The firm summarizes its decision, “the highest quality short-term rating is based upon Moody’s expectation of sufficient projected cash flow for note repayment and sound legal provisions. Moody’s expects that the county will have ample cash balances to repay the notes at their maturity in December 2014.”
“Moody’s has had us under a microscope for years and continue to scrutinize our ongoing efforts to reorganize government, cut expenses and operate efficiently,” said DeKalb interim CEO Lee May. “DeKalb County is serious about fiscal integrity and we will continue to provide Moody’s and other credit rating agencies all of the information they need for their fiscal review.”
Meanwhile, Fitch Ratings assigned a rating of F1+ on DeKalb’s tax anticipation notes. It is the highest credit rating Fitch assigns in this category.
“The board of commissioners has a history of doing whatever it takes to keep DeKalb County’s financial house in order,” said Larry Johnson, presiding officer of commission. “The good news for the people of DeKalb is that this rating affords our taxpayers the lowest interest charges possible thanks to these ratings by Moody’s and Fitch.”
Moody’s maintained its Aa3 rating on the county’s outstanding general obligation unlimited tax-backed and parity debt issued through various public authorities.
The outlook on the general obligation bonds and appropriation-backed debt remains stable. According to the report, the stable outlook acknowledges the county’s improved financial position, which is projected to remain below formal targeted levels through fiscal 2016, and reflects Moody’s expectation that the county’s financial position will continue to improve.