Huntsville has solidified its reputation for financial excellence, earning top credit ratings from Moody’s Investors Service and Standard & Poor’s Rating Services. Both agencies awarded the city their highest possible ratings: “Aaa” from Moody’s and “AAA” from S&P. This achievement spans 16 consecutive years under Mayor Tommy Battle, highlights the city’s consistent fiscal strength and disciplined financial management.
Recognized for financial stewardship
“These ratings confirm Huntsville’s economic resilience and sound financial stewardship,” said Mayor Battle. “They reflect the city’s commitment to managing resources responsibly for our residents.” Furthermore, less than 1% of the more than 22,000 rated U.S. cities and counties achieve these prestigious ratings. Consequently, this distinction places Huntsville among the top-performing municipalities in the nation.
Lower risk, higher savings for the city
A high credit rating signals low investment risk, offering significant advantages to the city. For instance, it enables Huntsville to secure lower interest rates on bonds or debt, which results in substantial taxpayer savings. As a result, the city plans to leverage this strength by issuing approximately $300 million in debt over the next few months.
Supporting growth through smart investments
Huntsville’s first debt issuance, totaling $92.8 million, is scheduled for December 5. The funds will support Parks and Recreation facilities and pay off warrants related to Redstone Gateway infrastructure. Additionally, the city will issue $200-$225 million in February to finance school construction, upgrades to the Von Braun Center, and the completion of City Hall. These projects aim to enhance resources and sustain the city’s growth.
Finance Director Penny Smith emphasized the financial benefits of the top credit ratings. She explained that Huntsville could save $1.9 million compared to “AA” ratings or $4.8 million compared to “A” ratings. Thus, these savings highlight the importance of maintaining strong financial practices.
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