Ill. Democrats moving budget that shorts pensions - KMOV.com

Ill. Democrats moving budget that shorts pensions

SPRINGFIELD, Ill. (AP) -- Democrats in the Illinois Legislature are pushing forward with a budget plan that would delay money for troubled pension systems.

It would also give Gov. Pat Quinn new power to dip into special funds and trim spending.

A House committee approved the budget Thursday evening, setting the stage for a vote by the full House.

Illinois owes government pension systems $3.7 billion but can't come up with the money. So the proposed budget would delay that payment until January.

Pension systems say the delay will cost them huge amounts in investment income. They'll probably sell assets to keep paying government retirees.

Another worry is that officials in January still might not come up with the required money.

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The bill is SB1211.

On the Net: www.ilga.gov

(Copyright 2010 by The Associated Press. All Rights Reserved.)

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