Reader’s Guide
INTRODUCTION
This chapter is to help readers understand the
organization and content of the State of Illinois
Capital Budget, which sets forth the governor’s
budget recommendations. It includes the following
sections:
• Budget documents
• Budget document organization
• Constitutional requirements
• What is a capital budget?
• How is a capital budget created?
• The appropriation process
• Differences between capital and operating
budgets
• Submission of a separate capital budget
• Impact of capital expenditures on the operating
budget
• Funding sources for the capital budget
• Bond authorization
BUDGET DOCUMENTS
This document presents the Fiscal Year 2010 Illinois
Capital Budget, Illinois Jobs Now! It includes details
of capital appropriations for the period July 1, 2009
through June 30, 2010.
While state capital and operating budgets are subject
to the same procedures, the Fiscal Year 2010 Illinois
Capital Budget is presented in a separate document
in an effort to facilitate transparency and
understandability. Both documents are available at
www.state.il.us/budget.
BUDGET DOCUMENT ORGANIZATION
The State of Illinois Capital Budget Document is
organized as follows:
• The Governor’s Letter of Transmittal to the
General Assembly and the residents of the state
• Table of Contents
• Chapter 1: The Reader’s Guide
• Chapter 2: Overview - Information on the state’s
overall capital budget priorities and a summary of
fiscal year 2010.
• Chapters 3 through 7: Budget recommendations
for agencies grouped by capital program
components:
3. Economic Development
4. Transportation
5. Education
6. Environment, Energy & Technology
7. State Facilities
• Chapter 8: Debt Management - The state’s
affordability model, borrowing activities and
financing schedule.
• Chapter 9: Appendices - Tables and charts of the
governor’s capital budget recommendations. Also
included are tables displaying an expenditure
plan for the proposed budget, cash-flows for all
capital-supporting funds and debt service
requirements for bond funds.
• Chapter 10: Glossary
CONSTITUTIONAL REQUIREMENTS OF
THE BUDGETARY PROCESS
The Illinois Constitution requires the governor to
prepare and present a budget recommendation for
the State of Illinois to the General Assembly.
The constitution also requires a balanced budget that
includes recommended spending levels for state
agencies, estimated funds available from tax
collections and other sources, and state debt and
liabilities.
The Governor’s Office of Management and Budget
(GOMB), a part of the Governor’s Office by statute, is
responsible for estimating revenues and developing
budget recommendations that reflect the governor’s
programmatic and spending priorities.
WHAT IS A CAPITAL BUDGET?
A capital budget is a spending blueprint that identifies
capital projects that generate assets with a long
economic life, such as roads and bridges, transit
facilities, schools, economic development projects,
environmental infrastructure, energy programs and
state facilities.
Types of expenditures in the capital budget include
financial and physical planning, land acquisition,
architecture and engineering, construction,
purchases of durable equipment, and grants and
loans to other entities for capital purposes. The
capital budget also recommends funding sources
including bond proceeds, federal funds and current
revenues.
The goal is to maximize benefits to Illinois by
strategically investing in state capital assets, as well
as in grant and loan programs and to strategically
invest in improving the economy and create jobs
within the limits of available resources. The focus is
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