Mayor Peduto Cites S&P Upgrade as Reason to Remain Under Act 47 Oversight
PITTSBURGH, PA – Standard & Poor’s Rating Service (S&P) has announced that the City of Pittsburgh’s credit rating has been upgraded to A+ stable, indicating confidence in our ability to meet our financial commitments and in Mayor William Peduto’s stewardship of the City’s finances.
The upgrade was based on interviews with Mayor Peduto and the leadership of the City’s Finance Department and Office of Management and Budget, clear evidence of the administration’s commitment to reducing our debt, meeting our pension and other post-employment benefit obligations, and reforming city government to improve service delivery and reduce operating costs.
“This sends a clear signal to the business community, the financial markets, and our partners in Harrisburg and Washington D.C. that Pittsburgh is strong and getting even stronger. It reinforces the message of positive change in our city that I have been delivering as I have met with mayors from across the country, national journalists, and the White House,” said Mayor Peduto. “Pittsburgh is ready for a new wave of investment, job creation, and growth.”
Last month, Fitch Ratings affirmed the City’s “A” rating. This latest rating upgrade from S&P is continued assurance of the great strides the City of Pittsburgh has made toward a more sustainable fiscal future under the Act 47 oversight program and another reason to remain under Act 47 until we finish the work we have started.
“We believe Pittsburgh will likely maintain its ongoing efforts to maintain structural balance and strong available fund balance. Furthermore, the current five-year forecast includes, what we regard as, more-conservative revenue assumptions than previous plans,” reads the S&P report.
The report also mentions the uncertainty that remains concerning collections from the City’s nonprofits, something that Mayor Peduto is pushing to have addressed while supporting an extension of Act 47 oversight that will help leave the City truly fiscally sound and ready to move forward with confidence toward a new era of prosperity.
“I encourage Governor Corbett and DCED Secretary Walker to take notice of S&P’s report and credit rating upgrade, and formally approve our requested extension of Act 47 oversight so that Pittsburgh may continue our efforts toward full financial recovery,” said Mayor Peduto.