Illinois Lawmakers OK Borrowing in Makeshift Budget

Illinois officials have agreed to borrow billions of dollars as part of a new state budget.

The Illinois House and Senate approved the $3.5 billion borrowing plan Wednesday night. Gov. Pat Quinn quickly signed it into law.

The money will go to government pension systems. That frees up the state's annual pension contributions to be used for other expenses.

Critics call it irresponsible to pay for government expenses with borrowed money. They say it just digs a deeper financial hole for the state.

But supporters say Illinois needs a budget to keep providing government services. They say a tax increase or drastic cuts won't pass, so this is the only realistic option.

The bill is SB1292.