Waterloo Receives High Quality Bond Rating for 10th Consecutive Year
City of Waterloo Chief Financial Officer Michelle Weidner has received notification from Moody’s stating they have maintained the City’s bond rating at Aa2 for the general obligation bond issues being sold this fiscal year, as well as for all other outstanding general obligation bonds. This designation maintains the City’s bonds in the medium range of the high quality category for the 10th consecutive year.
“A City’s bond rating is in essence, it’s credit score,” explains Weidner. “It is used by potential investors to determine the risk taken when investing in City bonds. The City can expect lower interest rates for bonds sold because of the high quality category.”
The Moody’s report states, “the Aa2 rating reflects the city’s role as an employment and population hub in eastern Iowa that supports its stable tax base and sound financial profile. The rating also reflects the city’s above average debt and pension burden.” According to the report, Waterloo’s credit strengths include being the regional economic center in eastern Iowa with a diverse tax base, and sound financial management that has resulted in stable operating history and maintenance of healthy reserves.
The Moody’s report also states, “the city’s management team has a history of positive budget to actual variances for both operating revenues and expenditures.”
“Waterloo continues to be an incredible value,” says Mayor Hart. “It takes the dedication and tireless attention of every city department to achieve and maintain this excellent rating.”
Questions about the Moody’s report can be directed to Michelle Weidner, CFO at Michelle.Weidner@Waterloo-IA.org or by calling 319-291-4323. A Citizens Guide to City Finance is available on the City website at WWW.CityofWaterlooIowa.com under the Finance Department tab.
Contact: Wendy Bowman, Communications Director