I am one member of a five person board. The opinions I express on this forum are mine only, and do not necessarily reflect the views or opinions of the Escambia County Staff, Administrators, Employees, or anyone else associated with Escambia County Florida. I am interested in establishing this blog as a means of additional transparency to the public, outreach to the community, and information dissemination to all who choose to look. Feedback is welcome, but because public participation is equally encouraged, appropriate language and decorum is mandatory.

Saturday, May 13, 2017

What's Escambia County's Credit Rating?

Escambia County is about to Bond $83Million dollars to help re-build our jail.  This requires that investors know what our financial condition is, and this is based upon a specific "rating" from a rating agency.  Moody's investors service examined our books, met with our personnel, and has issued their rating of Escambia County.  Moody's has rated the bonds at Aa3 while affirming the county's Aa2 issuer rating.

What does this mean?  You can read detailed information about this ratings system here if you are so inclined.  We are strong financially, and in a good position to borrow offering low risk to the investors who purchase the bonds.

You can read Moody's complete report on Escambia County here.  This report has a lot of interesting data about the County and the way we have managed debt historically. 

From the Report:

Credit Strengths
» Rebounding tax base with proximity to military bases

» Solid debt service coverage with low outstanding debt

» Strong financial position and reserve levels
Credit Challenges
» Below average wealth and income levels

» Lack of debt service reserve on the current issuance

» Coastal proximity leading to higher risk from storm damage

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