No, the only solution, LONG TERM, is to refuse to bail them out. Let them default.
One thing I WOULD do, is stop ALL welfare in Illinois, and fire all the people administering the programs. Have it be that you would have to move to a different state if you wanted to apply for welfare.
Illinois would be Republican for a century afterwards. At least, the places that escaped being burned down.
The problem is if you live in a border state. They’ll all move to another state and bankrupt them.
Over half of my outrageous real estate tax goes to schools/teachers union. Nothing is fixed until that is.