City Earns Upgraded Credit Rating from Standard & Poor’s
June 28, 2018 – S&P Global Ratings has raised the City of Wilsonville’s long-term rating from ‘AA+’ to ‘AAA’ on the City’s existing full faith and credit obligations. The global market intelligence firm notified the City of the newly-amended rating on June 26.
The AAA rating is reflective of many factors cited in S&P’s analysis, including strong budgetary performance and very strong management. The designation signals to potential lenders that the City possesses extremely strong capacity to meet financial commitments.
“The rating action reflects our view of the city’s improved management assessment reflecting the adoption of formalized policies and practices that we consider strong,” the S&P summary report reads. “The rating action also reflects our view of the city’s improved local economy reflecting higher per capita income and overall wealth levels.”
An S&P rating of AAA offers the City much more than an endorsement of its financial management. The superior rating allows the City to pay lower interest rates on future debt service, which saves the City money.
“This is great news in terms of future debt issuances, and for what it says about how the city has managed its finances over time,” City Manager Bryan Cosgrove said. “Credit goes to current and former City Councilors and Budget Committee members, as well as current and former staff members. Wilsonville has a long history of financial prudence, and this ratings upgrade is just one more example of financial excellence.”
Beyond factors cited above, Wilsonville’s achievement of S&P’s highest rating was influenced by these additional criteria cited in the summary report: a very strong economy, very strong budgetary flexibility, very strong liquidity, adequate debt and contingent liability position, and strong institutional framework.
A complete copy of the S&P Global Ratings summary report is available as an attachment.
Earlier this month, Wilsonville received a Certificate of Achievement for Excellence in Financial Reporting for the City’s Comprehensive Annual Financial Report from the Government Finance Officers Association of the United States and Canada (GFOA) for the 21st consecutive year. GFOA has also awarded the City its “Distinguished Budget Presentation Award” for 20 years running.
For more information, contact Cathy Rodocker, Finance Director, 503-570-1524, rodocker@ci.wilsonville.or.us.
S&P Global Ratings is the world’s leading provider of credit ratings with more than 1 million credit ratings outstanding on government, corporate, financial sector and structured finance entities and securities. S&P ratings provide transparency to help educate market participants so they can make decisions with confidence. S&P assesses the factors and trends that affect creditworthiness in 28 countries worldwide.
