PALMVIEW, Texas- The City of Palmview is financially sound earning an ‘A+’ long-term rating from Standard & Poor’s Rating Services (S&P Global Ratings). This means the credit rating company sees the City as having a strong capability to meet its financial commitments.
On September 4, 2024, S & P Global Ratings assigned the ‘A+’ rating to the City’s anticipated $10.5 million series 2024 combination tax and limited pledge revenue certificates of obligation (CO’s) and $750,000 taxable series 2024 general obligation refunding bonds saying the City’s outlook is stable.
S & P’s credit rating analyst Karolina Norris says the rating reflects the city’s growth along with wealth and income levels that are weak compared with those of peers but in line with those of other border cities. “The stable outlook for Palmview reflects our view that economic expansion will contribute to revenue growth, stable performance, and very strong reserves over the two-year outlook horizon.”
The CO’s will fund the construction of a new fire station and Emergency Operation Center, a portion of an All-Inclusive Park, as well as street and facility improvements. The GO bond will refund some existing debt for savings.
Mayor Ricardo Villarreal says the City has come a long way. This rating reflects the hard work of city staff and administration, for being fiscally responsible in the City’s daily operations and with current and future projects. Adding that achieving this rating takes hard work and tough decisions by the Palmview City Council to focus on the needs of the City rather than the wants. He applauds their efforts for being prudent with taxpayer’s money.
The ‘A+’ rating will help the City get lower rates when and if borrowing money. This is the first time in the City’s history that it has been in a financial position to apply and receive a credit rating from a global credit rating company.
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