City News & Updates

 

Lancaster Receives "A+" Credit Rating Upgrade for Lease Revenue Bond Debt

Post Date:06/18/2024 3:23 PM

Photo of antelope valley fields with a blue background, fluffy white storm clouds across the sky, with a rainbow peeking through

Lancaster, CA. June 18, 2024 – The City of Lancaster has received an upgraded "A+" credit rating with a stable outlook from S&P Global Ratings for its lease revenue bond debt. This marks a credit improvement and is a significant step up from the previous "A" rating, reaffirming the City's strong financial standing and commitment to fiscal responsibility.

"This 'A+' credit rating upgrade is a powerful affirmation of Lancaster's robust financial health and our unwavering commitment to fiscal responsibility," said Lancaster Mayor R. Rex Parris. "It's a testament to the hard work and dedication of our entire community, and it further solidifies Lancaster's position as a leader in economic stability and growth. While we celebrate this achievement, we remain focused on fostering a prosperous future for all Lancaster residents."

S&P Global Ratings specifically assigned its 'A+' long-term rating to the Lancaster Financing Authority's expected $58.6 million series 2024A and $8.3 million series 2024B lease revenue bonds, which are the City's obligations. The bond proceeds will be used to fund multiple capital projects, including a regional resilience center for community events and disaster management, a retrofit of the City's municipal stadium, and various parks and recreation projects.

The upgrade is a direct result of Lancaster's demonstrable improvement in financial position over the past three years, largely driven by Measure LC revenues and the City's dedication to maintaining and growing its reserve. The rating committee specifically recognized the City's proactive approach to evaluating and adjusting its reserve policy to ensure it continues to meet the community's evolving needs.

The City of Lancaster is committed to fostering economic growth, maintaining fiscal prudence, and providing essential services to its residents. This "A+" credit rating underscores the City's commitment to these goals and solidifies its position as a leader in financial stability.

About the City of Lancaster, CA

Lancaster is a diverse community of nearly 170,000, leading the future through science, technology, art, culture, and collaboration. Home to astronauts, rocket scientists, families, and innovative businesses large and small, we are leading the USA with innovation. Combined with spectacular landscapes and clean air, Lancaster has the confidence, expertise, spirit, and imagination to transform tomorrow. We are: Creating a better tomorrow. Visit us at www.cityoflancasterca.gov.

###


Return to full list >>

Free viewers are required for some of the attached documents.
They can be downloaded by clicking on the icons below.

Acrobat Reader Download Acrobat Reader Windows Media Player Download Windows Media Player Word Viewer Download Word Viewer Excel Viewer Download Excel Viewer PowerPoint Viewer Download PowerPoint Viewer