TALLAHASSEE, Fla. — The city of Tallahassee has again earned a strong AA+ credit rating from Fitch Ratings, a sign of continued confidence in the city\u2019s financial management and long-term stability.<\/p>\n
Fitch, one of the nation\u2019s leading independent credit rating agencies, affirmed Tallahassee\u2019s AA+ ratings on its bond programs and maintained a stable outlook. The rating reflects the city\u2019s financial practices and aligns with the city\u2019s Strategic Plan.<\/p>\n
A strong AA+ rating can help Tallahassee borrow at more favorable interest rates, lowering costs tied to infrastructure and capital improvement projects, including transportation network improvements. The rating also signals to investors that the city has an exceptionally strong capacity to meet its financial obligations, which can broaden the pool of potential investors and strengthen demand for its bond offerings. City officials say those financial practices support the reliable delivery of municipal services that contribute to residents\u2019 quality of life.<\/p>\n
Fitch\u2019s review of Tallahassee\u2019s creditworthiness included an assessment of financial strength, economic fundamentals, governance, debt profile and long-term resilience, along with factors such as economic diversity, revenue flexibility and the regulatory environment for municipal finance.<\/p>\n
In its most recent report, Fitch affirmed AA+ ratings for both the city\u2019s Issuer Default Rating and its capital bonds. Fitch also assigned Tallahassee its highest possible \u201caaa\u201d assessment for the Financial Resilience component, citing strong revenue control, budgetary flexibility, a commitment to maintaining healthy reserves and the ability to remain resilient through changing economic conditions.<\/p>\n
Fitch noted the city\u2019s liability metrics are expected to improve as debt continues to amortize and the city\u2019s resource base grows. The report also cited strong Maximum Annual Debt Service coverage, and said that even after planned debt issuances, projected debt service coverage remains about twice the minimum threshold associated with the AA+ rating.<\/p>\n
The city\u2019s Model Implied Rating was 9.76 out of 10.0, placing it at the upper end of Fitch\u2019s AA+ rating range.<\/p>\n
City leaders say continued disciplined financial stewardship, paired with strategic economic development aimed at broadening the economic base, attracting high-wage industries, increasing household incomes and supporting sustainable population growth, will help strengthen the fundamentals behind the AA+ rating over the long term.<\/p>\n
More information is available at Talgov.com.<\/p>\n","protected":false},"excerpt":{"rendered":"TALLAHASSEE, Fla. — The city of Tallahassee has again earned a strong AA+ credit rating from Fitch Ratings,…\n","protected":false},"author":2,"featured_media":365514,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[232,234,233],"class_list":["post-365513","post","type-post","status-publish","format-standard","has-post-thumbnail","category-tallahassee","tag-tallahassee","tag-tallahassee-headlines","tag-tallahassee-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/posts\/365513","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/comments?post=365513"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/posts\/365513\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/media\/365514"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/media?parent=365513"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/categories?post=365513"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-fl\/wp-json\/wp\/v2\/tags?post=365513"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}