After recent presentations to credit analysts at Moody’s and Standard & Poor’s, New Albany maintained its triple A bond ratings from both rating agencies. These ratings (Aaa from Moody’s; AAA from Standard & Poor’s) are the highest possible ratings a government can receive, signifying an exceptional degree of creditworthiness.
The ratings come at a time when New Albany is preparing to open bids on Thursday, June 21, at 10 am, in an effort to sell $17.25 million in bonds on the open market. These ratings will allow New Albany to receive the best rates possible as banks and other lenders prepare their prospective bids.
Funds from the sale of these bonds will be used to finance debt on construction related to New Albany’s Rose Run Park and Dublin-Granville Road improvements. When complete, Rose Run will become New Albany’s central park, with many natural amenities designed to connect people to activities in a natural landscape that will also become unique venue for future events. Additionally, the Dublin-Granville Road improvements will improve safety for school children crossing the street while providing more cycling, walking, and family recreation opportunities in the heart of town. The bonds will be paid back over a 20-year period for this project.
“This joint bond rating reflects the remarkable financial health of New Albany as a community, and the policies we have in place to maintain this rating; and we are using our financial health to improve the quality of life for our residents and businesses,” said City Manager Joseph Stefanov.
In its rationale for the highest rating possible, Standard & Poor’s noted New Albany’s economy, management, budgetary performance, budget flexibility and liquidity as all “very strong”. They also noted that the New Albany International Business Park “provides a robust income tax base” and noted that New Albany’s financial policies and practices are “strong, well embedded and likely sustainable.”