Fitch Affirms Calvert’s AAA Credit Rating with Stable Outlook

Calvert County has again secured Fitch Ratings’ coveted AAA credit rating, marking another year of top-rated financial recognition. This rating underscores the County’s strong economic fundamentals and prudent fiscal management.

Calvert County MD sealFitch Ratings affirmed the following:

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

Calvert County’s AAA rating ensures access to capital markets at the lowest borrowing costs, allowing the County to finance important infrastructure projects at a lower cost to taxpayers.

Key Drivers of the AAA Rating

Several factors contribute to Calvert County’s top-tier credit rating:

  • Strong Financial Resilience: Calvert County’s financial flexibility, supported by a robust general fund balance of approximately 40 percent of annual expenditures, plays a key role in maintaining its AAA rating. The County is expected to keep reserves above the critical 7.5 percent threshold.
  • Economic Stability: While population growth remains modest, the County’s low unemployment rate and high median household income help offset demographic concerns. Calvert’s economic strength is further bolstered by major contributors like the Cove Point liquefied natural gas facility, a significant source of local revenue.
  • Low Long-Term Liabilities: Calvert County’s relatively low long-term liability burden, including debt and pension obligations, strengthens its financial position and enhances creditworthiness.

Fiscal Stability in a Challenging Environment

Even in a period of economic uncertainty, Calvert County continues to demonstrate strong fiscal management, ensuring long-term financial health. Fitch highlighted the County’s disciplined approach to managing costs and maintaining essential services while navigating economic headwinds.

Read the complete Fitch Ratings analysis for more information.