The City of Highland Park has received the Aaa rating from Moody's Investor Services for general obligation bonds issued this week to fund the upgrades to the water treatment plant.
Moody's also reaffirmed this rating on all outstanding debt. The Aaa credit rating is the highest that can be earned by an organization and could result in as much as $500,000 in savings on interest costs, according to the city.
"The Aaa rating is a testament to the sound financial management, conservative decision making, and strategic planning on the part of the City Council and City leadership and staff," said City Manager David Knapp.
The Aaa rating, which has been held by the city for more than 15 years, will assist in reducing the cost of capital projects and enabling the city to spend resources on additional capital projects or enhancements in services.
Rating agencies issue credit ratings for an issuer, such as a local government or corporation, to assist investors in selecting secure investments for their portfolios. Credit ratings represent the future forecast of an organization’s financial stability and like a personal credit score, also determine the rate or cost at which an organization may borrow funds.
Information provided by the City of Highland Park
Read more on Patch:
City Receives Award for Water Treatment Plant
City Breaks Ground on Water Plant Upgrade