Public finance

Maryland is preparing for upcoming bond sales as the state treasurer responds to a Moody's downgrade by suggesting the state part ways with the rating agency.

Issuers routinely refund 5% bonds in year 10, and the resulting savings can be significant. It is notable that although refunding is typically associated with declining interest rates, 5% bonds are refunded even if rates rise.

Facing big demand for housing, the state's efforts to spur development have spurred litigation by cities challenging recent laws and a compliance crackdown.

The department shifted funds that would have been invested in solar power to improve the island's electrical system.

"We're seeing some of the additional instability and other things come into play," said Dan Genter, CEO of Genter Capital Management.

The Internal Revenue Service is requesting documents from the Erie City Water Authority regarding a $36,320,000 issuance of Water Revenue Bonds Series D of 2019.

The revenue bonds, which would help finance a bigger convention center to replace the city's current facility, would be issued in the first half of 2026.

Municipal bond insurers wrapped $7.316 billion in the first quarter of 2025, a 2.6% increase from the $7.132 billion insured in the first quarter of 2024, according to LSEG data.

Gov. Ron DeSantis wants property tax cuts and House Speaker Daniel Perez wants a sales tax cut as future state deficits are projected.

Moody's based this downgrade on the lowering of the rating of the United States government.