KBRA Affirms AA Rating for Chicago Park District, IL GO Bonds; Outlook Stable
13 Oct 2026 | New York
KBRA affirms the long-term rating of AA for the Chicago Park District, Illinois' outstanding general obligation bonds. The Outlook is Stable
The District’s non-voted general obligation (G.O.) bonds constitute a direct and general obligation of the District, payable from a levy unlimited as to rate but limited to amount.
Established on April 20, 1934, the District is coterminous with the City and operates one of the largest municipal park systems in the nation with 8,900 acres of green space including 619 parks and 29 miles of public lakefront. The District also owns several assets that are privately managed under operating contracts including seven golf courses, eleven harbors with over 6,000 boat slips and moorings, and Soldier Field. In addition, eleven museums are located on Park District land.
Key Credit Considerations
The rating was affirmed because of the following key credit considerations:
Credit Positives
- Strong financial condition evidenced by stable and healthy levels of operating reserves.
- Long-standing financial management policies and procedures for budgeting, forecasting, and operations management.
- Substantial tax base, and a deep and diverse economic resource base coterminous with the City of Chicago.
Credit Challenges
- Very low pension funded ratio at 32% as of CY 2025.
- Improving, though still high, fixed cost burden.
- Elevated overall debt burden as measured on both a per capita basis and as a percentage of full market property valuation, largely reflecting issuance by overlapping jurisdictions
Rating Sensitivities
For Upgrade
- Significantly improved pension funding level and resultant decrease in the fixed cost burden.
- Continuation of robust financial operations, generating surpluses and increasing reserves while incorporating pension expenditures.
For Downgrade
- Disruption to the availability of revenue generating District assets, including the inability to replace potential lost revenue from the Bears relocation from Soldier Field.
- Significant deterioration in the level of available fund balance and operating reserves.
- Material issuance of additional debt resulting in a substantial increase in the District’s direct debt burden and fixed costs.
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