Fitch Ratings does not expect any direct ratings impact from the results of this month's state ballot measures.
Proposals included numerous bonding authorizations, gaming expansions and a variety of tax increases and tax limitations. Results varied considerably from state to state, according to a Fitch report.
"Since similar proposals had different fates across states, you can't make any broad statement on national voter sentiment on these issues right now," said Laura Porter, Managing Director for state ratings at Fitch.
In a key vote, significant temporary tax increases were approved in California. Revenues from these taxes were assumed in the enacted state budget, and their approval is positive for the state and local schools. Tax proposals were less successful elsewhere in the country, while tax limits were supported in some states and rejected in others.
Also of significance, in Michigan voters failed to support enhanced emergency manager powers for distressed local governments that were included in legislation passed last year. State bonding proposals generally were approved; in Arkansas, voters supported a temporary half-percent sales tax increase to fund bonds for transportation. State voters approved gaming expansions in both Maryland and Rhode Island.
