State of Illinois Capital Markets Presentation
$Billions
General Obligation Bond Overview
• General Obligation bonds are backed by the full faith and credit of the State.
• There is a continuing appropriation in place to ensure bond repayment without action by the General Assembly.
• GOBRI is a separate fund in the Treasury that is dedicated to the payment of debt service on GO bonds and short-
term debt.
Segregation of funds for debt service begins 12 months in advance for principal payments and 6 months in advance
for interest payments.
• The GO Bond Act includes the "7% Requirement", where bonds may not be issued (Unless waived by the Comptroller
and Treasurer) if, in the next fiscal year after the issuance of new bonds, the amount of debt service on all then-
outstanding GO Bonds (other than GO Bonds issued to pay pension obligations in 2010 and 2011 and Section 7.6
Bonds) exceeds 7% of the general funds (consisting of the General Revenue Fund, the Common School Fund, the
General Revenue-Common School Special Account Fund and the Education Assistance Fund) and Road Fund
appropriations for the fiscal year immediately prior to the fiscal year of the new issuance.
• Average life of all outstanding GO Bonds is approximately nine years.
General Obligation Debt Service¹
4.5
4.0
Debt service declines
in FY2020 by
approximately $1
billion after the final
2011 pension notes are
paid off in March
2019
Bill Backlog Bonds
Current Par Outstanding
$5.5 billion
Capital Improvement and
Refunding Bonds
$13.3 billion
$9.0 billion
$27.8 billion
Pension Bonds
Total
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0
22
1. As of March 2019
100%
Fixed
Rate
2019
2020
2021
2022
2023
2024
2025
2026
2027
2028
Principal
2029
2030
2031
2032
2033
est 2034
2035
2036
2037
2038
2039
2040
2041
2042
2043
AL OF THE STAT
AUG. 26 1818
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