Public finance

The changing climate is increasing insurance rates for residents and cities and lowering property values in areas that face more frequent and intense disasters.

Municipal bond insurance volume grew 17.7% year-over-year in the first three quarters of 2025, according to LSEG, outpacing the municipal market as a whole.

A Category 5 hurricane could lead to more than $200 billion in damage, Moody's Analytics said in a report released before the 20th anniversary of Hurricane Katrina.

The state will charge active employees higher salary-based health plan premiums to avoid a near-term $1.3 billion deficit.

Municipal bond insurance volume grew 12.6% in the first half of 2025 year-over-year, according to LSEG data.

California Sen. Dave Cortese proposed the bill as the state grapples with a shortage of affordable housing.

"Nothing could delay a restructuring or a consensual deal [more] than the existing board was doing," said Assured Guaranty CEO Dominic Frederico of the Trump administration's removal of Puerto Rico oversight board members.

Damage claims from the Eaton wildfire could wipe out the $21 billion fund created to protect utilities and their customers when an investor-owned utility's equipment is deemed responsible.

An academic paper presented at the Brookings Institute's annual conference found that future wildfire risks are already having economically significant impacts on financial markets, municipal borrowing costs and vulnerable communities.

The governor aims to secure federal funding with latest executive order in aftermath of Los Angeles fires.

In total, municipal bond insurers wrapped $41.09 billion of debt in 2024, an increase from the $35.38 billion insured in 2023, according to LSEG data.

State Farm's "emergency" rate increase request was rejected by California's insurance commissioner.

A bill would allow homeowners to receive the interest accrued on insurance payments for lost or damaged property, rather than lenders.

The recovery of local governments and utilities from hurricanes Helene and Milton continues but the outlook for next season and beyond is troubling.

The Federal Open Market Committee cut the fed funds target again in December but signaled fewer cuts in 2025. There was some dissent. The markets are watching to see if the Federal Reserve pauses its easing cycle in January. Brian Rehling, head of global fixed-income strategy at Wells Fargo Investment Institute, recaps and parses the previous day's FOMC meeting and Fed Chair Jerome Powell's press conference.

The NFMA has floated best disclosure practices for public power agencies that ask for more data on climate and resiliency goals.

California's IBank has partnered with an insurer and fire resilience fund to pay for fire resilience programs.

The agency cited the closeness of the entities to Florida's government.

When communities can't access affordable insurance, it can decrease home values, tank municipal bond ratings, and cripple the tax base — and this will only get worse if left unaddressed.

Moody's believes Florida will sell bonds to help replenish the CAT fund this spring.