IMMIGRATION

S&P: Sanctuary cities won't see ratings dip with Trump order

A major rating agency says if sanctuary communities that refuse to cooperate with immigration authorities lose federal funds under President Donald Trump's executive order, their credit ratings aren't likely to change.

Standard & Poor's issued a report Thursday examining the financial health of more than 100 cities and counties that call themselves sanctuaries.

S&P says if Trump were to follow through on the threat to withhold certain funds, credit ratings would likely remain "largely unchanged." That's because the type of grants in question don't make up large parts of the municipalities' budgets.

The agency's report is also skeptical of Trump's authority to withhold funds, saying federal law and legal precedent limit him. The order already faces court challenges.

Attorney General Jeff Sessions issued fresh warnings to sanctuary cities this week.