont see how this could go wrong.

Go Pat! :thumbsup:

 

[Scotteq]

The article indicates the Illinois already owe the money to various creditors: So this would (in essence) be a huge ReFinancing?

On the positive side, that would help alleviate the immediate pressures and let the State get caught up on their bills.

On the negative side - Just as with consumers, the temptation is to resume spending since the issue is no longer right in your face. Plus the near inevitability the State will end up having to pay more than it already owes.

 

[irishScott]

Once again, where is the money going to come from? Why is operating on a balanced budget such a foreign idea to most people? Wouldn't you rather sacrifice something right now to prevent sacrificing more when the loans default? You can't borrow your way out of a deficit.

 

[Zargon]

another winner!

 

[TechBoyJK]

Well, if the debt is spread all over the place, with various interest rates, penalties and problems being caused by many debts in default, it could alleviate all of that pressure, interest and penalties, and perhaps but the repayment back on track to a single creditor with a flat interest rate?

Seems like when I refinanced a bunch of smaller debts into one big loan. It got everyone off my back and I started fresh with a new creditor.

 

[irishScott]

Well, if the debt is spread all over the place, with various interest rates, penalties and problems being caused by many debts in default, it could alleviate all of that pressure, interest and penalties, and perhaps but the repayment back on track to a single creditor with a flat interest rate?

Seems like when I refinanced a bunch of smaller debts into one big loan. It got everyone off my back and I started fresh with a new creditor.

So it helps logistically. Yay. Still doesn't even begin to fix the problem.

 

[drebo]

Fix debt with more debt. Isn't that the current mantra? I mean, after all, it worked with the credit crisis of the last few years...we just finished the Summer of Recovery, right? It's all over and back to normal.

If the state legislature were smart, they would initiate a budget freeze to a level 85% below the current state budget until this $15 billion loan is paid off.

 

[nick1985]

another winner!

Chicago just re-elected him. I mean, Illinois just re-elected him.

Fucking unbelievable that the state is at the mercy of Chicago politics.

 

[Mursilis]

Fucking unbelievable that the state is at the mercy of Chicago politics.

You're just mad because you're actually working and haven't figured out yet that you can just vote yourself other people's money!! Working is for chumps!

 

[cubby1223]

Don't forget Illinois' "slot machines in bars and horse racing tracks" plan to solve their woes.

 

[cubby1223]

Chicago just re-elected him. I mean, Illinois just re-elected him.

Fucking unbelievable that the state is at the mercy of Chicago politics.

Quinn won because Brady never had a plan for what he would do about the debt. All he ever came up with was "No new taxes" or "I'll study the problem once I'm elected". The margin of victory was less than one vote per precinct, pretty damn good for a candidate who ran on an unknown platform.

 

[senseamp]

Gonna have to raise taxes, like it or not.

 

[Scotteq]

Gonna have to raise taxes, like it or not.

The original article indicates the Illinois state senate already passed a Tax increase of 2% (from 3% to 5%); but the effort is stuck in the (State's) House.

 

[Zebo]

http://www.businessinsider.com/60-minutes-on-state-budgets-2010-12

 

[Vette73]

...by borrowing 15 billion dollars.

"As the state's stack of unpaid bills grows, Gov. Pat Quinn is floating the idea of borrowing roughly $15 billion to alleviate the pressure, though taxpayers would be saddled with loan payments for years."

http://articles.chicagotribune.com/...uinn-20101227_1_income-tax-tax-hike-pat-quinn

I dont see how this could go wrong.

Go Pat! :thumbsup:

Seemed to work for Reagan and you right wingers want to go back to his style of Gov so you should love this idea.

 

[Zargon]

Quinn won because Brady never had a plan for what he would do about the debt. All he ever came up with was "No new taxes" or "I'll study the problem once I'm elected". The margin of victory was less than one vote per precinct, pretty damn good for a candidate who ran on an unknown platform.

and hes avid pro life(no matter if its rape or incest) and intelligent design.

hes a bit of a nut

 

[IBMer]

Chicago just re-elected him. I mean, Illinois just re-elected him.

Fucking unbelievable that the state is at the mercy of Chicago politics.

Always nice to throw up pictures like these and make it seem like the majority of Illinois is not for him. The majority of people in Illinois voted for him. Not endorsing the guy but don't try any cheap tricks about anyone being at the mercy of anyone else.

 

[chucky2]

That picture is a classic example of why Chicago/Crook County should just be made its own state...heck, give them one of IL's two senators.

Chicago would be happy (well, until they spectacularly failed that is), for sure the rest of IL would be happy.

Win-win for everyone....

Chuck

 

[irishScott]

Always nice to throw up pictures like these and make it seem like the majority of Illinois is not for him. The majority of people in Illinois voted for him. Not endorsing the guy but don't try any cheap tricks about anyone being at the mercy of anyone else.

The majority of people who happen to live in one community. Almost every other community voted against from the looks of things. How would you feel if China had more votes in the UN because of its population? Granted the cultural disparity isn't as large, but it's the same principle.

 

[xj0hnx]

You can't borrow your way out of a deficit.

People have a real hard time with this one, for some reason the idea of borrowing more money than you owe seems like a good idea to people. I think unlike citizens, these scumbag politicians don't have to pay it back there's no real accountability. I think it's be interesting to see what would happen if a politician borrowed money for their city/county/state, and if they hadn't made a marked improvement towards balancing the budget, and paying back the money the debt became theirs.

Seemed to work for Reagan and you right wingers want to go back to his style of Gov so you should love this idea.

Why do you simpletons always pretend that because a politician from one party did something that everyone in that party supports it? It's really pathetic.

 

[BoberFett]

Always nice to throw up pictures like these and make it seem like the majority of Illinois is not for him. The majority of people in Illinois voted for him. Not endorsing the guy but don't try any cheap tricks about anyone being at the mercy of anyone else.

Then Chicago needs their own state to fuck up and leave the rest of Illinois alone, don't you think?

This is why government get more and more fucked up the further away it gets from those it rules over. Some redneck in Alabama doesn't want a douchebag liberal from Massachusetts running their life anymore than a liberal douchebag in New York wants some bible thumping retard in Kansas telling them they have to pray in school.

Government power should get weaker as it gets further away, instead of the fucked up opposite we have now.

 

[dmcowen674]

Always nice to throw up pictures like these and make it seem like the majority of Illinois is not for him. The majority of people in Illinois voted for him. Not endorsing the guy but don't try any cheap tricks about anyone being at the mercy of anyone else.

It's Officially a Republican state according to the census and Electoral College.

 

[dmcowen674]

and hes avid pro life(no matter if its rape or incest) and intelligent design.

hes a bit of a nut

If you didn't have the liberals in Chicago the nut would be in charge of Illinois now.

 

[Vette73]

Why do you simpletons always pretend that because a politician from one party did something that everyone in that party supports it? It's really pathetic.

Lets see Republicans to this day still use Reagan as the picture the party should run as. Bush ran the US the same way, and the same thing happened again. R's are still trying to get Reagans name on more stuff, even money now.
When Republicans had full control for a good 6years did the debt go up or down?

So unless you're a complete idiot the Republican party still loves Reagan and would run things the same.

 

[Throckmorton]

So what do you Reagan Republicans propose, lay off all the state employees and pay them unempoyment for doing nothing instead?