State Stix                                                         

As Gov. Jim Edgar prepares for his budget message to the General Assembly, the state's budget watchers report mixed fiscal news.

In her January 1993 update on the state's general fund, Comptroller Dawn Clark Netsch notes the end of month available balances — $29 million in January — have not exactly been robust during the first seven months of the fiscal year (see figure 1). Moreover, Netsch reports that the backlog of unpaid bills climbed to $500 million at the end of January, nearing the level of fiscal 1992. "While the economy and state revenues have improved," says Netsch's report, "the fact that the balances and the backlog have not essentially changed from a year ago suggest that the fiscal condition of the state has not improved commensurately."

Meanwhile, Edgar's Bureau of the Budget's quarterly financial report offers more favorable fiscal news. BOB says revenues for the second quarter of fiscal 1992 are up about $200 million compared with the same period a year ago (see figure 2), excluding $300 million in short-term borrowing. Also, BOB notes, actual receipts have outpaced estimates for the second quarter by about $116 million, fueled by $93 million of federal aid (see figure 3), though analysts say that represents an acceleration of receipts, not an increase in expected federal revenue.

Donald Sevener

March 1993/Illinois Issues/35