Boston; General Obligation, Local GO Nov 98
- ID: 2088622
- November 1998
- Standard & Poors
The rating on Boston, Mass.' bonds reflects: Continuing economic strength in the city and surrounding area; Solid financial performance, driven primarily by dramatic growth in state aid and the strong economy; and Manageable debt burden with debt service at 6% of expenditures and overall net debt per capita at $1,443. An offsetting rating factor is somewhat limited financial flexibility under Proposition 2 1/2. Additionally, staffing growth, including public school and public safety personnel, has increased city spending above the rate of inflation. Should revenue growth slow, timely expenditure controls will be necessary. A slowdown in the city's economy could create the need for restrained spending growth and place renewed pressure on the Proposition 2 1/2 tax rate cap. Boston's economy,...
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Action: New Rating
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