Mesa Water Earns AAA Rating, Highest Possible for Financial Management

Rating Agencies Assign Top Rating to Costa Mesa-based Water District
for Financial Efficiency

COSTA MESA, Calif.–(BUSINESS WIRE)–#AAA–Mesa Water District (Mesa Water®) has again been assigned an AAA rating
from both Fitch and Standard & Poor’s ratings agencies, the highest
credit rating that can be achieved by an organization. The ratings are
based on Mesa Water’s industry-leading efficiency, including excellent
financial management practices, strong cash position and its plan to pay
off all of its outstanding debt in the coming years, all indicators of
exceptional financial management according to the rating agencies.

According to Fitch Ratings (May 18, 2017), Mesa Water’s “management
practices are sound, as evidenced by the use of long-term financial and
capital planning, rate structure, and implementation of a strong
financial policy framework. Debt service coverage has remained very
strong despite the challenges faced by California water utilities during
the severe recession and recent drought.”

Proactive planning and a strong focus on operational efficiency by the
Mesa Water Board of Directors and staff have positioned the District to
maintain its high standards for operations and customer service. Since
2011, Mesa Water has been one of the most efficient water agencies with
the lowest expenditures per capita of any water district in Orange
County.

The AAA credit rating allows Mesa Water to save ratepayer money by
borrowing funds at a lower interest rate for capital improvements to
infrastructure and local groundwater supplies. Through 2022, the
District will construct two new wells to increase local water production
capacity and invest in pipeline integrity testing to ensure economical
and timely replacement to ensure continued reliable service of safe,
high-quality water to customers.

Click here for more information about the Fitch
rating of Mesa Water.
Click here for more information about the Standard
& Poor’s rating of Mesa Water.

About Mesa Water

Founded on January 1, 1960, and governed by a publicly-elected,
five-member Board of Directors, Mesa Water is an independent special
district that provides water service to 110,000 residents in an
18-square-mile service area that includes most of the City of Costa
Mesa, parts of Newport Beach, and John Wayne Airport. Mesa Water
provides nearly 100 percent local supplies to its customers due to the
expansion of the Mesa Water Reliability Facility. Visit www.MesaWater.org,
follow @MesaWater on Facebook, Twitter, or Instagram, or call us at
949.631.1200 to learn more.

Contacts

Mesa Water District
Shannon Widor, Public Affairs Manager
949.207.5490
[email protected]