Responsible City Government
Status Indicators: Proceeding as Anticipated | Monitoring Progress | Reviewing for Improvement | Information Unavailable
Proceeding as Anticipated
Reviewing for Improvement
Please note that Q1, Q2, Q3, and Q4 refer to the first, second, third, and fourth quarters of the Fiscal Year. The City’s Fiscal Year runs from October 1st – September 30th and is denoted by FY. CY denotes Calendar Year.
Fitch Ratings and Standard & Poor’s Global Ratings both affirmed Sugar Land’s “AAA” bond rating in connection with the issuance of General Obligation (GO) and refunding bonds approved by City Council on October 15, 2019. The “AAA” rating is the highest rating a bond can carry and represents a bond with minimal risk due to the strong financial management practices of the city. Standard & Poor’s rating reflects the city’s overall strong budget monitoring that has historically yielded consistent and positive budgetary performance.
Fitch recognized the city’s strong operating performance supported by its ability to raise revenues, solid expenditure flexibility and strong operating performance.
“The city's strong budget management practices are evidenced by reserve replenishment during periods of economic expansion and no deferral of required spending,” wrote Fitch. “Management also has a history of prompt responses to changing economic conditions.”
The affirmation of the AAA rating recognizes the commitment by City Council and staff to ensure sound financial oversight of city resources. The city’s focused but aggressive economic development program helps to grow commercial property tax values with the goal of benefitting residents through investment of restricted revenues in new quality of life amenities and ultimately supporting the city’s ability to maintain one of the lowest tax rates in the state of Texas among similarly-sized cities.
AAA: The highest possible bond rating in the rating scale.
Bond ratings reflect a detailed analysis of the City’s ability to repay debt and include an assessment of the local/regional economy, overall administration, financial policies, and track record in managing its financial position.