"The bond rating agencies have given Utah an independent stamp of approval on our fiscal management," said Governor Mike Leavitt. "Because of the significant budget challenges Utah and nearly every other state have faced, their reviews are especially rigorous. I am extremely pleased that our sound fiscal management practices have been acknowledged."

Once again, the rating agencies commented on Utah's careful and prudent budgeting practices, citing these examples:

• Careful and timely monitoring of economic circumstances.
• Quick and aggressive action each time a shortfall was identified.
• A moderate debt structure, including the moderate amount, short life and modest burden of borrowing in the state.

“Our success during these challenging budget times has been a joint effort,” said Leavitt. “The Legislature, state employees and Utah citizens have rallied to weather these difficult economic times.”

Utah property taxpayers may be the big winners because the state guarantees the bonds of local school districts. Utah’s AAA rating will keep debt service costs down. This is particularly important because of the well-documented school enrollment boom that will likely require additional bond financing to pay for new classrooms.

Other states that have AAA ratings from all three rating agencies include: Delaware, Georgia, Maryland, Minnesota, Missouri, South Carolina and Virginia. A number of states, including California, Tennessee, Connecticut, North Carolina, Illinois, Oregon and New York, have seen their ratings lowered recently. Still other states have been placed on negative credit watch.

Utah ratings were received from Fitch Investor's Service (AAA), Moody's (Aaa Stable), and Standard & Poor’s (AAA Stable). Moody's, which has rated Utah for the longest period of time, has given Utah a AAA rating since 1965.

7:19:08 AM