Illinois’ credit rating has taken another hit. Standard & Poor’s Ratings Service downgraded the state from an “A” rating to “A-minus”, making it the worst in the country.
The New York ratings firm’s ranking means taxpayers may have to pay tens of millions of dollars more in interest when the state borrows money for roads and other projects.
The downgrade is the latest fallout over the $96.8 billion debt to five state pension systems.
The downgrade now ties Illinois with California, but California has a positive outlook. Illinois’ fragile overall financial status netted it a negative outlook, putting it behind California overall.
All you have to do, however, is cross the Mississippi into Iowa to enter AAA bond rating county. That’s the difference between the sophisticated political machine of Chicago and the simple, clodhopper politics of Des Moines.
That does not mean all is well in Iowa. The president, as you know, is the head of a sophisticated political machine with a pedigree in Chicago. He means to do to the rest of America what has been done to Illinois.