Moody's Investors Service said it has upgraded to A1 from A2 the rating on Ionia County, Mich.'s general obligation limited tax debt.
The county has $20 million of general obligation limited tax debt outstanding, of which approximately $8.7 million is rated by Moody's.
The upgrade to A1 reflects the county's healthy financial operations as demonstrated by the steady growth in reserve levels and presence of additional liquidity.
The rating also factors in the large-sized residential tax base benefitting from its location near two major metropolitan areas, and manageable debt burden with average amortization of principal.
The rating on the county's limited tax debt is one notch below an implied Aa3 general obligation unlimited tax rating. Debt service on outstanding limited tax bonds is payable from available operating funds, which are subject to statutory levy limits.