State of Iowa's cash squeeze still manageable

One of the nation's big three credit rating agencies said Thursday the state of Iowa's cash squeeze should be manageable, despite a cooling economy.

Moody's Investors Service issued a report in response to recommendations by State Treasurer Michael Fitzgerald, a Democrat, that state officials should consider short-term borrowing in the coming months to ensure the state can pay its bills.

Fitzgerald pointed out that both Republican and Democratic administrations in Iowa have used loans in the past to ensure adequate cash flow.

Gov. Kim Reynolds, a Republican, announced last week the state will need to transfer $50 million from its cash reserves to address a worsening state budget.

Read more: http://www.desmoinesregister.com/story/news/politics/2017/06/23/report-state-iowas-cash-squeeze-still-manageable/421517001/