Moody’s upgrades to Aa1 Rating City of Murfreesboro General Obligation debt
Moody’s Investors Service has assigned an Aa1 rating to the City of Murfreesboro $79 million General Obligation Bonds, Series 2016. Concurrently, Moody’s has upgraded all the City’s similar General Obligation debt and has upgraded the City’s issuer rating to Aa1 from Aa2. For Moody’s detailed rating action, visit https://www.moodys.com/research/Moodys-upgrades-to-Aa1-Murfreesboro-TNs-GO-debt–PR_903192913.
“The ratings upgrade speaks to the strong financial position of the City,” said City Manager Rob Lyons. “There are 18 possible ratings and the City is at the 17th highest level. We believe this rating can result in lower interest costs on the City’s bond issue.”
Lyons added, “City Council adopted a set of financial policies that guides budgetary and debt decisions. The City Manager’s Office and Finance Department manage the City’s finances within these guidelines. The combination of strong policy leadership by the Mayor and Council, along with an excellent staff team has helped put the City in position for the ratings upgrade.”
In upgrading the City of Murfreesboro, Moody’s Investors Service stated:
“The Aa1 rating reflects the City’s large sized growing tax base benefiting from its proximity to the Nashville metro region, the well-managed financial position with ample reserves and liquidity supported by strong budgetary controls, and above average debt levels that we expect to remain manageable given well-developed debt plans and prudent policies.”
Moody’s listed credit strengths that include the following:
• Favorably located within Nashville MSA.
• Large tax base experiencing moderate growth.
• Strong management with prudent controls and policies.
• Large institutional presence provides tax base stability.
For more information, contact Edna R. Marinelarena, Lead Analyst, Moody’s Investment Services, at [email protected] (212) 553-0376 or Gregory W. Lipitz at [email protected].
For City News online, visit www.Murfreesborotn.gov.
