Last month, Moody's Investors Service downgraded the credit ratings of four Illinois universities due to their heavy dependence on state funding for their operations.

Eastern Illinois University, Northern Illinois University, Governors State University and Northeastern Illinois University are the affected universities.

"This comes after Moody's placed the long-term ratings of all Illinois public universities under review for possible downgrade on Dec. 18, 2012, due to 'significant dependence on the state for operating funds and fringe benefits, as well as extensive appropriation payment delays in a challenging budget environment that continues to pressure Illinois' public universities cash flow and liquidity," Illinois State Treasurer Dan Rutherford said.

Eastern Illinois University's credit ratings have been downgraded to A3 from A2. The university has received only 20 percent of its $44 million annual allotments.

William Weber, vice president for business affairs at Eastern, said that Moody's ratings were not unexpected, as the state is suffering from fiscal issues.

Because of the current condition of the state, Eastern Illinois University could receive $2.2 million less in state funding in the fiscal year 2014.

The company also bestowed A3 ratings to Northern Illinois, Governors State, and Northeastern Illinois universities.

The reason behind launching a review in December was due to the universities' dependence on Illinois - ranging from 31 percent to 46 percent - and its payment delays of those funds.

The credit-rating will now make it more difficult for these universities to borrow money.

On the other hand, Moody's also revised the rating outlooks on four other universities - University of Illinois, Illinois State, Western Illinois and Southern Illinois universities - to negative because of their heavy reliance on the state for financial support.