The Village of Skokie has been advised that Fitch Rating Services and Moody's Investors Service have assigned Skokie an AA+ and Aa1 ratings, respectively, for an upcoming bond refinancing. These represent the second highest achievable rating for municipal bonds, reflecting the Village's high level of creditworthiness.
Savings
This refinancing is projected to save the Village approximately $900,000. The AA+ and Aa1 ratings are one notch below the last ratings assigned to the Village of Skokie, resulting from the continued challenges of adequately funding public safety pensions. These exemplary ratings recognize the measures taken by the Village to increase pension funding, and the Village has further addressed this concern by enhancing pension funding in the Fiscal Year 2018.
Credit Strengths
Moody's cites Skokie's large tax base within the Chicago metropolitan area and low debt burden as significant credit strengths. According to Fitch, "Given the ample reserves, strong financial policies and significant legal revenue raising ability, Fitch expects the Village to maintain strong financial operations."