Moody’s Investors Service assigned a bond rating of AAA, the highest possible rating an entity can receive, to Douglas County with a stable outlook. The county first received this rating in November 2020.
According to an April 1 Moody’s news release, the rating reflects the county’s maintenance of stable financial operations and strong operating reserves coupled with low debt and pension burdens. The rating also incorporates the large and growing tax base with above average resident income that is supported by the institutional presence of the University of Kansas.
Moody’s stable outlook reflects its expectation that the county’s conservative budgeting practices, strong underlying economy and lack of near term debt issuance plans will maintain the strong credit fundamentals inherent in the AAA rating.
The AAA rating allows the county to issue bonds at the lowest possible interest rate, which saves millions of dollars for county taxpayers in long-term public investments. The bond ratings help determine the ease with which the county can borrow money and the interest rates it pays.
“This rating speaks to our responsible fiscal management and the strength of our local economy,” County Administrator Sarah Plinsky said.