Dear Brushy Creek MUD residents,

 We want to let you know that the Brushy Creek MUD recently received an updated debt rating  In February 2026  from national agency Moody’s Ratings.

 Citing the District’s favorable location within Greater Austin, above average resident income, and very manageable long-term liabilities, the release from Moody’s awarded a highly sought-after A1 rating to BCMUD, from its previous rating of A2.

 “Governance is a driver of this rating action; unlike most municipal utility districts, the District has active management which provides both financial and operational oversight,” the Moody’s release states. “[BCMUD’s] management team reviews finances, utility fees, and capital needs on a regular basis to ensure revenues are sufficient to support operations and maintenance of the system and debt service.”

The Moody’s release states that the rating reflects a strong financial position for the District, with reserves relative to revenue and liabilities remaining well over 100% as of fiscal year 2025. BCMUD has also budgeted for a $900,000 deficit in fiscal year 2026 and has planned for the use of $10 million in reserves to fund capital improvement projects and other strategic investments, the release states.

The assessment from Moody’s is consistent with another upgrade given in late 2023 by top-tier national ratings agency S&P Global, which raised BCMUD’s status from AA- to AA. S&P Global said the rating increase was due in large part to BCMUD’s stable economic management in the face of destabilizing events including the Great Recession, Hurricane Harvey, and more recently, the COVID-19 pandemic.

BCMUD Accounting Manager Monica Henderson said the February rating upgrade from Moody’s will serve BCMUD well as the District considers issuing capital improvement bonds later this year- a utility revenue bond and an unlimited series parks bond. Both bonds are intended to refresh aging infrastructure and provide long term resilience in utilities while maintaining the parks and recreational assets that have consistently made Brushy Creek one of the most desirable places to live in Central Texas.

 “Moody’s upgrade to an A1 credit rating is great news for the District and for the community we serve.” Henderson said. “It reflects careful planning, strong financial stewardship, and a commitment to making smart decisions that support both today’s needs and the District’s future.”

Henderson said the stronger rating can help lower BCMUD’s borrowing costs for upcoming projects, allowing for investments in important infrastructure and community amenities while making the most of taxpayer dollars.

 BCMUD Board members said the latest rating upgrade reflects a longstanding, fiscally prudent strategy regarding large capital improvement projects, as well as the District’s measured approach to financial policy in general.

 "As someone who has called Brushy Creek home for more than three decades, I understand how important it is to protect what makes this community exceptional while preparing for the future,” said Rebecca Tullos, BCMUD Board Treasurer and 34-year resident of Brushy Creek. “This rating validates the Board's long-standing commitment to thoughtful financial stewardship and strategic investment. Our united focus on funding and protecting the District’s operating reserves has been an essential element in ensuring financial stability and mitigating economic uncertainty. By responsibly maintaining and improving our infrastructure, utilities, parks, and recreational amenities, we are helping preserve property values, supporting the Brushy Creek lifestyle our residents cherish, and ensuring our community remains strong for generations to come."