McCombie says finding a solution to this 2 year budget crisis has made her rethink her stance on borrowing money.
“You’re going to have to borrow some money. You’re going to have to figure out how your going to have to pay those bills back, ” she says.
Illinois has already $15 billion in overdue bills. Some Credit rating agencies have warned they will downgrade the state’s rating to junk without a budget.
The last carrier standing in Iowa’s individual health-insurance market said Monday that it intends to keep selling such policies here next year, but it would need to charge much higher premiums than it’s collecting now.
Insurance Commissioner Mike Kreidler said uncertainly over the future of the Affordable Care Act is likely contributing to higher rate increases. The Trump administration has said it will not enforce the mandate requiring people to buy health insurance, which could mean healthy people opt out of coverage, driving up average costs.
What’s unusual about CPS’ latest loan is that the district is relying on a government that’s delinquent on paying its own bills — and the district needs the money to avert insolvency.
Australia’s household sector is under severe strain with debt-to-income at a record high 189 percent while wages are crawling at the slowest pace ever. The share of national income going to households has shrunk to its smallest since 1964 while the savings rate has fallen to a 10-year low.
The growing gap between how much state and local governments are projected to pay employees and how much funds they actually have set aside has risen to over $4 trillion nationwide. New Jersey sports the widest funding gap, followed closely by Kentucky and Illinois.
The optimistic “best case” of cumulative 25% investment return would reduce net pension liabilities by just 1% through 2019 year-end because of past bad investment returns and weak contributions. Meanwhile, the “base case” scenario of 19% returns would see net pension liabilities rise by 15%.
Yates added that while he could not divulge details of the talks, no motion will be filed today on behalf the recipients, some of whom could lose their access to medical services because Illinois owes Medicaid providers $2 billion.
Without a taxpayer bailout, Chicago’s police pension fund won’t have enough money to pay benefits to retirees in 2021, according to a projection by Local Government Information Services (LGIS), which publishes Chicago City Wire.
At the end of 2020, LGIS estimates that the Policemen’s Annuity and Benefit Fund of Chicago will have less than $150 million in assets to pay $928 million promised to 14,133 retirees the following year.
Illinois’ rapidly growing budget deficit for the fiscal year ending June 30 is estimated to arrive at $6.2 billion, according to a fiscal review conducted by the Commission on Government Forecasting and Accountability, or COGFA. And COGFA predicted that if Illinois were to enter its third fiscal year with no budget, the deficit would grow to $7.7 billion and the state’s unpaid bills would rise to $22.7 billion by June 2018.
An average of 14 families lose homes every day to foreclosure in Puerto Rico, more than double the rate a decade ago as the island faces a real-estate crash worse than the one that sparked the great recession on the U.S. mainland. Families across Puerto Rico are moving in with relatives, becoming homeless or simply fleeing to the U.S. mainland with destroyed credit records as the island’s government struggles to restructure a portion of its $73 billion public debt and help the economy emerge from a decade-long recession.
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