S&P Global Ratings revised its outlook to stable from negative on Houston , Texas' outstanding general obligation (GO) debt and affirmed its 'AA' rating on the debt. At the same time, we affirmed our 'A-1+' short-term rating on the city's outstanding commercial paper (CP) notes. The outlook revision reflects the city's material efforts to stabilize its budget beginning in fiscal 2027 to address sharply increasing public safety costs, helping it sustain consistent reserves, albeit lower than in recent years. Houston's GO bonds are a direct obligation of the city, payable from the proceeds of a continuing, direct annual ad valorem tax, within the limits prescribed by law, on all taxable property within its borders. The maximum allowable ad valorem tax
