The state has taken another hit to its financial standing. Moody’s credit rating agency has downgraded the state on more than $26 billion in general obligation bonds.

Speaker of the House Mike Madigan says the message is clear from those groups pass a budget, not a turn-around agenda.

[audio:10231581925-MADIGANRATES.mp3] [/audio]

The end result of Moody’s downgrade and a similar one from Fitch on Monday is the state will pay more to borrow money. The new rating is now Baa1 from A3. It’s not junk status but it’s getting close. The agency said that their expectations are the lack of a budget and no-end in sight on the stalemate will continue to erode Illinois financial outlook.