Chairman Patrick Foye said the designation will better position the authority to cope with the revenue loss from the coronavirus pandemic.
New York’s new state budget provides flexibility to deal with near-term revenue hits from COVID-19, but it has little bandwidth to withstand a deep recession.
Negative outlooks trigger questions about other reeling areas in the capital markets crosshairs.
The rating agency, citing severe ridership drops from COVID-19, dropped its rating to A-minus from A. It assigns a negative outlook.
New York Gov. Andrew Cuomo promised a 90-day moratorium on mortgage payments for financially strapped New Yorkers because of the coronavirus.
How severe a financial hit New York City will take during the COVID-19 pandemic is as much of an unknown as the degree of virus spread.
Looming state budget cuts combined with the COVID-19 threat could have a negative impact on NYC's economy.