Moody's Investor Services is threatening to downgrade the credit ratings for dozens of local governments in Maryland, Virginia and 29 other states, based on how the federal government's negotiations concerning the U.S. debt ceiling affects financial markets.
The ratings agency placed more than two dozen counties and cities in Virginia and at least seven local governments in Maryland on its credit rating "watch list" on Thursday, citing concerns over the federal government's presence in those areas.
Affected governments include Fairfax, Arlington and Prince William counties in Virginia, as well as Rockville, Prince George's County and Montgomery County in Maryland, as well as smaller incorporated cities and towns in the Washington area.
"The ratings of these local governments, particularly those with a high economic dependence on federal activity, would be vulnerable to a downgrade of the U.S. government," said Moody's Senior Vice President Matt Jones.
The action comes after Moody's placed Maryland, Virginia and three other state governments that have AAA ratings on its "watch list" last week, pending a possible downgrade to the federal government's credit rating as a result of congressional budget action.
1 comment:
well "bless my bippi"; they can't mean it. not here. wow; whodathunk.
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