City’s downgraded rating because of debt

Impact could come in
borrowing for big projects

Critics say the latest move by Standard and Poor’s to downgrade La Crosse’s bond rating shows the city is too far in debt.

Mayor Tim Kabat agrees the move from AA+ to AA is not the best news.

“It’s disappointing, that is for sure,” Kabat said. “We were very proud of the fact that a year or two ago we were upgraded (to AA+).”

The agency was far more concerned about the lack of job growth in the region, Kabat said, but did cite city hall’s fiscal management and large cash reserves as giving the city a “stable” measurement.

The impact from the downgrade, Kabat thinks, is that it may cost a bit more to borrow for big projects in the near future.