By PE News
on October 7, 2010 3:40 PM

The Inland area’s weak economy might mean Riverside County transportation officials pay more to borrow money.

Fitch Ratings, one of three national credit rating agencies for municipal bonds, announced today it was lowering the rating for the Riverside County Transportation Commission from “AA+” to “AA.” The Inland’s high unemployment, subpar housing market and sluggish consumer spending were factors in the decision, according to a news release.

“In a lot of ways it is expected,” said John Standiford, the transportation commission’s deputy director. “… The economy is really putting a strain on a lot of things.”

The effects of the lower rating — which is still well within good standards — are unknown, Standiford said. But he said it is possible the lower rating will mean transportation officials pay a higher interest rate to borrow money.

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