Moody’s Investors Service has upgraded to Aa3 from A1 the underlying general obligation limited-tax rating of Defiance County, Ohio. The rating applies to $3.95 million of outstanding rated limited-tax GOs.
The outstanding bonds are secured by the county’s limited-tax GO pledge, subject to a $10 million limitation.
The upgrade reflects the county’s healthy general fund reserves, with stable trends despite reliance on economically sensitive operating revenues and strong financial management. The rating additionally incorporates the county’s moderately sized and stable tax base, slightly below-average socioeconomic characteristics and low debt burden.