So there you have it. NY State just listed climate change as a real threat to the value of the State’s bonds. This is alongside other risks like unresolved litigation and potential cuts in federal spending! Here’s a clip from the Environmental Leader article about this:
“The decision by Gov. Andrew Cuomo Administration follows Hurricane Sandy, which caused more than $40 billion in damage in the state after it made landfall last year, according to Bloomberg News. New York may be the first US state to warn investors of the risk caused by climate change, such as rising sea levels, flooding and erosion, the news agency says.”
It goes to reason that other states will soon follow NY’s lead. Of course, there are a lot of concerns with increased hurricanes and sea-level rise, so coastal states are sure to consider this. But, climate change affects us in the middle, too, with increased droughts and mega-snow storms. Perhaps Illinois will be next?