February 7, 2012
By Andrew Thomason | Illinois Statehouse NewsSPRINGFIELD —
Illinois’ prepaid college tuition fund on which some 54,000 families are relying is vowing to find some way to make up a·$559.9-million deficit.Even if that means asking for a taxpayer-funded bailout, said·John Sinsheimer, executive director for theIllinois Student Assistance Commission, or ISAC, which administers·College Illinois!.·
“There are a variety of solutions out there. They range from seeking a full-faith guarantee from the·General Assembly, to closing the program out to all new contracts and having the General Assembly make up the shortfall, to what we call benefit cost sharing where the universities would help,” Sinsheimer said during a hearing Tuesday of the·Legislative Audit Commission, a joint committee of the Illinois House and Illinois Senate.
College Illinois! stopped accepting new contracts on Sept. 30 after media reports of risky investments, funding shortfalls and accelerated withdraws from the program.
State Rep.·Rich Brauer, R-Petersburg, said he has received calls from constituents who’ve bought contracts, asking for advice on what to do.
