On Tuesday, August 18, Fitch Global Ratings, a global independent credit rating organization, affirmed an AA+ rating with a Stable Outlook for Helix Water District.
The AA+ rating is the second-highest credit rating an agency can receive and is a key criteria that investors use to determine interest rates for financing.
The AA+ rating reflects the district’s very strong financial stability. The process evaluates the district’s financial profile, ability to pay back loans, to limit operating risks and to recover costs.
“We are very pleased to have an AA+ rating from Fitch rating,” said Director of Administrative Services Jennifer Bryant. “This action, coming amid a pandemic and tremendous economic uncertainty, speaks to the strength of our organization, and is the result of sound fiscal policies backed by our Helix board and excellent operational management from Helix staff.”
Higher Fitch ratings allow agencies like Helix Water District to receive lower interest rates on governmental bonds. Since bonds often have 15-30 year terms, having a lower interest rate can produce a substantial cost savings to customers. Upholding a good credit rating shows that the district is in good fiscal health and can continue to reliably and affordably serve customers.
Helix Water District is a not-for-profit local government agency that provides water treatment and distribution for 277,000 people in the cities of El Cajon, La Mesa and Lemon Grove, the community of Spring Valley and areas of Lakeside — east of downtown San Diego. Helix also provides treated water to neighboring Padre Dam, Otay and Lakeside water districts.