Last month, the city’s favorable AA/Aa3 credit rating was reaffirmed by both Standard & Poor’s and Moody’s rating reports – something that city officials said can be used to bring business to the region.
“That credit rating means we’re responsible,” said Alyssa Pyszka, business development manager for the city of Vancouver. “If you’re looking for a stable and responsive government, that’s what that [credit rating] means, as opposed to what you might find in California or Illinois.”
During the rating process with Standard and Poor’s, Pyszka said one element she focused on was development at the Port of Vancouver.
“It’s really about tying into the fact that we’re poised for exports,” she said.
In its credit rating report, Standard & Poor’s wrote:
“The stable outlook reflects our view of the city’s very strong financial position, which we expect will continue through 2011, and its history of adjusting its expenditure budgets to match a constrained revenue environment. [The City has a] willingness and ability to manage its budget to sustain very strong reserves and balanced operations during a period of intensified revenue pressures.”
While other cities in Southwest Washington are too small to have a credit rating, that doesn’t mean they won’t benefit from Vancouver’s AA/Aa3 recruitment tool.
“Similar to the message that’s in the recently issued draft of the economic development strategic plan, what happens in one city certainly has a ripple effect on the other jurisdictions in Clark County,” said Justin Clary, city manager for the city of Ridgefield. “If you bring new business and new dollars to invest in any of our cities there will be ripple effects because it brings new money to the region.
“It (a favorable credit rating) does give the insurance of financial stability to businesses looking to locate here.”
Already the city of Vancouver said it has used its reaffirmed credit rating to its benefit. According to the city, the AA/Aa3 rating was important to have in order to sell $10.5 million in Limited Tax General Obligation (LTGO) bonds for the transportation waterfront access project – a sale that took place last month.
The city said the LTGO bonds will be used to build the transportation infrastructure for Vancouver’s $44 million waterfront access project which includes building tunnels, railroad realignment and street improvements in order to restore the direct connection of the community to the Columbia River waterfront.
