Fitch reaffirms Milford's AAA bond rating
The rating agency, Fitch, has reaffirmed Milford’s AAA bond rating, the highest possible credit grade a city can receive, according to the agenda for tonight’s Board of Aldermen’s meeting.
“In assigning its highest level of credit quality, Fitch cited Milford’s strong management and the city’s ‘sound financial cushion on the basis of its superior level of budgetary flexibility and history of careful financial management,’” Mayor Ben Blake notes under the ‘mayor’s comments’ portion of the agenda.
“Moreover, the agency noted Milford’s ‘continued solid economic and revenue growth prospects, a low long-term liability burden and strong operating performance,” Blake notes.
According to Fitch, the AAA rating was based on superior financial management, healthy reserves, low debt levels, well-funded retiree costs, and a history of successful access to the municipal bond market. Fitch also commended the city for its careful management of other post employment benefit liabilities.
The city recently voted to refinance a number of bonds based on its high bond rating and anticipated favorable interest rates.