CHICAGO - Illinois Gov. Rod Blagojevich yesterday unveiled a $58 billion budget for fiscal 2009 that would launch the state on an unprecedented borrowing spree that includes a $1.2 billion tobacco bond issue, the sale of $16 billion in pension bonds, and $3.8 billion of debt in the coming years to fund capital projects.

Blagojevich tailored each of his borrowing plans to meet specific goals in a clear attempt to sell skeptical lawmakers on proposals they have in some cases rejected in the past. The governor also promoted them as a means to stimulate the economy and help the state's long-term fiscal picture amid a looming deficit and gloomy prediction for the coming fiscal year.

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