TREASURER RUSSELL JOINS 7 OTHER STATE FISCAL OFFICERS TO WARN AGAINST POLITICIZING CREDIT RATINGS, URGING AGENCIES TO RESIST EXTERNAL PRESSURE

06/02/2026

Hartford, CT - As first reported by ESG Dive today, Connecticut State Treasurer Erick Russell joined seven other state and local fiscal officers in expressing alarm over the mounting political and ideological pressure on credit ‐ rating agencies to abandon independent risk analysis. They warned that such interference threatens to drive up borrowing costs for states and undermine the fiscal tools governments rely on to manage budgets and fund essential services.

In a joint letter sent to the leaders of Fitch Ratings, Moody's Corporation, and S&P Global Ratings, the fiscal officers demanded the agencies preserve their independent, forward-looking credit methodologies in the face of external efforts to narrow risk analysis. "We are concerned that recent arguments regarding credit rating practices mischaracterize the role of ratings and would narrow risk analysis in ways inconsistent with sound credit practice and the needs of investors and issuers," the officers state in the letter.

"Credit ratings are intended to assess the ability to meet financial obligations over time," the fiscal officers write. "That responsibility necessarily requires consideration of forward-looking factors, including changing market conditions, policy environments, and long-term structural trends."

The fiscal stewards caution that constraining rating agencies from considering emerging risks would directly harm state fiscal health. Limiting analysis to fully realized developments would diminish the usefulness of ratings as early indicators of risk, increasing costs for public issuers and reducing resources available for infrastructure, education, and public services.

"Rating agencies and institutions should remain independent in their methodology for analyzing risk and opportunity," Russell said. "I urge them to reject partisan, ideological political pressure and continue to apply long-established frameworks for evaluating creditworthiness over the long-term."

Read the full letter here.

About the Office of the Treasurer

The Office of the Treasurer is charged with safeguarding Connecticut's financial resources through prudent cash management and debt management, with the State Treasurer serving as principal fiduciary for six state pension and twelve state trust funds. Additionally, the Office enhances the state's fiscal stability through programs promoting financial literacy and college savings, and it leverages business partnerships to support the advancement of Connecticut's social and policy priorities, including combating gun violence and protecting our environment. The Office of the Treasurer is led by State Treasurer Erick Russell, the first Black, out LGBTQ person to win an election for statewide office in American history. To learn more, visit portal.ct.gov/ott.

Contact: Brett Cody
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