The city of Nixa's credit and bond ratings were recently upgraded after a review by Moody's Investor Service.
The upgrade in credit rating reflects the overall financial status of the municipal government. Better credit and bond ratings mean more opportunity for lower interest rates as the city pays its debts, saving tax-payer dollars and further-improving the organization's financial health.
According to press releases from Moody's, they upgraded the city's issuer rating to Aa2 from Aa3 on July 18, 2019. At the same time, Moody's upgraded the city's lease appropriation debt rating to Aa3 from A1.
The new ratings, “reflect the city’s history of surplus operations resulting in very strong reserves. The rating also reflects the city’s low debt burden, management pension burden and growing, albeit modestly sized, tax base,” according to a Moody’s report.
Nixa has about $2 million in outstanding debt.
Moody's upgraded the City of Nixa's Waterworks and Sewer System Revenue Bonds to Aa2 from A1.
Moody’s found that Nixa’s water and sewer system has a “growing customer base” with “strong and improving debt service coverage and liquidity.” The utility system has $3.8 million in outstanding debt that is impacted by the new rating for Nixa’s revenue bonds.