Economy

DALLAS - Louisiana will have to tap into its transportation trust fund for the next 35 years to support debt service on bonds financing the state's $5.2 billion, 20-year-old highway improvement program.

CHICAGO - Ohio would launch a new bond program backed by toll revenues under a proposal proposed by Gov. Ted Strickland.

SAN FRANCISCO - Falling traffic and revenue prompted Fitch Ratings this week to cut its outlook on Foothill/Eastern Transportation Corridor Agency toll revenue bonds to negative from stable, while affirming the underlying BBB rating for $2.2 billion of debt backed by the 36-mile toll road network in Orange County, Calif.

The Port Authority of New York and New Jersey is considering using public-private partnerships to replace bridges that connect Staten Island to New Jersey, executive director Christopher Ward said yesterday.

Standard & Poor’s downgraded Sherman Health’s credit two notches to BBB from A-minus due to greater-than-expected operating losses in fiscal 2008 and fiscal 2009.

Standard & Poor’s last week revised its outlook on Ministry Health Care Inc.’s A-plus credit to negative from stable due to weak debt coverage levels, in a review prompted by the provider’s $120 million new issue.

CHICAGO - The Illinois State Toll Highway Authority board approved a list of six financial advisory firms to work with on its debt issues and other financing initiatives as the agency moves to wrap up borrowing for its five-year-old, $6.2 billion capital program and launch its new $1.8 billion follow-up.

A regional transit plan for the Detroit area could begin to take shape by April with the creation of regional transportation authority that would build and operate the system.

CHICAGO - The battle over dueling proposals to build bridges between Detroit and Windsor, Canada, is heating up following the U.S. Department of Transportation's recent approval of nearly $800 million in private-activity, tax-exempt bonding to help finance a replacement for a developer's existing private bridge.

The Rhode Island House is expected to vote today to require legislative oversight on a Medicaid waiver that went into effect last month.

The Massachusetts Turnpike Authority may file suit against companies involved in five floating-to-fixed-rate swaps with UBS Securities LLC that, if terminated, would cost the agency roughly $435 million.

A 56-mile tollway around the eastern and southern Austin metro area is expected to be open in April, although some of the highway will still be under construction. Officials had expected Texas 45 Southeast to begin operating in summer with all construction completed.

A coalition of Utah County legislators, mayors, and commissioners is urging Utah state lawmakers to approve issuing bonds to start work on $5 billion of improvements to Interstate 15.

The Phoenix City Council will consider this week a proposal from Phoenix Sky Harbor International Airport to cut $15.8 million in expenses and eliminate 47 jobs in fiscal 2010 due to a decline in flights and passengers using the facility.

New Jersey officials are looking for underwriting services for an upcoming grant anticipation revenue vehicle bond deal that will help finance road and bridge repairs estimated at $270 million.

As New York's 2009 legislative session kicks into high gear the state's largest issuers are looking for support for their annual wish lists.

Fitch Ratings last week upgraded about $64.4 million of outstanding Delaware Health Facilities Authority revenue bonds sold for the Beebe Medical Center project to A-minus from BBB-plus.

AUSTIN - Texas could issue the first bonds from a $3 billion cancer research program by the end of the year if the Legislature approves debt service appropriations in the current session, Lieut. Gov. David Dewhurst said yesterday.

CHICAGO - The tough times plaguing U.S. not-for-profit health care borrowers are likely to continue through 2010, Fitch Ratings warned in a report on the sector issued yesterday.

SAN FRANCISCO - California officials say the state has done enough to fix health care at its prisons and a federal court should dismiss a receiver who has ordered the state to spend $8 billion to build and renovate prison hospitals.