The debt of 30 California cities, including Oakland, Fresno and Sacramento, has been placed under review for downgrades because of economic pressures in the state, Moody’s Investors Service said.
“California cities operate under more rigid revenue- raising constraints than cities in many other parts of the country,” Eric Hoffmann, who heads Moody’s California local government ratings team, said in a statement. “Combined with steeply rising costs, these constraints mean that these cities will likely recover more slowly than their peers nationally, even if the state’s economic recovery tracks the nation’s.”
The cities where some debt has been put under review are:
Azusa, Berkeley, Colma, Danville,Downey, Fresno, Glendale, Huntington Beach, Inglewood, Long Beach, Los Angeles, Los Gatos, Martinez, Monterey, Oakland, Ocaeanside, Palmdale, Rancho Mirage, Redondo Beach, Sacramento, San Francsisco, San Leandro, Santa Ana, Santa Barbara, Santa Clara, Santa Maria, Santa Monica, Santa Rosa, Sunnyvale, Woodland.