Natural disasters

While congressional leaders fight over what to include with the $12 billion slated for FEMA, others feel that the reliance on FEMA and the federal government for disaster relief may begin to change.

Sunday is the mid-point of the 2023 Atlantic hurricane season. AccuWeather expects at least one or two more tropical storms or hurricanes to hit hit the U.S.

While Idalia caused major damage to some municipalities, it had less of an impact than feared since it hit less densely populated areas than Hurricane Ian did last year.

Moody's credited generally sound fiscal practices, good governance and federal aid with the likelihood that Maui County and the state would retain their current credit ratings.

Andy DeVries of CreditSights is fairly optimistic about the eventual outcome for bondholders, though its tax-exempt paper has been trading at a discount.

The disaster in Hawaii highlights the increasing importance of Congress to act on the dwindling budget of FEMA's Disaster Relief Fund.

The investor-owned utility issues tax-exempt bonds through the Hawaii Department of Budget and Finance.

The coastal town of Lahaina is "gone," Hawaii Gov. Josh Green said during a press conference.

"The main climate factors expected to influence the 2023 Atlantic hurricane activity are the ongoing El Nino and the warm phase of the Atlantic Multi-Decadal Oscillation, including record-warm Atlantic sea surface temperatures," said NOAA's Matthew Rosencrans.

Extreme temperatures affecting much of the United States add an additional challenge to hospitals still reeling from the pandemic.

New York State Comptroller Thomas DiNapoli urged state agencies to do more to protect water systems from cyberattacks as Moody's Investors Service said cyber risks pose challenges to municipalities across the United States.

The Florida Insurance Guaranty Association is getting ready to head back to the market next week with a variable-rate bond deal after successfully selling fixed-rate bonds last week to help fund claims from insolvent insurance companies.

California filed a disclosure notice March 30 saying it would cover lease revenue bond payments for a damaged Central Valley agriculture lab.

The Tulare lab is not required to make lease payments that pay the debt if the building is rendered inoperable.

Toks Omishakin's second year as State Transportation Agency secretary is off to a challenging start between massive rainfalls and proposed budget cuts.

Among the special session charges: "Improve the financial stability of the Citizens Property Insurance Corporation," Florida's bond-funded insurer of last resort.

The White House has asked for an additional $37.3 billion to send to states and communities that faced natural disasters last year, including $600 million to Jackson, Mississippi, for its water crisis.

The spiderweb of funding sources for natural disaster recovery makes it hard to track the actual costs to state and local government of fighting wildfires.

After four hurricanes and 11 insurer insolvencies, a $458 million deal for the Louisiana Insurance Guaranty Association supplies capital to pay claims.

"No bonding will be needed to pay for Ian-insured losses," says Ben Watkins, director of Florida's Division of Bond Finance.