July 16, 2021
The City of Edmonton has received a AA grade from credit rating agency Standard and Poor’s (S&P) for the third year in a row, with a stable financial outlook despite the ongoing impacts of the pandemic.
“In our opinion, the management team is experienced and qualified to effectively enact appropriate fiscal policies, as well as respond to external risks, most recently to the COVID-19 pandemic,” S&P said in its report. “The City has a robust set of financial policies and a well-documented financial plan…[w]e expect these practices to continue.”
This credit rating is important for the City and Edmontonians because it affirms that the City has the capacity to meet its capital commitments, including the infrastructure projects like municipal facilities, roads, bridges and LRT expansion that have kept many Edmontonians safely working throughout the pandemic.
“Better-than-expected 2020 operating results and recent positive momentum in the economy place the City of Edmonton in a good position to proceed with its capital plan while maintaining its reliance on borrowings at a manageable level,” said S&P.
‘We are pleased that S&P has affirmed the City’s strong financial management during a very difficult time for the corporation and for Edmontonians because of the ongoing impacts of the pandemic,” said Mary Persson, Chief Financial Officer with the City of Edmonton. “We stabilized our budget with a number of cost control measures at the onset of the pandemic. This action, combined with emergency funding from the federal and provincial governments through the Government of Canada’s Safe Restart Agreements, allowed the City to deliver a zero per cent tax levy increase to Edmontonians in 2021. We will continue to face these challenging times with a thoughtful approach that addresses both our short- and long-term financial sustainability.”
