New York MTA

Fitch Ratings for NYMTA: TRBs “A+”; BANs “F1”; Outlook “Negative”

Fitch Ratings has assigned a rating of “A+” to approximately $600 million of Transportation Revenue Bonds (TRB) Series 2020D (Mandatory Tender Bonds) and a rating of “F1” to $500 million of transportation revenue Series 2020B Bond Anticipation Notes (BANs) to be issued by the New York Metropolitan Transportation Authority. The bonds and BANs will be sold via negotiation; the sale date and principal amount are both subject to market conditions. Proceeds will finance existing approved transit and commuter projects. Fitch has affirmed at “A+” approximately $24.4 billion of outstanding TRBs. The Rating Outlook is Negative.

NYCT Second Avenue Subway: Past, Present and Future (Maybe)

If you are looking to understand of the history of New York City Transit’s Second Avenue Subway, read “Last Subway, The Long Wait for the Next Train in New York City” by Philip Mark Plotch. The author clearly did his research on the subject. The book explains in detail why progress has been so slow for construction of the long-anticipated Second Avenue Subway.

NYCT Subways: Closed For the Wee Hours, For Cleanup

New York has long been known as the “City That Never Sleeps,” partly because its subway system has, with very few exceptions (Superstorm Sandy and 9/11 among them) continuously operated 24/7 since it opened in 1904. That will soon change, as the Metropolitan Transportation Authority (MTA) has announced that the system—plagued with homeless people who have turned it into a trash-strewn shelter—will shut down for four hours, between 1:00 and 5:00 a.m., every night, beginning in the early hours of Wednesday, May 6, for cleaning. As well, the MTA has instituted new rules implemented new rules to restrict those who have been camping on the system.

MTA, Unions Agree on $0.5MM Death Benefit

The New York Metropolitan Transportation Authority, Transport Workers Union Local 100 and the Transport Workers Union of America have reached an agreement establishing a $500,000 COVID-19 death benefit for TWU members who died after being infected with the virus. Under the agreement, the MTA will pay the $500,000 in a lump sum to the spouse, beneficiary or estate of each deceased member who was in active service on or after Feb. 1, 2020. The TWU agreement extends the COVID-19 death benefit to members of four TWU Locals: Local 100, Local 106, Local 2001 and Local 2055.

Fitch Downgrades NYMTA Bonds, Removes “Rating Watch Negative”

Fitch Ratings downgraded approximately $800 million of outstanding TRB Series 2020C (transportation revenue bonds, climate bond certified) to be issued by the New York Metropolitan Transportation Authority (MTA) from AA- to A+ and outstanding TRB anticipation notes to F1 from F1+, but removed the agency’s long-term rating from Rating Watch Negative status. The Rating Outlook is Negative.