S&P raises Branson's credit rating

Standard & Poor's Rating Services has raised the city of Branson's credit rating to A from BBB+ based on a "strong tourism and retail economy," the service said.

Branson was one of 88 cities and counties in the Midwest - including Joplin, Liberty and Poplar Bluff in Missouri - to receive the upgrade, according to a city news release.

S&P said Branson's income levels are adequate and retail sales per capita are very strong. The city's taxable value increased to an average annual rate of 9.8 percent in the last four fiscal years, according to the release.

"We believe that, due to its strong tourism and retail economy, Branson's financial position is still very strong, despite regular transfers from the general fund to finance capital projects," the S&P said in its RatingsDirect newsletter.

For fiscal 2008, the city had an unreserved fund balance of $8.9 million, a "strong" 61 percent of operating expenditures, S&P said, adding that the city aims to keep financial reserves above the city's $6 million general fund balance floor.

"This increase in Branson's credit rating by S&P will be advantageous to the city in making it easier to issue and sell bonds for important capital improvement projects and secure lower interest rates on the bonds, which in turn benefits all of our taxpayers," city Finance Director Lori Helle said in the release.[[In-content Ad]]