Pennsylvania

The Harrisburg Authority's incinerator debt has enough funds in its debt-service reserve accounts to meet a March 1 payment to investors, according to Assured Guaranty Municipal Corp.

Cash-strapped Harrisburg, Pa., could miss a March 1 debt-service payment of $2 million on debt backed by Pennsylvania’s capital city, according to city Controller Dan Miller.

With an eye beyond the next fiscal year, Pennsylvania Gov. Edward Rendell yesterday released his fiscal 2011 budget proposal and urged a broadening of the state’s sales tax and corporate tax to help address projected deficits in the billions for fiscal 2012 and fiscal 2013.

The University of Pittsburgh Medical Center next week will issue $720 million of tax-exempt revenue bonds, part of the health care provider’s $1.1 billion debt refinancing plan.

Pennsylvania lawmakers are moving forward with bipartisan legislation that would prohibit cities, towns and school districts throughout the state from entering into swap agreements.

A group of Allegheny County, Pa., residents angered over the planned closing of Braddock Hospital are trying to stop a $1.17 billion University of Pittsburgh Medical Center refunding deal and anticipate filing suit against a state conduit agency if it moves ahead with the bond sale.

Pennsylvania Wednesday will take bids for $900 million of ­general obligation debt — ­including the largest competitive Build America Bond transaction thus far.

With a new table-games bill, Pennsylvania now has a balanced fiscal 2010 budget after more than six months of debate and legislative stalemate and just one month before Gov. Edward Rendell releases his fiscal 2011 budget proposal.

Pennsylvania Gov. Edward Rendell yesterday said he is “very hopeful” he will receive a table-games bill by the end of the week, which would help balance the fiscal 2010 budget and avoid 1,000 state employee layoffs, but he warned that any future general revenue shortfalls may require reducing the state’s payroll this year.

Pennsylvania Gov. Edward Rendell Tuesday picked C. Daniel Hassell to serve as acting secretary of the Department of Revenue, the same day that Stephen Stetler stepped down from the post amid corruption charges.

Pennsylvania officials plan to price $775 million of new-money, general obligation debt in mid-January after legislators yesterday passed the state's fiscal 2010 Capital Debt Act.

The Federal Housing Administration, insurer of nearly $20 million of North Philadelphia Health System Series 1997A bonds, will not acquire the borrower’s property and outstanding debt, as Bank of New York Mellon, trustee of the 1997 bonds, agreed to withdraw its notice of mortgage assignment to the U.S. Department of Housing and Urban Development.

Fitch Ratings Monday downgraded Philadelphia to BBB from BBB-plus and removed the credit from negative watch, affecting $1.1 billion of general obligation debt. The outlook is stable.

Pennsylvania’s unpaid bills are piling up, and the state is about $375 million short of funds needed to pay contractors and vendors on infrastructure projects, Budget Secretary Mary Soderberg warned yesterday.

The Pennsylvania Turnpike Commission is watching for an opportunity to refinance nearly $600 million of floating-rate debt, including variable-rate bonds now owned by banks.

Like many mayors, it’s been a difficult year for Philadelphia Mayor Michael Nutter, as the city was forced to cut its five-year budget by $2 billion and watch state lawmakers delay action on measures that eventually helped close the city’s current budget and avoid enormous layoffs and service cuts.

Pennsylvania must delay an anticipated $775 million general obligation bond sale as lawmakers this month failed to move on the state’s $1.68 billion Capital Debt Act, which would authorize the deal.

Pennsylvania borrowing remains on hold as the General Assembly may not vote until early next week on a table games bill, a measure that lawmakers must pass before approving the state’s fiscal 2010 Capital Debt Act.

Bonds from the Southern Pennsylvania Transportation Authority will not be affected by a workers’ strike that halted Philadelphia’s subway and bus service beginning early Tuesday morning.

Pennsylvania’s year-to-date revenue collections are $160.2 million, or 1.8%, below budgeted revenues, with sluggish personal income tax and sales tax receipts accounting for most of the revenue gap.