Fitch Ratings has assigned Washington County an AA+ rating for its upcoming $17.685 million public improvement and refunding bond sale, reflecting the County’s firm financial footing and effective fiscal management. Fitch also affirmed an AA+ Issuer Default Rating (IDR) and outstanding general obligation bonds. The rating outlook remains stable.
Proceeds from the bond sale, scheduled for Tuesday, May 20, 2025, will finance various county improvement projects and refinance outstanding bonds to achieve interest savings.
Fitch cited Washington County’s robust financial resilience assessment, highlighting its high revenue flexibility, solid budgetary controls, and consistently strong general fund reserves.
The County maintained an unrestricted fund balance of 23.6% of spending in fiscal 2024, well above the 10% threshold Fitch associates with top-tier resilience.
Fitch also noted the County’s manageable long-term liabilities and moderate carrying costs, underscoring its prudent approach to debt and pension obligations. However, mixed demographic and economic indicators — including a slow population growth rate and midrange income and educational attainment levels — weighed modestly on the overall rating.
The stable outlook reflects Fitch’s expectation that Washington County will continue to maintain healthy financial operations and manageable debt levels. However, sustained improvements in demographic and economic conditions or a significant reduction in liabilities could lead to a future upgrade. Conversely, material declines in reserves or sharp increases in debt could pressure the rating.
