Illinois may have a budget but State Treasurer Michael Frerichs says there is plenty of work to be done to avoid the state entering junk status.
Frerichs is offering a five point plan for Governor Rauner to follow to prevent another credit downgrade for Illinois. That plan includes having Rauner implement 6 billion dollars in bonding authority, which would bring in 3 billion dollars in additional federal funding toward the 15 billion dollar bill backlog. He also says Rauner needs to ensure K-12 schools open on time. A separate agreement in the recent budget deal requires that state dollars be distributed on an evidence-based model. Governor Rauner has promised a veto. He is calling for the Governor to tone down what he calls divisive rhetoric and travel to New York and assure the three ratings agencies that he will implement the budget package.
Frerichs says junk bond status would likely mean higher property taxes in Illinois.