District's credit outlook downgraded

Wall Street delivered a warning shot to the District on Tuesday by downgrading the city’s financial outlook. Moody’s Investors Service and Fitch Ratings cut the city’s credit outlook from stable to negative, meaning that if the city’s finances don’t start improving, its credit rating could be downgraded next year. A credit downgrade would make it more expensive for the city to borrow money and taxpayers would likely carry that burden.

Tuesday’s forecast was the first time D.C.’s credit outlook has received a negative rating in 15 years.