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Cottage Grove Maintains AA+ Credit Rating

FOR IMMEDIATE RELEASE 
For More Information Please Contact:  
Robin Roland, Finance Director, rroland@cottage-grove.org, 651-458-2832

Cottage Grove Maintains AA+ Credit Rating
 
Cottage Grove, Minn. – April 14, 2017 – The City of Cottage Grove has maintained its AA+ rating from Standard and Poors. AA+ means the City has a strong capacity to meet its financial commitment. AAA is the highest rating.  

Items taken into consideration include the City’s:

  • Strong economy, with access to a broad and diverse metropolitan statistical area (MSA);
  • Very strong management, with strong financial policies and practices under our Financial Management Assessment methodology;
  • Strong budgetary performance, with operating surpluses in the general fund and at the total governmental fund level in fiscal 2015;
  • Very strong budgetary flexibility, with an available fund balance in fiscal 2015 of 65% of operating expenditures;
  • Very strong liquidity, with total government available cash at 2.0x total governmental fund expenditures and 18.7x governmental debt service, and access to external liquidity we consider strong; and
  • Strong institutional framework score.

The City received the affirmation of rating in preparation for the sale of $9.3 million in municipal bonds on April 19, 2017.