Rating Action: Moody’s assigns Aaa to Gwinnett County, GA’s Revenue Bonds, outlook stableGlobal Credit Research – 19 Feb 2021New York, February 19, 2021 — Moody’s Investors Service has assigned a Aaa to Gwinnett County, GA’s $23.7 million Revenue Bonds (Gwinnett Place Mall Project), Federally Taxable Series 2021, issued through the Urban Redevelopment Agency of Gwinnett (Georgia). We maintain a Aaa on the county’s outstanding GO and GO-backed debt. The outlook is stable.
RATINGS RATIONALE-The Aaa rating reflects the county’s large and growing tax base outside Atlanta, strong financial position and manageable long-term liabilities and fixed costs.RATING OUTLOOKThe stable outlook reflects our expectation that the county’s base will continue to expand given strong permitting activity, recent development announcements and proximity to Atlanta. This growth will support strong revenue performance, which, along with good management and low fixed costs, will lead to continued stability in the county’s financial position.
FACTORS THAT COULD LEAD TO AN UPGRADE OF THE RATING-N/AFACTORS THAT COULD LEAD TO A DOWNGRADE OF THE RATING-Significant tax base deterioration-Marked decline in reserves and cash due to ongoing structural imbalance.
LEGAL SECURITY-Bonds are ultimately secured by the county’s unlimited ad valorem pledge pursuant to an intergovernmental contract with the Agency.
USE OF PROCEEDS-The Series 2021 (Gwinnett Place Mall Project) Revenue Bonds will be used to finance the cost of property acquisition for future development to the benefit of the county.PROFILEGwinnett County is located northeast of Atlanta. As of 2019, the county’s population was 936,250.
METHODOLOGY-The principal methodology used in this rating was US Local Government General Obligation Debt published in January 2021 and available at https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBM_1260094. Alternatively, please see the Rating Methodologies page on www.moodys.com for a copy of this methodology.
REGULATORY DISCLOSURES-For further specification of Moody’s key rating assumptions and sensitivity analysis, see the sections Methodology Assumptions and Sensitivity to Assumptions in the disclosure form. Moody’s Rating Symbols and Definitions can be found at: https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_79004.For ratings issued on a program, series, category/class of debt or security this announcement provides certain regulatory disclosures in relation to each rating of a subsequently issued bond or note of the same series, category/class of debt, security or pursuant to a program for which the ratings are derived exclusively from existing ratings in accordance with Moody’s rating practices. For ratings issued on a support provider, this announcement provides certain regulatory disclosures in relation to the credit rating action on the support provider and in relation to each particular credit rating action for securities that derive their credit ratings from the support provider’s credit rating. For provisional ratings, this announcement provides certain regulatory disclosures in relation to the provisional rating assigned, and in relation to a definitive rating that may be assigned subsequent to the final issuance of the debt, in each case where the transaction structure and terms have not changed prior to the assignment of the definitive rating in a manner that would have affected the rating. For further information please see the ratings tab on the issuer/entity page for the respective issuer on www.moodys.com.The rating has been disclosed to the rated entity or its designated agent (s) and issued with no amendment resulting from that disclosure.This rating is solicited. Please refer to Moody’s Policy for Designating and Assigning Unsolicited Credit Ratings available on its website www.moodys.com.Regulatory disclosures contained in this press release apply to the credit rating and, if applicable, the related rating outlook or rating review.Moody’s general principles for assessing environmental, social and governance (ESG) risks in our credit analysis can be found at https://www.moodys.com/researchdocumentcontentpage.aspx?docid=PBC_1243406.The Global Scale Credit Rating on this Credit Rating Announcement was issued by one of Moody’s affiliates outside the EU and is endorsed by Moody’s Deutschland GmbH, An der Welle 5, Frankfurt am Main 60322, Germany, in accordance with Art.4 paragraph 3 of the Regulation (EC) No 1060/2009 on Credit Rating Agencies. Further information on the EU endorsement status and on the Moody’s office that issued the credit rating is available on www.moodys.com.The Global Scale Credit Rating on this Credit Rating Announcement was issued by one of Moody’s affiliates outside the UK and is endorsed by Moody’s Investors Service Limited, One Canada Square, Canary Wharf, London E14 5FA under the law applicable to credit rating agencies in the UK. Further information on the UK endorsement status and on the Moody’s office that issued the credit rating is available on www.moodys.com.Please see www.moodys.com for any updates on changes to the lead rating analyst and to the Moody’s legal entity that has issued the rating.