News

Illinois issues $1.2 billion in short term debt via the Federal Reserve’s Municipal Liquidity Facility

June 29, 2020

Includes “… the State plans to rely on short-term cash flow borrowing from the Federal Reserve Bank’s Municipal Liquidity Facility (MLF) to balance its FY2020 and FY2021 budgets. The State changed a provision in the Short Term Borrowing Act to allow bonds to be sold through a negotiated process, rather than by sealed bid. … The maturity date for the certificates is June 5, 2021 and the interest rate is 3.82%.” (Note: $1.2 billion times 3.82% is about $46 million.)

Read the full article on: The Civic Federation

 
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