Miami’s city government took another step forward Thursday when Moody’s became the third credit agency in recent months to upgrade the city’s financial outlook following a near meltdown during the recession.
Moody’s Investors Service upgraded $13.6 million in outstanding general obligation debt to A1, and $426 million in non-property-tax, special tax and limited property tax bonds to A2. The upgrades, including the declaration that the city has a “stable” outlook, mean long-term savings on debt payments for taxpayers.
Moody’s, however, noted that the city continues to grapple with pension obligations and SEC investigations into whether the city cooked its books during the recession to hide substantial losses.
“The upgrade is based on a resurgent economy with multiple major projects underway, a strengthened financial position, a new management team that has implemented prudent fiscal policies, and a manageable debt profile,” Moody’s stated in a press release.