Standard and Poor’s raises city’s bond ratings

The city has announced that two of its bond ratings have been raised from AA- to AA by Standard and Poor’s, meaning the potential for reduced interest costs for the city’s debt obligations.

As of Jan. 9, the city’s judgment obligation bonds and lease for revenue bonds were raised as a result of good financial practices. The AA level is described as “a very strong capacity to meet financial commitments.“

“Not having any investment losses due to credit quality and maintaining liquidity in light of the recent credit market stress was an important factor in receiving the upgrade ratings,” City Treasurer Shari Freidenrich said.

Standard and Poor’s, one of the world’s most prominent credit rating organizations, was impressed by the city’s increasing reserves and said it expects the city “will continue to maintain strong available reserves in the context of the potential for the current recession” through conservative fiscal policies.

— Candice Baker