The City of Carrollton is riding high on fiscal responsibility, scoring the top 'AAA' ratings for its general obligation and revenue bonds from credit bigwigs Fitch Ratings, Inc. and S&P Global Ratings. The city's financial prowess shines through with $32.54 million in general obligation (GO) improvement and refunding bonds, and a stable $190.5 million in outstanding GO bonds each clinching a 'AAA/Stable' seal.
In a recent triumph for the city, $8.5 million in wastewater and sewer system revenue bonds, alongside $7.1 million in outstanding waterworks and sewer system revenue bonds were also granted 'AAA/Stable' ratings. However, these achievements aren't just numbers on a page, they're a testament to the City's teamwork – from elected officials to the City’s Finance Department, said Carrollton's CFO Diana Vaughn, as reported by the City of Carrollton, Texas.
Not shying away from giving credit where it's due, Vaughn attributes the success of Carrollton's wastewater, and sewer system revenue bonds to the combined efforts of the public works, engineering, and utility customer service departments. The city relies on Dallas Water Utilities (DWU) and Trinity River Authority (TRA) for its treated water and wastewater treatment services, respectively.
Funds from the revenue bonds are earmarked for utility system enhancements including upgrades, system maintenance, and cost of issuance. As Mayor Steve Babick explained, Carrollton's financial strength is built on solid ground, with the City Council keeping a keen eye on budgetary status reports and quarterly investment reports supplied by city management, paving the way for future growth despite recent economic challenges.
Both Fitch and S&P Global are bullish about Carrollton's economic vitality, pointing to the city's low unemployment, educational achievements, and household income – all indicators that surpass the median levels found in Fitch's local government portfolio. With Carrollton's GO debt flying higher than the sovereign, it's clear that these rating agencies believe the city can maintain a superior credit profile, come hell or high water, thanks to its financial flexibility.
It's not just about the present either, Carrollton has its sights set on a prosperous future. With the DART Silver Line Regional Rail set to be operational by mid-2026, the city is on track to becoming a nexus of connectivity in the DFW Metroplex. This promising development, along with numerous residential and commercial projects, signals a robust phase of growth for Carrollton, indicating that it's a city steadfastly moving forward on the right financial track.
