* Hardly a surprise…

More than half of Sangamon County employers report the state budget deadlock — now in its fifth month– has begun to hurt sales and profitability, according to a fall survey released Monday by University of Illinois Springfield.

The Economic Outlook Survey also shows a 22 percent drop in expectations for the overall, local economy from the spring survey. More than 260 companies and not-for-profits were surveyed from Sept. 28 to Oct. 15.

* From the report…

Respondents were asked about the type of effect (large negative, small negative, neutral, small positive, or large positive) the state budget impasse is having on seven different aspects of their organization or firm: gross revenue/sales, profitability, on - hand cash, potential hiring, capital investment, total number of employees, and overall firm status. As seen in table 7, more than half of respondents report that the current state budget impasse is having a negative effect on their organization’s gross revenue/sales (53.8 percent) and profitability (51.0 percent). In addition, 46.1 percent of all employers in Sangamon County report that the state budget impasse is having a negative effect on the overall status of their firm.

When asked, “is there any other way that the budget impasse has impacted your firm,” respondents mainly speak about consumer confidence and uncertainty, the lack of funds they are receiving from the state government, and the stress it is putting on both employers and employees. Responses differ slightly between employers from different economic sectors.

For example, a private sector respondent stated th at : “Consumer confidence in t he economy is the largest problem for my firm. If the governor is able to accomplish [it] , then it might be better for Illinois’ in the long term. People are afraid that they are going to lose their job therefore they are not spending any money.”

Another respondent from the non-profit sector reported, “It has reduced our ability to serve children. It has increased the community’s need for support but decreased our ability to meet that need.”

Finally, a public sector respondent stated, the “impasse has stopped state employees from traveling to the capitol.”

The accompanying table…

Keep in mind that some of those interviews took place over a month ago, and things have gotten significantly worse since then.