Bethel, MN GO Rating Raised To 'AA-' On Tax Base Growth And Positive Operations

SAN FRANCISCO (S&P Global Ratings) Sept. 21, 2023--S&P Global Ratings raised its long-term rating on Bethel, Minn.'s series 2012A general obligation (GO) bonds to 'AA-' from 'A+'. The outlook is stable. "The upgrade reflects our view of the continuous growth in the city's tax base and its consistent positive operating trend during fiscal years 2014-2022, which has strengthened its reserves to over 135% of expenditures in fiscal 2022 that are expected to be sustained," said S&P Global Ratings credit analyst Ying Huang. The stable outlook reflects our expectation that Bethel will sustain its balanced operations and very strong budgetary flexibility and liquidity during the two-year outlook period. The rating would be pressured if the city exhibits a trend of structural

...September 21, 2023 SAN FRANCISCO (S&P Global Ratings) Sept. 21, 2023--S&P Global Ratings raised its long-term rating on Bethel, Minn.'s series 2012A general obligation (GO) bonds to '##-' from 'A+'. The outlook is stable. "The upgrade reflects our view of the continuous growth in the city's tax base and its consistent positive operating trend during fiscal years 2014-2022, which has strengthened its reserves to over 135% of expenditures in fiscal 2022 that are expected to be sustained," said S&P Global Ratings credit analyst Ying Huang. The stable outlook reflects our expectation that Bethel will sustain its balanced operations and very strong budgetary flexibility and liquidity during the two-year outlook period. The rating would be pressured if the city exhibits a trend of structural imbalance, leading to a significant deterioration in budgetary flexibility to below $500,000, a level we view as nominally low, or if there is a significant increase in the city's GO leverage. A higher rating...

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