NATCHEZ — Adams County very nearly hit its projected stride on the road to improving the health of its financial status.

In July, Adams County Chancery Clerk Tommy O’Beirne projected a general fund balance of $400,000 by the end of the 2010 fiscal year.

After the accounting books were closed Sept. 30, O’Beirne said the general fund balance was $391,000, just $9,000 less than he projected.

“We’re encouraged the general fund owes no money and has reversed itself to the extent of $1 million,” O’Beirne said.

The county’s general fund balance had a deficit of $853,000 at the end of the 2009 fiscal year.

The general fund balance largely determines how the county’s bond rating is scored.

Bond ratings, which function like credit scores, can help or hurt the county when applying for loans.

O’Beirne said a better bond rating assures lower interest rates on loans. It can also provide the county with a better chance of getting approved for a loan.

However, until Moody’s Investor Services decides to reassess the bond rating, the county’s score will not reflect the general fund improvements.

O’Beirne said he thinks Moody’s may not consider reassessing the bond rating until the county is audited, which could take eight to 10 months.

When Moody’s assessed the county in 2009, the last figures they looked at revealed a deficit of $2.2 million in 2008.

As a result, the bond rating was downgraded from Baa2 to Ba1, or “moderate credit risk” to “questionable credit quality.”

After the assessment, the general fund balance at the end of September 2009 improved to a deficit of $853,000.

Now that the general fund is out of debt and has $391,000, the change from last year’s balance to this year’s balance reflected an improvement of $1.24 million.

“We’ve changed the pattern (from negative to positive balances), and it’s helpful,” O’Beirne said.

Windham and Lacey, PLLC, is contracted to perform an audit on Adams County, which O’Beirne said might not be completed until next summer.