MOODY’S UPGRADES WILLIAMSON COUNTY (TN) TO AAA BOND RATING
January 12, 2009 by Truman Bean
Filed under Economy, Taxes
I just heard this on 950 WAKM’s noon news update….Good news for Williamson County government and its citizens. Kudos go to those Williamson officials practicing fiscal restraint when other municipalities, state, and federal governments have forgotten the concept.
MOODY’S UPGRADES WILLIAMSON COUNTY (TN) TO Aaa FROM Aa1, AFFECTING $461.79 MILLION IN PARITY DEBT
ASSIGNS Aaa RATING TO COUNTY’S (TN) $37.82 MILLION IN G.O.-BACKED 2008 BOND ISSUE
Moody’s Investors Service has assigned Aaa ratings to Williamson County’s (TN) $11.1 million General Obligation Bonds, Series 2008, $19.36 million County District School Bonds, Series 2008, and $7.36 million Hospital Revenue and Tax Refunding Bonds, Series 2008. Concurrently, Moody’s has upgraded to Aaa from Aa1 the rating on $423.97 million of previously-issued parity debt. The General Obligation
Bonds are secured by the County’s unlimited property taxes pledge and proceeds will finance various school and other county public works projects. The School Bonds are secured by an unlimited property tax pledge on all county taxable property with the exception of property within the territorial limits of the Franklin Special School District (rated Aa2), and proceeds will finance the construction of school buildings.
The Hospital Revenue and Tax Bonds are secured first by the net revenues of the Williamson Medical Center and, in the event of insufficiency of funds, secured by an unlimited general obligation pledge of the county’s taxable property; proceeds will refund the county’s Series 1997 hospital bonds for a net present
value savings of 3.9% of refunded principal without extension of maturity. The upgrade to Moody’s highest quality rating is based on the County’s very strong and growing economy characterized by very high socioeconomic indices and continuing significant tax base growth, strong financial operations, and a manageable debt position.
