Oxnard-- Standard and Poor’s Global Ratings (S&P) upgraded the City’s Issuer Credit Rating from “A” to “A+” on October 26, 2022. The report also revised its long-term rating on the City’s lease revenue bonds from “A-” to “A,” the City’s Gas Tax Bond from “A+” to “AA-” and assigned a “stable” outlook to all three.
The City has made steady progress improving its ratings in recent years. The new S&P ratings mark Oxnard’s 5th upgrade by S&P in just the last 12 months.
Ratings were also increased by one notch on the wastewater fund earlier this year, and the outlook on the water bonds was moved to “positive” from “stable.”
S&P analyst Li Yang stated, “The raised ratings reflect our view of the City’s implementation of stronger internal controls, materially stronger sales tax revenue generating ability with the passage of a voter-approved sales tax rate increase in 2020 (Measure E), and a projection of increasing general fund reserves to very strong levels going into fiscal 2023 despite a one-time settlement paid from the general fund.
Additionally, we note that the City has resolved its litigation regarding the use of the City’s infrastructure use fees (IUF) which, in our view,…
