By KWMU/ Illinois Public Radio
Springfield, IL – Blagojevich said his plan would close a $1.7 billion deficit without raising income or sales taxes.
His proposals include a series of steps to close corporate tax loopholes. Blagojevich says one such tax break spares companies based in other states.
"They can do business here; they can make money here," Blagojevich said. "But because they're not specifically headquartered in Illinois, in many cases they can avoid paying taxes here. Closing this loophole would save $20 to $35 million."
The governor also wants to increase education funding by nearly $400 million.
If we make the cuts and pass the revenue changes needed to pay for this, we will have actually increased education spending by nearly $800 million during two years of fiscal crisis," Blagojevich said.
The governor also offered a plan to consolidate a number of state offices.
To hear a report from Illinois Public Radio's Bill Wheelhouse about the budget plan, click here --->