Maintain a
Financially Strong City
Fiscal health is fundamental to a successful city. A strong balance sheet, ample cash reserves and efficient delivery of services enable Atlanta to invest, grow and expand opportunity for all its citizens. The City of Atlanta 's current credit rating is AAA, the highest in the history of the city. Atlanta is now positioned to attract more businesses and greater investment in our local economy and infrastructure projects. In addition, the city's reserves have equaled at least 20% of spending since fiscal 2012 and nearly 23% in fiscal 2023. The ratings reflect the city's skillful fiscal management and stewardship of city finances.
Goal
Maintain the city’s general fund reserves above 20 percent of its operating budget while continuing to maintain the AAA credit rating.
Why It Matters
Atlanta must continue to maintain it's strong balance sheet, improve its expenditure-to-reserve ratio and maintain a well-funded pension plan. It must be prepared to respond to the next economic downturn and unforeseen circumstances, without draining its cash reserves. A robust rainy day fund also allows Atlanta to maintain it's AAA credit status to remain competitive with peer cities such as Austin, Charlotte, Denver and Seattle. A top-tier rating expands Atlanta’s capacity to access credit markets for bond financing and municipal improvement projects that expand growth and opportunity for all citizens.
What It will Take
Maintaining the city’s general fund reserves at above 20 percent of budget will require a Mayor and City Council who wisely manage the city’s revenues and expenditures, prudently oversee the city’s airport and watershed enterprise funds, and develop and approve balanced budgets without imposing undue tax increases on citizens. They must exercise discipline to outpace inflation with cost control and efficiencies in delivery services. In addition, pension costs and investments must be well-managed to sustain pension funding levels, with improved governance. It’s a process that requires strong fiscal management and oversight.