The outlook also reflects the success of the city's downtown tax increment district and our view that this moral obligation debt will remain self-supporting in the near term. Over the long-run, however, Moody's future reviews will focus on underlying trends within the TIF district. This self-supporting debt will become increasingly difficult to sustain given the reliance of future growth to meet the ascending debt service requirements of the moral obligation debt. This may be a source of future fiscal pressure if the city chooses to appropriate funds to cover any potential shortfall of TIF revenues to meet debt service requirements. The city is a major regional transport and distribution hub due to extensive highway, rail and air facilities.
Downtown is also home to a diversified group of large employers and major convention facilities.
Job base growth has generated new demand for downtown residential housing. The current administration's initiative to introduce privatization and competition in delivery of certain municipal services has generated considerable cost savings in the city's budget. This structure increases the city's leverage in the event of an economic downturn, as shortfalls in TIF revenues could necessitate appropriations from the city for MO debt service. Fitch's Investors Service Fitch credit ratings are an opinion on the ability of an entity or of a securities issue to meet financial commitments, such as interest, preferred dividends, or repayment of principal, on a timely basis. Credit ratings are used by investors as indications of the likelihood of getting their money back in accordance with the terms on which they invested.