Illinois Slashes Budget Deficit Forecast Over Economic Gains

Illinois, whose chronic fiscal strains have left it with a lower credit rating than any other state, slashed the size of its projected deficit for the next fiscal year as tax revenue fared better than expected during the pandemic.

Governor J.B. Pritzker’s office said Tuesday the shortfall for the year that begins in July will be $3 billion, down from a previous estimate of $5.5 billion. The number shrank after he directed the state to pay off a $700 million loan from the Federal Reserve early and the state’s “economy performed more strongly than expected,” according to the statement. ...