Metropolitan Maintains Strong Bond Ratings From Leading Credit Agencies
Ratings reflect sound financial management, long-term water planning
LOS ANGELES, October 21, 2026--The Metropolitan Water District of Southern California has maintained strong credit ratings from the nation's leading credit rating agencies, reflecting Metropolitan's sound financial management, strong liquidity and disciplined long-term planning as the district fulfills its essential role in providing a reliable water supply for Southern California.
Last week, S&P Global Ratings reaffirmed its top AAA long-term rating to Metropolitan's anticipated $280 million water revenue bonds, 2026 Series A, and also assigned an AA+/A-1+ dual rating to its proposed $200 million variable-rate subordinate water revenue bonds, 2026 Series B. Moody's Ratings affirmed Metropolitan's Aa1 senior revenue bond rating and assigned an Aa1 bond rating to the district's proposed 2026 Series A bonds. Fitch Ratings assigned an AA+ rating to the 2026 Series B bonds and affirmed its existing ratings on the district's outstanding debt, including AAA for its general obligation bonds.
"Earlier this year, our board of directors unanimously approved a fiscally prudent budget and rate structure that strengthens Metropolitan's financial foundation by providing more predictable revenue to cover fixed costs," said board Chair Adán Ortega, Jr. "That greater financial stability, combined with our commitment to investing in critical infrastructure through our Capital Investment Plan, positions Metropolitan to manage financial challenges responsibly and sustain the region's water reliability for the long term."
Strong credit ratings help Metropolitan borrow money at favorable interest rates, reducing the near- and long-term cost of financing the projects needed to maintain and improve the region's water system. By managing borrowing costs, Metropolitan protects the long-term affordability of water. Metropolitan continually invests in its facilities and programs that support water deliveries to its 26 member water agencies, which strengthens its water reliability and resilience to serve nearly 19 million people across six counties.
"Metropolitan's strong credit ratings reflect our sound financial management, strong cash position and disciplined long-term planning. These strengths provide the financial flexibility to navigate uncertainty, invest in critical infrastructure and maintain a reliable, affordable water supply for Southern California," said Katano Kasaine, Metropolitan's assistant general manager, chief financial officer and treasurer.