TOPEKA, Kan. (AP) - A major financial rating agency has upgraded its credit outlook for Kansas following months of better-than-expected monthly tax collections.
S&P Global Ratings said Friday that it was changing its outlook to “stable” from “negative” while reaffirming its rating of AA- for the state’s debt.
The state’s tax collections have exceeded expectations for 11 consecutive months, including by $66 million in April. It’s the longest streak of monthly revenue surpluses since at least 1989.
S&P’s statement said the state’s better-than-expected revenues will help it stabilize its budget through June 2019. But it added that the state’s ability to manage the budget with higher spending will be an important future credit factor.
Republican Gov. Jeff Colyer said the S&P announcement shows that the state is moving in the right direction.
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