Illinois has massive pension debt and lawmakers are deadlocked over a state budget
CHICAGO (AP) – A new University of Illinois analysis says Illinois received nearly $53 million less in a recent bond sale than it could have because of the state’s poor financial shape.
The University of Illinois Institute of Government and Public Affairs released the analysis Tuesday of the state’s $480 million general obligation bond sale. It found Illinois received $53 million less in the Jan. 14 sale compared with bonds issued in 2006, when the state’s credit rating was far better.
The study found estimated losses could grow to more than $400 million a year if Illinois’ fiscal troubles continue.
Illinois has massive pension debt and lawmakers are deadlocked over a state budget.
Gov. Bruce Rauner says the bond sale was appropriate because money will be used for capital improvements, not day-to-day operations.