BEVERLY – For the second time in the past four years, the City of Beverly has received an upgrade in its bond rating. In a ratings report released May 30, 2018 by Standard and Poors, the Global rating company reaffirmed the highest possible short term rating for the City of Beverly at a level of SP-1+ and raised the City’s long term bond rating to AA+, the second highest possible rating.
The Standard and Poors’ rating letter cites Beverly’s strong budgetary performance and flexibility as well as improved reserves as rational for the upgraded long term rating. It also notes strong management with good financial policies and practices as a notable quality of the City.
City Finance Director and Treasurer, Bryant Ayles stated “This is a really big deal for the City. It means we will be saving taxpayers significant money in future borrowings and it reaffirms that all the hard work and good budgetary practices we have been implementing are showing real benefits.”
Over the course of multiple years, the City has worked with its financial advisor, Hilltop Securities, to identify, prioritize and improve upon operational policies such as its balance sheet, long term liabilities and strategic budgeting.
“This achievement doesn’t materialize overnight. It has been a conscious effort by the administration and elected officials to improve on the City’s policies and practices regarding long term planning, reserves, budget management and capital investment strategies. The Mayor along with the entire City Council, past and present, deserve a major bow for keeping their eye on the prize and delivering it to the citizens of Beverly,” Ayles further commented.
Mayor Cahill stated “We’ve always know that if we were to obtain improvements in our rating, that we needed to keep a long view of the City’s finances. Not only have we upgraded Beverly’s financial standing over the last four years with strong reserves, responsible budgeting and long term planning processes, but now we have received affirmation from an independent source that we are doing it right.”
“It is wonderful news that the City of Beverly’s bond rating was recently upgraded to AA+,” said City Council President Paul Guanci. “Sound fiscal policies and the professional, respectful relationship between the Mayor’s office and the City Council, over the past two decades, are contributing factors to this great achievement. A rating of AA+ will save the City hundreds of thousands of dollars on borrowing costs as we continue to move Beverly forward.”
Contact: Bryant Ayles