"Town is in excellent financial health" according to BOF subcommittee
Published 4:20 pm, Monday, March 7, 2011
A subcommittee of the Board of Finance has done a study to supplement Moody's rating of Aaa given to New Canaan for the town's financial condition in relation to debt. Charles Van Vleet, Robert Spangler and Neil Budnick comprised the subcommittee taking on this study.
"While Moody's assigns the Town its highest "Aaa" rating (which Moody's defines as "obligations that are judged to be of the highest quality with minimal credit risk"), the Board of Finance wanted to conduct its own independent analysis," the subcommittee said in a press release today.
The team examined all aspects of data concerning existing debt issues including reviewing scores of ratios and analytics, encompassing categories like debt burden, debt service as a percent of operating expenditure, pension funding as well as other areas. Those categories were all compared to neighboring towns as well as other municipalities across the country.
"The reassuring result of this review confirms that the Town is in excellent financial health with superior financial operations," the subcommittee said. "By being proactive and making tough financial choices, we do not face an impending financial crisis like so many troubled municipalities that we read about in the national press. While we have numerous challenges ahead over where and how to allocate our scarce tax resources, we begin this task upon sound foundations."
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Residents can view the results of the study on the Town website at http://www.newcanaan.info/filestorage/9488/9220/749/761/BOF_debt_sub-committee(Final-JC).pdf