Buncombe County Receives Rating Upgrade on Select Limited Obligation Bonds

In finance news, Moody's Investors Service has upgraded Buncombe County’s Taxable Limited Obligation Bonds, Series 2014B, to Aa1 from Aa2. Concurrently, they affirmed the County's Aaa issuer rating and the Aa1 rating on all other outstanding limited obligation bonds (LOBs).

The issuer rating reflects our ability to repay debt and debt-like obligations without consideration of any pledge, security, or structural features. The investor service has concluded the review for possible upgrade that was initiated on Nov. 3, 2022, in conjunction with the release of the US Cities and Counties Methodology. Additionally, Moody’s finds the Buncombe County’s outlook stable.

Bond ratings greatly influence interest rate and bond pricing when issuing debt. “By maintaining the Aaa rating, the County is able to obtain lower interest rates when we issue debt and that saves a considerable amount of taxpayer dollars over the life of the bonds,” says Finance Director Don Warn.

Please see the attached for the complete statement from Moody’s.