Burzynski: New Budget Tax Increases Out of Touch, Medicaid Reforms Needed

From the Office of State Senator Brad Burzynski

SPRINGFIELD, Ill. – The largest tax increase in Illinois history and a fund raid on the state’s pension systems is not the solution to the state’s budget woes said State Senator Brad Burzynski (R-Rochelle) after the Governor’s budget address.

“It’s a Blagojevich budget on steroids,” Sen. Burzynski said. “Once again we’re watching the Democrats that enabled Blagojevich pushing for a pension raid, penalizing the business community and not reigning in the massive expansion of state spending through new programs. This isn’t the budget Illinois taxpayers wanted to see in a time when our state faces a massive financial crisis.”

Adding a 50 percent tax income tax increase for both individuals and businesses only would harm the state’s economy further, Sen. Burzynski said, and with the state’s unemployment rate at 7.9 percent, a tax increase on businesses would force many companies to lay off more employees..

“We need to encourage job growth, not throttle it,” Sen. Burzynski said. “And we need to help out the hard-working men and women in Illinois who already are struggling in this economic downturn, not take more of their paycheck.”

Sen. Burzynski also said the Governor should take a close look at reforming the state’s Medicaid program, which comprises $9 billion of the $53 billion budget. Medicaid reforms could include moving the program to a managed care system and requiring that patients meet residency and income qualifications – something that’s not currently done and could save tax dollars.

“Part of the impeachment charges against Blagojevich involved his rapid and unchecked expansion of Medicaid,” Sen. Burzynski said. “It’s time to get serious about scaling the program back and admit that an unreformed Medicaid is taking money away from education funding and road construction.”

Sen. Burzynski also disagreed with the Governor’s proposal to raid the pension system and sell off its investments at extremely low prices at a time when the markets are at historic lows.

“Illinois already has the worst-funded pension systems in the nation,” Sen. Burzynski said. “This is just a retread of Blagojevich policies from 2005.”

“Fundamentally, I believe tax increases should be the option of last resort and all possible cuts should be made first,” Sen. Burzynski said. “Instead, the Governor and his fellow Democrats hold the belief that plucking dollars from paychecks is the first step. It’s out of touch with what the people of Illinois expect from their leaders.”