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CITY’S STRONG GENERAL OBLIGATION BOND RATINGS AFFIRMED
(Fri., July 8, 2011)—
In addition, both rating agencies affirmed the City’s “Stable” outlook. Moody’s said, “The Aa1 rating primarily reflects the city's sizable economic base, above average resident wealth, and sound financial operations with recently improved reserve levels, as well as manageable debt profile.”
Of particular note, Fitch stated, “The city’s financial position remains sound, with healthy fund balance levels and stable revenues. Property tax receipts have remained relatively stable despite the housing downturn.”
“Unlike many Mainland cities,
“These favorable ratings allow the City to continue borrowing at a lower interest rate, directly benefitting the public we serve by keeping our cost of borrowing as low as possible,” said Michael Hansen, Director of the Department of Budget and Fiscal Services.
The City is moving forward with the sale of approximately $312 million of General Obligation Bonds, Series 2011A&B. The Series 2011A bonds are being issued to finance various capital improvement projects in the City. The Series 2011B refunding bonds are being issued to refinance certain outstanding general obligation bonds for debt service savings. The Series 2011A&B Bonds will be exempt from both federal and State of
A special opportunity is being offered for
Media contact: Louise Kim McCoy, Mayor’s Office, 768-7798.