Press Release|Public Finance

KBRA Affirms AA+ Rating for Metropolitan Government of Nashville and Davidson County General Obligation Improvement Bonds

30 Jan 2024   |   New York


KBRA affirms the outstanding AA+ rating with a Stable Outlook assigned to the The Metropolitan Government of Nashville and Davidson County, TN (Metro) General Obligation Improvement Bonds.

Key Credit Considerations

The rating was affirmed because of the following key credit considerations:

Credit Positives

  • Metro’s broad and diverse economic base that features governmental, commercial, institutional, healthcare and tourism-based activity, and sizable property tax base.
  • Well-maintained financial operations, strengthened through recent operating surpluses and adoption of a more restrictive fund balance policy.
  • Adopted financial and debt policies that provide a framework for effective management.

Credit Challenges

  • Presence of contingent liabilities related to debt issued by Metro-controlled authorities.
  • Ongoing operating subsidies to the Metro-owned Nashville General Hospital ("NGH").

Rating Sensitivities

For Upgrade

  • Maintenance of financial reserves while addressing identified capital needs.
  • Elimination of subsidy to NGH.

For Downgrade

  • Significant unplanned draws on accumulated reserves.
  • Failure to adhere to adopted policies and procedures.

To access rating and relevant documents, click here.



A description of all substantially material sources that were used to prepare the credit rating and information on the methodology(ies) (inclusive of any material models and sensitivity analyses of the relevant key rating assumptions, as applicable) used in determining the credit rating is available in the Information Disclosure Form(s) located here.

Information on the meaning of each rating category can be located here.

Further disclosures relating to this rating action are available in the Information Disclosure Form(s) referenced above. Additional information regarding KBRA policies, methodologies, rating scales and disclosures are available at

About KBRA

Kroll Bond Rating Agency, LLC (KBRA) is a full-service credit rating agency registered with the U.S. Securities and Exchange Commission as an NRSRO. Kroll Bond Rating Agency Europe Limited is registered as a CRA with the European Securities and Markets Authority. Kroll Bond Rating Agency UK Limited is registered as a CRA with the UK Financial Conduct Authority. In addition, KBRA is designated as a designated rating organization by the Ontario Securities Commission for issuers of asset-backed securities to file a short form prospectus or shelf prospectus. KBRA is also recognized by the National Association of Insurance Commissioners as a Credit Rating Provider.

Doc ID: 1003124

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