WOONSOCKET – Fitch Ratings upheld its bond and issuer default ratings for the city, but downgraded its rating outlook from positive to stable amid the broader economic decline, according to a news release.
The ratings agency upheld its BBB+ IDR rating for the city, citing positive operating margins for municipal and school departments in the last four fiscal years, improved liquidity levels and growth of the city tax base. The agency also noted the city’s “inherent budget flexibility” thanks to high revenue-raising ability and spending control.
However, as a result of the continued economic consequences of the pandemic, and implications for state revenue sharing to the city and school department, the agency downgraded its ratings outlook from positive to stable.
Nancy Lavin is a staff writer for the PBN. Contact her at Lavin@PBN.com.
