Fitch Affirms AAA Credit Rating for Prince George’s Ahead of $239M Bond Sale

Fitch Ratings affirmed Prince George’s County’s AAA credit rating ahead of the County’s upcoming competitive bond sale. The rating keeps borrowing costs low for capital projects and reflects the County’s sound fiscal policies, prudent long-range planning, and economic stability.

Fitch Ratings has assigned a AAA rating to the following Prince George’s County general obligation (GO) bonds:

  • $238,815,000 GO consolidated public improvement bonds series 2023A.

The GOs are backed by the County’s full faith and credit and limited taxing authority. The county charter limits the real property tax rate to $0.96 per $100 of assessed value and further requires that certain taxes and fees may not be increased without voter approval.

The bonds are scheduled for competitive sale on or about June 7, 2023. Bond proceeds will be used to fund various capital projects.

In addition, Fitch has affirmed the following ratings:

  • Issuer Default Rating (IDR) at AAA
  • GO bonds at AAA

The Rating Outlook is Stable.

According to the Fitch Ratings analysis:

The ‘AAA’ GO rating and IDR is based on the strength of the County’s operating performance, which features a high capacity to manage operational and budgetary risks through economic cycles, expectations for solid revenue growth underpinned by the County’s economic and demographic profile and high independent revenue-raising authority. The County’s expanding economy, coupled with its careful debt management practices, support a moderate, long-term liability burden despite ongoing infrastructure demands and large debt issuance plans.

Read the complete analysis for more information.