The city of El Monte has announced that S&P Global Ratings, a credit ratings agency, hasaffirmed the city’s bond rating at A+ and its long-term rating on the city’s appropriationobligations at A, officials said.
City Manager Alma Martinez said the rating is significant for the city, as it signals the city’s creditworthiness and what she said were sound financial management practices.
Officials noted that the affirmation of the A+ ratings, announced Feb. 21, is a “notable improvement” from previous ratings.
S&P Global Ratings highlighted several credit strengths, including healthy available reserves anda manageable long-term liability profile.
The report also noted that El Monte’s economic base is expected to grow, driven by ongoing development in the region, according to the city.
“Achieving an A+ bond rating is a tremendous milestone for the City of El Monte, ” Martinez said. “It underscoresour commitment to fiscal responsibility and positions us to take advantage of lower borrowingcosts, which will ultimately benefit our residents through enhanced public services andinfrastructure improvements.
This rating reflects the hard work of our dedicated staff and thecollaborative efforts of the City Council in steering our city toward a prosperous future.”
The A+ bond rating is not unlike a really good credit rating. It allows the city to borrow at lower interest rates.
