Illinois Is Missing IOUs to State Lottery Winners in Wake of Budget Crisis
Due to the long-running budget crisis in Illinois, the state is now issuing IOU's to all state lottery winners who win more than $600.
The cash-strapped state announced on Wednesday that officials will begin handing outIOUs to people who hit the lottery.
"Payment delays will occur because there currently is no legal authority for the Illinois Comptroller or the Illinois Lottery to issue checks," the Illinois Lottery explained in a statement, according to MSN. "Please note that the funding to pay winners exists, but the legal authority to issue checks does not," it reads.
The lottery said the payments can only be made after a state budget is passed. However, there is no telling when that will occur due to the ongoing stalemate over a new a budget between Republican Gov. Bruce Rauner and the General Assembly, which is controlled by Democratic lawmakers.
According to Illinois Lottery spokesman Steve Rossi, the cause of the hold-up is "the ongoing budget stalemate in Springfield," the state capital. "Once a budget is passed, all outstanding claims will be paid," reports CNN Money.
The lottery has been delaying payments to big winners since July 1, which marked the start of the current fiscal year. Initially, only winners who were won $25,000 or more were were receiving IOUs. However, state officials lowered the threshold to $600 on Wednesday.
The lotto explained that although it has the money to pay lottery winners, the absence of a state budget is preventing Comptroller Leslie Munger from legally issuing checks.
The state says once a budget in passed all claims will be paid. However, angry lotto winners have filed dozens of lawsuits against the state. One suit claims that the state owes more than $288 million in prizes.
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