Albemarle County’s Aaa credit rating affirmed by Moody’s, S&P Global, Fitch
Moody’s Investors Service, S&P Global and Fitch Ratings have all affirmed Albemarle County’s Aaa/AAA/AAA issuer credit ratings.
“The credit rating process is an evaluation of the County’s financial management by the top three independent credit rating agencies internationally. Our ‘Triple Triple A’ rating affirms the quality of the organization and the broader strength and stability of our local economy,” shared Ned Gallaway, chair of the Albemarle County Board of Supervisors.
Albemarle County is one of only approximately 50 counties in the United States to achieve this designation and one of only 10 in Virginia.
“A locality’s credit rating is an assessment of the risk to an investor in purchasing bonds issued by that locality. The stronger the credit rating, the lower the interest rate – meaning the debt service that Albemarle County pays will be lower, generating real cost savings for taxpayers” Albemarle County Chief Financial Officer Nelsie Birch said. “We experienced those cost savings with our most recent debt issues. Due to low interest rates and the county’s Triple Triple A credit rating, these bonds were priced with interest rates and lower borrowing requirements – below what we our team has modeled into our financial forecasts and annual budget. Over the 20-year-life of the debt service, the county will save over $42.6 million.”
On June 24, Albemarle County issued $57.7 million in public facility revenue bonds to finance the capital program. On that same day, Albemarle County refinanced approximately $20.4 million of outstanding debt netting a savings of approximately $2.5 million.
The public facility revenue bonds will finance approved capital projects, including Red Hill, Scottsville, and Crozet Elementary Schools additions, School division-wide maintenance and improvement projects, Fire Rescue apparatus replacements, and IT/telecommunications upgrades.