SHREWSBURY – Standard & Poor’s Global Ratings on July 31 reaffirmed Shrewsbury’s AAA bond rating and provided a stable outlook on the town’s outstanding and pending bond issuances. This AAA rating was assigned for both general obligation (GO) bonds and as a rating for the town’s long-term GO debt outstanding.
“Maintaining our AAA credit rating is a clear reflection of Shrewsbury’s strong financial management and commitment to long-term fiscal stability,” said Town Manager Kevin Mizikar. “This rating reaffirms the confidence placed in our proactive approach to managing the town’s finances. Our dedicated efforts to maintain robust reserves and a vibrant economy are critical to our ongoing success.”
The report reads that it, “reflects Shrewsbury’s strong and steady credit profile, demonstrated by consistent tax base growth and a proactive management environment that further supports positive finances and improving reserve levels. The town’s tax base is primarily residential (88% of assessed value) and continues to see new growth in assessed values from both the residential and commercial side that in total is outpacing pre-pandemic levels.”
The town received its first AAA rating from S&P Rating Services in 2019. Municipalities have their financial conditions re-evaluated every time they issue new long term debt. This benefits the Town and bond investors when they need to borrow for projects like the water main replacement project occurring in Shrewsbury.
