Buffalo's credit rating improves

Moody's Investors Services, one of Wall Street's "big three" credit rating agencies, recently announced an improvement in the city of Buffalo, New York's credit score from A2 to A1, the Buffalo News reports. WIVB-TV notes the announcement comes two months after Moody's published a report highlighting Buffalo's diverse economy. The city received an A2 score for the previous two years, although it maintained a top rating with the two other "big" agencies, receiving an A+ from Fitch and an A from Standard & Poor's. "Moody's continues to take notice of the progress Buffalo has made, both in improving the city's financial condition, as well as forging a new economy based on healthcare and education," wrote city comptroller Mark J.F. Schroeder, as quoted by The Buffalo News. The credit rating agency added in a statement that the upgrade reflects the city's improved financial operations and liquidity, due to its "augmentation of reserves" over the past eight years, the media outlet notes. With this better credit score, the city's cost for borrowing decreases. As such, Buffalo plans to borrow $22 million for capital projects, as well as $5 million for capital projects for its public schools. It also plans to refinance about $19.6 million in existing debt.