Buffalo Grove Maintains 'Robust' Local Economy, AAA Bond Rating: S&P

BUFFALO GROVE, IL — With more than $380 million in public and private investments in place, the Village of Buffalo Grove has again received the highest bond rating possible from Standard and Poor’s rating system, officials announced last week.

The village received a ‘AAA’ rating from the organization, which applies to Buffalo Grove’s existing and 2022 general obligation bonds. Standard and Poor’s cited several reasons to validate the ‘AAA’ rating, including a robust local economy and active redevelopment efforts going on within the village.

Listed among the ongoing investments were The Clove (Town Center redevelopment), Northwest Community Hospital, Lou Malnati’s corporate headquarters, and Ricky Rockets multi-use development, officials said in a news release. The village also has major infrastructure reinvestments in streets, sewers, and water mains listed along its current projects.

Buffalo Grove also has more than $250 million in programmed public and private investments planned over the next two years, the release said.

S&P’s rating report also highlights the Village’s strong management practices and budgetary controls that attributes to its strong financial performance and balanced operations.

“Receiving this achievement wouldn’t be possible without the strategic planning and sound budget management of Village leadership–our executive team, finance department, and Village Board," Buffalo Grove Village Manager Dane Bragg said in the release. “We will continue pursuing strategies to responsibly and effectively make investments that position us to better serve the community and maintain the high quality of life our residents have come to expect.”

As part of the Infrastructure Modernization Program, which is the largest initiative in the village’s history to replace and rehabilitate core infrastructure assets, officials said the village will be issuing bonds this year to assist with the purchase of a building to house its Public Works Department.

The Village has budgeted for anticipated costs associated with relocating the department using a combination of capital and long-term debt planning, officials said. This progressive approach minimizes any potential future impact on the property tax levy, officials said.

“This move supports our long-term strategy to invest in our facilities, allowing us to meet future service needs while delivering the best value to our residents,” Bragg said.

In addition to the S & P rating, the Village again received the Certificate in Achievement for Financial Report Award from the Government Finance Officers Association in 2021. The Certificate of Achievement is the highest form of recognition in the area of governmental accounting and financial reporting.

The Village has received multiple awards for distinguished budget presentation and popular annual financial reporting dating back to 2013.