​S&P Global Affirms Hamden’s A+ Bond Rating

From Hamden: Mayor Curt Balzano Leng is very pleased to announce that S&P Global has recently assigned its “SP+1” short term rating to Hamden’s general obligation bond anticipation notes. This represents S&P Global’s highest possible short-term rating. In addition, S&P Global has affirmed its “A+” long-term rating, with a stable outlook, on the Town’s existing general obligation debt.

S&P Global’s ratings report notes: “We believe the town's budgetary performance and flexibility will remain stable given management's demonstrated willingness and ability to make the necessary revenue and expenditure adjustments. For these reasons, we do not expect to change the rating in the next two years.

"Furthermore, according to S&P Global, “The short-term rating reflects our opinion of the long-term rating and the town's low market-risk profile. Hamden maintains strong legal authority to issue long-term debt to take out the notes, and it is a frequent debt issuer that regularly provides ongoing disclosure to market participants.”

Hamden’s long-term rating of “A+” is similarly based on number of different factors ranging from the status of Hamden’s economy (rated STRONG by S&P Global) to Hamden’s financial management, budgetary performance, budgetary flexibility, liquidity, debt liability, and institutional framework score. S&P Global notes that, “In the past three fiscal years, Hamden has incrementally improved its budgetary flexibility.

Given management's long-term financial plan, we expect Hamden's budgetary flexibility will improve in the near term...” Additionally, the report concludes that S&P Global “believe(s) management has presented a credible plan to demonstrate maintenance of adequate budgetary performance over the next six years.”

Commenting on the recent affirmation of Hamden’s “A+” rating, Mayor Curt Balzano Leng said, “My administration and financial team have worked very hard to ensure that Hamden is able to maintain its A+ rating. Securing Hamden’s financial future, improving our commercial tax base, and responsibly preparing and managing annual Town budgets that are balanced, in an effort to stabilize the Town’s tax rate, are all key
goals of mine. I am confident that Hamden’s financial situation will continue to improve over the coming years, and I look forward to working with Hamden’s professional financial staff to ensure that these goals are realized.”

For further information, please contact Information & Research Officer, Patrick J. Donnelly at (203) 287-7009 or by email at pdonnelly@hamden.com.

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