FYI Miami: August 15, 2024

Below are some of the FYIs in this week’s edition. The entire content of this week’s FYIs and Insider sections is available by subscription only. To subscribe click here.

AIR PASSENGERS SOARING HIGHER: Miami International Airport’s passenger traffic in May was up almost 11.3% from May 2023, adding to a more than 11% increase in total passenger traffic for the year from 2023, a year in which the airport set a record for annual passengers. In 2023, the airport served 52.3 million passengers, which was a 3.2% increase from 2022’s prior record of 49.4 million. Through the first five months of this year passenger traffic totaled 24,349,965, and historically the fall-winter holiday season sees passenger peaks. International travel is leading the growth parade, up 12% for the year to date, while domestic passengers have increased by 10.3%. International passengers so far this year account for 43.7% of the total.

MIAMI LAKES GETS UPGRADE: Spurred by strength in payment abilities and the backing the city’s electric utility tax revenue, Miami Lakes has been upgraded this month in its issuer default rating on bonds to ‘AAA’ from ‘AA+’ by Fitch Ratings. Fitch explains that the town of 31,238 residents “irrevocably pledges its electric utility tax revenue” levied on purchase at the maximum rate of 10% to repaying the bonds, with additional backing by a cash-funded debt reserve fund. Fitch notes that about half of the town’s operating budget goes to pay for county fire and police services by contract and is subject to periodic changes in the costs of those services. Fitch also notes the town’s low unemployment rate and strong educational levels, as 40.3% of residents hold a bachelor’s degree or higher.

GABLES GETS HIGHER GRADE: Coral Gables’ capital improvement bonds have just received an upgraded rating from Fitch Ratings, rising to ‘AAA’ from ‘AA+’ based in part on the city’s “very high” taxable values per capita of $465,000, high educational attainment, and low unemployment rates. Fitch praised the city’s consistent practice of funding its pension contributions at levels “notably above the actuarially determined level,” which is “creating downward pressure on carrying costs and improving fiscal flexibility.” The city’s population trend, however, was rated at “weakest” levels, rising slowly year over year from its 48,575 residents in 2022.

GAS PRICES PLUNGE: Average gasoline prices in Miami fell 12.4 cents per gallon in the past week to $3.33, according to GasBuddy. Prices are 20.8 cents lower than a month ago and 40.7 cents lower than a year ago. The national average price fell 3.2 cents in the past week to $3.41, down 11.6 cents from a month ago and 42.5 cents lower than a year ago.