Prince George’s County officials touted the county’s fiscal accomplishments in New York City earlier this week to try to raise the county’s credit rating from AA to AAA — the highest available. An increased rating could bring better interest rates when the county borrows money and refinances existing debt.
“In theory, it means that our debt service costs would be lower,” said Thomas Himler, director of the Prince George’s County Office of Management and Budget. “It’s more symbolic of just how solid the county is from an economic and financial standpoint — and it’s something everybody covets.”
Himler, Prince George’s County Executive Jack Johnson and others met with three credit agencies — Standard & Poor’s, Fitch Ratings and Moody’s Investors Service.
Himler said the group talked about the county’s double- and triple-digit budget increases during Johnson’s four-year tenure as well as large-scale development projects such as National Harbor.
The agencies will issue ratings by mid-May, Himler said. According to criteria published by Standard & Poor’s, ratings are only an opinion of the creditworthiness of the group being rated, not an investment recommendation.
Johnson said improved infrastructure and increased commercial investment should boost the credit rating beyond the county’s current AA ratings.
“That’s a high rating, but it’s not high enough,” Johnson said. “If not this year, then very soon, we’re absolutely going to be a AAA jurisdiction.”
