The City of Columbus received a AAA bond rating from Fitch Credit Ratings, Moody’s Investors Service and S&P’s Global Ratings this week, the highest rating available. The rating means all three agencies consider Columbus to have exceptional credit-worthiness and can easily meet its financial obligations. Columbus is one of a handful of the largest U.S. cities to receive such a rating.
“Receiving a AAA bond rating means the city is able to borrow money at the lowest interest rate in order to finance our capital projects, such as road construction, as well as utility maintenance,” said Mayor Andrew J. Ginther. “I am proud to be a responsible steward of the city’s funds.”
Fitch’s recognized Columbus for its stable and growing economic base in its operating performance. “Conservative budgeting practices, including the bolstering of rainy-day fund and unrestricted special income tax debt service fund reserves, have provided additional fund balance resources that, in conjunction with strong budget controls, position the city exceptionally well to address economic downturns,” Fitch’s wrote in its analysis.
Moody’s named Columbus’ “prudent fiscal policies” as supporting a healthy financial position, and S&P identified “very strong management with strong financial policies and practices” as warranting the bond rating.