Summary
Fitch’s rating reflects the strength of the revenue stream supporting the bonds, which has demonstrated resilience through economic cycles. The tax revenues pledged to PICA are not subject to appropriation by the City or State, ensuring dedicated payment to bondholders. Coverage for the bonds has improved with steady revenue growth and a declining debt service schedule. Fitch also noted that PICA is unlikely to issue additional bonds beyond refunding purposes, further supporting strong coverage levels. The city’s economy remains the primary driver of pledged revenues, benefiting from its status as a regional hub for healthcare and education.