With two weeks until veto session and interest accruing, state's unemployment fix still not decided

SPRINGFIELD – The deficit in the state’s Unemployment Insurance Trust Fund remains over $4.3 billion and interest payments on the debt began accruing on Sept. 6.

Thus far, more than $6 million in interest has accrued on the money Illinois owes the federal government, according to the U.S. Treasury, and interest will continue to accrue at a rate of 2.27 percent. The state earmarked $10 million for interest payments this fiscal year.

Less than three weeks ahead of the fall veto session scheduled for Oct. 19-21 and Oct. 26-28. – the final six days of legislative action scheduled for calendar year 2021 – lawmakers have still not devised a plan for paying down the federal debt.

The ongoing interest accrual is one of two time-sensitive factors in addressing the deficit in the trust fund, which is the pool of money that is paid into by employers to fund unemployment benefits.

Read more: https://www.capitolnewsillinois.com/NEWS/with-two-weeks-until-veto-session-and-interest-accruing-states-unemployment-fix-still-not-decided