Fitch on Monday, Sept. 16, 2013 assigned an underlying rating of AAA to the $60 million general obligation (GO) bonds, series 2013. The bonds are to be sold by competitive bid this month. Proceeds will be used to finance various capital projects as part of the $250 million bond approved by Canyons voters in June 2010.
Moody’s assigned the underlying rating of AAA to the bonds on Sept. 12, 2013 and a stable outlook as well. It also affirmed the AAA underlying rating on the District’s $140.7 million in outstanding rated parity debt.
Fitch cited strong financial operations and conservative budgeting practices in issuing the AAA rating.
“The underlying ratings and Outlook reflect the district’s credit quality without consideration of the guaranty provided by the Utah School Bond Default Avoidance Program,” Fitch announced. “The district ended its fourth fiscal year of operations with an increasingly strong unrestricted general fund balance, ample liquidity, a low debt burden, adequately funded pension liabilities, and fully funded other post-employment benefit liabilities … (and) continues to benefit from positive labor relations.”