City of Corpus Christi Continues to Receive Strong Bond Ratings for Utility System
CORPUS CHRISTI, TX—The City of Corpus Christi has again earned strong credit ratings from two major national rating agencies ahead of its upcoming bond sale to fund utility system improvements.
Fitch Ratings and S&P Global Ratings have each affirmed the City’s AA rating with a stable outlook on its Utility System Senior-Lien Revenue Bonds. These ratings reflect the City’s continued strong financial performance and prudent management of its water, wastewater, stormwater, and gas utility systems.
S&P assigned its AA- rating to the City’s approximately $292.8 million Series 2025 Utility System Revenue Improvement and Refunding Bonds and affirmed its AA- rating on all outstanding utility revenue bonds. Fitch also affirmed its AA- rating on the City’s utility bonds and noted the system’s strong financial profile, operational resilience, and effective long-term planning.
“These ratings reflect the rating agencies' confidence in our financial stewardship and strategic planning,” said City Manager Peter Zanoni. “They specifically recognized our strong management practices, long-term capital planning, and commitment to maintaining sound financial performance. This ensures that we continue delivering reliable utility services to our community.”
The Series 2025 bonds will provide approximately $181 million in funding for capital projects across all four utility divisions. Projects include improvements to the O.N. Stevens Water Treatment Plant, upgrades to the Mary Rhodes Pipeline, wastewater lift stations and treatment plants, citywide water and wastewater line replacements, stormwater system rehabilitation, and gas infrastructure enhancements.
A portion of the bond proceeds will also be used to refinance existing utility system debt. This refinancing is expected to generate at least $5 million in interest cost savings for ratepayers over the remaining life of the bonds.
The City plans to sell the bonds in late June, with proceeds expected to be received in July.
For more information, media representatives can contact Robert Gonzales, Public Information Manager, at 361-826-3233 or robertg8@cctexas.com.