Two national firms issued high bond ratings for the city of Omaha this week.
S&P Global Ratings assigned its AA+ long-term rating after reviewing millions of dollars in city bonds. Moody’s Ratings gave Omaha an Aa2 score. Both called Omaha’s economic outlook “stable,” according to a press release from the City of Omaha Mayor’s Office.
Mayor John Ewing said the city is entering an exciting new area of growth, evident in its changing skyline and numerous economic development projects.
“Omaha’s financial house is in order,” Ewing said. “This is a city that has planned carefully, budgeted appropriately and pays its bills. I am confident that Omaha’s economic outlook is strong.”
The organizations made their ratings based on the city’s $37.6 million general obligation bonds, Series 2025A, $57.4 million lease revenue bonds, Series 2025C, and $7.5 million lease revenue bonds, Series 2025D.
In making its determination, S&P cited the following reasons: Omaha’s position as a premier economic center in Nebraska, its history of healthy operating performance, its sizable reserve balances, prudent financial management practices and long-term planning for capital and infrastructure needs.
Moody’s cited Omaha’s role as “the economic hub of Nebraska” and said its outlook reflects an expectation that Omaha will continue to benefit from “longstanding institutions like Offutt Air Force Base, the University of Nebraska Medical Center, Creighton University and several Fortune 500 companies.”
S&P referenced the city’s ongoing challenge with underfunded retirement systems, both civilian and police and fire. Moody’s said the city’s long-term liabilities to revenue ratio remains a weakness.
Photo by Brad Williams
