L.I. Power Authority’s Credit Questioned

NEW YORK (AP) -

Standard & Poor’s has put the Long Island Power Authority’s A- rating on its CreditWatch with negative implications.

The rating agency says Tuesday the utility’s listing was a result of new legislation that it says could “erode the utility’s financial flexibility.” The legislation shrinks LIPA’s staff and calls for a rate freeze, which S&P says loses them “an important financial tool.”