Illinois Bond Sale Scuttled Because of DowngradesSPRINGFIELD, Ill. (AP) - Illinois officials have delayed borrowing $500 million for construction projects because the pension crisis makes the state's debt more expensive. Abdon Pallasch is spokesman for Gov. Pat Quinn's budget office. He says a bond sale scheduled for Wednesday was postponed after potential bidders warned of an "unsettled" market.
Blame the ongoing quandary over how to reduce a $96 billion deficit in Illinois public-employee pension accounts. Standard & Poor's is the latest credit agency to downgrade the state's credit worthiness because of the pension mess. S & P also gave Illinois a "negative" outlook -- reflecting the Legislature's "poor track record" on solving the pension-liability problem. Pallasch says the bond sale will be rescheduled after markets review the situation. The bond sale was to fund school and transit projects.
See other LocalNews news:Four To Face Charges Following Drug Raid on Mt. Vernon Home
Electrical Fire Damages Centralia Home
Centralia Man Arrested on Multiple Drug Charges
Downtown Centralia Crash Sends Four to Hospital
Three Hurt in Crash on U.S. 50 East Of Salem