Standard & Poor's Ratings Services said it lowered its long-term and underlying rating to A-minus from A on Vernon, Texas' existing general obligation debt.
Processing Content
The outlook is stable.
"The downgrade reflects our view of the city's weak financial position, with no funds in available reserves, and a history of adopting structurally unbalanced budgets," said Standard & Poor's credit analyst Sarah Smaardyk.
Vernon has an estimated population of 11,002 and is the county seat of Wilbarger County in Texas.
