One of the big three credit rating agencies has downgraded Manchester’s overall bond rating.
Fitch Ratings has lowered Manchester’s rating from AA+ to AA. The agency cites the city’s tax cap, rising pension costs and its deficit that caused the city to raise taxes beyond its cap.
Manchester owes $122 million in general bonds and about $59 million in school facilities revenue bonds. The school bond rating also dipped from AA to AA-. But Fitch kept its rating outlook at ‘stable.’
Last year, ratings agency Moody’s similarly downgraded Manchester’s credit rating.