Oakland County Retains Top Credit Rating

• Bond rating agencies gave Oakland County a stable outlook citing strong management under County Executive Dave Coulter and the Board of Commissioners.
• The county’s administration has proposed, and the bipartisan board has approved, strong policies and practices that help the county maintain its robust fund balance and liquidity.
• Oakland County received the highest credit rating for bonds that will fund vital upgrades to the Huron Rouge Sewage Disposal System in Novi.

Pontiac, Mich., – Oakland County has maintained its Aaa bond rating from Moody’s and AAA bond rating from Standard & Poor’s (S&P), both with a stable outlook, for its $18 million Huron Rouge Sewage Disposal System Capital Improvement Bonds, Series 2024. These top-tier credit ratings place Oakland County among an elite group, as only about three percent of counties in the United States achieve these highest credit scores.

Moody’s cited the county’s growing tax base, substantial reserve cushion and strong management under Oakland County Executive Dave Coulter’s administration, working in collaboration with the Board of Commissioners and Treasurer Robert Wittenberg, as key factors for the stable outlook.

The agency noted the county’s adherence to budgetary and debt policies, adding that “management maintains strong policies and practices that sustain its robust fund balance and liquidity.”

S&P said the county’s management practices are proactive, viewing “county management as highly effective given sophisticated, forward-looking policies and robust well-embedded practices.” The agency also noted that the county’s reserves had grown to $445 million under Coulter’s leadership.

“A triple-A bond rating is so much more than an obscure grade that Wall Street doles out to government,” said Coulter. “It means we are strong fiscal stewards of taxpayer dollars. It means we are saving money on projects that are improving the lives of our residents. And it translates into the confidence that business leaders can have in Oakland County when they’re looking at where to locate and expand their companies.”

Board of Commissioners Chair David T. Woodward said the bipartisan board works together to ensure the county’s fiscal practices are strong.

“Long-term planning, fiscal responsibility and proactive leadership is central to every decision and act we take,” said Oakland County Board of Commissioners Chairman David T. Woodward. “Reaffirming our AAA bond status affirms our fiscal strength and current county leadership.”

Wittenberg said maintaining a Aaa bond rating helps the county fund infrastructure improvements while saving taxpayers money.

“Oakland County’s top-tier bond rating demonstrates our unwavering commitment to sound fiscal management,” said Oakland County Treasurer Robert Wittenberg. “This rating enables the funding of crucial infrastructure projects, leading to savings for taxpayers and bolstering the county’s enduring stability and advancement, ensuring a high quality of life for residents and business owners.”

The Huron Rouge Sewage Disposal System project entails vital improvements in Novi that extend from the north side of I-96 and east of Taft Road to Chattman Street north of Nine Mile Road. During a 2019 closed-circuit television inspection of the pipe, significant structural defects – including loss of concrete pipe thickness – were creating microbial-induced corrosion.

“If left unchecked, this could present a long-term concern of the structural integrity of the sewer pipe,” said Oakland County Water Resources Commissioner Jim Nash. “Taking these proactive measures are just part of the service we extend to the people we serve, and our credit rating allows us to save significantly in our project financing.”

The Huron Rouge Sewage Disposal System Capital Improvement Bonds, Series 2024 are expected to be sold on Oct. 31.