Fincastle, VA – Despite the current economic environment and the loss of the JTEKT auto assembly manufacturer, Botetourt County continues to maintain high financial ratings due to prudent financial management. The Fitch Ratings organization cited the following in support of its most recent AA+ rating of Botetourt county bonds:
- robust reserve levels
- strong commitment to pay-as-you-go capital financing
- low overall indebtedness
- above average amortization
Other factors that contributed to the rating rationale included: below average unemployment rates and above average wealth levels relative to the state and to the nation. The Fitch ratings also cited continued stability in the county’s economic base, and the maintenance of sound fund balance levels and balanced operations.
County Finance Director, Tony Zerrilla, explains that “the County has been able to withstand the current economic pressures by employing a proper blend of debt service and pay-as-you-go financings in combination with a high level of scrutiny regarding operational expenditures.” He also noted that “the County and Schools management staff contributed to the effort by applying preventative cost measures in order to contend with stagnant local revenues and revenue reductions from the State in FY10.”
The raters observed that “Botetourt’s financial position is strong.” To County administrators, the rating confirms that Botetourt County is well positioned to meet the fiscal challenges in upcoming years.
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