The State's Credit Fundamentals Continue to Improve slide image

The State's Credit Fundamentals Continue to Improve

• $Billions 1.0 0.5 0.0 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 ◆ 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 Average life of all outstanding GO Bonds is approximately nine years. General Obligation Debt Service¹ Current Par Outstanding Debt service declines Bill Backlog Bonds $5.5 billion 4.5 4.0 3.5 3.0 2.5 2.0 1.5 in FY2020 by approximately $1 billion after the final 2011 pension notes are paid off in March 2019 Capital Improvement and Refunding Bonds $13.3 billion Pension Bonds Total $9.0 billion $27.8 billion 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. • As of September 2018, all of the State's outstanding debt is fixed rate, with no variable rate debt or interest rate swap agreements. 100% Fixed Rate 2041 2042 2043 24 1. As of March 2019 AL OF THE STAT AUG. 26 1818 OF ILLIN
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