CITY RECEIVES UPGRADE IN
RECENT RATINGS AGENCY REPORTS
The City of Tucson has again received high ratings from the leading credit rating agencies after a recently requested review of the City’s credit related to the issuance of General Obligation Bonds, Water Revenue Obligations, and existing Certificates of Participation. The high ratings assigned to the City will allow the organization to secure low interest rates associated with the sale of bonds.
Most significantly, Moody's Investment Service has maintained the City's credit rating and improved the outlook from "stable" to "positive."
Moody's stated that "The positive outlook on the City reflects the expectation that the City's economy will grow supported by new developments and that its financial position will remain sound, supported by management's demonstrated ability to make timely budgetary adjustments as necessary to maintain financial flexibility."
“We are pleased with Moody’s announcement to upgrade the City’s outlook to positive,” said Assistant City Manager and Chief Financial Officer Anna Rosenberry. “It recognizes our strong economic growth and sound financial management in Tucson. It also ensures that we can continue to successfully implement the voter- approved Tucson Delivers Prop 407 bond projects with the knowledge that our interest costs are as low as possible for taxpayers.”
“Thanks to the Mayor and Council’s ongoing commitment to sustainable development and proactive fiscal management, the bond ratings agencies continue to see the City of Tucson as a sound investment” said City Manager Tim Thomure.
 High ratings allow the organization to secure the lowest possible interest rates when issuing and selling bonds. Bonds and Certificates of Participation are how the City finances the majority of capital improvements, like those approved by voters when they passed Tucson Delivers Prop 407 Parks + Connections.
Low interest rates help to ensure that current and future taxpayers will pay as little as possible for debt incurred to finance long-term improvements and that the debt service required will not damage the organization’s ability to provide the essential City services expected by the community.
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