NewsMontana News

Actions

Bozeman receives upgraded debt rating, lowering interest costs for city

Financial practices pay off for Bozeman
Posted: 2:55 PM, Aug 20, 2019
Updated: 2019-08-20 16:55:53-04
Bozeman receives upgraded debt rating, lowering interest costs for city

Good news for the city of Bozeman.

The city has received and upgraded debt rating from Moody’s Investors Services.

The upgrade reflects Bozeman’s steady growth, healthy reserves and conservative financial practices.

The ratings were done in order to address the new bond issuance for the Bozeman Public Safety Center.

Bozeman has been upgraded to a “double A one” rating, which makes the bond offering for the city more attractive to investors.

"The better our bonds look, the better rates we get, so the citizens of Bozeman are actually — they’ll be paying these bonds back so the better rates we can get these bonds, the more savings they will see over time," said City of Bozeman Finance Director Kristin Donald.

Factors that could lead to a ratings downgrade for the city include substantial growth in debt, shrinking of the city’s tax base and weakening of reserves.