Pennsylvania

The legislature dodged broad changes to education or transit, but bet big on business-friendly initiatives.

The county hopes one-time revenues will help it "live to fight another day" as it awaits a state-assisted financial plan.

The system, trustee and bondholders of about $992 million in debt are supporting an exchange of "substantially all" existing bonds, a disclosure statement said.

The move to reclassify marijuana as a less-dangerous drug comes amid slowing growth of cannabis-related tax revenue in states that legalized it, like Colorado.

Pittsburgh recently celebrated removing 11,000 lead water service pipes. It has around 6,000 to go, and estimates that it will finish around 2026. 

Josh Shapiro proposed $500 million of bonds for site development in his executive budget. But site development has its risks, and the returns may take time.

Since war broke out on Oct. 7 between Israel and Hamas, over $1.64 billion of Israel bonds have been sold to more than 35 U.S. states, counties, cities and municipalities.

After decades of underinvestment, Pennsylvania is launching two new grant programs to help schools fund facility improvements. These grants, the state hopes, will encourage districts to spend more money of their own.

The state Supreme Court ruled that prevailing wage rules for public projects don't apply to private entities that borrow using tax-exempt conduit bonds.

"My 'One Philly Budget' invests $2 billion over five years in new operating and capital dollars focusing on five pillars — public safety, clean and green, economic opportunity, housing and education," said Mayor Cherelle Parker, the city's first woman mayor.

An off year from municipal bond issuers in the Northeast in 2023 pulled the national volume numbers into negative territory.

Josh Shapiro proposed sweeping changes to Pennsylvania's K-12 and higher education systems and $500 million of borrowing for his economic development plan.

Josh Shapiro said his 10-year program is Pennsylvania's first coordinated economic development plan in nearly two decades.

The top five bond financings have an average dollar volume of more than $917 million.

The muni market saw $379.992 billion of debt issued in 2023, only $11.076 billion less than the lackluster $391.068 billion seen in 2022.

"The city's commitment to making the tough, but necessary, decisions to get on the path to financial prosperity is commendable," said Department of Community and Economic Development head Rick Siger.

Pennsylvania leads the new-issue calendar with $2.1 billion of GOs in four series via the competitive market while the New York City TFA will bring another $1.4 billion of exempts and taxables.

"The upgrade of Pennsylvania's IDR and related ratings reflects recent use of revenue surpluses to build its reserves to historical highs and Fitch's expectation that substantial reserves will be maintained in the near term," the rating agency said.

The bankrupt city challenged pledged revenues for 2017 bonds, but the bankruptcy court said the lien was secured, at least until the Chapter 9 was filed.

Villanova University in Pennsylvania is rescuing bondholders who own debt of Cabrini University, a small nearby Catholic school that is closing in 2024.