Thousand Oaks has had five bond rating upgrades from Standard & Poor’s in the last nine months, saving local taxpayers thousands of dollars.

Bonds are rated on a scale of AAA to D. A high bond rating allows the city to borrow money at the most competitive rates available.

“Obtaining these types of bond rating upgrades during a prolonged national recession and extreme political and financial chaos in Sacramento speaks volumes,” City Manager Scott Mitnick said in a March 9 memo to the City Council.

On Feb. 16, the Redevelopment Agency Thousand Oaks Boulevard Project area bonds went from an A- to an A rating, the RDA Newbury Road Project area bonds went from BBB to Aand the RDA low- to moderateincome housing bonds increased from an A- to an A rating.

On May 11, 2009 the General Fund certificate of participation was upgraded from AA- to AA+. The wastewater fund certificate of participation was upgraded from AA- to AAA on July 2, 2009.

Standard & Poor’s ratings represent the financial market research provider’s opinion on the general creditworthiness of the city to these bond obligations. Investors look at these ratings to determine credit quality and to make investment decisions, but the company stated in a Feb. 12 letter to the city that the grades do not represent a “market rating” or a recommendation to buy, hold or sell.

“According to S&P, the rationale for the rating is based on healthy maximum debt service coverage and no immediate proposed debt plans,” said finance director John Adams in a March 3 memo to Mitnick.

—Nancy Needham