Maricopa County continues to hold a AAA bond rating by the three major credit rating agencies for its continual economic growth and strong financial operation.
The credit rating agency, Moody’s Investor Service, acknowledges the county’s stable outlook in supporting tax revenue growth and tax base appreciation. A strong credit rating will allow county bonds to issue lower interest rates and provide financial flexibility, according to a release.
“I’m committed to spending within our means, smarter investing, and budgeting for the unexpected,” Maricopa County Board of Supervisors Chairman Clint Hickman, District 4, said in the release. “The board will continue to support taxpayers by providing financial stability and staying within our mandates.”
All three credit agencies --- Fitch, Moody’s and S&P --- mentioned the county’s economic development growth, strong financial management, and consistent liquidity in assigning Maricopa County the highest possible bond ratings. Fitch noted Maricopa County’s “large and fairly diverse regional economy continues to record gains in population, jobs, and income levels,” the release states.
“The county continues to create more with less tax dollars," Mr. Hickman said in the release. “That’s how a resourceful government operates.”
Fitch Ratings, Moody’s Investor Service and S&P Global issue two separate ratings to government entities such as Maricopa County.
The long-term Issuer Default Rating applies to situations in which the county is considering voter-approved, general obligation, or debt. Maricopa County’s IDR is AAA, the highest possible, the release states.
The second rating covers the Certificates of Participation. These are annually appropriated county debt. Maricopa County had $140 million COP’s, series 2020, and was rated AA+, the highest possible COP rating. The county’s long-term debt remains consistently low as compared to other government agencies.