Financial analysts Standard & Poor's have again awarded Travis County its highest credit rating—a move that allows the county to borrow money as cheaply as possible.
Travis County has retained its AAA rating for several years, County Financial Advisor Ladd Patillo told the Travis County Commissioners Court on Jan. 7.
Standard & Poor's rates governments' budgets and operations. Those ratings influence a government's ability to borrow money in the form of selling bonds in financial markets. A better credit rating means lower interest rates, which in turns means it costs less money for the county to pay off a bond obligation.
Standard & Poor's has revised its rating criteria to make it more transparent and easy to analyze, Patillo said.
The analysts look at a government's economy, financial health, management practices and institutional framework to determine its rating.
Standard & Poor's determined that Travis County has a strong economy, good asset liquidity and a conservative budget, Patillo reported. The county's management practices were also considered strong.