When looking at either the historic performance or the forecasted outlook by many of the credit rating agencies, public utilities including water & sewer have been stable and weathered the COVID-19 pandemic with relatively little impact to their financial standings.
A portion of the credit for this positive news goes to the early preparedness undertaken by the management teams on their rate setting initiatives that included building up liquidity for the future capital needs and/or building reserves for a rainy day. These initiatives are looked upon very favorably by the rating agencies, hence earning a stable outlook for this sector. Along the same lines, the need for timely completion and reporting of their audited financials adds to the comprehensive assessment picture.
In this article, we will take a look at the future of public utilities in the wake of natural disasters, aging infrastructure, cyber security, experienced workforce scarcity, and federal push to enhance the public utilities.
municipalbonds.com
by Jayden Sangha
Sep 07, 2022