California

Standard & Poor's said Wednesday it has downgraded San Bernardino Joint Powers Financing Authority housing tax allocation bonds to BBB from A-minus due to the city declaring bankruptcy.

A bill that would change California's municipal bankruptcy law again appears to have stalled without support from the Democratic majority leadership in the state Senate.

Bond insurer National Public Finance Guarantee Corp. has challenged Stockton, Calif.'s petition for a bankruptcy.

The judge in Stockton's bankruptcy case has denied an injunction that would have kept the city from cutting retiree medical benefits during the Chapter 9 process.

Moody's Investors Service said in a note Monday that California should be able to handle the potential loss of hundreds of millions of dollars from a depressed Facebook stock price.

The recent bankruptcy filings of Stockton and San Bernardino share a common element — both troubled California cities target pension obligations bondholders for sizable haircuts.

California has confirmed the state is set to sell $10 billion of revenue anticipation notes during the week of Aug. 13.

Two former Lynwood, Calif., council members have been convicted of corruption for alleged illegal use of public funds.

Standard & Poor's said in a report Wednesday it has assigned an SP-1-plus rating to California's $10 billion revenue anticipation note sale scheduled for the week of Aug. 13.

A California lawmaker is sponsoring a bill that would help Santa Clara, Calif., circumvent the way tax revenues from its former redevelopment agency were allocated to help finance a stadium for the San Francisco 49ers football team.

California's Legislative Analyst's Office said Wednesday "hundreds of millions of dollars" of income tax revenue assumed in the state budget are at risk if Facebook shares remain down from its initial offering price.

San Bernardino, Calif. filed Wednesday for protection under Chapter 9 of the U.S. bankruptcy code.

The city council of El Monte, Calif. voted Tuesday to declare a fiscal emergency and place a tax on sugary drinks on the November ballot in an effort to shore up its finances.

Moody's Investors Service Monday downgraded $4.9 million of Compton, Calif. sewer revenue bonds five notches to Ba1 from A2 due to the city's severe cash crisis.

Moody's Investors Service Wednesday affirmed its A1 rating on $90 billion of California general obligation bonds.

Fitch Ratings completed its review last week of 62 ratings of tax allocation bonds issued by 36 former California redevelopment agencies, culminating in downgrades for 12 of the credits.

The California secondary market remains mostly steady to strong as high-profile local municipal bankruptices unfold, but it has not been without some minor turbulence, according to municipal experts.

Municipal Securities Rulemaking Board officials said Tuesday the board is looking into the Libor scandal to see how it may impact the municipal bond industry.

Stockton, Calif. asked bondholders and bond insurers to take major hits during the mediation process that preceded the city's Chapter 9 bankruptcy filing.

The University of California will sell $900 million of revenue bonds next week for refinancing and to fund various projects across six campuses, including the renovation of the storied Pauley Pavilion basketball arena at UCLA.