At a DePaul student media press conference, when Governor J.B. Pritzker was asked if there was an expected tax hike due to the state’s Covid-19 response being taxpayer funded, he spun the question to address the $711 million in state budget cuts.
“I think we should at least try to figure out how to balance this budget without looking at revenues. What would you do, to balance this budget? And I put forward $711 million of cuts in state government that we are implementing anyway, because it’s the right thing to do,” said Pritzker.
The cuts include a hiring freeze, grant reductions and “operational savings” to address a $3.9 billion projected revenue shortfall related in part to the COVID-19 pandemic. Pritzker said that he plans to address questions about state and local aid in his state of the state speech in a couple of weeks – date undisclosed.
“Long story short is that, um, that with state and local aid, we’ll be able to at least fill the holes that have been left in our revenue because of COVID,” said Pritzker.
Due to the job losses from the pandemic, income taxes decreased, thereby reducing state revenue, explained Pritzker.
“Making cuts in state government in a moment when people are hurting, is not the greatest idea in the world, but unfortunately we have to have a balanced budget in the state of Illinois. It’s required,” said Pritzker.
“We’ll have to see and I’ll work with the General Assembly on what they want to do, but I’ve been very clear that we have to look at what cuts can be made in state government in order to meet our outcomes,” said Pritzker.
On Dec 15, 2020, Pritzker said the state is facing a $2 billion shortfall which is the direct result of revenue shortfalls caused by COVID.