JACKSONVILLE, Fla. (May 9, 2024) — Fitch Ratings upgraded the Jacksonville Transportation Authority’s (JTA) Issuer Default Rating (IDR) from ‘AA’ to ‘AA+,’ with ‘Stable’ Outlook.
“This rating increase comes as a direct result of the JTA’s sound financial strategy and our dedication to upholding our responsibility as good stewards of taxpayer funds,” said JTA CEO Nat Ford. “JTA’s strategic financial plan is the cornerstone of our past, present, and future successes in providing holistic mobility services for the Northeast Florida communities JTA serves.”
The New York-based rating agency also affirmed the ‘AA-’ rating on the JTA’s outstanding senior lien Local Option Gas Tax (LOGT) series 2015 and 2020 bonds.
“The JTA has once again been recognized for its strong financial management,” said Board Chair Debbie Buckland. “Our team has proven flexible in navigating changing economic conditions while fulfilling its ongoing mission of enhancing mobility across Northeast Florida.”
The report also states that the JTA’s ‘AA-’ rating on LOGT bonds is based on an analysis that reflects the JTA’s resilience to cyclical declines and Fitch’s expectation of growth prospects below inflation for fuel tax revenues.
Fitch also noted that the JTA’s financial resilience metric reflects its low long-term liability, strong net working capital and healthy margins.
“The Independent Default Rating upgrade to ‘AA+’ with Stable outlook reflects JTA’s financial resilience, strength, and the prudent management of its long-term liabilities,” said JTA Senior Vice President/Chief Financial Officer Raj Srinath. “This further increases our competitiveness for public and private funding and cost-effective financing opportunities for advancing our capital programs.”
The full report completed by Patrick Goggins, Kevin Dolan, and Shannon McCue can be found here.
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About the Jacksonville Transportation Authority (JTA)
Jacksonville Transportation Authority (JTA) is an independent state agency serving Jacksonville, Florida and Northeast Florida with multi-modal responsibilities. The JTA provides varied mass public transit services, and is a builder of roads, bridges and other infrastructure to enhance mobility in Jacksonville. Public transportation services include BRT and regular bus service, paratransit, the St. Johns River Ferry, Skyway APM, and other mobility and on-demand services in Duval, Clay, Baker, Nassau and St. Johns counties. To learn more, visit www.jtafla.com.