The Vallecitos Water District appears to be on a positive financial footing after receiving a credit rating upgrade and certificate of excellence for its financial reporting this past week.
On Thursday, Sept. 14, officials announced that the district had its bond rating upgraded to AAA by Fitch Ratings. The announcement of the rating upgrade followed a Sept. 12 notice that the district received a Government Finance Officers Association Certificate of Achievement for Excellence in Financial Reporting.
A Fitch rating upgrade allows Vallecitos to issue debt at lower interest rates, which can lower costs for infrastructure projects, district officials said in an announcement. AAA is the highest rating that Fitch grants.
“The announcement of Vallecitos Water District’s upgrade to a ‘AAA’ rating from Fitch is a substantial honor,” district Chief Financial Officer Westley Owen said in a news release. “Our dedication to financial stability, transparency, and strong reserves have led to this achievement.”
The Government Finance Officers Association’s certificate program aims to help state and local governments excel beyond generally accepted accounting principles for financial reports and transparency.
“The Certificate of Achievement is the highest form of recognition in governmental accounting and financial reporting and is a testament to Vallecitos’ commitment to transparency,” Vallecitos Board President Jim Hernandez said in a news release.
The Vallecitos Water District provides water, wastewater and reclamation services to San Marcos in addition to areas of Carlsbad, Vista, Escondido and unincorporated areas in North County.