NEW YORK—Standard & Poor’s Ratings Services is moving to change its rating methodology for assessing the credit ratings of general-obligation municipal bonds issued by local governments, in a bid to improve the ratings’ predictive and comparative ability.
The new methodology would apply to towns, cities and counties, but doesn’t include special districts, such as school districts. The system would apply only to general-obligation bonds issued by local governments, which is unsecured debt backed by local taxing authority.
Source: Wall Street Journal
