Southbury's Bond Rating Upgraded By Moody's Investors Service

SOUTHBURY, CT — Continued strong financials has resulted in Moody’s Investors Service upgrading Southbury's general obligation bond rating from Aa2 to Aa1, town officials announced this week.

The improved bond rating will affect $2.3 million of outstanding debt, save taxpayers money, and will enable Southbury to borrow at lower interest rates in future years.

"Aa rated obligations are judged to be the highest quality and are subject to very low credit risk," according to town officials. "The upgrade to Aa1 is the highest level in the Aa category and exceeds the median rating of Aa3 for U.S. cities. The Town’s commitment to fiscal responsibility has led to a stronger financial position."

Moody's noted the following about Southbury's strengths:

• Trend of positive operating results supported by conservative budgeting
• Reliance on stable property tax revenues
• Very low long-term liabilities and fixed costs
• Sound income and wealth levels and low poverty rate

"We are pleased to receive this news from Moody's," said Southbury First Selectman Jeff Manville. "My administration has been told that a municipality of our size could not receive the Aa1 rating. The upgrade affirms the Town’s excellent financial operations."

Added town Finance Director Dan Colton, "This upgrade shows the commitment from the Administration, Board of Finance, Board of Selectmen and Town Hall staff to practice sound fiscal policies throughout the year and when putting together our annual budget."