Midwest

Michigan Gov. Rick Snyder urged voters to approve a May 5 ballot referendum calling for an increase in the state sales tax to raise $1.2 billion in new road funding during his state of the state address Tuesday.

Illinois needs both spending cuts and tax hikes to fix a chronic budget imbalance that will grow to $14 billion over the next decade without structural change, an academic research group warns.

Chicago's lawyers warn that the fiscal well-being of the city and its sister governments hangs in the balance as the Illinois Supreme Court considers whether the state's sovereign police powers trump constitutional protections against cutting pensions.

A Nebraska state senator introduced a pair of bills that would either give bondholders a clear priority over pensioners in the event of a bankruptcy or force cities to advertise their lack of priority on the first page of an official statement.

Edina, Minnesota voters will decide the school district's request for $125 million in borrowing authorization when they vote on May 5 ballot.

Newly installed Illinois Gov. Bruce Rauner's executive order halting new contracts puts a hold on some pending contracts planned by the state's tollway agency and planning work on the proposed Illiana toll road.

Michigan officials said Friday they expect general fund revenues to be down by $857 million over the next two years, largely due to higher-than-expected use of business tax credits.

Wisconsin Gov. Scott Walker touted tax cuts, the state's structural fiscal strides, and pledged to cuts costs by merging some agencies in a state of the state address that offering no additional specifics on how he plans to erase a looming budget deficit.

Lazard Freres, which represented retirees in the Detroit bankruptcy, said it agreed to a 37% fee reduction as part of court-ordered mediation.

Menasha, Wisconsin, which fell into junk bond status after defaulting on notes tied to a power plant conversion project that went awry, has won back its investment grade rating from Moody's Investors Service.