Moody's Investors Service, a major credit rating agency, has downgraded Illinois' rating to two levels above "junk" status, citing the "political gridlock" that's prevented the state from getting a balanced budget in a year.
Illinois' rating was lowered by one level, to Baa2, due to the $26 billion in debt. The downgrade also affects $2.75 billion in revenue bonds. Moody's noted Illinois' bill backlog is likely to exceed a previous record of $10 billion.
Illinois already had the worst credit rating of any state before the absurd standstill between Gov. Bruce Rauner and General Assembly Democrats. Lawmakers adjourned their spring session last month without approving a budget for the second straight year.
The lower rating also means taxpayers will pay more when Illinois borrows money.
Information provided by the Associated Press