Fitch, Moody’s and S&P rating agencies have reaffirmed Danbury's credit ratings. Fitch has affirmed an AAA credit rating for the City while S&P affirmed an AA+ with a stable outlook. Moody’s affirmed an Aa1 rating.
Mayor Mark Boughton says every time a city raises money through the issuance of municipal bonds, credit rating agencies establish a rating for the debt issuance, much like a credit score of the modern consumer. He says these ratings help to determine the rate of interest that is attached to borrowed funds.
The AAA rating from Fitch is the highest rating possible.
The agencies cited rigorous fiscal standards within the City. They also lauded Danbury for strong financial management.
Boughton says given the economic crisis that the State is going through, it is not easy to achieve ratings like these.
Boughton hopes with helps people make up their minds about whether or not to vote for bond questions being put to them in November. He says the ratings reflect that the City has done its due diligence on Danbury's ability and capacity to borrow, and the ability to pay back those notes. Interest rates are at an all time low and Boughton says that also makes it a really good time to go out and borrow money.