Bloomington is getting a financial thumbs-up from one of the nation’s top credit rating agencies.
Moody’s Ratings has reaffirmed the city’s Aa1 credit rating, a sign of strong fiscal health, just ahead of a new $33 million bond issuance aimed at upgrading local water infrastructure. The new General Obligation Unlimited Tax (GOULT) Bonds, Series 2025, will bring the city’s total outstanding GOULT debt to about $81.5 million.
Mayor Dan Brady welcomed the news, saying the rating helps the city borrow at better rates and move forward with long-term investments.
“We’re grateful for this strong rating, which helps us secure funding for necessary improvements to our water infrastructure,” Brady said. “It’s an important step in protecting public health and improving quality of life for Bloomington residents.”
City Manager Jeff Jurgens credited city staff for maintaining sound financial practices that earned the positive assessment.
“This reaffirmation reflects the hard work of staff across the organization,” Jurgens said. “It’s what allows us to invest in critical infrastructure like our water system.”
Moody’s pointed to Bloomington’s steady financial footing, including a healthy reserve fund that’s expected to remain around 50% of revenues in fiscal 2025—even as the city spends down some reserves for capital projects, which will later be reimbursed through bond proceeds.
The report also highlighted a strong local economy, backed by investment from major employers and a stable financial outlook overall.
But the city isn’t stopping at this bond issue. Officials say they plan to issue roughly $140 million more over the coming years to overhaul Bloomington’s aging water system. Debt from those bonds will be paid using Water Fund revenues. Moody’s flagged future pension cost shifts as a potential concern but said the city’s long-term debt levels are currently manageable.
Bloomington, a home rule city with more than 78,000 residents, provides a full range of municipal services—water, sewer, stormwater, and public safety—across 23 square miles in central Illinois.
For more details on the city’s financial strategy and infrastructure projects, residents can visit www.bloomingtonil.gov/budget.
