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<h1><b><font size=6 face="Times New Roman"><span style='font-size:24.0pt'>Trinity
credit rating up<o:p></o:p></span></font></b></h1>
<h2><b><font size=5 face="Times New Roman"><span style='font-size:18.0pt'>Good
news comes as more employees face layoffs<o:p></o:p></span></font></b></h2>
<p class=byline><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><a href="http://redding.com/news/2007/aug/22/trinity-credit-rating-up/">http://redding.com/news/2007/aug/22/trinity-credit-rating-up/</a>
<o:p></o:p></span></font></p>
<p class=byline><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'>By <a href="http://redding.com/staff/kimberly-ross/">Kimberly Ross</a>
(<a href="http://redding.com/staff/kimberly-ross/contact/">Contact</a>)<br>
Wednesday, August 22, 2007 <o:p></o:p></span></font></p>
<p><st1:place w:st="on"><st1:PlaceName w:st="on"><font size=3
face="Times New Roman"><span style='font-size:12.0pt'>Trinity</span></font></st1:PlaceName>
<st1:PlaceType w:st="on">County</st1:PlaceType></st1:place> is celebrating a
major long-term financial gain for its credit rating this week, while
simultaneously feeling the pinch from laying off three more employees.<o:p></o:p></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>The
county's total layoffs climbed from four to seven this month as it attempts to
fill an anticipated $1.3 million budget gap.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>The
latest layoff notices, made in the past week, went to a maintenance worker, an
account tech, and a seasonal parks and grounds employee. All worked in the
building and grounds department, County Administrator <st1:PersonName w:st="on">Larry
Layton</st1:PersonName> said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>In
addition, five full-time employees in that section were cut to part time and a
temporary part-time worker was let go, county personnel analyst Monica Stygar
said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Department
heads could call for more layoffs next month, when the county holds budget
hearings Sept. 5, 6 and 7.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Planning
Director <st1:PersonName w:st="on">Susan Price</st1:PersonName> said she must
cut another $60,000 from her department's budget. That could be achieved
through one potential retirement in January and one or more layoffs this fiscal
year, she said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>But <st1:place
w:st="on"><st1:PlaceName w:st="on">Trinity</st1:PlaceName> <st1:PlaceType
w:st="on">County</st1:PlaceType></st1:place>'s officials are counting
victories, too.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>News of
an upgrade to the county's bond rating -- from junk-bond status to stable --
means the county will get better loan rates and more financial entities will be
willing to lend. Like most jurisdictions, the county takes annual loans to pay
its bills while waiting for property taxes to be paid, auditor-controller David
Nelson said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>The
improvement rating reverses a financial downturn in 2005, when the county
borrowed to avoid bankruptcy and its bond rate plummeted, Nelson said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Usually,
it takes public agencies five to 10 years to recover, "but we made it in
two, so we're really happy about it," Nelson said. "A lot of private
organizations don't ever recover."<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Fitch
Ratings, a global bond rating agency, cited the transfer of <st1:place w:st="on"><st1:PlaceName
w:st="on">Trinity</st1:PlaceName> <st1:PlaceType w:st="on">Hospital</st1:PlaceType></st1:place>
to a newly formed, voter-approved health services district as one reason for
the upgrade, Nelson said. The new rating will mainly help in fiscal year
2008-2009 and later, Nelson said, and can't undo layoffs made this year.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>"The
county is really just trying to operate under the revenue that we
receive," he said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Also, the
bond rate upgrade could allow the county to refinance some of its long-term
debt and free up some general fund money, County Supervisor Jeff Morris said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>"Just
like a personal credit score, it increases your ability to do financing at a
good credit rate," he said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Tuesday,
the board discussed county administrator <st1:City w:st="on"><st1:place w:st="on">Layton</st1:place></st1:City>'s
November retirement, Morris said. Members hope to advertise the position and
find a replacement who would start work by Jan. 1, Morris said.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Between
administrators, County Clerk-recorder Dero Forslund will serve as interim
chief.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'>Reporter
Kimberly Ross can be reached at 225-8339 or at <a
href="mailto:kross@redding.com">kross@redding.com</a>.<o:p></o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'><o:p> </o:p></span></font></p>
<p><font size=3 face="Times New Roman"><span style='font-size:12.0pt'><o:p> </o:p></span></font></p>
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