Moody’s issues bond rating and warning to Unified Government

Moody’s Investors Service has assigned an Aa3 rating to $10.1 million in revenue bonds for the Unified Government of Wyandotte County and Kansas City, Kan.

Proceeds from the bonds will be used to finance costs associated with emergency communications facilities.

The agency said the rating partly reflects the Unified Government’s large tax base made up of continuing “commercial development that has begun to stabilize, revenue raising flexibility and an improved financial position.”

However, the rating agency also posted a negative outlook on the Unified Government’s long-term debt.

Moody’s said the outlook “reflects the multi-year declining trend in general fund reserves through fiscal 2010, with a slight rebound in fiscal 2011, the last year for which audited financial results are currently available.”