Midwest

The Chicago suburb of Lombard paid a steep price in the form of a six-notch downgrade after it refused to dip into its own coffers to cover a $912,000 debt-service shortfall on hotel and conference center debt that carries village support.

A week ahead of Michigan's formal revenue forecasting conference, an independent fiscal agency has released a report suggesting the state could end its current fiscal year with a $736 million surplus.

The Lombard Public Facilities Corp. in Illinois drew $1.5 million from reserves to cover debt-service payments owed this month on nearly $190 million of revenue bonds issued in 2005 to finance construction of a hotel and conference center in the village.

Louisville, Ky.-based Hilliard Lyons has hired Chicago-based banker Alexander Rorke to lead an expansion of its public finance banking business across the firm's 13-state footprint.

The Illinois Department of Transportation will receive $186 million to continue construction on a high-speed rail line linking Chicago with St. Louis, U.S. Transportation Secretary Ray LaHood announced Wednesday.

Indiana lawmakers returned to work Wednesday for a short session that begins with controversial labor legislation but will also likely include bills advancing a $1.3 billion bond-funded mass transit plan and raising more revenue for cash-strapped local governments.

Kentucky and Indiana officials announced last week that they reached consensus on a basic plan to finance and build the $2.6 billion Ohio River Bridges Project.

Illinois' unfunded pension obligations grew by about $7 billion in fiscal 2011 but its funded ratio dipped just slightly to 43% from 45%, according to the state's latest pension figures released Tuesday in the offering statement for its upcoming $800 million general obligation issue.

Ohio will bring its first deal of the year to market next week, $174 million of general obligation bonds that will be used in part to finance the creation of high-paying technology jobs.

Moody’s Investors Service has upgraded Bellin Memorial Hospital one notch to A2 in recognition of its favorable operating performance.