Breaking News Bar
updated: 4/9/2014 4:20 PM

Credit agency says state budget at 'pivotal' juncture

Success - Article sent! close
Associated Press

SPRINGFIELD -- Another major credit-rating house says the next 50 days of Illinois state budget-making will be "pivotal" to the state's financial health.

Standard & Poor's Ratings Services issued the statement Wednesday.

Lawmakers must approve a budget for the coming year by the end of May. Gov. Pat Quinn proposed a budget last month that relies on making a temporary income tax increase permanent to avoid a $1.8 billion revenue hole.

S&P says the plan could help the state's finances by preventing sharp spending reductions. But it noted the budget still leans on nonrecurring revenue such as an inter-fund loan and reliance on Medicaid reform and other cost-containment.

Moody's Investors Service and Fitch Ratings issued similar outlooks last week.

Share this page
Comments ()
Guidelines: Keep it civil and on topic; no profanity, vulgarity, slurs or personal attacks. People who harass others or joke about tragedies will be blocked. If a comment violates these standards or our terms of service, click the X in the upper right corner of the comment box. To find our more, read our FAQ.