resizeSPRINGFIELD  –  A bill introduced in the Illinois Senate would mandate transparency and accuracy in the governor’s annual budget proposal.

State Senator Tom Cullerton (D-Villa Park) advanced House Bill 5814, which forces the governor’s office to record late interest payments as a separate line item in its appropriations to state agencies. This paints a clearer picture of the state’s funds and slows the depletion of funding needed to run those agencies.

“As legislators, we can’t negotiate a proper budget when we don’t know how much money is owed or where it is going,” Cullerton said. “Utilizing responsible accounting practices in state government will allow the citizens of Illinois to know how and where their valuable tax dollars are spent.”

Currently, most late payment interest penalties accrue at a rate of 12 percent per month for bills unpaid after 90 days, while healthcare bills accumulate interest at a rate of 9 percent after 30 days.

The interest penalties are paid from the same appropriation line, depleting the amount a state agency can spend for its operations. Cullerton’s bill forces the governor’s budget to include separate line item requests to for prompt pay interest payments.

“This practice will force all future governors to be more realistic when presenting a budget to the general assembly and public,” Cullerton said. “We need to make sure governors, whether they are republican and democrat, do not attempt to hide behind phony numbers.”

The comptroller’s January 2018 Debt Transparency Report confirmed that taxpayers owe approximately $887 million in late payment interest penalties — despite the fact that over $140 million in interest penalties was paid out in calendar 2017.

This bipartisan measure is an initiative of Comptroller Susana Mendoza and is supported by the Better Government Association.

House Bill 5814 passed the Senate’s State Government Committee with bipartisan support and moves to the full Senate for consideration.

Against CostShift Button r2

Petition: Do Not Tax Retirement Income

eNewsletter Signup

eNewsletter Signup
  1. First Name(*)
    Invalid Input
  2. Last Name(*)
    Invalid Input
  3. Your Email(*)
    Please let us know your email address.

shamrock

CONTACT SENATOR CULLERTON

Welcome to the official website of Senator Tom Cullerton. Please fill out our contact form to contact Senator Cullerton directly or you may call either of our offices. We look forward to hearing from you.

District Office
338 S. Ardmore Ave.
Villa Park, IL 60181
P: (630) 903-6662
F: (630) 903-6643

Springfield Office
122 Capitol Building
Springfield, IL 62706
P: (217) 782-9463