The 'A' rating on Redlands, Calif.'s GO bonds reflects: Solid, but weakening finances; A stable economy with a gradually strengthening tax base; Average income indicators and low unemployment; and Moderate overall debt levels. The bonds are secured by the city's full faith and GO credit pledge. Redlands, with a population of 65,313, is a primarily residential community situated in southwestern San Bernardino County, 63 miles east of Los Angeles. The financial position is solid, but weakening quickly. The city had recently recovered from the city's loss of nearly $3 million utility user tax (UUT) revenues in 1997, primarily due to strong sales tax growth. The city ended fiscal 2002 with a solid unreserved fund balance of $6.9 million, or 23%
