NIU finances on hold from state debate
July 9, 1991
LOMBARD—Illinois legislators’ debate with Gov. Jim Edgar could leave NIU in the lurch.
The General Assembly has passed its June 30 session deadline by eight days making it impossible to appropriate for fiscal year 1992.
Edgar and legislators have argued about extending the income tax surcharge, which makes up 5 percent of NIU’s budget or $6.5 million, and property taxes creating an impasse.
If no money is appropriated by July 16, 3,500 civil service employees might not get their checks for pay periods after the 16th. These employees are paid according to work done two weeks prior to receiving their paychecks.
The civil service employees salaries amount to about $350,000 from the state.
NIU President John La Tourette said at the Illinois Board of Higher Education meeting Tuesday that programs and summer classes would not be affected because supplies and contracts already have been purchased.
However, Richard Lazarski, NIU associate director of budget and planning, said if the legislative session does not end by July 25, “everybody would be affected.” But Lazarski said he doesn’t anticipate the stalemate to last that long.
And if the surcharge is not extended, NIU would be in serious trouble because it makes up 5 percent of the university budget or about $6.5 million, he said.
Employees’ salaries are not the only things put on hold. All purchasing orders for FY92 have been halted as well.
NIU Purchasing Director Marilyn Bottrell said “any purchase made from general revenue is put on hold” because the money has not been appropriated.
However, Bottrell said this is similar to previous years because bills are usually not signed until after the session.
State employees, including the 3,500 civil service employees, also might have more to worry about with increasing health costs.
Central Management Services sent letters to state employees outlining some changes in their health plans. Some of these include increased costs for health and dental insurance.
These letters come on the heels of contract negotiations CMS has with the American Federation of State, County and Municipal Employees to help buffer health costs for union employees.
Employees from the University Health Services will meet Thursday at 8:30 p.m. to discuss the changes.