Moody’s Investors Service downgraded Wenatchee, Wash.’s unlimited-tax general obligation bond rating to Ba2 from A3 on Monday because the city will allow a local events center to default on debt the city agreed to back.

Moody’s also cut the city’s limited-tax rating to B2 from Baa2. It said the downgrades are a result of the city’s “lack of willingness” to avert an expected default on June 1 under a contingent loan agreement the city has for interest payments on $36 million of bond anticipation notes issued by the Greater Wenatchee Regional Events Center Public Facilities District.

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