Moody's Investors Service said it has upgraded the city of Perth Amboy, N.J., to A3 from Baa1, affecting $3.4 million of rated general obligation debt.
The bonds are backed by the city's general obligation pledge.
The upgrade to A3 from Baa1 reflects the material improvement in the city's finances. The rating also takes into account the city's substantial tax base, elevated debt burden, and weak socioeconomic profile.
The Metropolitan Transportation Authority chair and CEO says changes are needed to state and federal laws and the MTA's financial structure.
The recent short-end correction stems from last week's Fed rate hike, said Ron Banaszek, co-head of public finance and lead underwriter at Blaylock Van.
The city's inability to get approval for bonds that would fund operating expenses has forced the mayor to propose deep budget cuts for the coming fiscal year.
A finance committee vote teed up a debate by the full Chicago City Council Wednesday on whether to require more aldermen votes for new borrowing.
In an unusually competitive election season in the GOP dominated Lone Star State, candidate platforms include moves that could impact state and local finances.
Bondholders agreed to extend the lender longstop date, giving developers more time to test the LAX SkyLink project and avoiding an imminent technical default.
