Illinois now has the worst credit rating in the country

Illinois took another tumble Friday, as the S & P Rating Services downgraded Illinois to an A-, and said it could fall further if lawmakers don't act.

"You're not to far from junk status at this point," said 69^th State Representative Joe Sosnowski.

Sosnowski says the announcement puts Illinois' credit rating at the bottom.

"We're worse off than any other state, including California," said Sosnowski.

The decision is being blamed on lawmaker's inability to pass pension reform over the last two years.

"Every time there is a deadline set, and nothing has happened substantively, there has been a negative action by the rating agencies," said Illinois State Treasurer Dan Rutherford.

Sosnowski worries businesses will be turned away from the basing in Illinois because of a poorly managed government and that charities who rely on state aid won't get paid or will get paid late.

He also fears there won't be money to fix core infrastructure, hurting the construction industry.

"The trickle down effect is really dramatic and terrible, so we've got to right this ship", said Sosnowski.

"You have less money for things like education and public safety," said 34^th District State Senator Steve Stadelman.  "Because of higher pension payments, it comes to the point where you need to make those tough decisions."

Both Sosnowski and Stadelman think new lawmakers in Springfield and fear of another downgrade will spur action on the pension system during the spring session.

But Rutherford says there are really only three options, and if the ideas end up being borrowing money or raising taxes it won't be good for the state.

"Or three, cut the budget by 345 million dollars," said Rutherford.  "And I will tell you, this will be difficult for this governor and this general assembly."

New pension reform bills are being submitted, the house will reconvene for the spring session next week, and the senate will head to Springfield the first week in February.