Moody’s: Schools Are “Credit Negative” After Rauner Fails to Send State Funds
Chicago, IL — After Bruce Rauner’s school funding veto caused the state to miss its first payment to public schools across the state, Moody’s warns that dozens of schools may see “deteriorated credit within months.” The ratings agency says Rauner’s failure on school funding leaves public schools with a “credit negative” outlook, meaning downgrades could be right around the corner starting with low-income and high-poverty districts.
This new warning from Moody’s comes just a day after Rauner’s school funding plan receivedzero votes in the House and two weeks after Fitch said Rauner’s veto could cause more credit downgrades at state colleges and universities.
“Public school kids in low-income districts are being shoved aside by Bruce Rauner, even after he couldn't get a single vote on his school funding plan,” said Pritzker campaign spokeswoman Jordan Abudayyeh. “This failed governor should be ashamed of himself for putting the education of our kids in jeopardy while he pursues a devastating plan that has zero support.”