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Posted on: August 9, 2019

[ARCHIVED] SPOTSYLVANIA EARNS AAA RATING FROM STANDARD & POOR’S

Spotsylvania, Va. – August 9, 2019 –Spotsylvania County is very pleased to announce that its General Obligationbond rating has been upgraded to AAA by Standard & Poor’s.This is the highest possible rating and comes after many  years of demonstrating strong financial management through adoption of and adherence to fiscal policies; maintaining  ample  fund balance;  ensuring  budgetary  flexibility;  and  sustaining  manageable  debt  levels.    The county also holds a AAA rating with Fitch.

"It's  gratifying  to  have  our  efforts  to  enforce  fiscal  discipline  while  providing  outstanding  services  to  our taxpayers recognized and rewarded,” said Salem Supervisor Dr. Paul Trampe, Chairman of the Spotsylvania County Board of Supervisors.“

The county has been very deliberate in following financial policies and has rightly earned S&P’s AAA rating,’ added Lee Hill Supervisor Gary Skinner, Vice Chairman of the Spotsylvania County Board of Supervisors. “We will continue working towards earning a third AAA rating from Moody’s, so that Spotsylvania has  the highest bond rating from all three independent credit reporting agencies.”

Highlights from S&P’s report: 

  • “We base the upgrade on the county’s long-term history of strong financial operations supported by very strong management policies and practices, including five consecutive years of audited operating surpluses through fiscal 2018.” 
  • “We believe Spotsylvania County’s ongoing developments will help expand the county’s already large and  diverse  tax  base  and  provide  additional  revenue-raising  flexibility,  which  should  help  the  county maintain its long track record of positive financial operations and very strong reserve levels.”-more-
  • “[T]he county’s strong economic base with access  to  the  Washington  D.C.  metropolitan  statistical  area (MSA) supports the county’s very strong creditworthiness.”
  • “The stable outlook reflects S&P Global Ratings’ opinion of the county’s strongperformance  and  very strong  management  conditions.    Furthermore,  the  county  has  successfully  maintained  its  very  strong budgetary flexibility and liquidity despite cash funding a substantial portion of capital needs.  The strong and growing local  economy with access to the  greater Washington, D.C.  MSA provides further stability.  Therefore, we do not expect to lower the rating within the outlook’s two-year period.”

Additionally, Fitch and Moody’s affirmed their ratings of Spotsylvania’s GOs at AAA and Aa1, respectively.  

Once  the  final  ratings  reports  are  received  from  all  three  agencies,  the  full  reports  along  with  excerpts  from  the presentation made by county staff when they visited the rating agencies in New York earlier this month,will be posted to the county’s website.

For further county information:
www.spotsylvania.va.us

Contact:
Michelle McGinnis, Director of Community Engagement
Spotsylvania County Government
Office: (540) 507-7005
Email: [email protected]

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