Two top rating services recently assigned high marks to Atlanta’s general obligation bonds.
Moody’s Investors Service and Fitch Ratings gave Atlanta Aa1 and AA+ ratings, respectively, on the city’s general obligation bonds, the city announced last week. The ratings are based on the city’s total issuance of more than $409 million in general obligation debt. The bonds are intended to improve the city’s parks, recreational facilities, public safety facilities, and transportation infrastructure.
The strong credit ratings allow the city to issue bonds at relatively lower interest rates, according to the city. That’s important because these ratings will help ensure lower borrowing costs as the city prepares to issue bonds to implement it’s $750 million infrastructure program.
Atlanta Chief Financial Officer Mohamed Balla said the ratings show how Moody’s and Fitch recognizes City Hall’s success in maintaining liquidity while paying down debt and growing a healthy fund balance to above 25% of its budgeted expenditures.
“With Atlanta’s economy and influence rapidly growing, it is more important than ever for the city to stand on solid financial ground for our shared futures,” said Mayor Andre Dickens.
The ratings are available on the websites for Moody’s and Fitch.
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Credit: Natrice Miller / Natrice.Miller@ajc.com
Credit: Natrice Miller / Natrice.Miller@ajc.com
Dickens and 14 mayors from several Fulton County cities are speaking out against the county’s request for $550 million in sales taxes — a $341 million or 163% increase over what the county would collect under its existing agreement.
Local Option Sales Tax dollars make up 18% of Atlanta’s general fund revenue, and up to 40% of the general fund revenue for other cities, according to the city. When the county denied a proposed 43% increase in what Fulton collects from those taxes, the cities’ negotiators ended discussions with the county on Oct. 7.
Angered by the county’s counter offer, the mayors released a joint statement accusing the county of threatening to let the LOST expire, which would cost the city and county about $4 billion, 40% of which is paid for by people from outside the county.
“We cannot and will not accept a deal that would require draconian cuts to police departments, ambulance services and parks and recreation and/or property tax increases that would hurt residents and our competitiveness,” the mayors’ joint statement said.
The mayors said Fulton cited the growing financial demands of healthcare services and public safety, primarily the overcrowded jail. The offer from the cities would let the county cover healthcare expenses, but the jail is an expense not eligible for LOST revenues, according to the mayors. The mayors also said the county failed to explain why it needs an additional $341 million even though it had enough money to cut millage rates.
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Credit: Steve Schaefer
Credit: Steve Schaefer
Last week, Atlanta City Council members held off on advancing a proposal to study the possibility of turning the Atlanta Medical Center into an equity center. The center would be a place to address homelessness, mental illness and poverty in the community, but the proposal runs counter to keeping a medical facility on the site — which is preferred by the mayor’s office and several council members.
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The Atlanta City Council Public Safety committee recently advanced legislation to add people with a criminal history into the city’s protected class status. Last month, we told you the proposed ordinance relates to the city’s Human Relations Commission, which investigates and hears complaints regarding discrimination in public accommodations, private employment, and housing within Atlanta.
If passed, the measure would expand HRC’s mission to include people with a criminal background. It would also create a protected status for people regardless of their gender expression, which is how a person presents their gender outwardly through behavior, clothing, voice or other characteristics. The ordinance is now before the full council for a vote.
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