Moody’s Investors Services recently upgraded Wayne County’s rating to the status of A1, giving the County a ‘High grade” rating. Moody’s projected outlook for the County has been increased to stable from positive.
The ratings upgrade moves the County from an A3, considered Upper Medium Grade. Moody’s ratings assess the creditworthiness of governmental entities including states, cities, and counties and takes into consideration how funding post-employment obligations, such as pensions and Other PostEmployment Benefits, will impact future financial standing.
In 2015, Wayne County’s Moody’s rating stood at a Ba3, a ‘non-investment grade speculative.’ The county has seen steady improvement in ratings since 2016. This is the highest ratings the county has seen since 2010.
“It’s no secret that before I was elected, the County was on the brink of bankruptcy,” said Wayne County Executive Warren C. Evans. “I am pleased that under my leadership and thanks to the hardworking team in our Department of Management and Budget, we have managed to turn things around and get the County back on solid financial footing. My team is committed to continuing this positive momentum and positioning Wayne County for success in the future. When determining a municipality’s rating, Moody’s considers key factors like revenues and expenditures, “rainy day” funds, liquidity, current economic situation, and control over finances.
“This ratings increase is the result of not only my team’s work, but the Wayne County Executive’s direction and the entire County’s efforts,” said Hughey Newsome, Chief Financial Officer for the Wayne County Department of Management and Budget.
“I am very proud of this administration’s progress of moving the County out of the brink of receivership and junk-bond status to the edge of high-grade investment ratings. From day one, Executive Evans had a plan to make Wayne County synonymous with exceptional fiscal responsibility, and I am so happy to play a role in bringing that vision to reality.”
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