Pennsylvania, which is staring at a $47 billion unfunded liability, will probably be in line for a downgrade from the major rating agencies should it fail to overhaul its retirement system this session, Gov. Tom Corbett’s budget secretary said.

“It’s always a concern. The rating agencies see the fact that our finances are strained. They see that we only have $61,000 in our rainy-day fund,” Charles Zogby said in an interview Monday.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.