- Published: 25 March 2022
SPRINGFIELD – A measure that would improve Illinois’s credit passed the Senate Thursday, thanks to support from State Senator Patricia Van Pelt (D-Chicago).
The measure would direct state money to cover several outstanding debts in order to improve the Illinois’s credit.
“We can’t afford to wait to pay off our state debts,” Van Pelt said. “It is both financially responsible to pay off a significant amount upfront and morally responsible, as so many Illinoisans can benefit from the investment.”
Senate Bill 2803 would pay off $2.7 billion of the $4.5 billion deficit to the Unemployment Insurance Trust Fund. Further, approximately $900 million will be allocated to pay off old group health insurance bills, $230 million to pay off the College Illinois program, and $300 million in extra pension payments.
The principal amounts that have been borrowed from the federal government must be paid back by November. By paying off a significant portion of that debt now, the state could save nearly $80 million in anticipated interest, saving taxpayers money.
“Thousands of families can benefit from this partial payoff, as the College Illinois program has been in dire need of a boost,” Van Pelt said. “Further, state pension funds have not seen this type of funding in years. I am excited to see all the ways this initiative will improve the state’s economic wellness.”
Senate Bill 2083 passed the Senate Thursday.
