Facing falling volume and rising debt, the U.S. Postal Service is looking to make some cuts, including an end to Saturday delivery. But it's going to be a hard fight if the USPS wants to get its way. Any changing of work schedules has to be done with the cooperation of the post workers' union which is against the reduction. There's also stiff opposition from the direct marketing lobby (yes, it exists). Overall, from Sept. 30, 2008 to Sept. 30, 2009, the postal service saw a 13 percent dip in volume, more than twice its previous biggest drop as well as $3.8 billion in losses. [WSJ] more ›

The State of Illinois' budget problems are spreading to the University of Illinois which could see a tuition hike of as much as 20 percent for incoming freshman next year. The state owes the school almost $500 million, according to interim school president Stanley Ikenberry. more ›

Facing a financial crisis that has spiraled out of control with a deficit potentially nearing $1 billion, the Chicago Public School system has announced another round of cuts. CPS chief Ron Huberman announced yesterday that there would be three more weeks of furlough days and 500 non-union job cuts in an effort to stave off a 2010-2011 deficit that is projected to reach $975 million. The projected budget shortfall for the CPS is $700 million but Gov. Quinn's new budget adds in an additional $275 million in cuts. Huberman is also asking the Chicago Teachers Union, due a four percent cost of living increase in wages next year ($169 million), for concessions as well as for pension reform and a delay in payments due to the pension. According to the Tribune: more ›

As we mentioned yesterday, Illinois is on the verge of a big financial fail and has been for quite some time. Today, Governor Pat Quinn’s office launched a website to show the dire straits we’re in and ask the people of Illinois for help. According to the site, almost three-quarters of current spending goes towards education, health care and human services. The site reports that because those funds are sometimes tied to federal matching funds, cuts could mean more lost revenues. more ›