- Oklahoma County Clerk Maressa Treat assures the public that a late financial report is a paperwork issue and not a reflection of the county’s creditworthiness.
- The late report, due to staff turnover and outdated systems, caused Moody’s to place the county’s credit rating under review.
- Despite the delay, Treat emphasizes that the county’s financial health and debt profile remain strong.
Oklahoma County’s trouble with Moody’s Ratings is a matter of paperwork, not creditworthiness, County Clerk Maressa Treat told the county’s other elected officials on Friday, pledging to get a late report filed by another extended deadline.
The county’s credit is not at risk, she said, a worry that, as she acknowledged earlier this week, was “panicking people” at the Courthouse Annex, where most county officials and staff have their offices.
The County Budget Board was satisfied with Treat’s explanation, which she gave behind closed doors in executive session. The board took no action on an item described as concerning “pending investigation, claim or action” regarding the county’s overdue annual comprehensive report for fiscal year 2022-23.
The report is “an essential tool for assessing a government body’s financial health, budgeting practices, and economic outlook,” according to the clerk’s office.
More:Another missed Moody’s Ratings deadline puts OK County credit, jail funding at risk
OK County Clerk says county’s credit not actually at risk for late Moody’s filing
A missed report could cause Moody’s, formerly Moody’s Investors Service, to dock the county’s credit ratings, resulting in the county paying higher interest rates on bonded debt, including more than $200,000 of the $260,000 in debt authorized by voters in 2022 for a new county jail and other debits.
Treat told reporters earlier this week: “While a lack of sufficient, current financial information can lead Moody’s to take action, including the withdrawal of the issuers’ ratings, no action has been taken to date.”
However, Moody’s did notify the county last week that it had changed one of the county’s credit ratings from NOO, for “no outlook,” to RUR, for “rating under review,” and another one from Aa1 to “Uncertain.”
Treat said Moody’s gave her office until March to submit the annual report, audited by State Auditor & Inspector Cindy Byrd’s office.
“The clerk has assured us that she is confident that she can obtain this information needed by the state auditor in time for the deadline set by Moody’s,” said Commissioner Brian Maughan, who represents District 2. “The entire Budget Board has pledged to work with her and assist in any kind of expeditious way that we can, and her staff is working diligently to provide the information.”
The board, in addition to Maughan, includes District 3 Commissioner and Board Chairman Myles Davidson, Assessor Larry Stein, Treasurer Forrest “Butch” Freeman, Court Clerk Rick Warren and Sheriff Tommie Johnson III. The board creates and approves the county budget.
“I have full faith” that Treat will get the 115-page document to Moody’s “in the next 52 days,” Davidson said.
OK County Clerk: Retired finance staff left office in a mess
What Treat told the board in executive session presumably included information from a handout given to reporters earlier this week.
“It is important to consider the circumstances that led to this unfortunate delay,” according to the handout. “Maressa Treat took office in April 2023, in the waning months of (fiscal year) 2023. In the time leading to her tenure, all three finance staff members, including the division director, retired within thirteen months.
“When these employees separated from Oklahoma County, they took with them a combined 90 years of county finance experience and critical knowledge without leaving intelligible instructions for their successors.”
Treat said her staff is working with accountants and the state auditor’s office while also working to update an outdated system.
“These challenges are not a reflection of Oklahoma County’s commitment to fiscal responsibility,” she said. “It is important to note that the economic condition, debt profile and other underlying credit factors of Oklahoma County have not changed.
“This is a logistical issue, not a credit issue and it will be resolved.”
Staff writer Richard Mize covers Oklahoma County government and the city of Edmond. He previously covered housing, commercial real estate and related topics for the newspaper and Oklahoman.com, starting in 1999. Contact him at rmize@oklahoman.com.
