McKINNEY, Texas (July 21, 2020) – The City of McKinney has again received the highest ratings issued from two major credit rating agencies for its general obligation (GO) bonds. The city earned ratings of Aaa from Moody’s and AAA from Standard & Poor’s. The city also earned a rating of Aa1 from Moody’s for its water and wastewater utilities system.
Standard & Poor’s assigned its AAA long-term rating to the city’s series 2020 general obligation (GO) bonds and affirmed its AAA rating on the city’s existing GO bonds and certificates of obligation.
“Because of the economic uncertainty caused by the pandemic, we are pleased that S&P and Moody’s have affirmed our AAA ratings,” said City Manager Paul Grimes. “Our City Council remains committed to their goal of a fiscally sound government and these low interest rates allow us to save taxpayers money while delivering the high-quality services and facilities required by our growing city despite the challenges we are facing right now due to COVID-19.”
Moody’s said the rating reflects the city’s large tax base with elevated wealth levels that continues to expand due to rapid population growth. The Aaa also reflects strong fiscal management and long-term forecasting that has led to stable financial performance and very strong reserve levels.
McKinney received a rating of AA+ with an outlook of stable from Standard & Poor’s for its water and wastewater utilities system.