Caitlin Devitt

CHICAGO — Standard & Poor’s has upgraded 10 local borrowers that have issued debt through the Michigan Transportation Fund — boosting most of them to top AAA marks— primarily due to high debt-service coverage.

Standard & Poor’s revised its outlook to stable from negative on Youngstown, saying the city’s leaders have been able to stabilize operations and staunch recent drains on reserves. The agency also affirmed its BBB-minus rating on the city.

Ohio Gov. Ted Strickland was handed a victory this week when the state’s 10th District Court of Appeals ruled that the governor and the General Assembly have the authority to spend more than $230 million of tobacco settlement funds originally set aside for antismoking programs to help balance the budget.

Moody’s Investors Service downgraded to Baa2 from Baa1 $8.95 million of debt issued on behalf of Memorial Healthcare, located in Shiawessee County between Lansing and Flint.

CHICAGO — A Minnesota judge last week ruled that budget cuts ordered by Gov. Tim Pawlenty last summer were unconstitutional — a ruling that could have a big impact on the state’s current $57 billion budget and on how lawmakers tackle a fresh $1.2 billion deficit heading into 2010.

CHICAGO — As the largest buyer of qualified school construction bonds, Guggenheim Partners LLC has purchased a piece of nearly every QSCB issue since the federal stimulus act launched the new type of tax-credit bond earlier this year.

CHICAGO — Ohio plans to enter the market next week to refund $271 million of general obligation debt in a transaction that is expected to save the struggling state up to $740 million over the next two years.

Cleveland Mayor Frank Jackson last week said he would need to drain the city’s rainy-day fund in order to help close an estimated $23 million deficit in 2010.

A Michigan state lawmaker representing Detroit introduced a bill that would establish a bond-issuing regional mass transit authority for his region.

Moody’s Investors Service last week upgraded to Aa3 from A1 debt issued on behalf of McLaren Health Care Corp., and revised the outlook to stable from positive.

Indiana Gov. Mitch Daniels this week announced he would cut K-12 funding by nearly $300 million in 2010.

Fitch Ratings last week downgraded to A from A-plus roughly $1.24 billion of debt issued on behalf of the Indianapolis Airport Authority.

For the first time in its 53-year history, the village of Schaumberg, a suburb of Chicago, will impose a property tax.

CHICAGO — Gov. Jennifer Granholm said she will consider revamping Michigan’s tax structure next year as the state finishes what she called one of the worst years in its history.

Ohio Gov. Ted Strickland this week warned he would call a special session over the holidays if legislators are not able to fill an $850 million hole in the state's two-year budget by the end of the week.

Robert W. Baird & Co., Michigan's financial adviser, continues to expand its public finance presence with the opening of a new office in Lansing.

A bill introduced to the Ohio House last week seeks to build the rainy-day fund by capping at 25% the amount that can be transferred to the general fund.

Cuyahoga County last week passed a $1.4 billion all-funds fiscal 2010 budget that was balanced through a series of across-the-boards cuts, many over 10%.

A plan to build a light-rail system along one of Detroit's thoroughfares advanced with the passage of the federal government's 2010 omnibus spending bill.

Detroit Public Schools today is expected to price roughly $325 million of federal stimulus bonds that will finance a capital campaign that city leaders hope will help rebuild both the struggling district's buildings and its reputation.