NEW YORK - Moody's Investors Service said it has assigned a Aa3 rating to the city of Grapevine, Texas's $2 million combination tax and revenue certificates of obligation, series 2009A, and upgraded to Aa3 from A1 the city's general obligation debt rating, affecting $139.5 million in outstanding parity debt.
Proceeds from the current offering will finance equipment for the municipal court and park and recreation improvements.
The certificates are direct obligations of the city, payable from a direct and continuing ad valorem tax levied, within the limit prescribed by law, on all taxable property located within the city.
The rating upgrade reflects the city's large tax base experiencing continued growth, healthy socioeconomic profile, improved financial position, and manageable debt profile with rapid amortization.
