Columbus Water Works to explore bond refinancing; council informed of strong finances

Jeremy Cummings, president of Columbus Water Works, told the Columbus City Council on Jan. 27 that the utility will “go to the market very soon” to explore refinancing and other bond opportunities for 2026, and that council concurrence will be required before any debt is issued.

Cummings framed the presentation as informational. He said CWW’s 2025 revenues were $96,500,000, operating expenses were $89,200,000 for FY24, and the utility’s net position was approximately $457,000,000. He reported a debt service coverage of 1.98 times and about 490 days of cash on hand.

Cummings said the Board of Water Commissioners has authority as a component unit of the City of Columbus to set rates and issue long-term debt, and that any long-term debt issuance requires council concurrence. He described Moody’s Aa2 rating for CWW and noted that while the utility’s asset condition is weaker than some peers, its strong financial position creates an opportunity to address aging assets proactively.

Council members asked whether the Moody’s rating applies to the utility separately from the consolidated government; Cummings said the utility’s bonds and credit are separate and “have no impact on the city finances.” He also confirmed CWW’s typical monthly residential bill places Columbus in the bottom third statewide and said that, with the planned bond approach and previously approved rate increases, the utility expects to maintain positive cash flow.

Cummings said staff plans to return on Feb. 10 with bond details and a recommendation for an approval vote.