Kroll Bond Rating Agency Downgrades Connecticut

July 19, 2016

Hartford – Today Kroll Bond Rating Agency downgraded Connecticut to an AA- rating. This is the fourth credit rating agency to reduce the creditworthiness of Connecticut’s bonds over the last six months.

For remarks, Senate Minority Leader Len Fasano (R-North Haven) would like to refer to his comments on recent downgrades and negative outlooks:

Key rating concerns raised by KBRA today include:

  • Very low budget reserve fund balance
  • State’s difficulty in accurately projecting personal income tax collection and continued lack of growth in wages across the stat
  • Very high state debt burden on a per capita basis and as a percentage of personal income
  • Relatively high level of unfunded liabilities