PITTSBURGH, PA (February 1, 2019) The City of Pittsburgh has received an upgraded credit rating, with agencies praising the city’s financial management and operating surpluses.
Credit rating agencies Moody’s and Standard & Poors issued reports this week grading City finances to be in stable condition in advance of issuing $60 million in bonds to pay for city infrastructure upgrades.
S&P raised its rating on the city’s debt one notch to AA- from A+, and Moody’s retained its A1 rating.
“The rating also reflects S&P Global Ratings' opinion of the city's significant strides during the past three years to improve overall finances and management practices. Budget performance has been positive and contributed to increasing reserves to, what the rating service considers, very strong levels. In addition, the embedding of new and long-standing financial practices and policies into the city's code should help maintain discipline to ensure fiscal stability,” said the January 31 report by Standard & Poor’s.
Said Moody’s: “The A1 rating reflects Pittsburgh's diverse and vibrant tax base is supported by the anchoring presence of several renowned education and medical institutions ("eds & meds"), which has driven substantial ancillary business growth in technology, robotics and life sciences industries in the city. The A1 rating also incorporates the city's strong operating surpluses over the last few years, and current satisfactory reserve and liquidity levels.”