During this past term, Moody’s Investor Service upgraded the City of North Olmsted’s General Obligation Unlimited tax rating to a Aa3 from an A1 and the General Obligation Limited Tax rating improved to an A1 from an A2. Mayor Thomas O'Grady, whose leadership was singled out by Moody's, was particularly impressed with the increase. "To have received recognition for the changes we are making in our City government, especially in these difficult economic times, is particularly gratifying," O'Grady said.
Moody’s cited Mayor O'Grady's management and Finance Director Carrie Copfer's financial controls as the basis for the increase. The Moody's report stated, “due to management’s history of conservative budgeting and emphasis on seeking operational efficiencies so as to control costs, the city has achieved a series of moderate surpluses over the last few years despite the recent economic recession.” While Moody’s recognized North Olmsted is a mature community tax base, increasing primarily from inflationary growth, they recognized our resources are diverse (46% income tax; 27% property tax; 14% charges for services; 13% intergovernmental revenues) and not dependent upon any single taxpayer.
Mayor Thomas O'Grady commented, “It has been my great pleasure to work with Finance Director Copfer during our many years together in City government. We now have a proven history of prudent financial management and are working toward a rapid retirement of our present debt obligations, 78% of which will be retired within 10 years. These actions, combined with innovative leadership and an intelligent reorganization of our City government, will serve our citizens well in the years ahead.”
The city also met with Fitch, who affirmed the city’s A+ rating to the City’s outstanding debt with the ratings outlook on all debt as stable. Fitch’s report states, “ The A+ rating reflects the City’s role as a regional retail center, above average wealth levels, diverse tax revenue streams, improved financial performance, and moderate debt levels.” Fitch also recognized the City’s success in weathering the recent economic recession. “Management remains dedicated to cost containment and is pursuing operational efficiencies through departmental reorganization.” Fitch also noted, “despite the spending pressure related to public safety wages and (all) benefits growth, the city’s general fund produced moderate surpluses in eight of the last nine years.”
