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Illinois state flag (Anita Lambert / Flickr / CC / Cropped)

Illinois Still Insolvent as Democrats Over-ride Veto to Raise Taxes

Moody’s credit rating service warned on Wednesday that new tax hikes by Illinois’ Democrat-controlled legislature, which over-rode a Republican governor’s veto, may still leave the state insolvent and subject to its debt being the first in the nation to be downgraded to “junk.”

CalPERS (Reuters / Max Whittaker)

Moody’s Warns of Lower State Pension Investment Expectations

Moody’s Credit Rating Service warned last week that budgetary pressure on state and local governments is accelerating as public employee pension systems are forced to follow moves by CalPERS and CalSTRS to lower investment return expectations to 7 percent.