News and Information from Bond Buyer

With drought still troubling some Texas urban areas, utilities are confronting the problem with innovative technologies, according to a special report from Fitch Ratings.

Houston and Harris County's economic surge from the energy sector is slowing and could go into decline, according to Moody's Investors Service analysts led by Adebola Kushimo.

Government

The Kentucky Legislature is considering a bill that would create a state-run retirement plan for private-sector workers. SIFMA opposes the measure.

Missouri will soon be in the market for a new transportation leader following the announcement that Department of Transportation Director Dave Nichols plans to retire May 1.

After two years of growth accelerated by $100-per-barrel oil, Texas will get a chance to show its underlying economic strength as energy prices weaken, state leaders and bond industry executives plan to tell The Bond Buyer's Texas Public Finance Conference.

Massachusetts Treasurer Deborah Goldberg appointed 20-year public finance veteran Ruth Ellen Fitch to serve on the Pension Reserves Investment Management Board.

Prices of municipal bonds closed out the week lower, traders said, with yields on some top-rated munis up by as much as nine basis points. Since the start of the month, the yield on the muni 10-year benchmark general obligation is up by 21 basis points, while yield on the 30-year GO is 25 basis points higher, according to Municipal Market Data's triple-A scale.

If yields continue to rise, more deals could be pulled in the upcoming week

Moody's Investors Service downgrades the village of Morton Grove, Ill.'s general obligation rating to Aa3 from Aa2.

Consumer credit increased by $14.8 billion in December to $3.312 trillion, the Federal Reserve reported Friday.

Triple-A Missouri would issue its first new money general obligation paper in eight years under Gov. Jay Nixon's proposal to tap $70 million in voter approved bonding authority to finance water system projects.

New regulations aimed at reducing public sector risks in transportation P3s win unanimous approval from the Virginia House of Delegates.

An issuer in Virginia recently disclosed an Internal Revenue Service audit of bonds it issued in 2006, and a borrower in Indiana and an issuer in Pennsylvania disclosed that the IRS has closed audits of their bonds.

Standard & Poor's Ratings Services said it raised its underlying rating to AA-minus from A-plus on Berryessa Union School District, Calif.'s general obligation bonds.

Standard & Poor's Ratings Services said it raised its rating on Lee County Industrial Development Authority, Fla.'s revenue debt, issued for Shell Point Village, one notch to BBB-minus from BB-plus.

Kansas Gov. Sam Brownback cut $44.5 million for K-12 public schools and higher education as the state Legislature approved cash transfers to close a $344 million budget deficit.

Liftoff should begin "around mid-year, or a little later," assuming that projections for the economy hold, Federal Reserve Bank of Atlanta President and CEO Dennis Lockhart said Friday.

New construction delays on nuclear units in South Carolina and Georgia are prompting reviews of potential credit impacts on public power utilities involved in the projects.