SPRINGFIELD, Ill. — Supporters of a measure that passed in the Illinois Senate today say it could help businesses and state government while paying down Illinois’ backlog of bills more quickly.

Senate Bill 2858 would reportedly allow the state treasurer to take over debts more than 90 days old, pay the vendors and clear the bills from the state’s ledgers.

The approach would enable Illinois to pay off old debts more quickly, slow the accrual of interest penalties and inject money into local economies where businesses have been harmed by the state’s ongoing budget difficulties.

The proposal would allow the state treasurer to pay bills more than 90 days old if the vouchers in the comptroller’s office exceed funds available by $1 billion.

It would save the state additional money by implementing a 0.3 percent monthly late payment interest penalty – rather than the 1 percent under current law – on balances paid off by the treasurer’s office through the Vendor Payment Program.

Last year, Illinois paid more than $1 billion in late interest penalties – an outrageous and inefficient use of taxpayer dollars that could have been directed to other needs, Steans said.

Senate Bill 2858 passed the Senate Wednesday and now advances to the House for further consideration.