Illinois Comptroller Asks Yellen to Allow Aid for Pandemic Loans

May 12, 2021, 10:12 PM

Illinois Comptroller Susana Mendoza is asking Treasury Secretary Janet Yellen to allow funds from the American Rescue Plan Act to be used “to directly repay Covid-19-necessitated short-term borrowing,” according to a letter sent Wednesday.

  • Treasury guidance that was released Monday for the use of the federal funds would not allow Illinois to use the aid for debt repayments based on her understanding of the interim guidelines, Mendoza said in the letter
  • At issue is Illinois’s roughly $3.8 billion in short-term borrowing during the pandemic for costs including medical payments, she said
    • Illinois’s short-term borrowing includes $600 million from other state ...

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