Binghamton Credit Rating Down
1/31/2013 (Updated 11:04:33 PM)Another fiscal glitch for the City of Binghamton, but Mayor Matt Ryan says it should be a short-term problem.
The latest financial curve is Moody's downgrading of Binghamton's credit rating.
The downgrade to over $87 million of City debt came Wednesday in large part to Binghamton being delinquent in handing over financial reports dating as far back as 2010.
Ryan says he spoke to the rating agency Thursday and was told that it will reconsider the downgrade once it receives those financial statements, probably by the end of March. Ryan says the City's borrowing may cost more-- but not much more.
"It's very little. It'll be a very little extra cost. The borrowing we did that was just closing today was at .59 percent so it's not going to make much difference," said Ryan.
Ryan blames the delayed financial statements on a pair of audits; one conducted by the state and one by an outside firm requested by city council.
An audit by the State Comptroller's Office in 2011 found the City overestimated it's general fund balance by over $3.3 million, while the City's treasurer confessed to stealing over $17,000 and pled guilty to grand larceny.
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