A drought in South Texas caused Moody’s Ratings to downgrade the city of Corpus Christi, which projects demand for water will outpace supply by the spring of 2027.
The ratings company lowered the city of roughly 320,000 people to A1 from Aa2 and also cut its utility revenue bond rating to A1 from Aa3. The Gulf Coast municipality roughly 400 miles (640 kilometers) south of Dallas has about $2 billion in debt outstanding.