The City of Rochester has maintained its excellent bond ratings, saving taxpayers thousands of dollars each year, Mayor Lovely A. Warren announced today.
“These bond ratings demonstrate that Rochester continues to be a good investment,” said Mayor Warren. “Our bond ratings reflect sound financial practices within the City government, the value of the city’s tax base and other positive economic indicators. This is a clear indication that our efforts to create more jobs, safer, more vibrant neighborhoods and better educational opportunities in our city are working.”
A bond rating has the same purpose as an individual’s credit rating – an indicator of good fiscal management. A strong rating means the City gets lower interest rates on bonds, which fund long-term efforts such as infrastructure projects.
S&P assigned an AA- rating to the City’s sale of $70.9 million in General Obligation bonds for long-term debt. Moody’s assigned an Aa3 rating on the $70.9 million General Obligation bonds for long-term debt and a MIG1 rating for a $41 million sale of bond anticipation notes for short-term debt. Both services maintained Rochester’s stable fiscal outlook.
With these ratings, Rochester has the highest bond rating among New York State’s largest cities outside New York City. Both services said the ratings could be upgraded if Rochester’s underlying economy continues to grow.
Moody’s noted that with strong budget management and conservative budgeting the bond ratings will remain strong.