For the seventh consecutive year, TriMet has achieved the highest possible bond rating from Kroll Bond Rating Agency (KBRA), an independent financial institution known for assessing the creditworthiness of government agencies. The AAA rating is in relation to our Senior Lien Payroll Tax Revenue Bonds and our ability to repay those bonds.
TriMet’s AAA rating reflects a solid vote of confidence in our ability to manage our finances responsibly and remain resilient in the face of economic challenges. Similar top-tier ratings last year from Moody’s (Aaa) and previously from Standard & Poor’s (AAA), two additional leading credit rating agencies, place TriMet in an elite group, underscoring our role as a financially stable transit agency.
What Does an AAA Rating Mean?
In simple terms, an AAA rating is the highest possible rating level a public agency can receive and signals that the agency is considered a low-risk investment by financial experts. This means that TriMet’s creditworthiness has weathered difficult economic times without putting our finances—or the services we provide—at risk.
These ratings directly affect how we can borrow money for major projects, enabling TriMet to secure better terms and lower interest rates. This, in turn, allows TriMet to reinvest in our transit system, improve service, purchase new vehicles, and fund key infrastructure projects like the recently completed A Better Red MAX extension.
According to KBRA’s latest report, TriMet’s payroll tax revenues have shown “resilience during economic downturns” and benefit from “a diverse and strong economic base.” The report praised TriMet for our ability to manage our resources carefully, with KBRA affirming that TriMet’s payroll taxes—our primary source of funding—are a highly stable and reliable revenue stream.
Solid Financial Management in Action
TriMet’s continued strong ratings are the result of careful financial planning and oversight. Even during the COVID-19 pandemic, when many industries faced sharp declines, TriMet’s revenue from payroll taxes continued to grow. This stability is driven by the economic diversity in the Portland metro area, where the taxes collected from employers and self-employed individuals fund much of TriMet’s operations and capital projects.
Our ongoing financial health also comes from our conservative approach to debt. While TriMet has issued debt to fund important projects, we remain well within our debt policy limits. KBRA noted that TriMet’s strong debt service coverage and the safeguards in place to prevent over-borrowing help ensure long-term financial stability. “TriMet’s ability to maintain high debt service coverage margins demonstrates its careful and effective financial management,” the report noted.
Investing in Our Future
TriMet’s consistent AAA ratings don’t just reflect financial stability—they provide the foundation for significant, long-term investments that will shape the future of Portland’s transit system. These ratings allow TriMet to secure favorable financing, ensuring that we can continue expanding and modernizing our network to meet the needs of a growing population.
Looking ahead, TriMet plans to issue additional bonds starting in early fiscal year 2026, further fueling projects critical to enhancing service, improving infrastructure, and keeping our region moving. Our strong financial outlook ensures that even with new investments, TriMet will continue to manage resources responsibly—delivering not just today’s essential transit services but also building a sustainable, resilient system for the future. For more details on TriMet’s bond ratings and financial plans, visit TriMetBonds.com.
About TriMet
TriMet provides bus, light rail, commuter rail and paratransit services in the Portland, Oregon metro area. We connect people to opportunity, while easing traffic congestion and reducing air pollution — making our community a better place to live.
