Midwest

Moody's Investor's Service has downgraded $4.6 billion of Detroit sewer and water system revenue bonds citing a decline in debt service coverage, looming capital needs, and the risks associated with derivatives.

Tax-exempt toll revenue bonds and public-private partnerships may be used to finance the $4.1 billion Louisville-Southern Indiana Ohio River Bridges Project.

The Regional Transportation Authority of Illinois board last week approved a $2.3 billion operating budget for 2011 that taps capital funds to cover operating costs as the agency waits for its share of local sales tax revenue to recover from the recession.

Moody's Investors Service cut its rating on the fiscally troubled city of Mansfield by two notches to A3 from A1 and placed the credit on review for a further downgrade. The move affects $12.7 million of general obligation debt.

Moody's Investors Service has downgraded Sleepy Eye's $12.8 million of general obligation debt one notch to A1 due to its declining financial position.

The Illinois State Toll Highway Authority has approved a $680 million budget for 2011 that marks the first drop in annual spending in the agency's history.

Moody's Investors Service last week placed its A1 rating on the village of Maywood on review for possible downgrade, a move analysts said was prompted by a lack of sufficient information about finances and operations.

Illinois nonprofit hospitals provided nearly $4.9 billion in community benefits through various programs and services during their 2008-2009 fiscal years, according to Illinois Hospital Association's fourth annual report.

Illinois' Department of Human Services expects to expand a pilot program early next year that links state vendors with private investors willing to purchase overdue vouchers as the state's liquidity and budget crisis shows few signs of easing.

CHICAGO — Triple-A rated Indiana, which was hit harder and earlier than many states by the national recession, will likely start to enjoy a revenue rebound the next three years, budget officials said this week.