CHICAGO (AP) — Gov. Pat Quinn’s assistant budget director says comprehensive pension reform is needed in Illinois.

Abdon Pallasch said Friday that Moody’s Investor Services revised the state’s credit outlook to negative because lawmakers haven’t acted on pension reform proposals. Moody’s cited the state’s pension funding shortfall and money management practices in its decision.

Pallasch says lawmakers have “a clear opportunity” to enact pension reform when they return to Springfield after the holidays. Pallasch says the governor’s office is working with legislators on the issue.

Quinn has set a Jan. 9 deadline to overhaul the state’s pension system, which is underfunded by an estimated $96 billion.

Moody’s said Illinois’ rating could fall if the state fails to enact pension reforms.

© Copyright 2012 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.


Leave a Reply

Please log in using one of these methods to post your comment:

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

More From CBS St. Louis

Download The App

Listen Live