Fitch Ratings has given its second highest AA rating to $840 million in Connecticut’s special tax obligation bonds that will be used to improve the state’s transportation infrastructure.
Fitch gave the very high credit quality rating on the STO bonds because of the state’s pledged revenues to cover its payments from taxes and fees on fuel, vehicle sales and licenses, as well as the bonds being part of the larger Let’s Go CT! plan, which is a $30-year, $100 billion initiative to improve the state’s transportation system.
Fitch also reaffirmed its AA ratings on Connecticut’s $3.7 billion in outstanding senior lien bonds and $334 million in outstanding second lien bonds.
The strong credit rating will help Connecticut get more competitive interest rates for those transportation projects.
