State of Illinois/Financial Advisory Authority Illegal Authority

Posted in the Chicago Forum

Out smarting Illinois

Athens, Greece

#1 Sep 5, 2013
A state appointed panel is prepaid to co-sign a budget change in unison with the leaders of the City of East Saint Louis, Illinois.

The Financial Advisory Authority meets September 27th, 2013 at 3pm.

A city known for having criminally prosecuted officials and employees annually. Plus a high rate of re-employing felons who previously were convicted on the job.

Some of the city council and the mayor are living well off political contributions from liquor stores and night clubs. Full medical benefits (for 20 hours a month work), expense accounts, access to municipal vehicles (not being filed on W2's per IRS codes) and a long list.

The budget change would force homeowner's insurance to double and discourage the few large companies to remain.

This contrasts the State of Illinois taking over the local school system to improve education. There will be even less reasons to stay in the area, even if the education improves. The regional impact will driving poverty rates even higher.

It is unclear why the state agency conflicts with other state agencies and the court system over complying with a Distress City Law. Former FAA panel members and agency employees testified this type of budget change is Illegal.

Waiting on the State

Belleville, IL

#2 Sep 5, 2013
(65 ILCS 5/8‑12‑13) (from Ch. 24, par. 8‑12‑13)
Sec. 8‑12‑13. In carrying out the purposes of this Division, and pursuant to Sections 8‑12‑14 through 8‑12‑24, as hereinafter provided, the Authority shall have the power to approve or to reject the Financial Plans, Budgets and contracts which are inconsistent with the Financial Plan and Budget of the financially distressed city; provided, however, that the Authority shall have no authority to impair any existing contract or obligation of the city; and provided further, that with respect to any multi‑year employment contract or collective bargaining agreement authorized or entered into by the city in accordance with applicable statutes and ordinances, the Authority's power to approve or reject the same shall be limited to the first year of such contract or agreement as provided in Section 8‑12‑17.
(Source: P.A. 86‑1211.)

(c) The Authority shall approve the contract or obligation if, in its judgement, the information required to be submitted is complete and the contract or other obligation is consistent with the Budget and Financial Plan in effect. Otherwise, the Authority shall reject the contract or other obligation; provided, however, that any multi‑year employment contract or collective bargaining agreement authorized or entered into by the city in accordance with applicable statutes and ordinances shall be approved by the Authority if, in its judgement, the terms and provisions operative during the first year of such contract or agreement are consistent with the Budget and Financial Plan in effect for that period, subject to the limitation that any terms and provisions of any such contract or agreement which would increase expenditures for salaries, benefits or other forms of compensation after the expiration of the first year of the contract or agreement shall be contingent upon the attainment of sufficient available revenues, considering all necessary expenditures, to support such increases.
(Source: P.A. 86‑1211.)

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