(Washington, DC) - District Chief Financial Officer Natwar M. Gandhi today announced that the city has retained its outstanding Standard & Poor’s AAA rating, Moody’s Investors Service’s Aa2 rating and Fitch Ratings AA designation for all income tax-supported bonds. Gandhi also announced that all three rating services have given the bonds a “stable” ratings outlook.
The Office of the Chief Financial Officer (OCFO) plans to offer approximately $270 million in income tax-backed bonds for sale on August 18 through August 19, 2009.
"I must emphasize that the affirmed ratings and stable outlooks are particularly commendable given the widespread strain in the current national economy," said Gandhi in a memo to Mayor Adrian Fenty, City Council Chairman Vincent Gray and Council Finance Committee Chairman Jack Evans. "Many other states and local governments have experienced downgrades including California and Michigan, or a change in outlook to “negative” as The Washington Post reported about New Jersey yesterday," added Gandhi.
The ratings apply to the outstanding $800 million of income tax bonds that were sold last March, as well as the approximately $270 million bonds that are expected to be offered for sale later this month.
To reach as many potential investors as possible, the OCFO recently established a new Web site to supply information about the District's bond offerings: buyDCbonds.com.
Gandhi concluded his memo by noting, "Your responsible and prudent actions on the Budget and Financial Plan will continue to ensure that we achieve the highest ratings possible and maintain the District's sound fiscal position."