For the 13th year in a row, both Standard & Poor’s and Moody’s credit rating agencies have reaffirmed Richardson’s “Triple A” status, the highest possible rating available for credit worthiness. Richardson has held AAA status from Standard & Poor’s for 15 years now, and this is the 13th year in a row the City has received an Aaa rating from Moody’s.
“As a City, we are very proud to receive the highest ratings once again from both Standard & Poor’s and Moody’s,” said Richardson Mayor Paul Voelker. “Due to COVID-19, the last few years have been challenging, but we have remained focused on our core services. This focus has led to our strong financial position, which coupled with our fiscal management policies, has allowed us to maintain a high level of service for our residents and business owners.”
“Our City team is committed to prudent fiscal policy on a daily basis,” said Richardson City Manager Don Magner. “We have tenured financial, accounting and budget teams that ensure we adhere to the best practices when spending or investing tax dollars in programs, projects and services, and I am proud of them for the work they do every day that has helped us once again attain this reaffirmation of our rating from both agencies our rating agencies.”
Standard & Poor’s Rationale
In its rationale, Standard & Poor’s explained Richardson’s “Triple A” rating was partially based on the long-term underlying strength of the local economy and presence of large area employers. The rating also reflected Richardson’s ability to attract and retain a, “deep pool of skilled labor” thanks in part to the presence of the University of Texas at Dallas. In its release, S&P said, “These favorable conditions, coupled with strong management practices, have allowed the city to post general fund surpluses since fiscal 2010.”
Moody’s Rationale
In its rationale, Moody’s said, the rating reflects the City’s “large and affluent base that is anchored by a sizeable business district with a large job center in the Dallas metropolitan area. The city's economy is further stabilized by institutional presence afforded by the University of Texas at Dallas.” Moody’s also noted that Richardson has “solid financial management with a long and established history of strong operating performance contributing to favorable reserves.”
2022 Bond Sale
This year, the City plans to sell approximately $29.7 million in General Obligation Refunding and Improvement bonds, as well as $15.6 million in Combination Tax and Revenue Certificates of Obligation. The sale will provide funds for projects approved by voters in the 2021 Bond Program as well as short- and long-term capital expenses, including fire and solid waste equipment and water and sewer infrastructure.
About the City of Richardson
The City of Richardson is widely recognized for its commitment to excellence, its rich history and its bright future, all of which make Richardson a smart choice for residents and businesses. Known globally for its high-tech business leadership, the City of Richardson also offers a high quality of life, diverse array of neighborhoods, convenient Metroplex location, multi-modal transportation infrastructure and outstanding City services. Richardson has been repeatedly recognized as one of the top places to live and work by the national media, and the City remains dedicated to continuous improvement, as well as to the principles of open government and two-way communications with residents. To learn more, visit www.cor.net.
