The City of Portland received excellent financial news over the weekend. The Standard & Poor's Global Ratings ("S&P") raised its rating on Portland, Maine's general obligation (GO) debt up to 'AA+' from 'AA'. This elevates the City of Portland credit rating from S&P to the same high level as United State government bonds. At the same time, Moody’s Investor Services affirmed their Aa1 rating for the City. These ratings represent the 2nd highest potential available grade from each agency, one step away from a highly coveted AAA rating. The S&P noted the increase to ‘AA+’ is due to improved budgetary performance, very strong financial management and financial policies, and a strong City economy, among other factors.
"Maintaining our City’s fiscal health is my top priority so I’m very pleased to see that the top credit rating agencies agree with the work we’ve been doing," noted Brendan O'Connell, Finance Director for the City. "The higher our credit rating the more financial agility we’ll have as we seek to meet many of the Council’s goals."
At-Large City Councilor and Finance Committee Chair Nick Mavodones also commented on the positive news saying, “I’m pleased to see that the strong financial policies we’ve put in place through the work of the Finance Committee have been reflected in the rating agency reports. Over the past several years the Committee, along with our hard working staff, have done a great job putting policies in place which provide consistent guidance for our financial decision making.”
The updated rating agency reports have been posted on the City’s website. The full S&P Report can be found here and the full Moody's report can be found here.