City of Reno recently issued the following announcement.
Reno Mayor Hillary Schieve today announced Standard & Poor’s (S&P) Global Rating agency upgraded the City of Reno’s underlying rating from A+ to AA- with a stable outlook.
The long-term rating went up one level and is a result of the City's good economic and reserve growth over the past several years. The last rating upgrade for these bonds was in March 2018 when the rating went up two levels from A- to A+.
“Fiscal sustainability is a top priority for the Reno City Council,” said Reno Mayor Hillary Schieve. “The pandemic showed us the need for a broad and diverse economy. Thankfully, Reno is supported by both a thriving tourism and gaming scene, plus growing investments in the manufacturing and high-tech sectors, making our financial outlook incredibly strong.”
“I want to acknowledge Deborah Lauchner, Finance Director at the City of Reno, and our entire finance team for helping Reno earn this prestigious S&P rating,” said Reno City Manager Doug Thornley. “Not only does this notable upgrade demonstrate the team’s efforts to make our City more fiscally responsible, but it highlights their financial planning efforts for long-term success.”
The S&P report highlights Reno’s “growing local tax base and correlated operating revenue in the past several years, allowing the city to build up its general fund assigned and unassigned reserves…. [S&P] believes that the city’s very strong reserve and liquidity positions helped offset the loss of revenue in fiscal years 2020 and 2021.”
The AA- rating is defined as high-quality bonds by all standards with strong capacity to pay principal and interest. For more information on the S&P Global Rating, visit their website.
Original source can be found here.
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