City of Peoria Press Release
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Peoria’s Revenue Bond Rating Upgraded
City Will Save $170,000 in Interest on Future Revenue Bonds
PEORIA, Ariz. (Sept. 10, 2007) – Based upon the city’s continued strong
financial performance, Peoria’s water and sewer revenue bonds have been upgraded
for the third time in three years.
The bond rating upgrade will allow the city to save significant amounts of money
on interest over time. This upgrade will provide savings in debt service of
about 1.7 percent or approximately $170,000 for every $10 million in future
revenue bonds issued by the city.
Fitch Ratings upgraded the city’s water and sewer revenue bonds to “AA-” from
“A+”. According to the review, the upgrade reflects Peoria’s “extensive
monitoring, reporting and forecasting practices, as well as sufficient long-term
water supplies.” Fitch also cited efficient management of Peoria’s water and
sewer systems and affordable user charges as additional factors contributing to
the ratings upgrade.
This is the second rating increase the city has received this year for its
revenue bonds. In February, Standard & Poor’s also upgraded Peoria’s outstanding
revenue bonds from “A+” to “AA-“ citing the city’s sound financial performance
and strong fiscal policies.
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Media Contact: Brent Mattingly, Chief Finance Officer,
Sherine Zaya, Public Information Officer, 623-773-7338