Muni Think

This week we update a comparison of economic strength and fiscal health for New York State Counties, we look at the impact of MCDC on the number of 15c2-12 filings, and highlight one piece of good news for Puerto Rico.

In muni underwriting understanding who is obligated to make required disclosures and the content and timing of required disclosures are critically important.

Of the 18 states with increasing poverty rates, all but three experienced increases in median household income.

The choice to pay or not pay debt secured by a statutory lien when bankruptcy commences is entirely in the control of the municipal debtor.

The challenge of pension promises and bond indebtedness is inextricably entwined.

Some of the past year’s decline might have been caused by a stronger dollar reducing demand for U.S. products, but the main factor is likely lower energy and commodity prices.

Misinformation abounds as states move to protect general obligation debt with statutory liens.

Rhode Island and Michigan showed solid improvement in labor markets in August, while Puerto Rico showed greater improvement in its unemployment rate than any of the 50 States, according to our proprietary measure of state economic health.

A budget compromise this year to reduce sequester cuts seems unlikely, and agencies like the Defense Department have fewer opportunities to reduce the impact of spending cuts.

While there are currently many reasons for municipal bond investors to fret, one measure of market sentiment is showing a high level of complacency.