Moody's Investors Service said it has upgraded Randolph County, Ga.'s general obligation bonds to Baa1 from Baa3, affecting approximately $8.4 million in outstanding debt.
The outlook remains positive.
The bonds are secured by the county's unlimited ad valorem pledge; however, the 2012A bonds are first payable from the proceeds of a one-percent Special Purpose Local Option Sales Tax (SPLOST).
The upgrade to Baa1 reflects the county's significantly improved financial position driven by increased financial monitoring, conservative budgeting, and the establishment of financial policies. The rating also incorporates the county's modest tax base, weak socioeconomic profile, and manageable debt burden.
The positive outlook reflects the strong financial performance in recent years resulting in the substantially improved operations. Maintenance of structurally balanced operations and a continued trend of healthy reserves could lead to additional upward pressure on the rating.
