Illinois, pays how much in interest!
SPRINGFIELD, Ill. (IRN) — Imagine owing $55 million in interest. That’s the amount that state government is paying this month to vendors and service providers because of the massive backlog of bills from the last fiscal year, which ended in June.
ARC Community Support Systems in Teutopolis is one of the providers receiving interest payments. Mike Poe, the executive administrator, says payments totaling a little more than $10,000 have arrived in the last week. He says he appreciates the interest money, because it will pay off the interest his agency owes the bank for loans that kept the agency open.
But he wishes the state would simply pay its bills on time. He says he feels badly for the agencies that couldn’t get low-interest bank loans, as his did, and had to do more cutting that his agency did.
While Gov. Pat Quinn has reportedly been talking about the possibility of borrowing $15 billion to shore up the state’s budget, Poe isn’t sure that it’s a wise move. He says the state doesn’t need to push its financial problems down the road, but instead needs a solution to the funding gap.
Reported by: Melissa Hahn
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