Here’s the city spending that sparked bond agency worry
Memphis Mayor Paul Young said the city had hired a forensic auditor for the Memphis Area Transit Authority, which is facing a $60 million deficit. (Benjamin Naylor/The Daily Memphian file)
A bond rating agency recently expressed worry about the City of Memphis’ use of its fund balance, noting it had spent $74.5 million in the previous fiscal year.
Fitch Ratings revised the city’s bond outlook to negative — meaning it could downgrade the city’s bond rating — in large part due to the city’s spending of its fund balance.
The number, $74.5 million, surprised many people when it was first reported, and some wondered how else the city had spent the money — appropriations that would’ve needed Memphis City Council approval.
The Daily Memphian filed a Tennessee Public Records Act request for how the city spent the money from its fund balance, which has three classifications: unassigned (or rainy day), restricted and assigned.
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Samuel Hardiman
Samuel Hardiman is an enterprise reporter who focuses on government and politics. He began his career at the Tulsa World where he covered business and K-12 education. Hardiman came to Memphis in 2018 to join the Memphis Business Journal, covering government and economic development. He then served as the Commercial Appeal’s city hall reporter and later joined The Daily Memphian in 2023. His current work focuses on the intersection of government, public policy, influence and how public dollars are spent.
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