Miami-Dade County Reports Bump in Solid Waste Bond Ratings

MIAMI  — The ratings on Miami-Dade County’s $43 million outstanding solid waste system revenue refunding bonds, series 2015, were recently upgraded to 'AA-' from 'A+' by the prominent bond rating agency Fitch Ratings, Inc. This rating came with a rating outlook of “stable.”

Fitch, one of the three Nationally Recognized Statistical Rating Organizations designated by the U.S. Securities and Exchange Commission in 1975, stated in a news release that the rating agency “believes management's strong revenue defensibility and manageable contracts provide the tools necessary to ensure adequate coverage of financial obligations and sufficient cash levels.”

“This upgrade reflects the hard work that Miami-Dade County government has done to remain financially stable and on solid ground,” said Miami-Dade County Mayor Carlos A. Gimenez. “For our taxpayers, this will mean savings over time as borrowing costs are reduced.”

“This is welcome news, but I’m not surprised to hear Fitch say good things about our Department,” said Michael Fernandez, Director of the Miami-Dade County Department of Solid Waste Management (DSWM). “We have an efficient operation thanks to the hard work and dedication of our employees and management team.”

Fitch based the upgrade on several components. The agency said in a news release that “the rating reflects the system's strong revenue defensibility, a diversified revenue base from which close to 60 percent is derived from a residential collection fee charged on the tax bill, and very low leverage. Debt service coverage on outstanding obligations has been sound and surplus revenues have built up cash reserves to robust levels which have supported capital and maintenance efforts.”