MuniMetrics MVP v6.6.5

# Senior Credit Analyst Summary ## 1. Executive Credit View Preliminary implication: **Watch**. The provided excerpt is a **January 2025 State Comptroller monthly cash-basis report**, not a bond official statement or offering document. It supports a broad view that New York State had substantial governmental fund cash balances and growing tax receipts through January 31, 2025, but it does **not** provide the bond-specific legal pledge, maturity schedule, debt service schedule, ratings, covenants, or offering details needed for a Buy conclusion. Credit positives include large reported governmental fund balances and year-over-year growth in total receipts. Key watch items include reliance on transfers among funds, a capital projects fund deficit, sizable federal receipts, and identified American Rescue Plan / federal medical assistance activity that may not represent recurring own-source strength. Because the excerpt is interim, cash-basis, and incomplete for bond analysis, any view is **preliminary only**. ## 2. Issuer and Bond Facts Extracted | Item | Extracted Fact | |---|---| | Issuer | **State of New York** identified in Comptroller report. Page 2. | | Bond name | Series 2025A Tax-Exempt Bonds, Series 2025B Taxable Bonds, and Series 2025C Tax-Exempt Refunding Bonds is identified in analyst-entered context, but **not identified in provided excerpt**. | | Par amount | Not identified in provided excerpt. | | Bond type | Analyst context states **General Obligation**; GO pledge details are **not identified in provided excerpt**. | | Security pledge | Not identified in provided excerpt. | | Purpose | Not identified in provided excerpt. | | Maturity range | Not identified in provided excerpt. | | Rating | Not identified in provided excerpt. | | Underwriter | Not identified in provided excerpt. | | Bond counsel | Not identified in provided excerpt. | | Municipal advisor | Not identified in provided excerpt. | | Registrar / paying agent | Not identified in provided excerpt. | | Tax status | Analyst context states Series 2025A and 2025C are tax-exempt and Series 2025B is taxable; tax status is **not identified in provided excerpt**. | | Accounting basis of source document | Cash basis of accounting. Page 1. | | Reporting date | January 31, 2025. Page 2. | ## 3. Security and Bond Structure Analysis The excerpt does **not** provide the legal security pledge for the Series 2025A, 2025B, or 2025C bonds. It does not describe a full faith and credit pledge, voter authorization, constitutional debt limits, statutory appropriation mechanisms, remedies, or bondholder protections. The report does include statewide cash activity for debt service funds. For the 10 months ended January 31, 2025, debt service funds reported: - Total receipts of **$39.979 billion**. Page 3. - Debt service, including payments on other financing arrangements, of **$354.7 million**. Page 3. - Transfers from other funds of **$2.237 billion** and transfers to other funds of **$40.370 billion**. Page 3. - Ending debt service fund balance of **$1.567 billion**. Page 3. However, these are cash-basis fund-level figures and do **not** establish the bond security, debt service coverage, or bond-specific repayment structure. Call / redemption features: **Not identified in provided excerpt.** Structural strengths or limitations: The excerpt shows significant fund balances and active debt service fund cash movement, but the lack of bond-specific legal and debt service information is a major analytical limitation. ## 4. Credit Strengths - **Large reported governmental fund cash balances.** Total governmental funds ending fund balance was **$75.384 billion** at January 31, 2025. Page 3. - **Large General Fund balance.** General Fund ending balance was **$58.099 billion** at January 31, 2025. Page 3. - **Positive total governmental fund cash result for the period.** Total governmental funds reported receipts and other financing sources over disbursements and other financing uses of **$9.472 billion** for the 10 months ended January 31, 2025. Page 3. - **Total receipts increased year over year.** Total governmental fund receipts were **$199.991 billion**, up **$7.400 billion**, or **3.8%**, versus the prior year period. Page 3. - **Strong personal income tax growth.** Total governmental fund personal income tax receipts were **$49.843 billion**, up **12.0%** year over year. Page 3. - **Business tax growth.** Total governmental fund business taxes were **$21.129 billion**, up **7.5%** year over year. Page 3. - **State operating receipts increased materially.** Total State Operating Funds receipts were **$117.693 billion**, up **10.9%** year over year. Page 4. - **Federal receipts in total governmental funds were stable year over year.** Total governmental funds federal receipts were **$80.382 billion**, compared with **$80.342 billion** in the prior year period. Page 3. ## 5. Credit Risks and Watch Items - **Bond-specific security is not provided.** The excerpt does not identify the GO pledge mechanics, debt service schedule, legal remedies, maturity structure, call features, or ratings. - **Cash-basis interim reporting.** The report is on a cash basis and for the 10 months ended January 31, 2025, not a full-year audited GAAP presentation. Page 1. - **Total governmental fund balances declined year over year.** Ending total governmental fund balances were **$75.384 billion**, down **$1.844 billion**, or **2.4%**, from the prior year period. Page 3. - **Disbursements grew faster than receipts.** Total governmental fund receipts increased **3.8%**, while total disbursements increased **4.8%** year over year. Page 3. - **General Fund showed a pre-transfer operating deficiency.** General Fund receipts were **$53.387 billion** and disbursements were **$73.809 billion**, producing a deficiency of receipts over disbursements of **$20.423 billion** before other financing sources. This was offset by net transfers. Page 3. - **Reliance on interfund transfers.** General Fund transfers from other funds totaled **$40.723 billion** for the 10 months ended January 31, 2025. Page 3. - **Capital Projects Fund deficit.** Capital Projects Funds reported an ending deficit of **$2.552 billion**. Page 3. - **Spending pressures in several categories.** Total governmental fund