Yvette Shields

Misssouri budget officials last week announced that the recently approved fiscal 2010 budget has a $350 million gap.

Moody’s Investors Service downgraded Waukegan’s rating to A1 from Aa3 and left a negative outlook on the city’s credit due to its fiscal challenges.

CHICAGO — Triple-A rated Minneapolis today will competitively sell $130 million of general obligation bonds to raise funds for routine capital projects and to refund debt for about 12% of net present-value savings.

CHICAGO — With Illinois behind a record $290 million in payments to the Regional Transportation Authority, the agency is awaiting Gov. Pat Quinn’s signature on a bill that would allow it to issue an additional $140 million of taxable cash-flow notes to keep Chicago-area trains and buses running.

CHICAGO — In its third marketing attempt, Milwaukee on Wednesday will competitively sell $38 million of taxable general obligation qualified school construction bonds in a deal that will wrap up the city’s planned issue of $50 million under the federal stimulus program.

CHICAGO — Milwaukee-based Gonzalez, Saggio & Harlan LLP announced this week the addition of Stephen J. Adnopoz as a partner in its New York office as part of the firm’s ongoing expansion of its public finance group.

CHICAGO — Facing insolvency as it struggles with $140 million of debt, the Xenia Rural Water District in Iowa is pinning its hopes on a workout plan that relies on a rate increase and sale of district assets to raise revenue plus $45.4 million in debt relief.

Chicago is advancing measures to help finance the next phase of its $8 billion runway expansion at O’Hare International Airport.

Chicago raised more than $70 million from private donors to fund its failed bid to host the Summer 2016 Olympics.

CHICAGO — Sixteen months after finalizing its agreement to reinsure a portfolio of $13 billion in CIFG Assurance NA-backed bonds, Assured Guaranty Corp. has decided to exclude from the pact the policy covering $83.3 million of debt issued in 2006 by the Xenia Rural Water District in Iowa.

CHICAGO — After working through the night to resolve differences, the Minnesota Legislature yesterday approved a budget agreement that cuts spending, including aid to local governments, and pushes off $1.8 billion owed to schools into the next budget cycle to address a $3 billion shortfall.

CHICAGO — Chicago plans to sell about $175 million of general obligation bonds next month to provide an infusion of funding for school building projects at the cash-strapped Chicago Public Schools to help keep its long-term $5 billion capital program on track.

CHICAGO — While Illinois lawmakers temporarily adjourned last week without passing a fiscal 2011 budget, they did approve legislation establishing a commission that will lead the initial planning effort for a regional high-speed rail system.

CHICAGO — St. Petersburg, Fla.-based Raymond James & Associates has hired veteran Chicago public finance banker Linda Matkowski to lead an expansion of its Midwestern general government group, in keeping with the firm’s plan for national growth.

CHICAGO — Unwilling to accept a proposed income tax increase for the state’s top earners, Minnesota Gov. Tim Pawlenty moved quickly Tuesday to veto the budget-balancing plan rushed through the Legislature one day earlier by Democratic leaders.

CHICAGO — The University of ­Chicago is watching the market closely, hoping to sell $300 million of taxable fixed-rate bonds this week or next to raise funds for capital projects and restructure debt from a bank line of credit.

After exhausting its borrowing capacity and faced with uncertain federal funding levels, Missouri’s proposed five-year transportation improvement program now calls for about $500 million in annual spending on construction grants, down sharply from the $1.25 billion spent annually under the previous program.

Standard & Poor’s has upgraded Park Rapids one notch to A-plus ahead of its sale of general obligation improvement bonds.

Standard & Poor’s has revised its outlook to stable from negative on the BBB-plus rated CGH Medical Center, citing improved operating performance. The debt was sold through the former Illinois Educational Facilities Authority.

CHICAGO — The Democratic leaders of the Minnesota Legislature advanced a plan yesterday that relies on a mix of cuts, delaying school aid payments, and more tax revenue from the state’s top earners to erase a looming $3 billion deficit.