The rating on Philadelphia, Pa.'s bonds reflects: A trend of sound financial operations, producing six consecutive years of balanced operations; Demonstrated trends in budgeting and long-term financial planing; and The presence of the Pennsylvania Intergovernmental Cooperation Authority, the fiscal oversight authority. These factors are constrained by the following: Below-average economic trends, A tax base that has been slow to recover from the last recession, A large unfunded pension, and A high debt burden due in part to deficit financing. Since fiscal 1992, the administration and city council have cooperated to pursue structural balance that was necessary for the city to emerge from its fiscal crisis. The city has been successful in its effort to control costs, achieve productivity savings, and
