Moody's Upgrades City Of Avon's Credit Rating

AVON, OH — Moody's upgraded the city of Avon's credit rating on Thursday.

After a credit opinion from the firm, Avon's credit rating is now Aa1, up from Aa2. Moody's said the city's credit profile has "strengthened over the past several years" as both its property tax base and income tax base expanded. Avon residents are also considered affluent when compared to other communities, Moody's added.

“Our Moody’s rating of Aa1 shows that the Avon Administration has been working hard. This didn’t just happen overnight. It is a tribute to everyone that works for Avon, especially our Finance Department, headed by our Finance Director Bill Logan. It is very important for us to be good stewards of public funds," said Mayor Bryan Jensen in a statement sent to Patch.

Avon also has plenty of room to grow, Moody's projected. The city has plenty of "available land for future residential and commercial development." The biggest challenge facing Avon is "above average combined leverage comprised of outstanding debt and unfunded post-retirement benefit liabilities," Moody's added. Basically, Avon has an above-average debt burden and will need to fund pensions for municipal workers.

However, Moody's believes there's reason for optimism, noting that there are paths to the city further improving its financial strength, including: adding new residents and businesses and further developing property in Avon.