BRADENTON, Fla. - "Very strong" fiscal management through the recession won Stafford County, Va., a coveted triple-A rating from Standard & Poor's.
S&P raised the rating to AAA from AA-plus on July 13. The outlook is stable.
The upgrade affects $310.4 million of outstanding GO bonds as of June 30, according to the county's latest audit.
The rating uptick also comes ahead of a planned offering of $10.1 million of GOs being issued to fund various capital projects. The new debt is backed by Stafford's full faith and credit and secured by unlimited ad valorem taxes.
The higher rating was warranted because the county exhibited strong budget performance and reserve levels by maintaining "very strong management conditions through the recent economic recession," according to analyst Timothy Little.
Stafford County has an estimated population of 136,357, and benefits from a "broad and diverse" economy as part of the three-state Washington-Arlington-Alexandria metropolitan statistical area.
"The county also benefits, in our view, from a stabilizing institutional influence," Little said.
Quantico Marine Base occupies about 20% of the county's land area, and is the county's leading employer. Other top county employers include GEICO Insurance, the FBI Academy, McLane Mid-Atlantic Inc.'s retail distribution center, and Stafford Hospital Center.
"We understand that the county has taken sequestration and other potential federal budget cuts into account in its financial projections, Little said.
In addition to the GO rating, S&P also upgraded its long-term rating on the county-supported Stafford County Economic Development Authority's lease-revenue bonds to AA-plus from AA.
