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Social-services agencies are worried about paying staff, and time is running short to address a huge budget deficit in Illinois amid a political fight between candidates in the race for governor.
The contest between Illinois Gov. Pat Quinn and state Comptroller Daniel Hynes, Mr. Quinn's main rival in February's Democratic primary, offers a preview of what could happen across the U.S. in 2010, with many states facing major budget problems and 37 governors' seats up for election. Concerns about the political impacts of tough choices are likely to hinder the ability of governors and legislatures to address deficits.
Illinois is confronting an estimated $4.3 billion budget gap for its current fiscal year, which ends June 30. The shortfall equals 16.5% of the state's general-fund budget, the third-highest percentage gap in the U.S. behind Oklahoma and Arizona, according to a November report from the National Conference of State Legislatures. On Dec. 8, Moody's Investors Service gave Illinois the lowest state bond rating nationwide except for California's.
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