03-07-2016 | Office of the Comptroller
Rating Reflects View of City’s General Creditworthiness
The Standard & Poor's Ratings Services, one of the nation's leading credit rating agencies, assigned its 'A+' rating on Feb. 17, to the city's series 2016 general obligation (GO) refunding bonds. It also affirmed the 'A+' rating on the city's outstanding GO bonds, and the 'A' rating on its appropriation debt, with a stable outlook for both ratings.
Standard & Poor's notes the following: "The stable outlook reflects our view of St. Louis' very strong liquidity and strong management ... The depth and stability of the metropolitan area's economy supports the stable outlook." It further states that the city's creditworthiness is based on "strong management, with 'good' financial policies and practices under our Financial Management Assessment methodology."
"Through conservative fiscal policies and responsible oversight, we have been able to maintain an 'A+' credit rating with Standard &Poor's since 2008," said St. Louis Comptroller Darlene Green. "We work diligently to position St. Louis as an attractive community in which to live and work;and where businesses thrive."
A city's credit rating is similar to a person's credit score. A high rating, like the city of St. Louis', makes issuing bonds and borrowing money less expensive. It also helps attract public and private investment because it assures potential investors the city can pay its bills and continue providing vital city services at a high level.