Moody's Investors Service said it has downgraded to A1 from Aa3 the rating on Metro North Fire Protection District of St. Louis County, Mo.'s general obligation tax debt.
Concurrently, Moody's has assigned an A1 rating to the district's $1.58 million general obligation fire protection bonds, Series 2013. The A1 rating applies to $5.86 million of outstanding general obligation debt, including current offering.
The bonds are secured by the district's general obligation unlimited tax pledge. Proceeds from the sale will be used to purchase a fire truck and auxiliary equipment.
The downgrade to A1 reflects the district's modestly sized tax base with recent valuation declines and weak socio-economic profile, solid operating reserve levels despite some recent and near term revenue pressures, and manageable debt profile.