The city of Tacoma announced this week that Fitch Ratings has approved an upward revision to the city’s Limited Tax General Obligation Bond (LTGO) rating from “A” to “A+” to mirror the city’s Unlimited Tax General Obligation (UTGO) rating of “A+”.
“This is excellent news for the city, and I am pleased that the rating agencies and bond markets are optimistic about Tacoma and its solid financial footing,” Tacoma Mayor Marilyn Strickland stated in a release late Tuesday afternoon.
“The city is dedicated to prudent financial management and budgetary practices,” stated City Manager T.C. Broadnax. “Higher ratings mean lower costs to the citizens and taxpayers the next time the city goes to the bond market.”
The upward revision in the LTGO rating comes from Fitch’s revised U.S. Tax Supported Rating Criteria, in which an issuing agency’s LTGO and UTGO ratings are equivalent to its newly-assigned issuer default rating (IDR).
The city’s rating outlook remains positive.
C.R. Roberts: 253-597-8535