 Superior Financial Ratings Reaffirmed for 2010
Moody’s Investors Services and Standard & Poor’s, two world-renowned financial rating firms, have reaffirmed the City of Irving’s superior financial ratings for 2010.
Moody’s Investors Services assigned a ‘Aaa’ rating to the city’s general obligation bonds. Standard & Poor’s offered its ‘AAA’ rating to the city’s general obligation bonds.
“We’re a rock-solid, financially stable community, and we’re one of only two cities in Texas to receive a triple-A rating from both Moody’s and Standard & Poor’s,” said Bret Starr, assistant chief financial officer. “This shows that we are a cut above the other cities in Texas as far as financial stability ratings.”
Irving has earned top ratings for its general obligation bonds from both agencies annually since 1996—a claim that can only be made by a handful of cities nationwide. According to Moody’s rating committee, “Assignment and affirmation of the ‘Aaa’ rating reflects a sizeable and diverse tax base, healthy financial operations and manageable debt profile with planned future borrowing.” Irving’s deep and diverse economy, along with conservative and sophisticated financial management policies, helped contribute to the superior rating received from Standard & Poor’s.
“Residents should be proud of their contribution to this achievement, because they designed the city’s programs and the processes,” said Councilman Joe Philipp, chairman of the council’s Audit and Finance Committee. “We manage the money closely and tightly to again retain the triple-A ratings.”
Like a good credit score, receiving top ratings from these organizations allows the city to save money by receiving the lowest possible interest rates when selling bonds for capital improvement projects. Funds from general obligation bonds are used to support city streets, libraries, parks and overall economic development.
“Considering the economic times we are in, our strong financial ratings are important. There is much demand for the high quality we take to the market when we issue debt,” said Max Duplant, chief financial officer. “Achieving high ratings will help maintain one of the most advantageous tax rates for residents and businesses—and that’s something everyone can be happy about.”
Updated Feb.9 |
