S&P Global Ratings lowered its long-term rating on the City of Des Moines , Wash.'s limited-tax general obligation (GO) debt outstanding to 'AA' from 'AA+'. At the same time, S&P Global ratings lowered its long-term rating on South Correctional Entity Facility Public Development Authority , Wash.?s series 2019 refunding bonds outstanding to ?AA? from ?AA+?. The outlook is negative. The downgrades reflect our view of a sharp deterioration in the city?s financial performance and general fund position in 2023 due to a mix of one-time and ongoing factors, and our view that material growth in its available reserve position might take more than two years. The rating action on South Correctional Entity?s obligations reflects a several pledge of six local
