The rating on New York City, N.Y.'s GO bonds reflects: Continued strong financial performance as demonstrated by repeated budget surpluses, restrained expenditure growth, sharply limited use of nonrecurring revenues, and progress in reducing out-year gaps while simultaneously reducing the city's tax burden; Continued economic growth demonstrated by steady improvement in the city's economy, which is highlighted by strong Wall Street-driven income gains combined with increases in employment for the sixth straight year; A robust real-estate market highlighted by declining vacancy rates for commercial real estate and overall growth in property tax collections; Improvements in many key social indicators; and Historically strong financial control systems, including routine updates to the city's four-year financial plan. A higher rating is precluded by: Extraordinarily
