Monday, June 26, 2006
I didn't think I'd see this for quite a while
BayouBuzz - Louisiana´s Moody Ratings Improve
This is great news. One of the largest bond rating agencies has rated Louisiana bonds as "stable". This is great news for a patient that was on life support for some time. This should stabilize our debt on the secondary market, and hopefully reduce the costs of future borrowing.
What I found most interesting was that Moody's referenced Louisiana's below-average debt burden as a reason for the stabilization, and that Louisiana was seeing the benefits of several years where it "passed meaningful budgetary and debt reform measures". This is quite high praise for a state that isn't often seen as being fiscally responsible, but I'm sure this is in large part a reflection of the progress we have made with the Stelly Plan, reducing our reliance on sales taxes and shifting that to a much more stable and equitable system of income taxes.
This is great news. One of the largest bond rating agencies has rated Louisiana bonds as "stable". This is great news for a patient that was on life support for some time. This should stabilize our debt on the secondary market, and hopefully reduce the costs of future borrowing.
What I found most interesting was that Moody's referenced Louisiana's below-average debt burden as a reason for the stabilization, and that Louisiana was seeing the benefits of several years where it "passed meaningful budgetary and debt reform measures". This is quite high praise for a state that isn't often seen as being fiscally responsible, but I'm sure this is in large part a reflection of the progress we have made with the Stelly Plan, reducing our reliance on sales taxes and shifting that to a much more stable and equitable system of income taxes.
# posted by Jude Boudreaux @ 6/26/2006 08:07:00 AM 
