SPRINGFIELD, Ill. (NEXSTAR) — Comptroller Susana Mendoza said Governor Pritzker’s latest budget proposal will result in another credit upgrade once her office pays down the interfund transfers that have long burdened the state’s balance sheet.
“I’m going to pay down the remaining interfund borrowing, and that’s going to happen by the end of June 30 of this fiscal year,” she said on Capitol Connection. “That’s almost $800 million. And so when we take that off of our books, that absolutely directly impacts the structural deficit.”
Mendoza said the credit ratings agencies will “love to see” Pritzker’s moves to add money into the state’s ‘rainy day fund.’
“The credit rating agencies are also going to love seeing me pay down the interfund borrowing,” she said. “They have specifically mentioned that as a concern of theirs that has prevented us from moving forward on an upgrade. So I guarantee you, we’re gonna see a credit upgrade once that money is paid down, if not even before.”
Mendoza also refuted Republican claims that the new budget grows spending in future years, and highlighted several short-term spending items that would move long-term debts off the books and create new breathing room in the future.
“The rating agencies have made it clear that they want to see continued forward progress and responsible fiscal stewardship coming out of the comptroller’s office,” she said. “We are doing that every day.”