Standard & Poor's Ratings Services said it raised its rating on Daytona Beach, Fla.'s general obligation bonds to AA from AA-minus.
At the same time, Standard & Poor's raised its rating on the city's capital improvement revenue bonds to AA-minus from A-plus. The outlook is stable.
"The upgrade is due to general fund surpluses in each of the past three fiscal years that have contributed to strong budgetary performance and very strong budgetary flexibility," said Standard & Poor's credit analyst Hilary Sutton. Unlimited ad valorem taxes secure the GO bonds. Under the bond documents, the city agrees to appropriate in its annual budget sufficient amounts of non-ad valorem revenues for capital improvement revenue bond repayment.
Daytona Beach, with an estimated population of 62,784, is located in Volusia County in the Deltona-Daytona Beach-Ormond Beach metropolitan area.
