- States: We believe the impact of COVID-19 on state finances will be negative in the near term, while the longer-term effects will depend on the severity and duration of the pandemic.
- Counties and Cities: We’re maintaining a stable outlook on counties and cities. Our outlook reflects the fact that property taxes, the sector’s primary revenue source, are less economically cyclical than other municipal revenue sources.
- School Districts: Our stable outlook for school districts generally reflects the sector’s reliance on property tax revenue. Beyond local property taxes, school districts largely rely on state funding.
- Airports: We expect COVID-19 to have a high impact on the airport sector.
- Convention Centers: The spread of COVID-19 has introduced some economic and credit uncertainty, especially for issuers largely reliant on tourism and consumer discretionary spending.
- Higher Education: We are maintaining a negative outlook for the higher education sector, though this is a very fluid situation with many unknowns.
- Hospitals: We have a negative near-term outlook on not-for-profit hospitals and health systems, reflecting uncertainties about capacity, increased supply costs and an expected spike in labor and benefit costs.
- Ports: With the sharp drop in shipping activity and the strong possibility of a further slowdown, we have a negative short-term outlook for the port sector.