Moody's Raises Oyster Bay Bond Rating
The municipal bond rating agency Moody's Investors Service has increased the bond rating of the Town of Oyster Bay to a Baa1 rating, with a “positive outlook.”
The increased bond rating is a big win for Oyster Bay homeowners, because it means that the Town’s bonding will be at a lower interest rate - and will save taxpayer’s money.
According to Moody’s, the Town’s $80.3 million Public Improvement Refunding (Serial) Bonds for 2021 will immediately benefit from the increased rating. Moody's also maintains the Baa1 rating on the Town's outstanding issuer and GOLT ratings. On all fronts, Moody’s concluded that the Town’s “fiscal outlook is positive.”
The Baa1 rating reflects recent improvements to the town's financial position because of substantial cost cutting measures implemented by Town Supervisor Joe Saladino and the Town Board.
According to Moody’s, “the Town’s liquidity has improved, eliminating the need for annual cash flow borrowing,” and “ A successful resolution has been reached in most the town’s legal issues,…without material ill effects….”
The issuer and GOLT ratings also reflect the Town's “large tax base, strong resident wealth and income, exposure to litigation, and …. much improved, financial position,’ according to Moody’s.