Illinois received some good news this week, albeit barely good news, when financial news corporation 24/7 Wall Street released its annual list of best-and-worst-run states. Last year, Illinois was named the worst-run state in America, but this year, the state has pulled ahead of New Mexico, placing the state at 49th in the annual ranking.
State Senator Rose says this small improvement is no reason to celebrate, as Illinois continues to face major challenges. According to 24/7 Wall Street, Illinois’ low ranking is largely due to long-term issues with fiscal mismanagement.
“Illinois has one of the smallest rainy day funds compared to other states, at 1 percent of its general annual budget — an indication the state may not be able to satisfy its short-term obligations,” 24/7 Wall Street noted.
Illinois’ major debt, which the study noted is more than three quarters of the state’s annual revenue, and ongoing pension crisis, were also cited as contributing factors to Illinois’ ranking as second-worst run state in the nation.
As Illinois’ budget stalemate continues, implementing fundamental reforms to address issues like the state’s budget, debt, and pension crisis are top priorities of Republican legislators.