CHICAGO (Reuters) - An Illinois court has been asked to determine what the state can continue to fund in an absence of an enacted budget for the fiscal year that began on Wednesday, Illinois Attorney General Lisa Madigan announced on Thursday.
That includes a brewing disagreement between Madigan and Governor Bruce Rauner over state employee paychecks.
The attorney general's filing seeks "clear" approval from Cook County Circuit Court allowing Illinois' comptroller to make payments that do not legally require an appropriation, including expenditures for federal programs, according to a statement from Madigan's office.
"I am bringing this action to ensure that legally supported expenditures can continue to be made and to address the question of how the state payroll is legally managed during the budget impasse," Madigan said in the statement.
Earlier this week Rauner assured state workers they would be paid in full and on time. Madigan contended Illinois' constitution and statutes prevent the comptroller from continuing to pay expenditures, including payroll, without a budget. The first fiscal 2016 paychecks are scheduled to be issued on July 15.
Democrats who control the Illinois legislature and the Republican governor are at an impasse over a fiscal 2016 spending plan.
Last week he vetoed a $36.3 billion budget passed by Democrats, saying it contained a $4 billion deficit.
The governor has insisted the legislature take up his reform agenda that includes a local property tax freeze, legislative term limits, and workers' compensation changes, before he will consider a revenue increase.
On Wednesday, the Senate approved a $2.26 billion, one-month budget to fund essential services that the House could take up next week. Rauner has signaled he would also veto a temporary spending plan.
In addition to payroll, Madigan asked the court to clarify payments for "critical government services, such as medical care for children in foster care, residential placements for mentally disabled individuals, food assistance for low-income families, and the operation of the state hotline to report child abuse and neglect."