Standard & Poor’s Ratings Services raised its rating on all of the city of Spring Hill’s outstanding debt, including the general obligation (GO) bond debt, up to ‘A-plus’ from its prior rating of ‘A’.
The improved rating is a testament to Spring Hill’s financial management as well as a revision of S&P’s rating criteria.
“Along with indicating that the city is a good steward of public monies, this ‘A-plus’ bond rating for debt issuance will allow for lower interest rate bids in the future,” city finance director Melanie Landis said. “Depending on the size of future projects, this could represent major savings over time, decreasing our total debt service.”
The city will receive a framed certificate in a formal presentation during the Dec. 12 city council meeting. Officials anticipate the rating will remain unchanged over the next two years as the city’s debt profile forecast is not likely to change significantly.